The focus this year at the Denver Gold Forum and the Precious Metals Summit was on the longer-term positive price trend. These events, which took place the other week, is attended by the managements from essentially every gold producer. Most gold developers also attend these events.

Gold Price (USD)

Source: Bloomberg

Gold producers continued to reiterate their commitment to capital discipline and maintaining low costs. Gold stocks generally carry yields well under 1%. It looks now as if the industry may be gaining the financial strength to offer yields that outperform gold’s 0% yield. This may attract more investors.

About the Author:

Joe Foster has been Portfolio Manager for the VanEck International Investors Gold Fund since 1998 and the VanEck – Global Gold UCITS Fund since 2012. Mr. Foster, an acknowledged authority on gold, has over 10 years of dedicated experience in geology and mining including as a gold geologist in Nevada. He has appeared in The Wall Street Journal, Barron's, and on Reuters, CNBC and Bloomberg TV. Mr. Foster has also published articles in a number of mining journals, including Mining Engineering and Geological Society of Nevada.

The article above is an opinion of the author and does not necessarily reflect the opinion of MV Index Solutions or its affiliates.