Gold Stocks or Gold Bullion – there is an answer

Posted by Steve Saville, The Speculative Investor

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It is widely believed that gold stocks offer leveraged exposure to changes in the gold price, but this belief is false. At least, the historical record suggests that it is false on a long-term basis. As evidence we include, below, a chart of the BGMI/gold ratio covering the past 50 years (BGMI is short for Barrons Gold Mining Index of Large sized Producers).


… more HERE (Ed Note: Small Cap Gold Stocks are an exception, and he makes the case)