Switzerland's central bank, the Swiss National Bank (SNB), is betting big on gold miners, according to a quarterly filing it released in America last week. The SNB has built up a large portfolio of stocks in recent years, after a failed effort to stop its currency from rocketing against the euro left it holding vast foreign-currency reserves. In total, the bank has around $41bn invested in US stocks, up sharply from $24bn in 2014.
Most of its portfolio is in passive index positions, giving it small slices of multinationals, from Apple to Walmart. But of the ten companies in which it has the largest percentage stake (reflecting its punchiest bets), eight are gold stocks.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
For example, the Danish central bank is thought to have around $500m in the equity market. The SNB is unique, however, in being visibly bullish on gold miners as are we at MoneyWeek. Since we tipped them in December, several low-cost gold producers are up by more than 50%. Another we like is Gold Standard Ventures (Toronto: GSV). Read more about it in our online report.
-
How inheritance tax trick is helping families save ‘six-figure sums’Happy to skip a generation to save thousands on inheritance tax? A deed of variation could be the estate planning tool you need.
-
Nationwide: House prices unexpectedly dropped in AugustHouse prices fell by 0.1% in August in a surprise drop, according to Nationwide, as “affordability remains stretched”
-
These 2 stocks are set to soarTips The returns from these two aluminium and tin stocks could be spectacular when the commodity cycle turns says David J Stevenson.
-
The best ways to buy strategic metalsTips Weaker prices for strategic metals in the alternative-energy sector are an investment opportunity, says David Stevenson. Here, he picks some of the best ways to buy in.
-
A lesson for investors from a ill-fated silver mineAnalysis Mining methods may have changed since the industry’s early days, but the business hasn’t – digging ore from the ground and selling it at a profit. The trouble is, says Dominic Frisby, the scams haven't changed either.
-
The natural resources industry is in a tight spot – which is bad news for the rest of usOpinion The natural resources industry is in a bind. We need it to produce more energy and metals, but it has been starved of investment, plagued by supply chain issues, and hobbled by red tape. That’s bad news for everyone, says Dominic Frisby.
-
How to invest in the copper boomTips The price of copper has slipped recently. But that’s temporary – the long-term outlook is very bullish, says Dominic Frisby. Here, he explains the best ways to invest in copper.
-
Why investors should consider adding Glencore to their portfoliosTips Commodities giant Glencore is well placed to capitalise on rising commodity prices and supply chain disruption, says Rupert Hargreaves. Here’s why you should consider buying Glencore shares.
-
How to invest in the multi-decade boom in industrial metalsTips The price of key industrial metals has already begun to rise. The renewable energy transition will take them higher, says David Stevenson. Here's how to profit.
-
Avoid China’s stockmarket – here’s what to invest in insteadOpinion China’s stockmarket is not a good place for investors to be. But you can't just ignore the world's second-largest economy, says Dominic Frisby. Here, he picks an alternative China play.
