Sprott ESG Gold ETF (SESG) is the world’s first ETF to exclusively source and refine gold from recognized ESG mining leaders (based on Morningstar’s universe of listed commodity funds as of 8/31/2022). SESG seeks to address the growing global demand for sustainable, green investment strategies, in an ETF that provides trust, transparency and traceability.
Uranium, both physical uranium and mining equities, had standout performance in August, in contrast to the weak results posted by the broader markets. We believe uranium's gains reflect the growing acceptance of nuclear power among global governments as they seek alternatives to meet ambitious energy transition and security goals.
It’s been a summer of doldrums for many asset classes. In our universe, however, uranium and other energy transition metals were a welcome exception to the market carnage — the spot uranium oxide composite was up 8.73% in August and 25.45% YTD. Precious metals, by contrast, lost ground as a liquidity crunch took hold in response to market declines and volatility. Gold lost 3.11% and silver fell 11.62% in August, while gold mining equities magnified gold bullion's loss by declining 10.00%.
The Sprott Physical Uranium Trust (“SPUT”, TSX: U.U ($US); U.UN ($CA)) was launched just over a year ago in July 2021. While we were optimistic about the prospects for uranium, we could not foresee the tectonic shifts in the uranium sector that followed the launch and SPUT’s significant impact.
When SPUT began trading in late July 2021, there were many questions about how it would affect the uranium market. With 12 months of trading now behind us, we can confidently state that SPUT has dramatically altered the spot uranium market with far-reaching effects on much of the industry.
Maria Smirnova, Senior Portfolio Manager & Chief Investment Officer, Sprott Asset Management, is interviewed by Taylor Combaluzier, Red Cloud Financial Services, in Fireside Chat: The Silver Perspective. Maria joins Tavi Costa, Partner & Portfolio Manager, Crescat Capital LL. and Peter Krauth, Author of "The Great Silver Bull" and Editor of the Silver Stock Investor Newsletter.
July was another difficult month for most asset categories and was characterized by selling capitulation into exhaustion. Much more aggressive Fed rate hike expectations relative to other global central banks were a significant cause of U.S. dollar (USD) strength and rising real yields, which adversely affected gold. Although gold bullion lost ground, it remains relatively better off than many other assets for the year at -3.46% YTD through July 31, 2022.
Sprott ESG Gold ETF (NYSE Arca: SESG) is the world’s first ETF to exclusively source and refine gold from recognized ESG mining leaders (based on Morningstar’s universe of listed commodity funds as of June 30, 2022). SESG offers an investment that provides the benefits of physical gold ownership that aligns with your ESG goals and values: Sustainability, Provenance, Conflict Free, Lower Supply Chain Risks, Trusted Refining & Storage.
If the Fed is to abandon the practice of inflating financial assets, which would represent a secular shift in direction, substantial deflation lies ahead from which the purchasing power of gold is expected increase in real terms. If there is a return to business as usual, i.e., papering over policy mistakes, we believe that the gold price has the potential to rise to all-time highs in nominal terms.
Gold continued to perform as a safe haven store of value in what has been one of the most challenging six-month periods for markets in decades. Gold has managed to stay above the $1,800 support level despite the broader market carnage. By contrast, equities (as measured by the S&P 500 Index) recorded their worst first-half start to a year since 1970 and bonds (U.S. Treasury Index) registered their worst first six months since 1973 (based on available data).
Ted Oakley of Oxbow Advisors interviews Sprott's John Hathaway on the gold bullion and gold equities markets. Oakley and Hathaway discuss why investors should consider adding gold to their investment portfolios and explore how gold affects portfolio diversification.
May saw selling across most asset classes and scant appetite for safe haven assets such as gold. However, gold bullion has outperformed many other asset classes YTD and continues to do its job. Gold held its value with low correlation to the S&P 500 and lower volatility than other assets.
Platinum is a metal that represents power, prestige, and a sense of great accomplishment. But platinum is so much more than just a status symbol. Modern day uses of platinum include being a key element in catalytic converters for vehicles, as it converts car exhaust gasses into less harmful substances, as a catalyst in the chemical industry, and even in the creation of life-saving anti-cancer drugs.
Just as we predicted the current wave of inflation in 2020 without going far out on a limb, we are also not going out on a limb with our announcement of persistent stagflation. We will certainly not have to endure a repeat of the stagflation of the1970s; rather, we’ll see stagflation 2.0, with its numerous peculiarities.
Silver, from a pricing standpoint, is historically undervalued relative to gold and offers an attractive investment opportunity. Silver market fundamentals are strong, given that declining supply trends cannot keep up with rising, longer-term demand. Post-COVID, silver demand is rebounding, led by industrial, jewelry and physical coin and bar investment. We are excited about silver's importance to green technology and de-carbonization trends like EVs.
A new uranium bull market is underway. Uranium miners are well positioned to take share within the energy sector as energy security and decarbonization take center stage globally. A uranium supply deficit is looming on the horizon, and uranium miners are likely to be the beneficiaries of increased investment. Learn more from our webcast replay.
A new uranium bull market is underway. Energy security and decarbonization are taking center stage globally, igniting a fresh and more rational look at the benefits of nuclear power. Ed Coyne, Senior Managing Director at Sprott, joins Tim Rotolo, co-creator of the North Shore Global Uranium Mining Index (URNMX), to explain how the Index is constructed to provide exposure to the key components of the uranium mining industry.
Gold lost 2.09% in April, a month marked by across-the-board outflows in many asset classes as volatility surged. By contrast, gold held in ETFs has increased sharply this year as the safe-haven flight continues. April was tough on many investment sectors, with the S&P 500 Index down 8.80%, the Nasdaq Composite Index declining 13.37% and U.S. Treasury bonds falling 3.10%. The U.S. dollar was one of the few beneficiaries as it neared multi-year highs.
Host Ed Coyne is joined by Tim Rotolo, co-creator of the North Shore Global Uranium Mining Index (URNMX), to discuss the current dynamics of the uranium mining sector and how the Index is constructed to provide exposure to the key components of the uranium mining industry.
The price of gold has been treading water for 10 years while the investment fundamentals have improved dramatically. That is why, in our opinion, significant upside lies ahead for gold and related equities. Putin’s war introduces yet an additional reason to stoke investment demand for the yellow metal. It is not only war in the kinetic sense, but the reserve currency and cyber aspects that have far-reaching implications for gold.
Gold posted its all-time highest quarterly close on March 31, 2022, ending a volatile month that helped gold climb above $2,070 on March 8. By contrast, the U.S. Treasury Index suffered its worst quarter since 1973 and the S&P 500 Index posted its first negative quarter since Q1 2020. While gold may have climbed back to its highs on safe-haven flows, other positive gold supports are definitely in play.
Sprott Market Strategist Paul Wong joins Asset TV's Jenna Dagenhart to discuss Sprott's outlook for gold.
Paul Wong: "The Russian-Ukraine conflict is probably one of the biggest macro drivers in the marketplace. Many commodity users, transportation providers and financial facilities are heading toward self-sanction. There is almost a semi-defacto oil embargo going on right now....Before Russia-Ukraine, the gold market had started shaking off the hawkish Fed rhetoric. Russia-Ukraine has just amplified gold's value as a safe haven asset."
Throughout history, gold has played a prominent role in the advancement of human civilization. Seen as a representation of the sun, of the gods and of true value, gold is a form of real money without counterparty risks. Symbol Au, atomic number 79, gold has been used to adorn the tombs of the great pharaohs and to help power spacecrafts that extend the horizons of humanity’s domain. Learn about gold’s culture, uses and history.
The precious metals complex rebounded strongly in February as other assets faltered. Gold bullion is up 4.36% YTD through February 28, 2022, and silver bullion has increased 4.90%. Gold mining equities rallied and have gained 10.17% YTD. Investors sought safe-haven assets given the heightened concerns over the economic/market risks from rising interest rates and the escalation of the Russia-Ukraine conflict.
Nuclear energy’s profile as a highly efficient, reliable and zero-carbon producing energy source has helped to create a new bull market for physical uranium. We discuss the shifting sentiment toward nuclear power and why a growing number of investors are investing in physical uranium and uranium miners.
Stephanie Pomboy and Grant Williams, hosts of the popular podcast Super Terrific Happy Hour, interview a true legend of the precious metals industry, John Hathaway of Sprott Asset Management. The three discuss the Fed, inflation, the financial markets and the outlook for gold bullion and gold stocks.
Charlotte McLeod of Investing News Network interviews Shree Kargutkar: "I believe that we are on the cusp of a generational opportunity today. I would encourage every viewer to dust off their old notebooks and do a little research on precious metals mining companies, especially those that are well managed, with attractive balance sheets."
Gold reached a high of $1,848 in January, but slid following the Fed's exceptionally hawkish statements at the January FOMC meeting. Market risks are rising and we believe that gold, as it did in 2018, is likely to stage a breakout given its safe haven characteristics.
For 2021, the gold price averaged $1,799 compared to $1,770 for 2020, up $29, despite losing 3.64% for the twelve months. Gold traded in a narrow range for most of last year as markets were ping-ponged by inflation and rate hike expectations. Based on historic patterns, gold's lengthy consolidation indicates that prices have the potential to rally sharply and quickly in the coming year. We explain why in our List of Top 10 things to watch for gold investors.
With Fed policy taking a more hawkish turn, the fire hose of liquidity that has fueled market mania is being turned off. At this moment, it appears that confidence in the Fed and attraction to gold are binary. Our view is that a position in gold offers a very favorable asymmetric risk-reward proposition on the possibility that confidence will not survive 2022.
Research and development on small modular nuclear reactors (SMRs) are underway globally and generating tremendous buzz. But SMRs are not likely to contribute meaningful amounts of carbon-free power for another decade. By contrast, nuclear power plant life extensions and uprates hold the power to boost carbon-free electricity production in the interim and provide a bridge to a future date when new SMR technologies will be commercially available.
Insights from Sprott
- WGC - The Relevance of Gold as a Strategic Asset 2022
- WGC - Gold Outlook 2022
- WGC - Gold and Climate Change, Decarbonizing Investment Portfolios
- WGC - Gold: The Most Effective Commodity Investment
- WGC - Gold Mining’s Contribution to the UN Sustainable Development Goals 2020
- World Silver Survey 2022
- Market Trend Report: Silver and Global Connectivity - Sept. 2021
- Silver's Growing Role in the Automotive Industry - Jan. 2021
- Silver's Important Role in Solar Power - June 2020
- Silver's Role in a 5G Connected World - March 2020