GOAU- Better Perform than GDX- Why?
One word- Diversification or weighting of stocks.
This post puts it very well my sentiment why GOAU has performed well compare to GDX/GDXJ.
” Unlike the GDX and GDXJ, GOAU is a dynamic, rules-based gold ETF. As of my writing this, the ETF is concentrated in fewer than 30 names, all of them high-quality with strong balance sheets, and it’s rebalanced and reconstituted every quarter.”
Can you imagine if DOW Industrial average was never rebalanced since 1980 stocks? Where would be DOW- close to 0.