It’s no secret that the price of gold has seen a significant rally throughout the later months of 2025. However, the question remains: will the precious metal continue its dominant performance in the new year?
To answer that question, it’s likely best to examine the conditions that are driving the performance of gold in the first place. There were a multitude of different factors at play, such as deepening geopolitical tensions, interest rate cuts, and even a weaker bitcoin price.
However, one of the key conditions paramount to gold’s 2025 rally has been the weakening outlook for the U.S. dollar. Much like the gold rally, the weaker dollar outlook is due to a plethora of different potential factors, like softer U.S. growth, concerns over macroeconomic policy, and increased hedging of U.S. assets, among others.
The future of the U.S. dollar will likely play a key role in determining how gold performs throughout 2026. Fortunately for gold investors and gold miners alike, the conditions driving a weaker dollar outlook seem pretty likely to stay in place for the foreseeable future.
This should give investors and advisors some much-needed confidence about sticking with gold for the time to come. Better yet, there’s a few different ways to play at gaining exposure to the gold rally, beyond simple exposure to physical gold.
For instance, one could look towards the Sprott Gold Miners ETF (SGDM). SGDM looks to offer distinct access to larger gold mining companies listed on either Canadian or U.S. exchanges.
Fortifying portfolio exposure to gold mining companies can make a great deal of sense for capitalizing on the gold rally. These companies can offer a differentiated way to tap into the significant opportunity in the gold space.
Alternatively, the Sprott Junior Gold Miners ETF (SGDJ) may also offer a potent use case. Unlike SGDM, SGDJ instead focuses its investment exposure towards small-cap gold mining companies.
Considering how strong gold has been performing as of late, betting on small-cap gold companies could offer a significant payoff. After all, these companies may have deep growth potential to an extent even farther than traditional large-cap gold mining stocks.
For more news, information, and analysis, visit the Gold/Silver/Critical Minerals Channel.
An investor should consider the investment objectives, risks, charges, and expenses carefully before investing. To obtain a Prospectus, which contains this and other information, contact your financial professional or call 888.622.1813. Read the Prospectus carefully before investing, which can also be found by clicking one of the links below.
Past performance is no guarantee of future results. One cannot invest directly in an index.
Funds that emphasize investments in small/mid-cap companies will generally experience greater price volatility. Diversification does not eliminate the risk of investment losses. ETFs are considered to have continuous liquidity because they allow an individual to trade throughout the day. A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses, affect the Fund’s performance.
Sprott Asset Management USA, Inc. is the Investment Adviser to the ETFs. ALPS Distributors, Inc. is the Distributor for the ETFs and is a registered broker-dealer and FINRA Member. ALPS Distributors, Inc. is not affiliated with Sprott Asset Management USA, Inc. or VettaFi.
Exchange Traded Funds (ETFs): SETM, LITP, URNM, URN, COPP, COPJ, NIKL, SGDM and SGDJ
Physical Bullion Funds: PHYS, PSLV, CEF, and SPPP.
Gold and precious metals are referred to with terms of art like store of value, safe haven and safe asset. These terms should not be construed to guarantee any form of investment safety. While “safe” assets like gold, Treasuries, money market funds and cash generally do not carry a high risk of loss relative to other asset classes, any asset may lose value, which may involve the complete loss of invested principal.
By Dan Zolet, CFA A couple of months ago, we discussed in our Strategic View…
Rammun, occupied West Bank – Fresh off the seventh forced displacement of his central West…
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure Glassnode has…
Two Red Deer, Alta., teens are facing assault charges after an attack on a 14-year-old…
Manitoba Hydro says conditions have become so poor Thursday night, they are unable to work…
Private equity is a longtime white whale for many investors and advisors. With its ability…