Gold Primer: An Introduction to Gold Investments

Gold – As an Asset Class and Strategic Focus

Gold has been recognized as a store of value and medium of exchange for centuries.  It was the world’s first truly Global Currency.  Governments cannot dilute Gold’s supply​.  It is the ultimate form of wealth preservation for individuals​.

Why Gold and Gold Equities ?

Gold equities outperform during global credit contractions:

Why Gold and Gold Equities?

The last Great Contraction:

From low to high - post contraction - Homestake Mining and Dome Mines earned 737% and 920% in capital gains respectively...not counting dividends!

From low to high - post contraction - the DJIA lost 9%

Note that the Gold Price was FIXED $35/oz for the period


WHY?  The Optimal Opportunity

Gold’s value resides in its dependable purchasing power for long periods…

Above is a chart of the relative performance of Gold against all other commodities - ​

Gold Price/CRB Index over the last 20 years


WHY?  The Optimal Opportunity:  Gold Equities

Gold Equities DO NOT currently reflect the INCREASED REAL VALUE that has accrued over that last decade and a half

Above is a chart of large cap Gold Equities…returns after post liquidation events will continue to increase in exponential manner

GDXJ / GDX / HUI – Return potential…3X…Post Credit Contraction

Based on the credit and technical set up the current opportunity is OUTSTANDING.  A 3X return over the next several years is realistic.  Better than most orthodox investments on offer right now!

HOW?  The Optimal Opportunity​

Gold’s speculative value does not reside in its nominal price but in its increasing profit margins of Gold Miners…a properly diversified Gold Sector portfolio will include:

  • Gold (Physical) ​
  • Gold ETF’s​
  • Gold Stock (Gold Miners)​
  • Gold Miner Index Futures​
  • S&P Index Hedging​
  • US Treasury Cash Management​

Agio Gold Sector Fund Current Performance (03/08/24):

The NAV changes through the end of January is approximately (1.015%).  Gross returns to the risk positions have not exceeded expenses yet.  However, the fund is methodically adding to its risk positions in the coming weeks and the outlook for intermediate term positive performance is excellent.