Readers of the Digest are well aware of the high regard we have for the editorial team at KCI Communications; they rank among the very best in the business. Here, Neil George offers a favorite silver play, Ivan Martchev selects a top gold fund, and Elliott Gue offers a trio of gold stocks. Here are their favorite metal plays. (For more information on each advisor, simply click on their photos.)
"Among mutual funds, here’s
a gem that stands out - American Century Global Gold Fund (BGEIX)," says
Ivan
Martchev. " We’ve made a lot of money
with this fund, which is more leveraged to smaller metals producers. The fund is
up 40%, 33%, and 13% during the past one-, three-, and five-year periods,
respectively. Buying the violent gold corrections has been the best strategy.
But since you have no guarantee how soon a correction will come and how shallow
it will be, you can start slowly building a position now in BGEIX and buy more
on any dips."
"Some stocks that have
been on a watch list are now buys for our growth portfolio; at the top of the list is
Apex Silver Mines (APX NYSE),"
says Neil George.
" I’m no gold bug, but I do
understand reasons to buy resource companies now and again. With financial markets from
the general stock market to T-bonds and even the dollar in unnerving flux, some
of the metals markets have fared well. It’s not a straight line to riches but
with Apex you have a collection of property reserves that are used as a leverage
proxy for silver and other metals. Buy up to 18."
"We have been bullish on gold for some time, and the
conviction here remains that the 20-year bear market in gold is over, and a
secular new bull market has commenced," says
Elliott Gue.
"
Currently,
gold is trading at a seven-year high. The upside of this new bull market will
eventually surprise the markets. Our portfolio has a good exposure to unhedged
gold and silver stocks – Newmont Mining (NEM NYSE), Harmony Gold (HMY NYSE), and Buenaventura (BVN NYSE). We’re prepared to let these holdings run for
a long time."
