Gold (GCQ24) has been on a remarkable upward trajectory, reaching an all-time high of $2,481 per ounce as recently as July 17. Cash gold (GCY00) is up a healthy 15% since the beginning of the year, outpacing the S&P 500 Index’s SPX return of 13.8%. Silver (SIU24), often considered gold’s more volatile cousin, has also seen significant gains, up 21.6% in 2024.
The latest surge in gold and silver prices is mainly driven by expectations of imminent interest rate cuts by the Federal Reserve. With a 100% probability of a rate cut in September, lower interest rates are anticipated to benefit gold by reducing the opportunity cost of holding non-yielding assets.
Analysts at Citigroup have projected that gold prices could potentially surge even further, reaching $3,000 per ounce within the next six to 18 months. This optimistic outlook is supported by the increasing inflows into gold-backed ETFs, showcasing the growing investor confidence in gold as a safe-haven asset.
Exploring Precious Metals ETFs
For investors looking to capitalize on the current bullish trend in precious metals, here are three standout exchange-traded funds (ETFs) that offer unique strategies to leverage the potential upside of gold and silver in the foreseeable future.
#1. SPDR Gold Shares (GLD)
SPDR Gold Shares 
GLD is the largest and most liquid gold ETF, mirroring gold’s impressive rally in 2024. GLD aims to track gold bullion’s performance by holding physical gold in the form of London Good Delivery bars, offering investors a cost-effective way to gain exposure without the hassle of ownership.
One additional insight is that GLD’s popularity is also due to its potential as a safe-haven asset during times of economic uncertainty, adding to its appeal for investors seeking stability and diversification in their portfolios.
#2. ProShares Ultra Gold (UGL)
ProShares Ultra Gold 
UGL provides a leveraged approach to gold exposure, catering to those interested in short-term price swings. UGL’s strategy of delivering twice the daily performance of the Bloomberg Gold Subindex can offer substantial returns in bullish markets, but it also comes with higher volatility.
An additional insight could be that UGL’s performance highlights the potential risks associated with leveraged ETFs, requiring investors to carefully assess their risk tolerance before considering this option.
#3: Sprott Physical Gold and Silver Trust (CEF)
The Sprott Physical Gold and Silver Trust 
CEF provides a unique way to invest in both gold and silver, offering balanced exposure to precious metals without the need for physical ownership. CEF’s strategy of investing in unencumbered and fully allocated physical gold and silver bullion appeals to investors seeking diversification.
An additional insight could be that combining gold and silver in one investment vehicle like CEF can offer a hedge against market volatility and economic uncertainty, making it an attractive option for investors looking to protect and grow their wealth.
Final Thoughts on Precious Metals ETFs
With gold and silver prices on the rise and potential for further gains, exploring ETFs like SPDR Gold Shares GLD, ProShares Ultra Gold UGL, and Sprott Physical Gold and Silver Trust CEF can offer investors diverse opportunities to capitalize on the precious metals market.
On the date of publication, Ebube Jones did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
