Dividend-paying Gold Mining Funds to Purchase for Profitability

10/24/2025

The price of gold soared the previous week to close Friday, Oct. 17, at $4,267.30 per ounce for a 5.64% gain from the prior day’s finish, but just one week later, the price of gold per share slipped to $4,113.48, closing down on the day by $15.97, or 0.39%

Gold also endured its biggest one-day drop in more than 12 years on Tuesday, Oct. 21, when the precious metal fell 5.7%. But bargain hunters may see the pullback as a chance to buy with the overall trend still forecasting further gains for gold and the dividend-paying mining funds that would benefit.

Dividend-paying Gold Mining Funds to Purchase for Profitability: ‘Checkan’ in

A seasoned precious metals and rare coins leader is Rich Checkan, who I checked in with for his latest analysis of gold and silver prices. As of today, Oct. 24, Checkan said both precious metals have taken the last week’s worth of dips and likely will turn back up toward last week’s all-time highs.

“Of course, this is perfectly normal and healthy considering the unabated upward run both gold and silver have been on,” Checkan told me.

But critics of gold and silver can point to the recent retreat and raise questions, Checkan said. They are going to say both metals are in a mania, the price is out of control and to not invest at the top, he added.

“Well, they are wrong,” Checkan said.

Dividend-paying Gold Mining Funds to Purchase for Profitability: Checkan’s Check List

Here is a three-part list of signs Checkan watches to discern whether gold is topping out.

Gold Price — Conservatively, gold can reach three times the previous bull market peak before running its course, Checkan said.

“The previous peak was $1,921 per ounce,” Checkan told me. “We have our eyes on $5,700 per ounce.”

U.S. dollar — “We would expect to see a strong and strengthening dollar before we would expect to see gold’s peak,” Checkan said. “The U.S. dollar is in a clear and sustained weakening trend. It is currently firmly below $100 on the legacy U.S. Dollar Index.”

Interest Rates — “We would need to see high single-digit or low double-digit interest rates to dissuade investors from buying gold,” Checkan continued. “With a Fed funds rate of 4.25% and inflation running at 3%, a real return of 1.25% is not going to lure investors to certificates of deposit.”

The Retirement Watch investment newsletter has recommended gold miners since early this year, when they were trading at solid discounts to gold itself. Carlson recommended an income-paying exchange-traded fund (ETF), iShares MSCI Global Gold Miners (RING), in his Retirement Watch investment newsletter.

Bob Carlson heads Retirement Watch.

Since then, mining company shares have been making up lost ground. Carlson recently wrote that he expects them to reestablish their usual relationship to gold. RING more than doubled in the past 12 months.

Chart courtesy of www.stockcharts.com.

In the recently completed edition of the Retirement Watch investment newsletter, Carlson wrote that 2025 began with a strong rally, then settled into a trading range. It began to surge again in August, after Fed Chairman Jerome Powell indicated lower interest rates were imminent.

As for gold, the precious metal had positive returns for each of the last eight calendar quarters, the third-longest such streak on record, Carlson commented. The gold price more than doubled over that period, he added.

Dividend-paying Gold Mining Funds to Purchase for Profitability: IAU

Since 2017, Bob Carlson has recommended investing in gold through the exchange-traded fund (ETF) iShares Gold Trust (IAU), a fund that also offers exposure to gold miners. The fund gained 10.11% in the last four weeks, 20.60% in the latest three months, 52.66% for the year to date and 52.23% over 12 months.

Stocks of gold mining companies finally joined the gold rally after lagging for several years, Carlson counseled. Shares of gold miners usually move in the same direction as gold but by a greater percentage, he added.

Chart courtesy of www.stockcharts.com.

Much of gold’s gains since 2021 resulted from central banks, especially in Asia, switching part of their reserves from the U.S. dollar to gold. That trend is likely to continue, Carlson predicted.

Dividend-paying Gold Mining Funds to Purchase for Profitability: GOAU 

A need exists for investors to diversify with gold, Bitcoin and even other cryptocurrencies, said Michelle Connell, who heads Dallas-based Portia Capital Management. Investors should consider three additional risks when making their portfolio allocations: the devaluation of the U.S. dollar, declining domestic interest rates and record-high valuations for U.S. equities, Connell said.

Connell advised that an allocation to gold is smart. She also likes exposure to cryptocurrency for up to 5% of one’s holdings for some of her Portia Capital Management clients.

Michelle Connell heads Portia Capital Management.

Those familiar with the famous “Single Ladies” song by “Beyoncé,” the solo name moniker of popular entertainer Beyoncé Giselle Knowles-Carter, may recall the lyrics that advise commitment-shy men to “put a ring on it.” Connell similarly is advising her clients to put a RING on their portfolios to gain exposure to the gold-focused mining fund.

But there is another dividend-paying gold mining fund, US Global Gold & Precious Metal Miners’ ETF (GOAU), that Connell told me she likes even more than RING because of its slightly higher dividend yield.

GOAU pays a 1.05% dividend yield, while RING currently is paying 0.72%. The other gold mining ETFs pay even less, Connnell counseled.

Chart courtesy of www.stockcharts.com.

“Like a lot of precious metal mining stocks, GOAU is down almost 9% in the past five days,” Connell continued. “That’s close to correction territory, and it might be worthwhile to start establishing a position in precious metal mining stocks.”

Gold mining stocks not only have outperformed gold in 2025 but have jumped more than 50% so far this year, Connell said. Most of the gold mining ETFs soared more than 90% in 2025.

“With the recent pullback for both [gold and silver], it might be time to establish strategic positions,” Connell counseled. “If the 2026 forecasts for a continuing decline in the U.S. dollar and rising inflation are correct, gold will benefit, but gold mining stocks will benefit even more due to their operating leverage.”

Dividend-paying Gold Mining Funds to Purchase for Profitability: Skousen’s Strategies

Gold has turned out to be a better inflation/crisis hedge than bitcoin, wrote Mark Skousen, PhD, to subscribers of his Forecasts & Strategies investment newsletter in his recently completed November 2025 edition. As the head of the Forecasts & Strategies and the TNT Trader advisory service, Skousen tracks the markets closely and commented that gold has “outperformed Bitcoin” this year by a substantial margin. Bitcoin and other cryptocurrencies seem to move more with tech stocks than with gold, he added.

Gold just last week topped $4,300 an ounce and could rally again soon to set new record highs, Skousen opined. He recalled a promotion earlier this year for his Forecasts & Strategies newsletter in which he cited the rise in gold and silver stemming from factors such as “stubborn inflation, Trump’s tariffs, Fed interest rate cuts,” geopolitical instability amid wars, out-of-control federal deficits and debt financing.

“Last, but not least, central banks are losing faith in the dollar as the world’s currency,” Skousen wrote to his subscribers. “China and other countries are dumping Treasuries in favor of gold.”

Ben Franklin scion Mark Skousen heads Forecasts & Strategies and TNT Traderwith Paul Dykewicz.

Among his current recommendations in Forecasts & Strategies, SPDR Gold Shares (GLD) is ahead 64% year to date, and Kinross Gold (NYSE: KGC) is up 187% already this year. GLD is not exclusively a gold mining specialty fund, but one that fits that description is VanEck Vectors Gold Miners ETF (GDX).

Chart courtesy of www.stockcharts.com.

Three Gold Mining Funds to Buy as Precious Metal Price Goes Sky High: Geopolitics

President Trump has spoken recently with Russia’s President Vladimir Putin and Ukraine’s President Volodymyr Zelensky, but peace between the nations still far away. Whether the United States will give Ukraine Tomahawk missiles to reach long-range targets remains uncertain, but it would help Ukraine apply extra pressure on Russia’s leaders to stop the war.

Zelensky’s stance is that such missiles might bring Russia to the negotiating table. But Putin has been unwilling to end the war he started nearly four years ago, despite a heavy loss of soldiers and rising resistance in Russia for sacrificing more of its citizens in a persistent land grab of sovereign territory from its neighboring nation.

Central banks worldwide have been buying gold for more than a decade, especially during the past three years. The result is that the precious yellow metal has surpassed the euro as the world’s second-largest reserve asset this year, trailing only the U.S. dollar.

The central banks bought 415 tons of gold in the first half, reported the World Gold Council. Many gold market observers expect continued central-bank purchases in 2026. Those purchases would further support or lift gold prices.

Source: World Gold Council

“I’ve told investors all year that gold belongs in portfolios, but in moderation,” said Dean Lyulkin, CEO of Cardiff, where he directs its strategy, financial performance and investor relations.

A gold allocation of 5-10% of one’s portfolio is the maximum that Lyulkin said he would suggest for investors. He describes owning gold as “insurance,” not alpha.