Topic: How To Invest

Q: Hi Pat, what do you think of U.S. Global GO Gold and Precious Metals ETF (GOAU)? Thanks for your input.

Article Excerpt

A: The U.S. Global GO GOLD and Precious Metal Miners ETF, $13.39, symbol GOAU, on New York (Units outstanding: 250,000; Market cap: $3.3 million; www.usglobaletfs.com), aims to use a so-called “smart factor methodology” to select mining and production companies or those engaged in royalty streaming. Each company it holds must get at least 50% of its total revenue from precious metals. The ETF looks for companies with these four main factors: a proven track record of profitability even when precious-metals prices are down strong balance sheets and attractive portfolios of active mines highest revenue per employee do not rely primarily on debt to finance their business The ETF is rebalanced and reconstituted quarterly. It will typically consist of 28 precious-metals companies. U.S. Global GO GOLD came out as a new issue on June 27, 2017. Its current market cap is just $3.3 million. Its MER is 0.60%. The ETF places emphasis on high revenue per employee. But by doing that, it invests in significant number of royalty-streaming companies…