This Chart Explains Why Gold Moves the Peru ETF

 

“Similarly, a study by the World Gold Council showed that the four largest gold mines in Peru directly employed 4,500 workers in 2011 and contributed 1.4% of Peru’s GDP (in 2010). Using a multiplier of 1.9, which the authors view as conservative, the study estimates that an additional 4,050 jobs were supported indirectly by mining operations. Throughout the supply chain, these four mines were estimated to generate additional salaries of US$240 million,” according to the World Council and PwC.

Those statistics confirm the notion that EPU is a high-risk ETF at times when gold prices are faltering

iShares MSCI All Peru Capped ETF

ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of GLD and SLV.