Large-cap miners, such as those found in GDX and the iShares MSCI Global Gold Miners ETF (NYSEArca: RING), are expected to generate free cash flow for the first time in three years, Bloomberg reported. “he nine largest producers by sales may generate $2.31 billion of free cash flow this year and $4.97 billion in 2015, compared with negative $5.16 billion last year and minus $4.51 billion in 2012,” according to the news agency.
GDX has not outperformed GLD on an annual basis since 2010. That was also the last time SIL outpaced SLV. Although GDX has easily outperformed GLD, the latter has raked in $816 in new assets this year, more than double the capital allocated to its mining rival.
Market Vectors Gold Mining ETF
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of GLD and SLV.