Gold Just Hit All-Time Highs — So Why Are Miners Still Lagging?
History says they won't stay behind for long. Here's how to position now
The One Sector That’s Still Behind — But Not for Long
Gold just hit a new all-time high this morning — and if you’ve been reading our Tactical ETF updates, that won’t surprise you.
What might surprise you is this:
Mining stocks — the companies that dig gold and silver out of the ground — haven’t even started to catch up.
This is where the real opportunity lies.
In every major precious metals bull market, gold and silver miners have historically outperformed the metals themselves — sometimes by a factor of 2, 3, or even 10x. But right now, they’re still lagging the metal.
In this article, we’ll walk through:
Why gold and silver stocks tend to explode in the second phase of a bull market
Why silver’s lag isn’t a warning sign — it’s a setup
And the dead-simple way to position yourself for the upside using ETFs
If you missed the first leg of the rally, don’t worry. The next leg might belong to the miners — and this time, you’ll be ready.
Why Miners Outperform the Metals
It’s a simple truth backed by history: when gold and silver prices rise, mining stocks go vertical.
Why? Because miners are leveraged to the price of the metal.
When gold goes from $1,500 to $2,000, that’s a 33% gain. But if you're a gold mining company that suddenly makes $500 more per ounce — while your costs stay flat — your profits can easily double or triple. And share prices tend to follow profits.
In past bull markets, the best-performing mining stocks didn’t just go up 50% or 100%. They went up 200%, 300%, even 1,000%.
Even broad indices like the NYSE Arca Gold BUGS Index (HUI) and the GDX ETF — which track baskets of miners — often outperform gold itself by 2x to 3x during a strong rally.
That kind of upside is why investors who understand this space get excited when gold starts to move. And guess what? It’s already moving.
Gold Just Jumped 100% — But the Real Opportunity Might Just Be Starting
Since bottoming out in late 2023, gold is up 100%.
That’s impressive on its own. But here’s where things get interesting: gold mining stocks have also moved nearly 100% higher — but they should have done much more by now.
Historically, miners outperform the metal by 2-to-1 or more in bull markets. So if gold’s up 100%, mining stocks should already be up 150%–200%. That means one of two things is happening:
Miners are lagging the metal and due for a sharp catch-up rally.
We’re just at the beginning of a longer, more explosive cycle.
Either way, the odds are tilted in your favour. If gold holds above $3,200 — or pushes to $3,500 or higher as many analysts now expect — miners could explode to the upside.
And in case you’re wondering: we’re not just talking about junior explorers. Even the large-cap names are undervalued.
Don’t Sleep on Silver — The Real Moves Come Fast
If gold is the warm-up act, silver is the main event — and it likes to show up late.
Since the same 2023 low, silver miners have risen about 90%. That’s decent, but here’s what’s really important:
They’re still 24% below their 2020 peak, even though silver itself is climbing fast.
Historically, when silver runs, it does so harder and faster than gold.
The biggest gains in silver often happen in a matter of months, not years.
Translation? If you’re waiting for confirmation before buying silver stocks, you’ll likely miss the move. It’s like trying to jump on a train that’s already pulling out of the station.
Silver tends to outperform gold late in a bull market cycle, and when it does, the moves can be dramatic. If you want exposure, you need to be early — not late.
How to Play It: The Lazy Genius Approach to Mining Stocks
You don’t need to become a gold bug or a stock picker to ride this bull market.
In fact, the smartest — and simplest — way to play this trend is through a few well-chosen ETFs that give you instant diversification and exposure to the upside in mining stocks without the individual company risk.
Here’s your fast-start game plan:
For gold miners:
Look at GDX, the VanEck Gold Miners ETF. It holds a basket of the world’s top gold producers — companies like Newmont, Barrick, and Agnico Eagle. When gold rises, GDX typically moves faster.If you want a more focused, rules-based alternative, check out the Sprott Gold Miners ETF (SGDM). It tilts toward quality names with stronger momentum and factors in revenue growth — great for getting slightly more selective exposure.
For silver miners:
Go with SIL, the Global X Silver Miners ETF. It’s the easiest way to own a diversified set of silver producers and developers around the world — including names like Pan American Silver and Wheaton Precious Metals.
These ETFs are liquid, easy to buy through any Canadian brokerage account, and allow you to scale your exposure up or down as the bull market develops.
No need to roll the dice on tiny explorers or bet everything on one stock. With GDX, SGDM, or SIL, you get broad exposure to a high-upside sector that’s still flying under the radar.
Set it. Forget it. Let the market work for you.
PS. We have some exciting news coming next week for our subscribers. Stay tuned because if precious metals interest you you won’t want to miss this!
Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Investors should conduct their own due diligence and consult with a financial advisor before making investment decisions.