Gold and mining outshine sectors

• Story by: Daniel McAllister
• Magazine: InvestmentAdviser
• Published Monday , June 15, 2009

Gold and mining beat 16 global fund sectors monitored by ratings agency S&P Fund Services.

Gold and mining funds produced 11.1 per cent return on the median fund during the first quarter of this year, according to S&P Fund Services.

Alison Cratchley, S&P Fund Services lead analyst, said: “Gold was boosted by its status as a safe haven and as a hedge against the inflation thought likely to result from central banks’ quantitative easing measures."

The only other sector to record a positive return was global technology (1.2 per cent), seen as benefiting from strong balance sheets and attractive valuations.

The worst performer was global property, down 20.4 per cent, and finance, slipping 19.8 per cent.