Fidelity offers additional ways to gain exposure to precious metals. Fidelity Management %26 Research invests assets primarily in companies engaged in the exploration, extraction, processing or trading of gold, or to a lesser degree, silver, platinum, diamonds or other precious metals and minerals. Both funds are treated as shares for tax purposes, making these funds more suitable for short-term players in the gold market. GDX provides exposure to companies around the world that are primarily engaged in gold mining, including large-, medium- and small-cap stocks.
For example, investors looking to gain exposure to gold may find share-based alternatives such as VenEck Gold Miners ETF (GDX) and VanEck Junior Gold Miners ETF (GDXJ). Share-based commodity funds can continue to give you exposure to commodities, whether it's gold, natural gas, oil or another substance, through the companies that produce, process and transport them. Other bullion-backed ETFs include iShares Gold Trust (IAU) and Aberdeen Standard Physical Shares (SGOL).