Trade Tracker: Bill Baruch sells the CEF Gold & Silver Trust and buys the Ounz Merk Gold ETF
Speakers
Bill Baruch
— Investment Committee Member
Summary
Bill Baruch joins CNBC's Halftime Report to discuss precious metals after silver topped $100 for the first time and gold hit a record high. He says he is not calling a top, with $5,000 gold and $130 silver potentially just middle innings. In wealth portfolios, he is selling CEF because its silver weighting has climbed to 45%, and swapping into OUNZ for straight gold exposure, favoring gold over silver and reducing silver risk.
- Silver topped $100 for the first time and gold hit a record high.
- Bill Baruch says precious metals may still be in the middle innings.
- He sees $5,000 gold and $130 silver as possible levels.
- He is selling CEF because its silver allocation has risen to 45%.
- The gold/silver ratio is at support, suggesting gold can outperform silver.
- He is buying OUNZ for pure gold exposure.
- The move monetizes CEF and reduces silver risk in wealth portfolios.
Ideas
Precious metals bull still middle innings
Baruch is not calling a top in precious metals. He says he has waited 10-15 years for this move and wrote earlier this year that $5,000 gold and $130 silver could merely be the middle innings, implying both metals can continue substantially higher.
Sell silver-heavy CEF, buy pure gold OUNZ
Baruch is selling CEF because silver now makes up 45% of the Sprott Physical Gold and Silver Trust, up from 20% three or four years ago and 30% at end-2024; the gold/silver ratio has fallen to support, implying gold can outperform silver; and CEF has outperformed gold. He wants to monetize that and swap into OUNZ for pure gold exposure, taking silver risk off in wealth portfolios.
Sell silver-heavy CEF, buy pure gold OUNZ
Baruch is selling CEF because silver now makes up 45% of the Sprott Physical Gold and Silver Trust, up from 20% three or four years ago and 30% at end-2024; the gold/silver ratio has fallen to support, implying gold can outperform silver; and CEF has outperformed gold. He wants to monetize that and swap into OUNZ for pure gold exposure, taking silver risk off in wealth portfolios.
