Current Views on Gold - as stock prices have fallen - Mar 09, 2016
First Eagle Asset Management
Description
Current Views on Gold
As of March 9, 2016
The use of hedging techniques is speculative and there can be no assurances any hedging technique will be effective. Investment in gold
and gold-related investments presents certain risks, including political and economic risks affecting the price of gold and other precious
metals, like changes in US or foreign tax, currency, or mining laws; increased environmental costs; international monetary and political
policies; economic conditions within an individual country; trade imbalances; and trade or currency restrictions between countries. The
price of gold, in turn, is likely to affect the market prices of securities of companies mining or processing gold, and accordingly, the value of
investments in such securities may also be affected. Gold-related investments as a group have not performed as well as the stock market
in general during periods when the US dollar is strong, inflation is low, and general economic conditions are stable.
In addition, returns on gold-related investments have traditionally been more volatile than investments in broader equity or debt markets. The Standard & Poor’s 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy and is not available for purchase. Although the Standard & Poor’s 500 Index focuses on the large-cap segment of the market, with approximately 80% coverage of U.S.
equities, it is also considered a proxy for the total market. The Standard & Poor’s 500 Index includes dividends reinvested. One cannot invest directly in an index. The commentary represents the opinions of Thomas Kertsos, portfolio manager of the First Eagle Gold Fund and senior research analyst, and Max Belmont, research analyst, as of March 9, 2016, and is subject to change based on market and other conditions.
The opinions expressed are not necessarily those of the entire firm. These materials are provided for informational purposes only. These opinions are not intended to be a forecast of future events, a guarantee of future results, or investment advice.
Any statistics contained herein have been obtained from sources believed to be reliable, but the accuracy of this information cannot be guaranteed. The views expressed herein may change at any time subsequent to the date of issue hereof. The information provided is not to be construed as a recommendation or an offer to buy or sell or the solicitation of an offer to buy or sell any fund or security.
Past performance does not guarantee future results. Investors should consider investment objectives, risks, charges and expenses carefully before investing. The prospectus and summary prospectus contain this and other information about the Funds and may be obtained by asking your financial adviser, visiting our website at www.feim.com or calling us at 800.334.2143. Please read our prospectus carefully before investing.
Investments are not FDIC insured or bank guaranteed, and may lose value. First Eagle Funds are offered by FEF Distributors, LLC. www.feim.com First Eagle Investment Management, LLC 1345 Avenue of the Americas, New York, NY 10105-0048 .
In addition, returns on gold-related investments have traditionally been more volatile than investments in broader equity or debt markets. The Standard & Poor’s 500 Index is a widely recognized unmanaged index including a representative sample of 500 leading companies in leading sectors of the U.S. economy and is not available for purchase. Although the Standard & Poor’s 500 Index focuses on the large-cap segment of the market, with approximately 80% coverage of U.S.
equities, it is also considered a proxy for the total market. The Standard & Poor’s 500 Index includes dividends reinvested. One cannot invest directly in an index. The commentary represents the opinions of Thomas Kertsos, portfolio manager of the First Eagle Gold Fund and senior research analyst, and Max Belmont, research analyst, as of March 9, 2016, and is subject to change based on market and other conditions.
The opinions expressed are not necessarily those of the entire firm. These materials are provided for informational purposes only. These opinions are not intended to be a forecast of future events, a guarantee of future results, or investment advice.
Any statistics contained herein have been obtained from sources believed to be reliable, but the accuracy of this information cannot be guaranteed. The views expressed herein may change at any time subsequent to the date of issue hereof. The information provided is not to be construed as a recommendation or an offer to buy or sell or the solicitation of an offer to buy or sell any fund or security.
Past performance does not guarantee future results. Investors should consider investment objectives, risks, charges and expenses carefully before investing. The prospectus and summary prospectus contain this and other information about the Funds and may be obtained by asking your financial adviser, visiting our website at www.feim.com or calling us at 800.334.2143. Please read our prospectus carefully before investing.
Investments are not FDIC insured or bank guaranteed, and may lose value. First Eagle Funds are offered by FEF Distributors, LLC. www.feim.com First Eagle Investment Management, LLC 1345 Avenue of the Americas, New York, NY 10105-0048 .
