Concentrated top ten holdings
The First Eagle Gold Fund Class A’s (SGGDX) portfolio mainly consists of stocks from the precious metals and mining sector. As of November 30, 2015, SGGDX was managing total net assets of $729 million.
The top ten holdings of SGGDX represent almost half of its total net assets. A total sectoral breakdown of the SGGDX is given in the chart above.
70% of SGGDX’s total holdings as of November 30, 2015, were made up of stocks that are engaged in the mining, processing, or distribution of gold. This also includes derivative positions held by the fund in such companies. The fund also directly invests in physical gold and silver markets, which amount to ~20% of its holdings. The top holdings of the fund include stocks such as Thor Industries (THO), Royal Gold (RGLD), Newmont Mining (NEM), New Gold (NGD), and Magnetek (MAG). The majority of the stocks in SGGDX’s portfolio are from Canada and the United States.
Geographical portfolio allocation
As of November 30, 2015, one-half of the equity holdings of SGGDX were invested in companies based in Canada and the United States. SGGDX also invests in Mexico, West and South Africa, and Australia. The fund also holds international currency bonds, which comprise 3.2% of its total net assets. In the next part of this series, we’ll analyze the effect of adding SGGDX to your portfolio.