Finance
Investors flock to gold, gold miner ETFs in January in bid for safety
Published by Global Banking and Finance Review
Posted on February 2, 2026
2 min readLast updated: February 2, 2026
Quick Summary
In January, investors turned to gold and mining ETFs for safety amid geopolitical tensions and market volatility, with significant inflows recorded.
Investors Turn to Gold and Mining ETFs for Safety in January
Investor Trends in Gold and Mining ETFs
By Gaurav Dogra
January Inflows and Market Response
Feb 2 (Reuters) - Investors flocked to exchange-traded funds of gold, other precious metals and gold miners in January, seeking safety amid geopolitical uncertainty, expectations of further dollar weakness, and growing bets on U.S. interest rate cuts.
Analyst Predictions for Gold Prices
According to LSEG Lipper data, ETFs of gold and other precious metals received $4.39 billion in January - their eighth consecutive month of inflows.
Top Performing Gold ETFs
Gold miner ETFs received $3.62 billion worth of inflows, the highest since at least 2009.
Cumulatively, these ETFs received a record $91.86 billion worth of inflows in 2025, more than eight times the total in 2024.
However, gold prices have fallen roughly 10% in the past two days after hitting record highs last week, as CME Group raised margin requirements following a sharp metals selloff that was triggered by Kevin Warsh's nomination as the next U.S. Federal Reserve Chair.
Analysts at J.P. Morgan expect the rally to remain intact in the longer term, despite the recent volatility.
"We remain firmly bullishly convicted in gold over the medium-term on the back of a clean, structural, continued diversification trend that has further to run amid a still well-entrenched regime of real asset outperformance vs paper assets," they said in a note.
The SPDR Gold Shares ETF received inflows of $2.58 billion last month, while SPDR Gold MiniShares Trust and iShares Gold Trust ETFs attracted $1.79 billion and $696 million, respectively.
Among ETFs that invest in gold miners, investors poured $539 million into the VanEck Gold Miners ETF. The iShares S&P/TSX Global Gold Index ETF and VanEck Junior Gold Miners ETF also saw $312 million and $114 million worth of net purchases, respectively.
"Central bank and investor demand for gold is expected to grow further this year, we stay long gold and see value in a mid-single-digit allocation to the precious metal in a well-diversified portfolio," said Mark Haefele, chief investment officer at UBS Global Wealth Management.
"While we note the downside risks given the current elevated premium, the gold price could also climb higher than we forecast to USD 5,400/oz if political or financial risks increase," he said.
(Reporting by Gaurav Dogra; with additional reporting by Patturaja Murugaboopathy in Bengaluru; Editing by Janane Venkatraman)
Key Takeaways
- •Gold and mining ETFs saw significant inflows in January.
- •Investors are seeking safety amid geopolitical uncertainty.
- •Gold prices experienced recent volatility due to market changes.
- •Analysts remain bullish on gold despite short-term fluctuations.
- •Central bank demand for gold is expected to grow further.
Frequently Asked Questions about Investors flock to gold, gold miner ETFs in January in bid for safety
1What is an exchange-traded fund (ETF)?
An exchange-traded fund (ETF) is a type of investment fund that is traded on stock exchanges, similar to stocks. ETFs hold assets such as stocks, commodities, or bonds and generally operate with an arbitrage mechanism.
2What are gold miner ETFs?
Gold miner ETFs are exchange-traded funds that invest in companies involved in the mining of gold. They provide investors with exposure to the performance of gold mining companies without the need to buy physical gold.
3What is the significance of gold as an investment?
Gold is often considered a safe-haven asset, meaning it tends to retain its value or appreciate during times of economic uncertainty. Investors use gold to hedge against inflation and currency fluctuations.
4What are interest rate cuts?
Interest rate cuts are reductions in the benchmark interest rates set by central banks. Lower interest rates can stimulate economic activity by making borrowing cheaper, which can influence investment decisions.
