Kruger Rand (Gold)
TL:DR – This is wild. The STXRES ETF is 71.95% this year and T&Cs aside it could go higher and pay lots of dividends.
Wayne McCurrie always commented that beaten down miners eventually rally and when they do, boy they do it hard. I was reminded of this when checking in on the returns so far this year, the Resi10 index is up over 70% excluding dividends since the beginning of 2025. That’s just an astounding number and well ahead of the other local indices.
Main JSE Indices YTD | Close 13 August 2025
Back in March I wrote about a podcast with Nerina Visser from ETFSA and Siya Nomoyi from Satrix on the Satrix Resi ETF (JSE code: STXRES* more details on the ETF here). The main point was that the ETF was 50% gold miners.
Back then it was having a good year but liberation day tariffs sent the yellow metal to the next level and it has now settled in the $3,200-3,400 range and the the miners have moved even higher as they print cash.
Gold miners; Anglogold Ashanti*, Goldfields and Harmony are now ±55% of the ETF and all three trade at or just off all-time highs.
Adding to the party are now also the PGM miners as the white metals also rallied from the middle of the year and PGM miners are ±25% of the ETF.
So yes a +70% return in a little over seven months so far this year.
But where next for this golden ETF?
Gold is settled in its range and I don’t see what kicks it to the next level which would be a breach of $3,500. But right now gold miners print cash. At the end of last year the average selling price gold miners got for their metal was ±$2,200. It’s now ±$3,200. So they have an extra $1,000 profit per ounce. Now sure costs are rising but I expect to see massive dividends coming from them.
PGM miners also hold promise, especially if the break higher from both palladium and platinum holds and ideally extends even further.
Interesting fact from the chart below, platinum has outperformed gold this year.
PGMs & Gold YTD | 13 August 2025
Again, as Wayne McCurrie would remind us, when commodities run they really run. If PGMs continue higher things could still get wilder. And if gold breaks higher.
The trick with this ETF is to buy when everything is bleak and then hold on. I’ve been buying in my tax-free the last few years and now it is delivering.
Dividends will increase and that yield certainly counts. The current dividend yield of ±1.4% is at the low end of the almost twenty year range with 7% at the top end of the range.
So much more dividends and with PGM potentially another driver for another leg higher.
STXRES dividend yield
The risks?
The risks are all about the commodity prices, especially gold. A move lower by the commodities would see the miners moving lower and hence the ETF.
What about Sasol?
Yes Sasol is in the index but it is the tenth stock at around 3% with Anglo American and BHP Group* also contributing and they also have upside potential, especially if BHP Group makes another bid for Anglo American.
I a remain a very happy holder of this ETF and am not selling. Rather I look forward to the dividends flowing into my tax-free account with a possible next leg higher.
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