Core Viewpoint - Gold stocks are currently undervalued compared to gold prices, as evidenced by historical performance and recent market trends [1][2]. Group 1: Historical Performance - Over the past decade, the performance of gold stock ETFs has closely tracked international gold prices. However, since the significant rise in gold prices in 2024, gold stocks have lagged behind [1]. - There have been notable divergences between gold prices and gold stock indices at the end of 2023 and in May 2024, indicating that gold stocks are undervalued relative to gold [1]. Group 2: Valuation Metrics - The PE ratio of gold stock ETFs remains below 20, with a historical valuation percentile of only 33%, suggesting that even with price increases, the stocks are not overvalued [2]. - In contrast, the chip industry shows a synchronized movement between stock prices and valuations, indicating that its price increases are driven more by market sentiment than by earnings growth [4]. Group 3: Earnings Growth - The top holdings in gold stock ETFs show impressive earnings growth projections for 2025, with companies like Zijin Mining expected to see a 54% increase in net profit, and Shandong Gold projected to grow by 103% [7]. - The overall earnings growth of gold stocks is robust, further supporting the argument for their undervaluation [7]. Group 4: Market Outlook - The expectation of a potential interest rate cut by the Federal Reserve could stimulate a new bullish cycle for gold, which would likely benefit gold stocks as well [9]. - Even if gold prices remain stagnant, the combination of earnings growth and valuation recovery could allow gold stocks to outperform gold itself [9].

Core Viewpoint - The article discusses how to select index funds for investment, particularly in the semiconductor industry, emphasizing the importance of understanding the entire industry chain and the available index products. Group 1: Industry Overview - The semiconductor industry can be divided into three segments: upstream, midstream, and downstream, which are essential for understanding investment opportunities [1]. - Knowledge of the industry chain is crucial for making informed investment decisions [1]. Group 2: Index Selection Process - Investors can search for relevant index products using keywords related to the semiconductor industry in trading software, which will yield options like chip ETFs and semiconductor ETFs [2]. - There are three main index providers in China: China Securities Index Company, Shenzhen Securities Information Company, and Huazheng Index Company, commonly referred to as "CSI," "SZ," and "HZ" [3]. - To find specific indices, investors can visit the official websites of these index providers and utilize their index browsing tools [4][5]. Group 3: Practical Steps - For example, on the China Securities Index Company website, users can navigate to "Products and Services" and then to "Index System and Services" to access the index browser for searching [5][6]. - By entering keywords like "chip," investors can find related indices, with the example showing five relevant indices available for further exploration [7].