You've probably seen the headlines or heard the nervous chatter at dinner parties. Inflation is biting. The dollar feels shaky. People are looking for a lifeboat, and gold is usually the first thing they grab for. But here’s the kicker: most people don't actually know how to buy it. They think they need a literal vault in their basement filled with heavy bars like a 1960s heist movie.
Enter Franklin Gold and Precious Metals.
Usually, when people search for this, they're looking for one of two very different things. They are either looking for the massive mutual fund managed by Franklin Templeton (the one with the ticker FKRCX), or they’re looking for a retail dealer to help them start a Gold IRA. Honestly, getting these two mixed up is the easiest way to mess up your portfolio.
The Reality of the Franklin Gold and Precious Metals Fund
If you’re looking at the Franklin Gold and Precious Metals Fund, you aren't buying physical gold. You're buying stocks. Basically, you're betting on the companies that dig the stuff out of the ground.
Steve Land has been running this fund since April 1999. Think about that for a second. That’s over 25 years of institutional memory. He’s seen the 2008 crash, the COVID-19 spike, and the weirdness of the mid-2020s. The fund primarily targets companies like Barrick Gold Corp, Newmont, and Agnico Eagle Mines.
Why does this matter? Because mining stocks don't always move the same way as gold bars.
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Sometimes the price of gold goes up, but a mining company has a massive labor strike or a cave-in. Their stock drops even while gold is soaring. On the flip side, miners have "leverage." If it costs a company $1,500 to get an ounce of gold out of the ground and gold is $2,000, they make $500. If gold goes up to $2,500—a 25% increase—their profit doubles to $1,000.
That’s a 100% gain in profit for a 25% gain in the metal. That is the "engine" behind the Franklin Gold and Precious Metals strategy.
By the Numbers: Performance and Risk
Don't let the shiny name fool you. This fund is volatile.
- Standard Deviation: Over the last few years, the standard deviation has hovered around 32-35%.
- Beta: Its 5-year beta is roughly 1.05. It’s jumpy.
- Expense Ratio: For the Class A shares (FKRCX), you’re looking at about 0.87% to 0.91%.
It’s actually cheaper than many of its peers, where the category average often sits above 1.10%. But there is a "front-end load" of up to 5.50%. That’s a big chunk of change gone before you even start.
The "Other" Franklin: Dealers and IRAs
Now, let's talk about the retail side. Some people aren't looking for a mutual fund; they want a Gold IRA. There are companies out there—like Franklin Metals Group in Woodland Hills or Miles Franklin—that handle physical bullion.
They do the heavy lifting. They find the custodian. They pick the depository (the place that actually stores the gold).
If you go this route, you’re looking for physical silver, gold, platinum, or palladium. You're not buying "paper" gold. You're buying a piece of a vault. The Better Business Bureau (BBB) is your best friend here. For instance, Franklin Metals Group is an A-rated business, but they're relatively new, having started up in late 2023.
Contrast that with a name like Miles Franklin, which has decades of reputation. It’s a different world.
Why This Sector Still Matters in 2026
The world hasn't gotten any simpler since 2024. Central banks are still hoarding gold at record rates. Why? Because they don't trust each other's currencies.
When you look at the Franklin Gold and Precious Metals Fund holdings, you see a global spread. We're talking about assets in Canada, Australia, and South Africa. This isn't just a U.S. play. It’s a hedge against the entire global financial system.
Honestly, the biggest mistake people make is "chasing the pump." They see gold hitting $2,700 or $3,000 and they panic-buy.
Expert investors like Steve Land often look for the "under-loved" miners. Companies with low debt and high-grade ore. In 2025, the fund saw some incredible spikes—trailing returns for one year reached over 180% in some share classes during the peak of the precious metals bull run.
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But remember: what goes up fast can come down even faster.
Common Misconceptions
- "It’s a safe haven." Gold is. Mining stocks? Not always. They are companies with CEOs, boards, and environmental regulations.
- "I'll get a dividend." Most of these funds have a tiny dividend yield. FKRCX is around 0.46%. You're here for capital appreciation, not a monthly check.
- "It’s just gold." Nope. The fund holds silver, copper, and even some cash (usually around 2%).
How to Actually Get Started
If you’ve decided you need exposure to Franklin Gold and Precious Metals, you have to pick your lane.
Option A: The Mutual Fund (FKRCX/FGADX)
This is for your brokerage account or a standard 401k/IRA where you want professional management. You can buy this through Fidelity, Schwab, or directly through Franklin Templeton. Minimums are usually $1,000, though some platforms waive this or lower it for IRAs.
Option B: Physical Metal (Gold IRA)
This is for the "prepper" in your soul. You want to know the gold exists in a vault in Delaware or Texas. You’ll need a self-directed IRA. Expect to pay storage fees (usually $100-$200 a year) and insurance.
Actionable Steps for Your Portfolio
Stop thinking about gold as a way to "get rich." Think of it as insurance.
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- Audit your exposure: Look at your current portfolio. If you own an S&P 500 index fund, you already own some mining exposure, but it's tiny.
- Check the Load: If you buy FKRCX, check if your broker offers it "load-waived." Paying 5.5% upfront is a high hurdle to clear.
- Diversify the Metal: Don't just buy gold. Silver has more industrial use and often moves with more "alpha" when the market turns hot.
- Watch the Dollar (DXY): Generally, when the dollar is weak, Franklin Gold and Precious Metals thrives. If the dollar is screaming higher, gold is going to have a hard time.
The most important thing? Don't put your whole life savings here. Most experts suggest 5% to 10% for precious metals. Anything more, and you're not hedging—you're gambling.
Start by reviewing your "Basic Materials" sector allocation in your current brokerage. If it's near zero, a small entry into a fund like Franklin's can provide that "zig" when the rest of the market "zags."
Understand your risk tolerance before you buy. Mining stocks are a wild ride, and you need a stomach for 20% swings if you want to play in this space.
Check your brokerage’s fee schedule today to see if they offer the Franklin Gold and Precious Metals Fund without a transaction fee. Many major platforms like Fidelity have started offering these as "No Transaction Fee" funds, which saves you money on day one.