VIDEO - Investors Need to Stop Being Passive, Says this Expert

Resource Investing News
Resource Investing

SuperChargedStocks founder Andrew O’Donnell says investors need to “take some ownership” of their portfolios.


SuperChargedStocks founder Andrew O’Donnell believes it’s the right time to get into the resource space, and in his opinion those interested in doing so should take an active approach.

“My biggest concern, or the thing I want to bring to people’s attention, is: stop being passive,” he said at the sidelines of the recent International Mining Investment Conference.

“We’ve got so much money that is involved in passive markets … but I think we’ve gone past the point where you want to give away all responsibility for your financial wellbeing.”

O’Donnell launched SuperChargedStocks after being involved in the financial services sector for about two decades, and he’s eager to bring others into mining. “I want to bring a broad … approach, get people interested and then focus them down into the companies that I’m really excited about,” he explained.

In terms of what commodities he’s interested in, O’Donnell pointed to the basics — gold, silver and copper — but also mentioned more niche commodities like vanadium. “What I love about the sector is that you can go and branch out into really interesting metals,” he said.

Watch the interview above for more insight from O’Donnell. You can also read the transcript below.

INN: I’m Charlotte McLeod with the Investing News Network, and here with me today is Andrew O’Donell, founder of SuperChargedStocks. Thank you so much for joining me today.

AO’D: Thanks so much, I’m really excited to be here. This is my first show for this month. I went to the earlier one at the end of January, so I’m really excited. I’m new into the space, I guess in a way, but really not new into the sector at all … I’ve been in financial services for about 20 years.

INN: It’s our first time talking. Maybe [you could tell me] a little bit more about your background.

AO’D: Sure. So I started out — I’ve worked for some big companies. Standard Life, Merrill Lynch, Royal Bank (TSX:RBC,NYSE:RBC). Everything from a broker to a managing director of an offshore captive insurance company. Lots of interesting projects, lots of interesting things. I’m really interested in working with brokers and whatnot. That led me to gold, essentially.

My background has always been a family that’s really rich in depth with financial services. I went to a private school, we were kind of forced to go that route … we were encouraged. So lots of background in it, lots of interest in it. And I really saw that there’s potential — not only because we’re in Vancouver, but the timing of the cycle — that right now is a great time to look into the sector.

INN: Right. So you’re just launching your business right now, SuperChargedStocks. And it’s — you see good times coming for the resource space?

AO’D: Absolutely. I’ve been writing … a private newsletter for families and people [who I’ve advised in the past]. I decided to take that more public and … a lot of that information [I’ve] put out there right now for free. We’re in a bit of a shift, so SuperCharged will be out in about two weeks. I’ve done it under the heading right now of In Ahead of the Curve, but that will switch.

I really went all in saying that this sector is where my heart is, because I’ve looked at it in a different kind of way than a lot of people might. My goal at the top level is just to get people interested. People might put me into trouble here and say, “I want people to get away from weed stocks and from FANG stocks,” and say listen, “let’s look at something real right now. Let’s look at something in the ground that’s real. Not only in the ground, but also that’s creating the future.” Whether we’re talking about nanotechnology, quantum computers, sunglasses, that all involves money. I want to bring a broad … approach, get people interested and then focus them down into the companies that I’m really excited about.

INN: Can you tell me what commodities you’re going to be looking at?

AO’D: I love just the basic, you know — you’re looking at gold, silver, copper. I’ve got a big, big excitement about that. Not only because of the … One Belt One Road initiative in China, but the demand for resources is huge, and if the US, which it needs to do, really focuses on infrastructure, there’s going to be massive demand. That’s on top of — some interesting ones, too. I just did an article on vanadium, which was posted on a couple different sources, and that is really exciting.

That’s what I love about the sector is that you can go and branch out into really interesting metals that are being used — that not only did I not know about, but other people didn’t know about. And they’re doing incredible things with a lot of this and it drives stories pretty quickly.

INN: When you’re looking at stocks how do you choose good ones? What’s your criteria? 

AO’D: I actually posted my very basic model online. And it is very basic. I’m looking at one — I’m looking at a lot of geopolitical macro events. Right now I know there’s a flight of capital from a lot of different places, for obvious reasons. There’s a real desire to move money back into specifically North America and to safe locations and jurisdictions. We’re seeing it in the news every day, whether it’s in South America or Africa. Lots of issues. Even if you find something, it’s a double-edged sword almost. So really focusing on a macro level. Second, taking a look at the team. Who’s involved? And that’s a kind of obvious one across the board. Who’s involved and who’s also buying shares in it as well?

So those two factors right off the bat are the key things, but overall at the end of the day is what are the rocks talking about? So what’s the story? What’s the real story here? Is there any hard data? Is it just an exploration company with possibilities? Is it a whole regional play? That’s going to be the real core of it … do you have real data here? If you do, and you have the other parts of the story, then we can make a great story about this. Otherwise, not really that interested. So those three things are the main criteria on top of all sorts of interesting things I like to do on my own as well.

INN: So that’s the basics of you and your philosophy for investing. Do you have any final words of advice for investors in 2018?

AO’D: My biggest concern, or the thing I want to bring people’s attention, is: stop being passive. We’ve got so much money that is involved in passive markets, which are great for the most part — for a lot of investors you should have that. But I think we’ve gone past the point where you want to give away all responsibility for your own financial wellbeing. And there are lots of opportunities out there in the resource sector where a little bit of money in this sector moves the market quite a long way. And we are Canada, we’re a resource country. So my goal is to really encourage people — take back a little responsibility and a little ownership of your own portfolio. Take a look at some new, exciting opportunities out there with part of your portfolio, and let’s look and see what we will do in the future.

Don’t forget to follow us @INN_Resource for real-time updates!

Securities Disclosure: I, Charlotte McLeod hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in contributed article. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.

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