Speaking at the Vancouver Resource Investment Conference (VRIC), Benj Gallander, founder and president of Contra the Heard Investment Letter, said that while times are good now, he is wary of making moves because of his investment style as a contrarian.
Gallander said that so far in 2019 he hasn’t bought into any stocks. “That says something not so much about the companies and the sector, but where we feel we are in the cycle.”
He said that given that we are currently on a record bull run, that means that “it’s much closer to the end than the beginning,” and he is positioning himself accordingly.
When asked about sentiment at VRIC, he said that it was looking on the up.
“If you look at the show and compare it to the past few years, it’s a good clue. The show is much bigger, there’s more companies here and a lot more people here … commodities have been moving up (and) people are excited,” he explained.
Gallander highlighted Canadian company Alacer Gold (TSX:ASR) and its Turkish Çöpler gold mine as one of his best-performing stock picks over the last few years. The company also made its way onto the Investing News Network’s (INN) list of top TSX stocks at the end of last year.
“It’s in a place which (is) geopolitically risky because Turkey is, although it’s away from a lot of the dangers of that economy,” said Gallander.
Alacer was trading down at C$2.20 at the beginning of 2018 — when Gallander last recommended Alacer in an INN interview — and as of late January 2020 it was trading at C$6.35.
“I think it has a fair bit to go,” Gallander said, citing reasons including Çöpler’s 20 year mine life and its production, which is set to increase.
Finally, when asked how the US election may impact his investment style, Gallander took the opportunity to offer his thoughts on US President Donald Trump.
“He’s a wildcard (and) I like more consistency. I like having a better understanding of the motor that’s pushing the economy in many ways.”
Watch the full interview above for more of Gallander’s thoughts on investor sentiment, how he’s investing and the US election cycle. Click here to see our full VRIC playlist on YouTube.
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Securities Disclosure: I, Scott Tibballs, 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 the interviews it conducts. 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.
