Byron King On the Bull Market

Byron King of Agora Financial took some time to chat with the Investing News Network at the recent Sprott Natural Resource Symposium in Vancouver about the current bull market and how investors can succeed.
“Cost and time are your enemy as an investor,” he said. “You want cheap discovery and you want it fast and those are the kind of companies that you want to be looking for.”
Listen to the interview below, or read the full transcript, for more of what King had to say.

Interview Transcript
INN: Hi, I’m Teresa Matich with the Investing News Network and here with me today is Byron King, editor of the Rickards Gold Speculator with Agora Financial.  Byron, thank you for joining me.
BK: Hi, Teresa. It’s great to be with you. Thank you.
INN: So, how does it feel to be back in a bull market?
BK: It feels wonderful because the bear market was really long and bleary. It was four years of what I call the mining zombie apocalypse, where things deteriorated, and declined, declined and they just kept waiting for something good to happen. And it just never seem to pop-up. And even companies that were doing really great work, they would drill a wonderful hole in the ground and come up with super grades or super discoveries, they’d announce it and people would sell into that happy event and boom, the price would go down again.
So it was tough to raise money. It was tough for companies to survive. A lot of management teams went away, and it was really frustrating, certainly, from a standpoint of someone who writes a newsletter, covering the energy of the mining industry, to write the letter and steer the readers in the right direction. But it’s good to be back. It’s good to be back.
INN: Right. And earlier we talked about – congratulations to the people who’ve hung on, but what about people who are kind of new coming into the space right now?
BK: Well, yes.  I mean, if you live through the zombie apocalypse, you are a survivor and good for you. For those who were in the space and who left or perhaps who are new to the space, I mean you’ve never invested in mining before, I have some really good news for you. We are on the early days, we are on the early upswing of what’s going to be a major bull market that’s going to rise, I would say for several years.
I think there are several reasons just baked into the cake of why this should continue. Nothing goes up in a straight line continuously. We’ll have some pullbacks along the way. But for those of you who missed the last six months because you didn’t believe it, or you were busy, or you were visiting Antarctica or something, if you missed the last six months, it’s still not too late. I would caution that a lot of the companies that were selling for dirt, dirt, dirt, cheap back in January and February, they’re not so cheap anymore.  You’ve got a hundred and 200, and 300 percent increases in share price but that’s considered that some of these companies, they’ve increased 100 or 200 percent after falling 90 or 95 or 98 percent. So there’s still a lot of upside left for some of these guys to recover.
And then these companies that we’re looking at, many of them are still – are relatively new.  Some of these companies that I’m looking at are really crystalized during the bear market. They had some money, they were able to raise some money.  They scrounged it together. They were able to put together a land package, for example, and tie up a bunch of claims that people were getting rid of, or they were able to do some, just some fundamental drilling. They were able to just eek it out, squeak it out. And now they are ready to take off.  
So a lot of the names that you thought about years ago and maybe you invested in a company and you lost some money, you’re never going to touch that company again. That company might not be there anymore, or the company might be under new management or the company is completely transformed into something else. So you really have to – it’s stock picker’s market right now in terms of where the upside is, but there is upside there, I assure you.