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The summer doldrums are in full swing, but plenty of experts at the recent Sprott Natural Resource Symposium see reasons to be optimistic.
The summer is often a slow time in the resource space, and this year has been no different.
As of the end of July, the gold price was down about 5 percent year-to-date, and off more than $100 from its highest point so far in 2018. Other metals have suffered similar fates.
Nevertheless, some experts see the bright side of the situation — at the recent Sprott Natural Resource Symposium in Vancouver, many explained how they are taking advantage of the current market. Scroll on to see INN’s videos from the show. And let us know in the comments which one you like the best!
Rick Rule: 2 Overlooked “When” Sectors for Savvy Investors
Veteran investor Rick Rule, who is CEO of Sprott US Holdings, had plenty of insight to share with investors at the symposium. Notably, he discussed two sectors he believes are flying under the radar — watch the video above to learn what they are.
Brent Cook: Exploration Financings, Facts and Stock Pick
Brent Cook, co-editor of Exploration Insights, touched on a number of topics, emphasizing that some companies are moving forward even though the resource sector is going through a slow period right now. “There is money coming in,” he said adding, “[but] it’s interesting — it’s very, very selective.”
John Kaiser: How to Invest in a Bear Market and Top Stocks
John Kaiser of Kaiser Research believes we’re back in a bear market, and at the conference he explained what investors should do in these circumstances. “I’m particularly keen about discovery exploration companies, valuations are extremely low in terms of their potential,” he said. He also shared three stock picks to consider for the rest of the year.
Brien Lundin: Use Cash and Courage to Play the Market Right Now
Gold Newsletter Editor Brien Lundin also had advice for investors on how to play the market right now. Above all, he said those who are able to do to should take advantage of the current situation.
“if you have the cash and the courage to take advantage of these down markets, you have the potential to have really good gains over the next three to six months if you can buy these lows,” he said.
Lobo Tiggre: The Next Bull Market Will be One for the Record Books
Lobo Tiggre, CEO of Independent Speculator, offered a more long-term view of the sector, commenting that while it may be tough right now better times are on the horizon. “I do think that we are in the next major bull market cycle, and I do think that it’s still very much at the bottom or still starting,” he said.
Jayant Bhandari: China, Metal Prices and Investor Mistakes
Financial analyst Jayant Bhandari shared his thoughts on a few topics, with one of them being mistakes resource investors have made. In his opinion, a key issue in the market is that “we have invested in uneconomic projects or sub-economic projects.” Watch the video above to hear him explain this idea.
Adrian Day: “In a Weak Market You Have to Be More Selective”
Adrian Day of Adrian Day Asset Management said that for him 2018 has been surprising in terms of the low gold price and the “lackluster, very lackluster, performance of gold-mining shares.” However, he still thinks investors can make money, and gave some ideas on how they can do so.
Brian Leni: 3 Tips for Playing the Resource Space
What should investors do as they wait for the market to pick up? Brian Leni, founder of Junior Stock Review, also had some advice for investors. “I would just say buy quality, do your due diligence and be patient,” he said.
James Kwantes: 2 Under-the-Radar Opportunities
James Kwantes, editor and publisher of Resource Opportunities, is always on the hunt for overlooked investing ideas, and at the symposium he mentioned two sectors where he sees upcoming opportunity.
Ross Beaty: Preparing Equinox Gold for Next Run
Mining legend Ross Beaty discussed the future of Equinox Gold (TSXV:EQX), which he hopes will be ready for the next gold run. “When [gold] has its next run I want to be ready with Equinox Gold with a fabulous asset base that gives investors great leverage to a higher price,” he said.
Mickey Fulp: Peak Gold? That’s Ridiculous
Peak gold was the topic of one panel that Mercenary Geologist Mickey Fulp participated in at the symposium, and he went back to that concept in his interview with INN.
In his opinion, people have misunderstood recent peak gold comments from Goldcorp’s (TSX:G,NYSE:GG) Ian Telfer — watch the interview above to see why.
Andy Schectman: Why Consider Bullion in Times of Market Uncertainty
Andy Shectman, president of Miles Franklin, discussed the physical side of gold investing at the symposium, noting that investors should “accumulate precious metals as often as [they] can.” He added, “and if it’s subsidized and inexpensive, it makes it that much more attractive.”
Why Sandstorm Gold Royalties CEO is Bullish on Gold Prices
Despite global headlines, Nolan Watson, CEO of Sandstorm Gold (TSX:SSL), remains bullish on gold. Why? He pointed out that the current trade war and the recent hike in exchange rates will be temporary, noting, “I don’t think either of them are sustainable for more than a year or two. And I think the price of gold’s going to shine a couple of years from now.”
Jeff Swinoga of First Mining Gold: Gold Supply Deficit on the Horizon
Jeff Swinoga, CEO of First Mining Gold (TSX:FF), also touched on the topic of peak gold, saying that while he doesn’t think we’re there yet, it’s coming. “I certainly see it on the horizon … if we don’t find any more major gold deposits then we are going to get a supply deficit,” he said.
Randy Smallwood: “Silver Has Incredible Fundamentals”
Although gold was a hot topic at the symposium, there were some noteworthy comments about silver as well. Speaking to INN, Randy Smallwood, president and CEO of Wheaton Precious Metals (TSX:WPM,NYSE:WPM), spoke about some of the white metal’s positive characteristics, saying that it has “incredible fundamentals.”
Michael DiRienzo of the Silver Institute on Silver’s Performance
Also speaking about silver was the Silver Institute’s Michael DiRienzo, who gave an overview of current market dynamics for the precious metal.
Overall, he said that silver has underperformed his expectations this year, but commented, “the good news about that, if there is any, is that there’s a lot of room for improvement.”
Trevor Raymond of WPIC: Understanding Platinum Fundamentals
Finally, Trevor Raymond, director of research at the World Platinum Investment Council, noted that while platinum prices are down about 11 percent year-to-date, the fundamentals remain solid. “The opportunity is to see the fundamentals being recognized again,” he explained.
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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