Matt Geiger: Juniors at Inflection Point, Plus "Insane" M&A and Investing Tips

Matt Geiger, managing partner at MJG Capital Fund, spoke about the health of the junior mining sector as gold continues to run, acknowledging that explorers haven't moved as much as investors might like.

However, in his view, that may bode well for their future performance.

"One could argue that the fact that we're seeing it play out in this manner could suggest that this move is going to be more long lasting and drawn out than those exciting but flash-in-the-pan rallies that we've seen in years past," he said.

"While it has been frustrating, especially on the precious metals front ... I would argue the juniors are only starting to see some love, really in the past two weeks," Geiger told the Investing News Network.

"I do think we've turned an inflection point — I would say in late September, early October."

He also shared tips on how to determine which juniors to invest in, saying that management is the main factor he evaluates, along with asset quality, company structure and funding to progress toward catalysts.

Geiger pays less attention to the commodity a company is focused on, saying it's at the bottom of his list.

"The urge is to go out and find that hot commodity ... I really do not think, unless you have exquisite market timing, that this is the way to succeed as an investor in the junior patch," he said. "The factor that I look at very last is the metal."

Watch the interview above for more from Geiger on due diligence and trends in the resource space.

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 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.