But seriously, these Portfolio returns serve up the same question I've asked before: Is it even possible to invest in
junior resource stocks in any kind of successful analytic fashion?
After watching several junior
resource stocks in his portfolio crash, he's ready to switch to a mostly indexed portfolio of ETFs.
When it does, prices
of resource stocks are likely to move substantially higher than they are today.
However, you'll want to spread your Resource holdings out among oil and gas, metals and other
Resource stocks for diversification and exposure to a number of areas.
There is value to be found outside
resource stocks with housing - exposed and finance companies looking cheap.
It now carries a a heavy weight on its shoulders — the hopes & dreams of investors who've lost buckets on
other resource stocks!
The same thing happened when many investors bought low -
quality resource stocks in 2007 and 2008, and it has happened in the past in penny stock bubbles.
About the only exception I'd make is for a large cap / blue chip
resource stock which is self - funding, with a long / consistent history and a dividend policy.
Frankly, the idea of fund managers investing in
resource stocks simply based on the fact they're located in emerging / frontier markets is a little silly.
The overall performance of small cap companies over the past 20 years has hardly shot the lights out, but with
less resource stocks in the mix, analysts say the future looks brighter.
As a general rule,
Resource stocks provide the most effective hedge against inflation because they gain directly from the rising prices of the commodities they produce.
On a regular / bad day, I'd probably assign a zero value to prospective resources — which turns out to be true far too often, especially with
junior resource stocks.
Adding high -
quality resource stocks to your portfolio can provide you with a valuable hedge against inflation and provide other hidden benefits.
For the rest of the year, we are maintaining our ecological deficit by drawing down
local resource stocks and accumulating carbon dioxide in the atmosphere.
Resource stocks in particular will provide a hedge against inflation, because they gain directly from rising prices for the commodities they produce.
That is, they can bet that what went up in 2016 will come down — such
as resource stocks — or position for the trends that were set in motion last year to continue.
While my few bullish calls on juniors are obviously a drag, the vast majority of
resource stock shorts pay off in spades (topped by those misfits, USOP & CLON).
This includes most of the usual suspects — junior
resource stocks on their inevitable march to zero... Continue reading →
-- 14.3 for the TSXV Venture Exchange Composite Index (CDNX), a proxy for junior Canadian resource stocks
Back in the inflationary 1970s and 1980s, investors used to see this hedge - against - inflation ability as the main reason for
buying resource stocks.
But this wasn't some prescient bet on an oil price collapse — despite being one of the
few resource stocks deserving of a P / S & P / E multiple at the time, I couldn't ignore the mathematical logic of the long - term discounted value of its proved - up assets in - the - ground vs. its net debt burden (which was actually much lighter then).
Despite the recent selloff, I believe it's actually an excellent time to be looking
at resource stocks and energy stocks in particular.
I guess I'm prejudiced — hard enough to extract capital from regular co's / management, but it really doesn't even feature in the mindset of junior
resource stock management (or even shareholders!)
[And they remain similarly priced — though Ireland offers relatively few large caps & the UK's more heavily weighted towards financial &
resource stocks].
The Toronto Stock Exchange is becoming more diverse, moving away from
struggling resource stocks — but it's going to take more time than you think
Ultimately, inclusive wealth accounting needs to extend to subtracting rents on
depleted resource stocks and adding new discoveries.
He brings his extensive experience to the public through Outsider Club,
Resource Stock Digest, Junior Mining Monthly, and Junior Mining Trader.
It disregards the one key contribution that
resource stocks make to a sound portfolio, as you'll see below.
And you'll never see a long - term junior
resource stock index either — I mean, what broker wants to show you what that looks like?!
Phrases with «resource stocks»