Legendary investor Rick Rule, Chief Executive Officer, Sprott US Holdings, speaking ahead of his appearance at Mines and Money Asia, is positive on gold equities for 2018.
“I am bullish on precious metals equities and specifically gold equities. Precious metals equities are reasonably priced and within this gold equities relatively underperformed in 2017. In 2018 I expect gold equities to play catch up”.
There are many reasons why miners, investors and financiers are coming back to gold. For Randy Smallwood, the brilliant and combative CEO of Wheaton Precious Metals, which last year changed its name from Silver Wheaton, it was a recognition that the best opportunities within the streaming business now lay in gold.
“There aren’t as many new lead/zinc mines coming online where of course silver is a significant by-product. Unfortunately, there has been a lack of investment in the lead/zinc space. However, this isn’t the case with copper, where of course gold is a significant by-product. When we’ve looked at new opportunities, approximately 75% have been gold focused.”
For investors, like Jayant Bhandari, CEO of Anarcho Captial, it is due to geo-political and economic stability that gold has become more important on his radar.
“The systemic—economic as well as political—risks of various sorts that exist around the world will push more people towards gold, as they try to protect their wealth from negative-yielding economies in many parts of the world.”
Source: Mines and Money Asia
