For part II I will focus on how to play the miners and other investment opportunities. I will not name individual mining companies mentioned by the presenters as I've done no due diligence on any of them yet. I will comment on a few of the miners I currently own and researched personally at the conference.
So where should you invest?
1. We are witnessing today the best environment since 2003 in the mining industry. "It's a target rich environment". (Gene Arensburg)
2. PM stocks are cheap by any metric (Eric Sprott, as relayed by Gene Arensburg)
3. "this is a tremendous time to invest in juniors", Consider only companies with deposits. "Uranium is the best investment of the next 12 months. "(Lawrence Raulston)
4. Best investments of the next 12 months: Steven Leeb, deep water drilling. Beatty, Oil and Gas juniors. Schaeffer, MLP's and off shore drillers. Lundin, Uranium.
5. "Tax loss selling should keep the juniors depressed thru the first of the new year." Brian Lundin
6. "The juniors have gone from overvalued to reasonably valued". Stock prices of miners have stagnated due to new share issuance and depletion, they have less in assets in the ground, and when they go to find new assets they have to pay up for them. "I don't think we are at the bottom, but it's time to start scaling in" (Rick Rule)
7. "We are buying rare earth elements" Oil companies will have terrific earnings. Malcom Gissen
8. I am buying nothing. I continue to accumulate gold. Marc Faber
9. You need to have exposure to emerging market debt. Malcom Gissen.
10. Emerging markets are the cheapest of all markets. Brazil, Hong Kong, Singapore are only at 1.2X book. Adrian Day.
A very informative conference with opinions all over the map. The general feeling I walked away with was that the resource sector is still the place to be (of course it WAS a resource conference, duh). Within that sector, the juniors will perform best over the next 12 months, followed by the majors catching up to the gold/silver price, and then the bullion itself. Uranium had a lot of fans, as did emerging markets.
Very entertaining debate between Charles Krautheimer, James Carville, and P.J. O'rourke. It was refreshing to see these three brilliant minds tussle over the issues of the day with great humor without any personal attacks! Charles by the way had a great line: "Romney is the only one who can beat Obama, so bring a clothes pin to put over your nose when you vote next year."
I am a substantial owner of Great Panther (GPL), Revett Minerals (RVM), a recent owner of Silvercorp (SVM) and silvermex (GGCRX.PK). It was a great opportunity to talk directly to the CEO's of these companies (GPL and RVM) and get my questions answered. As a result of the conference I will be looking further into Xtra Gold, Timberline, Riverstone, Buccaneer Gold.
I am totally responsible for the information I've presented. I have endeavored to be as accurate as possible. Errors are possible in transcribing quotes. If that occurs I sincerely apologize.