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Discussion Starter #1
Happy Canada Day, everyone!

What are you doing today? I just bought some nanaimo bars, and might listen to some shows I like from CBC Radio.


How about you?
 

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Happy Canada Day James.

If you have the time and inclination, listen to Peter Schiff's latest podcast on the "V shaped recovery". He has a good story on gold you will like.

You will be interested in why his value fund went from worst to first in only a few months to become the best performing value fund for the last 1, 2, and 5 years.

Schiff is such a good public speaker that I play his podcasts on the Google mini by my bed every night.

It is always a good listen and I always learn something new.
 

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For Canada Day, we decorated the front porch, and put a Canadian flag on the car window.

We ordered takeout Chinese food for dinner, and I ate too much.........LOL.

Now we are just chillaxing........as my grandson would say.

And.........we are greatly appreciating the fabulous country we were lucky to be born in.
 

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Discussion Starter #4
If you have the time and inclination, listen to Peter Schiff's latest podcast on the "V shaped recovery". He has a good story on gold you will like.
Sounds fun, thanks, I'll listen to this! Here's the link


You will be interested in why his value fund went from worst to first in only a few months to become the best performing value fund for the last 1, 2, and 5 years.

Schiff is such a good public speaker that I play his podcasts on the Google mini by my bed every night. It is always a good listen.
I've hesitated to listen to him because of his perma-bear philosophy. He's pretty much always been negative on stocks and pro-gold... I just try to keep emotions (including 'religion') out of my investment approach, because in the past I've found that it hurts my ability to invest.
 

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Discussion Starter #5
And.........we are greatly appreciating the fabulous country we were lucky to be born in.
Absolutely.

I returned to Canada about a year ago. This is my first Canada Day on home soil in several years. Being in another country has given me more perspective and appreciation for how great life is in Canada.
 

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Thanks for the link James. Now I can stream the podcast I want instead of arguing with the Google mini............LOL.
 

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Happy Canada Day all. There is a light show from the CN tower at 10:00 tonite for ON residents. Should be on CityTV or Global.
 

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Happy Canada Day!

Took kids to a recently re-opened playground. Was delighted to hear loud careless laughter after all that has been going on!
 

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Discussion Starter #10
If you have the time and inclination, listen to Peter Schiff's latest podcast on the "V shaped recovery". He has a good story on gold you will like.
I listened to this, and he's entertaining... this is fun to listen to.

But I think listening to this guy (or taking him too seriously) is a good way to lose money. And I say that as someone who has 23% of his net worth in gold.
 

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Happy Canada Day James.

If you have the time and inclination, listen to Peter Schiff's latest podcast on the "V shaped recovery". He has a good story on gold you will like.

You will be interested in why his value fund went from worst to first in only a few months to become the best performing value fund for the last 1, 2, and 5 years.

Schiff is such a good public speaker that I play his podcasts on the Google mini by my bed every night.

It is always a good listen and I always learn something new.
What are your thoughts on Schiff's valuation of gold mining companies as opposed to holding physical gold? Obviously having real gold in your inventory is good but he believes these companies are going to the moon
 

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I am thinking there is less gold available in the world than is "spoken" for by ETFs, so I would avoid those.

There is also an almost insatiable global demand for gold by consumers. Some cultures are far more "into" gold than in North America.

I would defer to James as he knows much more about it than I do.
 

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We went to an oceanfront restaurant for our celebration dinner. All masked and hands clean several times. Cost was 1200 pesos including 3 drinks and a 22% tip. The second time we have dined out since DW could walk again.
 

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Discussion Starter #14
What are your thoughts on Schiff's valuation of gold mining companies as opposed to holding physical gold? Obviously having real gold in your inventory is good but he believes these companies are going to the moon
I heavily discount his argument because mining companies have been constant disappointing, even the last time gold was very strong. From what I've seen over about 20 years, "gold bugs" always get excited about gold and get even more excited about gold miners and juniors.

I just don't take those endorsements of miners too seriously. I do actually hold a couple miners (FNV and WDO) in a high risk stock portfolio of my own, but these were selected entirely based on technical screening. They also aren't long term holdings, maybe 6-12 months.

But I'll also add that when I first became interested in gold in 2002, I started by investing in XGD. I've found that these mining stocks just don't perform well in the long term. Consider this, starting in 2002 which by the way was virtually the start of a huge bull market.

XGD: rallied for a while, was back at 0% return by 2016, and is currently +155% cumulative return
Physical gold: at the 2016 low it was still +200% and is currently +400% cumulative return

That's a massive difference. Over the years, I've also met some characters in the "mining" space and learned more about their people. There is something crooked about some of these people and companies, with quite a long history of crookedness. They pump & dump their stocks, they heavily promote them on BNN, the executives eat up huge amounts of investor money, and they're constantly coming up with exciting stories ... but the share prices don't live up to any of it.

To be blunt: I don't trust mining companies and their executives to be good stewards of my capital. Instead, I think their game is to aggressively ride the up-cycles and entice investors with exciting gold bug stories... it's manipulative and dishonest, IMO.

Just look at that 2002-2020 return. XGD (miners) +155% and physical gold +400%.
 

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Discussion Starter #15 (Edited)
A couple other factors which have affected my view of mining companies and the characters of their people. I want to make it clear that these are all my personal opinions. These things may not extend or generalize to other "mining" people, but based on my own experiences, the things below have affected MY perception of mining people.

These things may all be completely irrelevant to investing in gold miners.


1. Eric Sprott is a loud "gold" cheerleader on Bay Street and is involved with various mining equities. I was extremely upset with how his firm (Sprott) aggressivelly took over Central Fund of Canada, which was previously very responsibly managed by the Spicer family. This was an amazingly solid precious metals fund with history going back to 1960, superbly managed, amazingly honest. I can tell you with full confidence that the Spicer management always did what was in the best interest of the unit holders and never tried to enrich themselves along the way.

Sprott aggressively came after CEF, wore them down with multiple lawsuits, spread misinformation in the media about the current management and fund status. The lawsuits were part of a strategic takeover. Eventually, Sprott took the (enormous) assets of CEF, and increased the fees for investors. In my opinion, this was a 'dick move' and I will never forgive Sprott for it, and never do any business with them.

Mr. Sprott is an influential and, apparently, respected character in the "gold mining" space.

2. When I was living in the area, my friends on Bay Street told me about some of the bizarre things they heard mining executives doing in the city. One story that stuck with me was one unnamed mining executive who apparently came to downtown Toronto, routinely hired prositutes, paid them to do drugs and engage in various harmful activities while he also did drugs and enjoyed the show. How noteworthy is this? Perhaps it's of no consequence. Maybe everyone on Bay Street is doing this. Or maybe my friends were trying to tarnish the image of mining executives.

3. A personal friend of mine is a mining executive, and he has a long history of using prostitutes and doing other questionable things. Very much in sync with #2 above.

4. My aunt was caught up in one of these junior mining pump & dump scams, and she lost a lot of money.

I can't tell you if any of these things matter for investing in this sector, but I can say that they have impacted MY perception of the mining sector and the people associated with public mining companies.
 

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Happy Canada Day
I hope the country will have a "V shaped recovery." Maybe the "V" can go even higher on the right side - to recover even better what used to be. Good luck creating better investments.
 
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