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I have my complaints about mining companies too. I posted a bit of a rant in this other post.

Generally, I don't trust public mining companies and I don't trust their executives. I also don't trust Eric Sprott, who has invested heavily in various miners and served on some of their boards. This is not a statement on Mr. Sprott's credentials and lengthy work history. He has an impressive career and is generally well respected. Personally -- just ME -- I don't trust him or his firm.
I realize you are not a fan of them. It's a terrible industry. As a group, they mine insane amounts of physical gold every year. They just don't make any money. FNV would be an interesting way to be involved, but it just trades at such nosebleed levels that if anything, I would just buy the gold itself as well. However, if I had piles of gold bought at $1200-1300/oz, I would definitely be rebalancing if it was applicable and made me overweight. I also wouldn't be selling the house to buy piles of gold either. I don't hold any gold myself aside from incidental exposure through the TSX.
 

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I am indirectly playing this rally. I don't own any gold and never have nor ever will. However, my parents have something like 20 or 30% of their wealth in gold and silver and they are 85 and 82. Maybe I'll ask Dad if he is going to sell any in to the rally.
 

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Bought mine between 30 and 35 yrs ago and just consider it a family asset which will eventually be passed onto our children.
 

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Silver follows behind gold..... so this lag is not surprising..... silvers rise was well overdue.... it will rise again and end up pushing gold...

depending on us QE, corona, economy, trade war.....
 

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I totally agree. Looking at it in terms of investing (as you do) is a very good approach. I was more thinking of trading, because OP asked for the "best way to play this rally."

Of course the correct answer is always: "invest" and "don't play"!
Read the market wizard books. The wizards all viewed the market as a game. A game is played
 

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I've read one of them. If I recall correctly, a few of the traders went bust, more than once.
Pain, pain & pain is needed to overcome being fooled into taking comfort in the heard. Crawford was not in the wizard books but I remember him commenting on the players that do very well all seam to go bust often more then once starting out. He said that never happened to him.

This is a true story.

A physic told me, (the police have actually used her) that in a past life Crawford & I used to work together in regards to playing the market. So maybe he payed his dues already. Getting late so wont tell the rest of the story maybe I will someday.
 

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Pain, pain & pain is needed to overcome being fooled into taking comfort in the heard.
. . .
A physic told me, (the police have actually used her) that in a past life Crawford & I used to work together in regards to playing the market. So maybe he payed his dues already. Getting late so wont tell the rest of the story maybe I will someday.
Would love to hear more
 

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Pain, pain & pain is needed to overcome being fooled into taking comfort in the heard.
Most investors are investing their life savings for retirement. They cannot afford to get wiped out to have to start all over again. Plus many investors will shun investing if they take a massive hit to their portfolio.

By the way, those kinds of books, although interesting to read, are the epitome of "survivorship bias."
 

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I bought gold mines in stable jurisdictions a few years ago.
They're doing well.
With KL's earnings doubling every year, I'm pretty happy I bought it. And it saved my portfolio today with a +7% while my energy stocks were down. Ended the day in the green.
 

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With KL's earnings doubling every year, I'm pretty happy I bought it. And it saved my portfolio today with a +7% while my energy stocks were down. Ended the day in the green.
More than 1/3 of their production was from Detour, and that's a high cost mine.

The increase in Gold price is gonna do amazing things to their profit margins.
 

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102 tonnes of gold changing hands on CME's biggest ever delivery day
By Peter Hobson
July 31, 2020
I've been investing in gold for decades now, and have made more money than I have in stocks (because gold has outperformed stocks over 20 years)

But I'll share the warning that gold nuts can be really loud and persuasive. They wait for environments like this, when gold takes off, and then start hitting the media with all their stories: The dollar is collapsing, hyperinflation is coming, there's a shortage of physical gold, there will be a short squeeze on gold, this is the end of fiat currencies, etc.

They always say the same things. I'm just saying, don't get too caught up in the dramatic stories in the media, especially about a dollar collapse. I've been hearing that one forever!

That being said, gold has an amazing multi decade chart. It's in a bull market, and every month, another hedge fund and institution catches on to this fact. It makes sense to be long gold because it's in a multi-decade bull market, but not because of dramatic stories about shortages of physical, the imminent collapse of the dollar, etc.
 

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But I'll share the warning that gold nuts can be really loud and persuasive. They wait for environments like this, when gold takes off, and then start hitting the media with all their stories: The dollar is collapsing, hyperinflation is coming, there's a shortage of physical gold, there will be a short squeeze on gold, this is the end of fiat currencies, etc.
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I agree with these Clowns ....

Spike in gold puts dollar's reserve status in question: Goldman Sachs
A record high price for gold, known as the currency of last resort, is raising questions about the U.S. dollar's future as the world's reserve currency, according to a Goldman Sachs research note published Tuesday.
"Combined with a record level of debt accumulation by the US government, real concerns around the longevity of the US dollar as a reserve currency have started to emerge," the analysts wrote.
By Niv Elis
July 28, 2020

I would never buy a gold certificate or Paper Gold because if the American Dollar collapses, you might well think about how long the customer line at the Canadian Mint might be. How long is it going to take a person to pick up his physical gold?
I think when the Dollar collapses, the net will be shut down and there will be very limited access to bank accounts. It could take months to open the "communication" system again.

I gotta be ready for any scenario.

At 72 years of age, I don't see myself being able to stand in a long line up at the mint and on a cold winter day.

I am convinced that we are watching the Collapse of American empire.

I don't count my money ..... I need only count the amount of food banks there are. The lineups at some food banks is 7 hours long.

I study geopolitical events like you might study ETF's. I know all the world leaders as if they each had a baseball card. I know all the statistics of those on the geopolitical stage.

For 20 years I firmly believed that the American empire would collapse before the year 2030.
This Virus Event has sped the collapse forward.
I suspect 2025 at the latest now. (The American military has studied this type of event and state 2030 is most likely.)

Global Trends 2030 - Alternative Worlds
Global Trends 2030 is intended to stimulate thinking about the rapid and vast geopolitical changes characterizing the world today and possible global trajectories over the next 15 years.
National Intelligence Council
December 2012

Asia-Pacific Rebalance 2025
Capabilities, Presence, and Partnerships
An Independent Review Of U.S. Defense Strategy In The Asia-Pacific
In 2015, Congress tasked the Department of Defense to commission an independent assessment of U.S. military strategy and force posture in the Asia-Pacific, as well as that of U.S. allies and partners, over the next decade. This CSIS study fulfills that congressional requirement.
The authors assess U.S. progress to date and recommend initiatives necessary to protect U.S. interests in the Pacific Command area of responsibility through 2025. Four lines of effort are highlighted:
(1) Washington needs to continue aligning Asia strategy within the U.S. government and with allies and partners;
(2) U.S. leaders should accelerate efforts to strengthen ally and partner capability, capacity, resilience, and interoperability;
(3) the United States should sustain and expand U.S. military presence in the Asia-Pacific region;
(4) the United States should accelerate development of innovative capabilities and concepts for U.S. forces.
By Michael J. Green, Kathleen H. Hicks, Mark F. Cancian, John Schaus and Zack Cooper
January 2016
Asia-Pacific Rebalance 2025

For the past 20 years I have studied this oncoming collapse of empire with huge and intense research. I have read a zillion articles and commentaries with this on coming event in my top of mind. This "Study" was almost a full time job and or 20 years.

I am kind of a poor person. I got 55 thousand in cash and 13 ounces of physical gold. Plus my pension.
I want to sleep at night.
Without the fear that when I wake up that the World has not changed overnight and China is in charge.
I am hoping that I will die before I need to redeem my gold for cash.
I don't care how high the price goes, I will never sell. It is my security blanket. My comfortable mattress.
 

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But where's the fun in that...

OK, my new answer on how to "play" the gold bull: buy FNV (Franco Nevada) and WDO (Wesdome Gold Mines)
I'm up only 14% on FNV since buying in June, but WDO is now up 34%... pretty crazy.

These are small positions though, about $2500 each for fun. I also ditch them as soon as the technicals turn sour.
 
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