'The pineapple was symbol of welcome in the 1700-1800's. That is why in New England you will see so many pineapples on door knockers. An arch in Providence RI leading into the Federal Hill neighborhood has a pineapple on it for that very reason. Pineapples were brought home by seafarers as gifts.'
or
'A pineapple is a berry.'
thetriviasite.com
... from your post -
'...I still can't get him to understand that if someone is promoting it, how good can it be? If it's as good as they say it is, then why pay big bucks to promote it? Profitable results should be promotion enough... '
Um, not if no one ever heard about the company, it wouldn't ... the word has to be gotten out into public view somehow, or no one would ever know of these 'profitable' results ... 'profitable' not quite the word with non-producing exploration juniors, 'productive' more applicable, as profit only happens usually when The Big Takeout comes and a major acquires the deposit, or more usually the whole company [which, to get off on a parenthetical tangent for a moment, makes the whole business speculation and not investment ... but then i think that applies to all stocks and for that matter all asset classes - csco, msft, ge, bbd.b, nt, whatever ... even with treasury bonds you're speculating on interest rates ... the word 'investment' is too richly endowed with warm fuzzies as connotation imho] ... but no i don't think promo per se is evil at all, it's quite necessary to any business ... in the case of exploration juniors they sell their paper into the sharemarket to get the cash with which to operate - no promo, no financing, no exploration, no company, it's that simple
But sure there are liars who do promo, in some cases, and righteous promo campaigns that get a bit carried away with their own success, in other cases [there are few in resources of which this is true - yet] ... the speculator must judge these things ... trick with juniors is to keep an eye on where insiders are financing, buy when they do and before the promo starts, or at least early enough in its course that odds of future success are reasonable ... there are other tricks as well of course, like judging projects and the competence/honesty of people ... the three Ps we say - people property phinancing
'.. I pointed out the risks, and the fact that silver in the ground is not the same as silver in the bank, and I pointed out the costs involved in getting the ore to market, etcetera'
This is as much risk reduction as it is risk, for this reason - a deposit delineated and proven economic at a certain price/oz and yet not having a mine constructed, has made no grand expenditure for mine construction, it is clean of debt and will provide much higher leverage to the speculator, ceteris paribus ... usually less is expended in all geophysics, drilling, etc, than is expended in mine capex ... when a production decision is made, and construction capex is spent the company is vulnerable to commodity price risk and interest rates yada yada ... for this reason the bankers make them hedge, so that skims the upside of your speculation .... plus as a famous vse promoter used to say, 'it's the kiss of death to turn a profit' -g- ... meaning an operational profit, as it's never enough to satisfy Ms Sharemarket ... better The Big Takeout usually, let the major do the mining
'...and the fact that the stock trades on the Canadian Exchange (and the exchange's reputation),'
Um, harrumph ... that was back in the olden days Kerry, when men were men and smart sheep never went anywhere near Howe Street ... the scams migrated in the early 90s to the otc-bb, then when the bb made them report they went to the pinks mostly i think .... now the cdnx is an exchange for junior ventures with inherent high risk in their business plans for sure, many of them fail, but i think if you check it out you will find it quite good for transparency and information flow and standards of ethics [if that last can with a straight face be used around any securities anywhere] ... and, many of the startups there go on to success stories ... i bought this computer with one of them five years ago, a winner that made up for fifteen little losers over the years
On risk - csco has 7.33 billions shares out, shareprice went from 80 to 15, difference of 65US, so that's a market cap gone to money heaven loss of near five hundred billions US or near eight hundred billions loonies ... i mean migawd, you could probably score the Liberal Party of Canada in fee simple with such a sum ... and there are many more toppled biggies like it too .... i dunno, minerals juniors are where i cut my speculatin' teeth and where i feel at home, add to that the apparent fact that yes this seems to be a bit of a gold bull, and i like it here .... might not do much of the 'sell in May and stay away' thing this year either, depends on how it looks then .... but, each to his own eh .... cheers |
