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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: Proud Deplorable who wrote (47594)	8/19/2007 4:25:57 PM
From: Rocket Red	Respond to of 78419

Wild Turkeys maybe

To: Proud Deplorable who wrote (47594)	8/19/2007 4:28:31 PM
From: E. Charters	Respond to of 78419

But speculation on wild and wooly was not where you were losing money, or lost money. You lost money on a general market downturn against people loaning excess money to underrated creditees. Everything went south. Blue Chips, metals, everything. Sure, with all the money being pulled out, the lesser supported speccies dived more. But if there is a general market downturn, you will get just as much or more fall-back on the boys needing 50 million to build a mine as you will on the people needing 1 million to drill a property. So let's looks more carefully at the nature of the risk. When TSXV was 600, what brought it back? Metals exploration. It is your call how much spec you put into each and every explorer. But an LTH is no better off than a Donner. There is just as much doubt that LTH can make a mine as Donner can find one. There is no class of developer stocks out there that has markedly lower risk overall classes of risk than a class of say spec drillers. If there were everybody would have their money in Red Corp, and Stornoway. Why is this? Risk reward ratio. In a bull market however I do like developers better. A company building a mine has a much more sure profile.. providing there is money around to build. The question abides going forward what kind of market have we? Remember this well. It was NOT base metals, energy and GOLD that dragged the market down. For all we know it may be sole thing keeping it up. And the fundamental fact is, business is good. Real business. This metals boom is NOT a bubble like the easy money housing was. It is based on real labour, real trade, and real growth. Or those cranes in China are just painted on backdrops. EC<:-}