Allied Nevada Gold Corp ANV

Why is gold mining such a crappy business?

[goldguy007]

Here are two excellent essays that explain why gold miners shares tend to under-perform the metal over the long run.

Saville
https://www.321gold.com/editorials/saville/saville102014.html

Pollitt

https://www.denvergoldforum.org/assets/downloads/MarketLetter-Keynote-Denver-Final.pdf

And it is why I like royalty companies such as FNV, RGLD, and SLW since they also avoid the pitfalls that miners face.

That having been said I currently have a large portfolio of PM miners, including ANV, because there are times when miners present good speculation opportunities.
But, I always treat them as speculations and use short hedges to control risk when they are in down moves.

goldguy