Recent Eric Sprott interview
This is one paragraph from an interview that can be found on the Sprott Money website under Sprott news. When Eric was asked about his investment philosophy which resulted in him becoming a billionaire, Eric explained that, “You have to be a buyer when people are non-believers. You have to believe in something based on data that says you’re right when the world will tell you you’re wrong, because when the world says you’re wrong and you’re right, you know that the return will be outsized because no one is there. It’s like buying gold stocks in 2000 which I did to a very large extent. The HUI index was at 35 and it went to over 600. It went up 1700% in eight years. And that’s because everyone was against it. It was like a killing field for an investor to go in and buy things cheap and I really believe it’s kind of [a similar] opportunity again today.” I believe that Eric is one Canadian that belongs in the investment hall of fame so to speak. His in depth due diligence as well as vast experience in the resource sector has made him a very wealthy man. The quote from his recent interview in my view applies to the reasons why I continue to buy KBG shares. My in depth DD on specifically the properties causes me to believe that KBG has a property portfolio that has the potential to add huge value to the KBG shares IF management can continue to move the company forward. It amazes me that this company is still listed after the challenges of the last few years. We are still at risk here but we are now positioned in my view to benefit from the improvement in this sector that many believe is coming in 2014.