I am long SCP
Jonserj:
You show good creative thinking, I enjoy reading your posts.
With regret, I am responding to another post on another board.
However I will write to this the board on a without prejudice basis.
As such, I post to expand our thinking.
Like Sprott, we obtain massive gains, not by the obvious, but by exceptional creative thinking.
The brains at Teck and Dundee cringe at the creativity and nibble brains at Sprott. Everyday these people come to work, shaking their heads asking how Sprott does it.
Who the hell can explain Picasso Blue Period. No one can explain the logic of such creativity. Neither can we, nor should we try. As an individual investor; our skill is identifying those who can create. Our job is to capitalize on those who can create.
In regard to the market, the old axiom, is never sell a slow market.
I am 100% invested in substantially under valued stocks and I am long SCP and HDG.
Sprotts offer to buy back shares, should be taken with a pinch of salt.
This is a call to the market and to shorts. Like Teck or Dundee screaming to the market; if you sell me short I will buy you back and you will see your shorts around your ankles. If you are foolish to sell me cheap; I will buy all you have. Teck and Dundee have a never ending open buy back order on the market. The teacher knows how to communicate to its pupil. Could you expect less from Mr Sprott. It is a warning, the bark is bigger then the bite, but Mr Sprott is happy to eat the meal he cooks at his price.
Sprott will measure returns on invested capital for inside deals; and compare this to buying SCP shares, with action taken accordingly. (ie. Sprott in control not the market) But no one is going to make money selling Buffet or Sprott short. Take this to the bank !
As a long term investor, I like it and I get it!
This current market is about survival; consequently I want average and if possible good returns. SCP qualifies 100% and if you buy slightly high well Mr Sprott will buy the bottom line.
The point being, when the market turns, the first 30% gain happens in 1 weak. If you are out of the market you will miss the big initial gain. That is critical to long term performance. SCP is my idea of a conservative mutual fund.
It’s great that Canada has people like Mr Sprott who can create wealth for Canadians.
I hold SCP and HDG and I recommend both according to ones conservative prospective.
If you are conservative, I recommend over weight SCP. For the risk takers over weight HDG, as it sells 50% discount to cash in the bank.
SCP has $400 million cash in the bank but it also has a big capital gains tax bill.
I suspect Sprott will put a project into HDG.
I will close with this comment, as this is the critical path for the future.
We are in a super bull commodity cycle that is driven by Geo Political conditions that will last 30 years. Most commentators see this as supply and demand initiated by India and China. This is the blind leading the blind, like sheep falling over the cliff chased by wolfs.
When you understand Peter the Great, you understand where we are going. When all around him dressed as pagans, he dressed as Royalty, and he passed laws accordingly. Those who understand these words understand where we are going. They understand my comments because they understand History.
When the future King of England, Prince William went to university, he studied History, not Wall Street. Compare this to Mr, President USA.
When the UK Prime Minister visits Royalty once per week, he will be advised accordingly. The present Queen was tutored by Churchill and is married to a German Russian, so goes the world and so goes Russia. You need to understand this and you should think long term and accordingly. Head these words and they will last you 30 years.
If you have not studied history, SCP is probably the best investment you can make; as you get big gains on a long and very wide basis.
Stay long Commodities.
This is the time to rise capital and like Mr, Sprott, go long commodities !
Shallow thinking is not my game.