Gold Sense? There are some rumblings about government backed venture exchange incentive programs on some blog posts. Think of it as a federal form of QE for the Canadian stock exchanges. How about some tax changes for investors in this area? In order for investors to accept risk there must be an incentive and appetite for it. After all… isn’t it in the best interest of the government to commit to keeping jobs in the Canadian Mining Industry? Exploration is a large and needed industry.
Near zero interest rate policy has not helped the situation. Taking a quick glance at the venture exchange tells a sad story in recent months. Right now there is not much of an appetite for this type of risk. Investors are growing tired and weary of investment in the sector and are less tolerant. Now we will see just how disheartened, crestfallen and oversold we can get. The best opportunity may be already be past us – it’s just that when things are bad human nature is always waiting to see if they will get worse before they get better. B2 has always had decent management and has fingers in different places which can reduce exposure compared to just one operation. It may not explode like some other juniors but a company like this is less likely to fall through the floor.
Good luck to investors in this sector. May we see seasonality bring something good in the coming weeks. Just hope the summer isn’t too slow and the sell in May theory doesn’t start another flurry!
GWH