19.02.2010 - Sovereign funds load up
From Smallcapinvestor.com: It seems like every financial journal or publication has been extolling the benefits of gold over the last year. Sometimes widespread acceptance of a trend is a sure sign of a bubble waiting to pop. But thatís not the case with the precious metal right now, especially if you play the trend by investing in junior gold miners. It's true that gold miners stand to make big profits if the price of gold continues to increase from its current price of $1,120 an ounce. But even if it doesn't, these little companies still maintain big margins that ultimately trickle down to earnings. Thatís because their gold recovery costs are essentially fixed - everything above those costs is pure gravy..........................................Full Article: Source
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