Gold & Silver Mining Stocks | 300% upside by 2022? | Part 2
In this video we look at specific examples of gold and silver mining stocks which may be profitable in the years ahead.
As mentioned previously, it’s interesting to note the gains experienced by gold and silver mining companies between the March 2020 low and the August 2020 high. These gains outpaced those of the underlying precious metal by two or three times in some cazes, depending on the market capitalisation of the mining stock in question.
Like many asset classes, mining stocks come in all shapes and sizes. A lot of the more established players such as Newmont, Barrick, First Majestic, offer decent annual returns and in some cases respectable dividend payout ratios. The smaller or mid tier gold producers however tend to be able to expand their operations more quickly – these typically produce (i.e. extract and refine) anything from 250’000 to one million ounces of precious metal per year. It is also possible to invest in precious metals ETFs which offer exposure to multiple mining companies of varying market capitalisations. This allows the outperformace of one particular component company to compensate for the underperformance of another, which may occur due to a variety of unforeseen factors.
In this video we take a look at companies including Anglogold Ashanti, Barrick, Ely Gold Royalties, as well as the ETF Van Eck Junior Gold Miners
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