Junior resource companies

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Doug's picture
Doug
Status: Diamond Member (Offline)
Joined: Oct 1 2008
Posts: 3125
Junior resource companies

I'm curious what others think about investing in junior resource companies, domestic and foreign.  And, specifically, if anyone has personal experience with or are aware of a brokerage named Global Resource Investments Ltd.  Answer here or by PM.

Thanks

Doug

SailAway's picture
SailAway
Status: Gold Member (Offline)
Joined: Aug 11 2010
Posts: 404
Doug wrote: I'm curious what
Doug wrote:

I'm curious what others think about investing in junior resource companies, domestic and foreign.  And, specifically, if anyone has personal experience with or are aware of a brokerage named Global Resource Investments Ltd.  Answer here or by PM.

Thanks

Doug

Doug,

I opened a brokerage account at Global Resource last December. I wanted to get exposure on energy and natural resources in general. After listening to Rick Rule I was sold and decided to open an account. I hold now 3 stocks of companies based in Canada, one is a mining company and the two others are energy companies  (hydro and geothermal). You work with a very knowledgeable broker that gives you a number of investment options based on what you are looking for and the kind of risk you want to take. The broker does the trades for you, you cannot place trades directly on the Internet but you can check your account.

In case you don't already know, Global Resource was acquired by Sprott Inc back in February

http://www.gril.net/news-releases/sprott-inc-completes-acquisition-of-global-resource-investments-ltd-terra-resource-investment-management-inc-and-resource-capital-investments-corp

Rick Rule also made a new webcast on Monday, always interesting:

https://grilevents.webex.com/mw0306lc/mywebex/default.do?siteurl=grilevents

 

 

Doug's picture
Doug
Status: Diamond Member (Offline)
Joined: Oct 1 2008
Posts: 3125
brokers

Thanks Sailaway.  Your response tends to confirm my impressions from Rick's webcast and from the fact they were acquired by Sprott.  I also spoke to one of the brokers who took an approach that I like, that is he seemed interested in educating me in these markets and finding out my tolerances, not just dropping me into a bunch of stocks and leaving me to drift, like others I've had dealings with.  I've come to have a healthy distrust of brokers generally, so I'm somewhat wary about taking on a new one, although I like the sectors GRIL is in.

Thanks for your time and attention,

Doug

SailAway's picture
SailAway
Status: Gold Member (Offline)
Joined: Aug 11 2010
Posts: 404
I agree with you, the

I agree with you, the "conventional" brokers are useless especially for people like us who have our own view about the world and the economy.

But at Global Resource the value is the broker (and Rick Rule behind), and the time they spend on research and due diligence of these resource companies. The first time I spent at least half an hour with the guy on the phone, he was just educating me on energy and mining. He gave me "homework" and a week to digest all the information and then I started to place a few trades.

 

 

ao's picture
ao
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Joined: Feb 4 2009
Posts: 2220
Doug wrote: I'm curious what
Doug wrote:

I'm curious what others think about investing in junior resource companies, domestic and foreign. 

I wouldn't touch them unless I knew A LOT about them (as in talking with management, visiting sites, etc.).  Too speculative and risky for my taste. 

Doug's picture
Doug
Status: Diamond Member (Offline)
Joined: Oct 1 2008
Posts: 3125
thanks ao
ao wrote:
Doug wrote:

I'm curious what others think about investing in junior resource companies, domestic and foreign. 

I wouldn't touch them unless I knew A LOT about them (as in talking with management, visiting sites, etc.).  Too speculative and risky for my taste. 

Thanks ao, that's why I'm approaching this thing very cautiously.

Doug

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