“…were to suddenly head multiples higher, you would probably want to have a bug-out bag by the door and a survival bunker nearby.”
Tom welcomes Mickey Fulp of the mercenarygeologist.com back to the program. Mickey discusses the crazy valuations that have developed and what he coins “Market Covidicy.” He cautions that if gold or silver were to suddenly head multiples higher, you would probably want to have a bug-out bag by the door and a survival bunker nearby.
Investors should never conflate owning gold with having gold stocks. Mining is a tough business, and many aren’t focused on building stable companies. He focuses on projects in safe jurisdictions with a good rule of law and secure mineral rights. He particularly likes Nevada, where there are existing gold mines. He prefers large geological systems with faults that have developed over a long period of geological time.
Mickey discusses the potential risk coming from the next election and the techniques he uses to minimize risk and emotion in trades.
Time Stamp References:
0:40 – Covidicy and valuations.
2:20 – Outlook for gold.
5:45 – Gold price and exponential risk.
7:30 – Silver as an industrial metal.
12:30 – Gold and owning gold stocks.
15:00 – Choosing jurisdiction and risk
18:45 – Election risks
22:45 – Making money in bear markets.
25:30 – Trading methodologies.
27:45 – How geology led him to mining stocks.