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Our team has a strong track record of picking small-cap resource stocks which strongly outperform. We are very excited to about the future of resource stock over the coming years.
The electrical vehicle (EV) revolution and the drive for renewable energy have created unprecedented growth in demand for copper, nickel, lithium, rare earths and other resources. In addition, we anticipate that the debasement of fiat currencies across the globe via quantitative easing will accelerate demand for precious metals such as gold, silver, platinum and palladium, driving up prices. Green-energy and precious metals are often found together, resulting in diversified and complementary revenue streams for their owners when mined.
As well as seeing significant macroeconomic tailwinds supporting the resources sector, our team also identifies undervalued resource stocks on a “bottom-up” basis. These overlooked companies typically have market capitalisations below A$200m. The businesses range from pre-discovery to well-established operations. We thoroughly investigate and comprehend the factors causing a company’s undervaluation before recommending any potential investment to clients. Given the unprecedented macroeconomic tailwinds on the horizon, we believe this is an optimal time to have strong exposure to the sector.
We provide dedicated coverage of ASX-listed resource companies.
Our process for publishing research typically follows the below path as it moves from an idea to abuy recommendation.
Regular screening of 800+ ASX listed resource companies, based on;
Jurisdiction: Tier 1 jurisdictions only, simple approval processes.
Management: Track record of competence and success, alignment withshareholders.
Capital Structure: Clean balance sheet, no potential sources of overhang.
Infrastructure: Water, power, labour, rail, roads.
Resource: Technically simple, low cost, no other development related issues.
Of the stocks we find attractive from our first pass of screening, we drill into even greaterdetail to determine if they are investment-grade.
If we believe the company is investment grade, we will contact management to confirm ourfindings and ask any other questions we may have.
Through this rigorous research process we are able to create wealth for our clients by picking undervalued companies before the market catches on.
Wholesale investors (also known as sophisticated or 708) can access investments not available to retail investors, such as secondary placements in ASX-listed companies, pre-IPOs and other capital raisings.
A wholesale investor is defined by the Corporations Act 2001 (Cth) as a person or entity that has obtained a qualified accountant’s certificate stating that they have either/or: