The market has its moods and its fascination with headlines. Greece, Ukraine, ISIS, emerging markets—crises come and go. Investment adviser Jayant Bhandari discusses the role of gold in uncertain times and profiles two companies he believes have generated more value than their share price increase reflects or have gone unappreciated by the market.
The financial risks associated with Greece are now mostly forgotten. Its place was taken over by worry over the migrant crisis and ISIS—both issues came suddenly from nowhere and grasped hearts and minds, and then slowly receded in memory. Somewhere within these events, Russia’s problems with Ukraine came up, and then the drop in the oil price. Neither provokes much anxiety any more. People have also grown tired of regurgitating about America’s “never-ending wars” and “religious fanaticism” and what came first.
Happenings in Venezuela and particularly in Brazil have shown the difficulties of the emerging markets and their huge intellectual, financial and trade dependence on the West—despite claims to the contrary. Then there is the huge fear of China slowing down. India has consistently failed to meet expectations, but the West’s enchantment refuses to go away, mostly underpinned by desperate ideological support for democracy. When it comes to walking the talk, investors instinctively abstain from India. The most recently worry has been about BREXIT.
“Callinex Minerals Inc. has recently discovered two new mineralized zones at its flagship Pine Bay project in Manitoba.”
The market has its moods and fascination with headlines. Investors often anticipate what Federal Reserve Chair Janet Yellen might say next for investment decisions. Quite to the frustration of the value investor, big-money has become extremely speculative, investing in currencies, bonds and ETFs. The need to keep up with the indices has forced money managers to follow the herd. If any …read more