Gold or gold stocks?

[noirua]

I am looking at buying into a few million ounce resource Junior Gold Miners that are in their feasibility stage. Hopefully the mining companies will be well aligned to hit production within the couple of years and be well aligned with the much anticipated precious metal rise.

I'm invested in quite a raft of Junior gold and silver explorers in Canada where there are very many hundreds of shares. The majority are quoted on the smaller Canadian CSE Alternative market where most non-USA brokers can't trade the shares. Otherwise on the USA Over the Counter Market place or TSX or TSXV.
There is the UK AIM market offshore fund AIM:GPM where I have some money invested that cover all International markets.
The Aussie market in micro-cap explorers is something I've learnt to be more careful with. Best I find to go for ones that have already quite advanced exploration and close to a JORC resource and well cash funded. Rules quite a lot out as the majority go nowhere.

 

[Chronos-Plutus]

I'm invested in quite a raft of Junior gold and silver explorers in Canada where there are very many hundreds of shares. The majority are quoted on the smaller Canadian CSE Alternative market where most non-USA brokers can't trade the shares. Otherwise on the USA Over the Counter Market place or TSX or TSXV.
There is the UK AIM market offshore fund AIM:GPM where I have some money invested that cover all International markets.
The Aussie market in micro-cap explorers is something I've learnt to be more careful with. Best I find to go for ones that have already quite advanced exploration and close to a JORC resource and well cash funded. Rules quite a lot out as the majority go nowhere.

I tend to focus on junior miners that at least have a JORC estimate, and prefer that they have completed or are in the process of completing a feasibility study. Today I have been looking at BDC, KIN, and BRB; still haven't made a decision as I have more research to do.

 

[noirua]

I tend to focus on junior miners that at least have a JORC estimate, and prefer that they have completed or are in the process of completing a feasibility study. Today I have been looking at BDC, KIN, and BRB; still haven't made a decision as I have more research to do.

Will have a look at the shares you mention. The Aussie is strengthening and I'm not quite sure on the reaction of gold and silver shares to this -

https://www.kitco.com/images/live/gold.gif?0.11185660660185537

My main small cap holding is in Norseman Gold PLC which is really an Aussie share setup in London originally to raise funds. All assets including directors are Australian. Not quoted since 2013 and then as ASX:NGX and 2012 London LSE:NGL. Tied in now in a fifty fifty deal with Pantoro Gold PNR - https://www.pantoro.com.au/projects/norseman-project/

 

[Chronos-Plutus]

Will have a look at the shares you mention. The Aussie is strengthening and I'm not quite sure on the reaction of gold and silver shares to this -

https://www.kitco.com/images/live/gold.gif?0.11185660660185537

My main small cap holding is in Norseman Gold PLC which is really an Aussie share setup in London originally to raise funds. All assets including directors are Australian. Not quoted since 2013 and then as ASX:NGX and 2012 London LSE:NGL. Tied in now in a fifty fifty deal with Pantoro Gold PNR - https://www.pantoro.com.au/projects/norseman-project/

I am still in the research phase with these companies and will hopefully make a decision in the coming weeks.

 

[noirua]

 

[qldfrog]

When was this published?

 

[noirua]

When was this published?

Answer: 29 September 2020 - https://jimrickards.blogspot.com/2020/09/jim-rickards-this-is-why-gold-is-going.html

 

[noirua]

28 September 2020

 

[Garpal Gumnut]

28 September 2020

I must agree with Thomas Kaplan.

btw. Should ASF members get the opportunity a trip to Beaver Ck. is a must for golden aficionados.

gg

 

[noirua]

Aussie Gold Price:

 

[noirua]

October 9 2020

 

[noirua]

 

[Chronos-Plutus]

I am buying just physical gold and silver, no need to take risk on stocks when I can stack physical and not have to pay tax.

If they want Biden to win, then I will become richer.

 

[noirua]

I am buying just physical gold and silver, no need to take risk on stocks when I can stack physical and not have to pay tax.

If they want Biden to win, then I will become richer.

I've found it very easy to gradually load up gold on to my Tally Debit Card. It can be easily spent if needs be or just left to sit there. It is backed by physical gold.

 

[wayneL]

I am buying just physical gold and silver, no need to take risk on stocks when I can stack physical and not have to pay tax.

I'm not 100% sure of the tax implications of physical. Surely selling gold triggers a CGT event?

 

[qldfrog]

I'm not 100% sure of the tax implications of physical. Surely selling gold triggers a CGT event?

I do declare, crypto as well and even portion of PPOR outside the 5 acres cgt free..but not sure many people do...

 

[againsthegrain]

I do declare, crypto as well and even portion of PPOR outside the 5 acres cgt free..but not sure many people do...

I always wonder what happens if you have physical bullion and no longer have the receipts. You declare when you bought it, what profit if any and pay cgt on it at tax time. What if somebody asks for proof of the price you bought it at? At this stage it becomes a bit of a trust system doesn't it?

 

[Austwide]

Gold bullion seems to be subject to CGT like all other assets with a 50% tax discount after 12 months.

A lot of debate on gold coins purchased for under $500 if they are legal tender. Seems you need to get a tax ruling relevant to you circumstances, but I think CGT will be payable most times because the purchase intent was to get an asset.

 

[Value Collector]

I am buying just physical gold and silver, no need to take risk on stocks when I can stack physical and not have to pay tax.

If they want Biden to win, then I will become richer.

What makes you think you won't have to pay tax? the only way you will legally avoid paying tax is if you lose money or break even on your physical gold.

If you sell the gold for more than you buy it for, then you will incur capital gains tax just as you would if you sold Real estate, Stocks, scrap metal, Barrels of oil, bails of hay or anything else you can buy or sell.

if you are choosing your assets based on trying to avoid tax you will probably end up not doing so well in my opinion, I much prefer maximising my profits and paying some tax rather than seeking out ways to lose money or limit profits just to avoid tax.

 

[Value Collector]

I always wonder what happens if you have physical bullion and no longer have the receipts. You declare when you bought it, what profit if any and pay cgt on it at tax time. What if somebody asks for proof of the price you bought it at? At this stage it becomes a bit of a trust system doesn't it?

If you sell Physical Bullion, and can't prove what price you paid for it you may end up having the Total revenue of the transaction added to your taxable income.

For example, if you Sell $10,000 worth of gold the Tax office considers that as $10,000 of income, but if you can prove you paid $8,000 for it they allow you to deduct the $8,000 from the revenue and only add the $2000 profit to your taxable income, but with out the receipt showing you paid $8,000 for it, then there is no deduction, so the entire $10,000 might be added to your taxable income.