Australian (ASX) Stock Market Forum

Mining Stocks vs. other markets

Joined
9 June 2007
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Hi
I would like to get an idea of how successful people have been investing in mining stocks, in particular:

1) how much people have generally profit/loss from investing in them say over a 3 year period? Has anyone over the last 3 years made a loss?

2) how many junior exploration mining companies as a ratio are successfully producing now? ie. new startups over the last 3 years / startups that have continued to production?

3) since I'd like to focus mainly on mining and alternative energy stocks, are these generally easier to calculate the risk and price movement than say a tech stock, since a 'normal' lifecycle of a mining stock can be 'predicted'?

Thanks
G.
 
Re: Mining Stocks vs other markets

Hi
I would like to get an idea of how successful people have been investing in mining stocks, in particular:

1) how much people have generally profit/loss from investing in them say over a 3 year period? Has anyone over the last 3 years made a loss?

Personally I haven't held a mining stock for over three years but I can give you an indication of my personal performance in this sector


Purchases in yr 04 (some have been closed out)
WMC in 4.91 out 5.37 (+9.36%) (taken over)
AUM (aka CDU) in 0.41c to 3.63 (+785% still holding)
OSH in 2.35 out 3.43 (+45.9%)
LHG in 1.00 out 3.05 (+205%)

Purchases in yr 05
STO in 10.84 out 11.75 (+8.39%)
RPT in 0.069 out 0.135 (+95.6%) (taken over)

Purchases in yr 06
CBH in 0.445 out 0.635 (+42.6%)
HDR in 1.385 out 2.05 (+48%) (saved by takeover)
CIG in 0.068 out 0.074 (+8.8%)
BGF in 0.245 out 0.265 (+8.1%) (saved by takeover)
MTN in 0.785 to 5.95 (+657% still holding)

Purchases in yr 07
PDZ in 0.37 out 0.51 (+37.8%)
CBH in 0.69 to 0.60 (-15% still holding)
MLS in 0.027 out 0.08 (+196%)
WPL in 35.80 to 45.00 (+25% still holding)
MLS in 0.091 to 0.093 (+2.1% still holding)
USA in 0.515 out 0.415 (-19%) (burnt trying to get oppies)
BLR in 0.13 out 0.22 (+69%)
BYR in 0.255 to 0.285 (+11% still holding)
EVE in 0.305 out 0.415 (+36%)
AFR in 0.40 out 0.675 (+68.75%)
BLR in 0.20 to 0.21 (+5% still holding)
PDN in 10.07 to 8.30 (-17.5% still holding)
WME in 0.195 out 0.235 (+20%)
SMC in 0.14 out 0.15 (+7%)
WAS in 0.037 to 0.04 (+8.1% still holding)
SDL in 0.175 to 0.42 (+140%)
SMY in 4.20 to 3.95 (-5.9% still holding)
BRW in 0.67 still 0.67 (0% still holding)
GDN in 0.75 to 0.42 (-44% still holding) my worst performance thus far..treating it as a tax deduction this yr...will close out before the end of june
 
Re: Mining Stocks vs other markets

Thanks for that. That's quite a good track record.
Good to get an idea of what's achieveable if I spent my time researching.
Do you set your stop loss as a percentage of purchase price or as a resistance limit?
 
If you would like a bit of 'bully'about mining commodities then here it is on July 9, 2021. Mining stocks versus other markets - well, high commodity prices will be bad news for inflation and most other markets eventually. In 1973 - 1976 other markets slid for 3 years but sped away early in 1976. If it happens again then it will be surprising. During that period gold majors, mainly in South Africa in those days, rose over 100% and small to mid-caps far more. Inflation also rose rapidly with non-oil producing countries like the UK seeing inflation peak at 25% annually during the 70s whilst interest rates remained far lower in the 6% to 8% range. All that was caused by the Arab Oil cartel - oil prices rose from around $2 to near $10 per barrel. The equivalent now would be about $300 per barrel - my view is it won't happen this time around but some other commodities might see a further 50% rise from here.
 
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Bonds are in a bubble everywhere. Many stocks have started to form a bubble. Property in Korea, New Zealand and many places are in a bubble. But commodities are still cheap, says Jim Rogers, investment guru and author of Street Smarts: Adventures on the Road in the Market.
 

Bonds are in a bubble everywhere. Many stocks have started to form a bubble. Property in Korea, New Zealand and many places are in a bubble. But commodities are still cheap, says Jim Rogers, investment guru and author of Street Smarts: Adventures on the Road in the Market.
thanks for the link , i notice several other links i will follow and listen to/read , cheers

HOWEVER .. i think they still have few kicks on that can left , using the ' Great Japan Recovery ' as blueprint many Central Banks have rates near zero , many have resorting to bond-buying ( QE ) several more are buying ETFs so they don't 'officially' part-own all the nations large corporations .

yes i am preferring commodity PRODUCER stocks ( gold and iron , but keeping an eye on oil )

but the coming crash has been YEARS in the making , already

DYOR

i think the manipulators are trying to exhaust us into capitulation

* ' Great Japan Recovery ' was sarcasm , for those not familiar with the recent Japanese economy ( seems to be in a hole so big the are still looking for the edge of the bottom )
 
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