Our pal Kevin checks in with the severe undervalued status of miners. I would only add this, the pendulum ALWAYS swings too far in each direction. Mining shares have never been this undervalued to the underlying metal, you are about to get paid!
In 2020, more than 6,000 people became “ultras,” individuals whose financial wealth exceeds $100 million. The segment now makes up a total 60,000 people worldwide with a combined $32 trillion in investable wealth or 15 percent of the world’s total. With $5.8 trillion in 2020, the U.S. topped the list as the most concentrated market for investable wealth.”
Again today the entire value of global mining shares is only $430B – 2% of these 60,000 people could buy them all. If we do see a 10:1 Dow:Gold ratio or even lower, brought on by either higher gold prices or lower stock prices or both, these players will see trillions offset by a 10-15 fold increase in mining shares.
So 15% of global financial assets $250T is owned by 60,000 individuals. That amounts to $32T. Corp bonds already off 10% from 2021 and government bonds off 30% globally. Equities up 30% in G-7, up 15% MSCI, up 45% Nikkei since Sept. 2021.
If stocks stay stagnate as is likely for years let alone swoon and bond prices do same, mining shares and gold is both safe haven and profit center.
When JPM says we don’t like bitcoin or gold, you can count on them accumulating it. And they have been loading up truck for these 60,000 people already. Time to let it go up.
A 10-15 fold increase in mining shares equals a $4-5T increase in those shares. Absolutely necessary to hedge. Kevin
BillHolter.com 
Thank you pamelamoves@gmail.com
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