1
00:00:05,640 --> 00:00:08,200
Speaker 1: Welcome to Fear and Greed. Summer investings. Here is brought

2
00:00:08,240 --> 00:00:11,560
Speaker 1: to you by VANTA, specialists in compliance led growth. I'm

3
00:00:11,600 --> 00:00:15,360
Speaker 1: Sean Elmer. Gold had a spectacular run in twenty twenty four,

4
00:00:15,400 --> 00:00:19,560
Speaker 1: with the precious metal setting multiple records. Can it continue?

5
00:00:19,600 --> 00:00:21,920
Speaker 1: Will twenty twenty five be just as good a year

6
00:00:21,960 --> 00:00:24,200
Speaker 1: to be a gold miner? As always, this is general

7
00:00:24,200 --> 00:00:27,520
Speaker 1: information only and you should seek independent advice before making

8
00:00:27,520 --> 00:00:30,840
Speaker 1: investment decisions. Sean Wike is a senior investment analyst at

9
00:00:30,880 --> 00:00:34,240
Speaker 1: Wilson Asset Management. Sean, welcome back to Fear and Greed.

10
00:00:34,760 --> 00:00:36,000
Speaker 2: Thanks Sean, great to be here.

11
00:00:36,600 --> 00:00:40,000
Speaker 1: What a twenty twenty four year gold had. It's now

12
00:00:40,040 --> 00:00:42,560
Speaker 1: twenty twenty five. Can it continue?

13
00:00:42,960 --> 00:00:44,840
Speaker 2: Yeah? I mean gold's had a stellar run in twenty

14
00:00:44,880 --> 00:00:47,000
Speaker 2: twenty four. The spot price is up around you know,

15
00:00:47,120 --> 00:00:50,320
Speaker 2: thirty percent year to date, and the GDAX index, which

16
00:00:50,760 --> 00:00:54,520
Speaker 2: essentially tracks mid large cut producers across the globes, up

17
00:00:54,520 --> 00:00:56,959
Speaker 2: about a similar amount. So, you know, we think it's

18
00:00:56,960 --> 00:01:02,760
Speaker 2: reflected a combination of increased central bank buying, arising global liquidity,

19
00:01:02,800 --> 00:01:06,680
Speaker 2: and I think concerns over US budget deficis. Whilst you know,

20
00:01:06,920 --> 00:01:11,000
Speaker 2: the geopolitical environment's also been quite volatile, which plays into

21
00:01:11,040 --> 00:01:14,479
Speaker 2: those gold I suppose, SAYE having characteristics. So I guess

22
00:01:14,720 --> 00:01:17,199
Speaker 2: the question going forward is how do those settings change.

23
00:01:17,240 --> 00:01:20,440
Speaker 2: You know, we think gold will continue to service serve

24
00:01:20,480 --> 00:01:23,440
Speaker 2: a good purpose within you know, investor portfolio as we

25
00:01:23,480 --> 00:01:26,080
Speaker 2: think the main factors consider for gold in twenty twenty

26
00:01:26,120 --> 00:01:28,199
Speaker 2: five will be you know, the impact of a Trump

27
00:01:28,280 --> 00:01:32,120
Speaker 2: government with respect to tariffs. You know how that rolls

28
00:01:32,160 --> 00:01:35,600
Speaker 2: through to inflation, interest rates, and obviously the implications for

29
00:01:35,640 --> 00:01:38,520
Speaker 2: the US dollar. But yeah, I say generally we think

30
00:01:38,520 --> 00:01:41,520
Speaker 2: the gold price will continue to strengthen from here, and

31
00:01:41,600 --> 00:01:43,720
Speaker 2: you know, there's a number of ways to play that

32
00:01:43,800 --> 00:01:45,039
Speaker 2: within the Australia market.

33
00:01:46,080 --> 00:01:48,000
Speaker 1: So I actually want to get to that in a moment.

34
00:01:48,440 --> 00:01:51,240
Speaker 1: But it's quite incredible gold. There's quite a number of

35
00:01:51,240 --> 00:01:54,280
Speaker 1: ways to play that. The shear market itself close to

36
00:01:54,320 --> 00:01:57,640
Speaker 1: record highs. There seems to be we've missed the recession

37
00:01:57,960 --> 00:02:02,720
Speaker 1: yet the safety value of gold has been maintained. It's

38
00:02:02,760 --> 00:02:06,760
Speaker 1: almost like it's almost like the just in case commodity

39
00:02:06,840 --> 00:02:08,880
Speaker 1: for a lot of investors, just in case it doesn't

40
00:02:08,880 --> 00:02:10,120
Speaker 1: work out like we think it's going to.

41
00:02:10,960 --> 00:02:14,160
Speaker 2: Yeah, that's dead right. I mean Gold's purpose for hundreds

42
00:02:14,200 --> 00:02:16,280
Speaker 2: of years has really been as a safe haven and

43
00:02:16,320 --> 00:02:19,960
Speaker 2: as a as a reserve, particularly you know, in periods

44
00:02:19,960 --> 00:02:22,600
Speaker 2: of inflation. So you know, we think it has served

45
00:02:22,639 --> 00:02:25,040
Speaker 2: a good role there. I mean the interesting thing now is,

46
00:02:25,639 --> 00:02:28,240
Speaker 2: you know, on a medium term view, to what extent

47
00:02:28,360 --> 00:02:31,880
Speaker 2: the role of gold gets replaced by crypto. You know,

48
00:02:32,240 --> 00:02:35,120
Speaker 2: the younger generations, they look at crypto I think in

49
00:02:35,440 --> 00:02:37,519
Speaker 2: the same light as they view gold, and you know,

50
00:02:37,560 --> 00:02:39,720
Speaker 2: they're very unlick. I think to go and buy gold

51
00:02:39,760 --> 00:02:42,360
Speaker 2: bar as opposed to buy a bit kind certainly, you know,

52
00:02:42,400 --> 00:02:43,920
Speaker 2: the younger generations I speak to.

53
00:02:44,600 --> 00:02:47,200
Speaker 1: Yeah, okay, so how do you pay what's happening in

54
00:02:47,240 --> 00:02:48,359
Speaker 1: gold as an investor?

55
00:02:48,880 --> 00:02:51,560
Speaker 2: Yeah, we think you know, it's still playing through the

56
00:02:51,560 --> 00:02:55,360
Speaker 2: equities is a good way to get exposure obviously, you know,

57
00:02:55,440 --> 00:02:57,760
Speaker 2: the genior mine is going to provide you more leverage

58
00:02:57,800 --> 00:03:00,480
Speaker 2: to that gold price typically. But you know a couple

59
00:03:00,520 --> 00:03:02,480
Speaker 2: of the stocks that we like within the space are

60
00:03:02,560 --> 00:03:07,160
Speaker 2: Emerald Resources and there's another Australian based producer, Catalyst Metals,

61
00:03:07,160 --> 00:03:08,160
Speaker 2: that we like as well.

62
00:03:08,880 --> 00:03:10,600
Speaker 1: Okay, and why those two.

63
00:03:10,840 --> 00:03:13,560
Speaker 2: So Emerald, we think it's the story is really around

64
00:03:13,560 --> 00:03:17,160
Speaker 2: production growth. So these guys have been you know, Morgan,

65
00:03:17,240 --> 00:03:20,119
Speaker 2: the CEO, there's done a tremendous job over the last

66
00:03:20,120 --> 00:03:23,120
Speaker 2: few years in terms of continue to ramp up gold production,

67
00:03:23,760 --> 00:03:25,600
Speaker 2: and we think, you know, the market is going to

68
00:03:25,600 --> 00:03:28,760
Speaker 2: continue to focus on those companies that can grow their production.

69
00:03:29,360 --> 00:03:32,040
Speaker 2: And to be honest, Catalyst is a very similar story

70
00:03:32,080 --> 00:03:35,160
Speaker 2: where you know, it's all about growing production. So you know,

71
00:03:35,240 --> 00:03:37,360
Speaker 2: we think they're the place to be. And obviously, you know,

72
00:03:37,520 --> 00:03:40,120
Speaker 2: growing production the contacts of expanding margins.

73
00:03:40,560 --> 00:03:45,160
Speaker 1: What about companies like Newmont Northern Start are they worth?

74
00:03:45,320 --> 00:03:46,800
Speaker 1: I mean they're kind of the big guy. I mean

75
00:03:47,040 --> 00:03:49,320
Speaker 1: Newmont is the massive guy and you can access and

76
00:03:49,440 --> 00:03:51,480
Speaker 1: Viya the AX or you can go to Canada and

77
00:03:51,480 --> 00:03:54,200
Speaker 1: get it. What are the prospects for those bigger ones

78
00:03:54,200 --> 00:03:56,480
Speaker 1: if you don't want to be quite a speculative.

79
00:03:56,360 --> 00:03:59,800
Speaker 2: Yeah, we think they're still positive. Newmont's obviously going through

80
00:04:00,240 --> 00:04:03,400
Speaker 2: you know, our process now whereby you know, through M

81
00:04:03,440 --> 00:04:05,200
Speaker 2: and A. They've now you know, I really got to

82
00:04:05,200 --> 00:04:08,520
Speaker 2: refocus that business and we think you're likely to see them,

83
00:04:08,600 --> 00:04:10,640
Speaker 2: you know, hone in on their Tier one assets and

84
00:04:11,160 --> 00:04:13,960
Speaker 2: divest the Tier two assets. So you know, there's probably

85
00:04:14,000 --> 00:04:16,480
Speaker 2: a bit of a digestion period for Newmont we think,

86
00:04:16,600 --> 00:04:19,200
Speaker 2: but once they get through that, we think the outlook

87
00:04:19,279 --> 00:04:21,240
Speaker 2: does look quite favorable.

88
00:04:21,839 --> 00:04:23,400
Speaker 1: Okay in Northern Star.

89
00:04:23,720 --> 00:04:25,960
Speaker 2: Yeah, Northern Star as well, we think, you know, those

90
00:04:26,000 --> 00:04:28,479
Speaker 2: guys have done a great job and obviously they're still

91
00:04:28,480 --> 00:04:31,719
Speaker 2: a mandate there to continue to grow productions. So yeah,

92
00:04:31,760 --> 00:04:35,080
Speaker 2: we think we think operationally that business looks well positioned

93
00:04:35,080 --> 00:04:37,560
Speaker 2: to you know, to provide good leverage the to the

94
00:04:37,600 --> 00:04:38,200
Speaker 2: goal price.

95
00:04:38,880 --> 00:04:40,640
Speaker 1: Sean, thank you for talking to me this morning.

96
00:04:40,960 --> 00:04:42,080
Speaker 2: Thanks, Sean, appreciate it.

97
00:04:42,240 --> 00:04:45,560
Speaker 1: That was Sean Whiite, Senior investment analyst at Wilson Asset Management.

98
00:04:45,640 --> 00:04:48,560
Speaker 1: Remember to get your own independent advice before making decisions.

99
00:04:48,880 --> 00:04:51,240
Speaker 1: This is Fear and Greed Summer Investing series, brought to

100
00:04:51,240 --> 00:04:55,239
Speaker 1: you by Vanta. Vanta automates compliance for frameworks like ISO

101
00:04:55,320 --> 00:04:59,479
Speaker 1: twenty seven one two, CPS two three four and Essential Late,

102
00:04:59,560 --> 00:05:02,320
Speaker 1: saving time and money while building trust. Join over eight

103
00:05:02,400 --> 00:05:05,480
Speaker 1: thousand companies like at Lasian, Dovetail and fire Ant managing

104
00:05:05,520 --> 00:05:07,960
Speaker 1: real time risk in one thousand dollars off at Banta

105
00:05:08,040 --> 00:05:11,920
Speaker 1: dot com. Slash Fear and Greed. I'm Sean Elmer. Enjoy

106
00:05:11,960 --> 00:05:12,280
Speaker 1: your day,