Blogs

John Robins' connection to the Yukon runs deep -- his great-great grandfather trekked north as part of the Klondike gold rush of 1896 to 1899, joining an estimated 100,000 prospectors seeking their fortunes.

With the recent volatility in world markets and currencies, market commentators and mainstream media outlets have become bearish on oil, gold and even the broad markets (think magazine covers screaming 'this is the end!').  The investor herd is running scared, as evidenced by $2.8 billion in outflows from U.S.-based domestic-focused stock funds two weeks ago according to Lipper data. CNBC talking-head Dennis Gartman weighed in, calling for a US bear market to begin.  Another commentator slagged gold, the 5000 year old metal of kings, as a mere “pet rock.”  And Mad Money’s Jim Cramer recently swore off oil stocks.  We see this outcry of capitulation as a perfect contrarian signal that is putting a profit opportunity of impressive size before investors.

Warke's knack for extracting maximum value from his plays - he had described Hudbay's first offer as "grossly inadequate" - was also evident in the sale of Ventana Gold in 2011, the year gold hit almost US$1,900 an ounce. Warke, Ventana's cofounder and executive chairman, sold the company and its La Bodega gold deposit in Colombia for $1.53 billion to Brazilian Eike Batista, after rebuffing the deal maker's initial offer. (Batista's resource empire subsequently went bust, reducing his multibillion-dollar empire to bankruptcy.)

Brendan Bell, the acting CEO of Dominion Diamond (DDC), took an unconventional route to the C-suite. Neither a geologist nor an investment banker, Bell was a cabinet minister in the Northwest Territories before joining the northern diamond producer in July 2013. As the company's stock has plummeted recently, Bell has been buying. He purchased 5,000 shares at $18.14 on June 25, following that up with another 5,000-share buy four days later at $17.65.

When mining engineer Bruce McLeod took the helm at Nunavut gold play Sabina Gold and Silver (SBB) in mid-February, he promptly bought 36,500 shares in the public market at 39 cents.

Like many junior gold stocks, Sabina has been pummelled on the Toronto Stock Exchange, falling from highs above $7 in 2011. Unlike most, Sabina has a resource estimate exceeding 5 million ounces of high-grade gold in the measured and indicated categories.

Sean Roosen wasted no time establishing a gold royalty powerhouse, Osisko Gold Royalties (OR), last year after selling his Osisko Mining and its Malartic gold mine in Quebec to a Yamana Gold (YRI)/Agnico Eagle (AEM) consortium for $3.9 billion.

The Osisko Gold Royalties chairman and CEO added another prize royalty with the friendly takeover of Quebec-focused Virginia Mines. That deal gave Osisko a 2-3.5% NSR on Goldcorp's Eleonore mine in Quebec, which recently went into commercial production.

In our last piece, we shared our bullish view on the stock market and highlighted the iShares Russell Microcap (IWC*US) chart. Since that time the index has shaken out investors and bullishly powered back above its 50 day moving average. The microcap index finds itself again trading near all time highs. What’s impressive about this move is it's happened with the pessimistic investor sentiment rolling across Wall Street and Twitter like a smoldering tumbleweed in a post-apocalyptic Mad Max movie.

Can two of Canada’s best known billionaires be on to something? Investors may learn more when Just Energy Group (JE) releases year-end results next Friday, May 14th, after the market closes.

Shares of Just Energy have been in the penalty box for years. Volatile prices for energy, notably natural gas and electricity, played havoc on margins at the wholesaler, whose army of door-knocking sales representatives offer homeowners long-term fixed price contracts for home heating fuel and related services.

As a former director, president and co-CEO of Goldman Sachs (GS*US), John Thornton had presumably developed a thick skin as well as a large wallet.

The uber-profitable U.S. investment bank - famously described as a "great vampire squid wrapped around the face of humanity" by Rolling Stone writer Matt Taibbi - has been a favourite target of critics on Wall Street and beyond even before the financial crisis shook the foundations of U.S. finance. (Thornton retired from Goldman in 2003.)