“You Want to be Selective in the Gold Stocks You Pick” warns Resource Fund Manager Samuel Pelaez

“Investing in the gold sector over the cycle has not proven to be a successful investment strategy. So, you do not want to invest in the entire sector. You want to be selective in the [gold] stocks you pick, whether the gold price is rising or not. And I think that remains the case for this cycle,” warns Resource Fund Manager Samuel Pelaez in this MSE episode.

Samuel Pelaez is the President, CEO and CIO of Olive Resource Capital Inc. He has dedicated the past decade to financing natural resource projects while serving as Chief Investment Officer and Portfolio Manager at Galileo Global Equity Advisors, and as an analyst at US Global Investors. Mr. Pelaez has been an early investor in numerous resource discoveries and has been an active participant in Canadian resource corporate transactions. Samuel graduated from the Schulich School of Business with Distinction. He also holds a Masters in Finance degree from The University of Cambridge. He was a scholar of the Financial Leaders of Tomorrow Program at the PBOC Graduate School at Tsinghua University in Beijing. Samuel is a CFA charter holder and member of the Toronto CFA Society where he resides. Mr. Pelaez is currently, President, CEO and a Director of Gossan Resources Ltd.

0:00 Intro

0:47 Gold Market

4:27 Impact of the Fed’s Interest Rate policy

6:27 Opportunity in the gold equities?

7:22 “You want to be selective in the gold stocks you pick”

8:24 What makes a strong management team

12:17 Jurisdictional Risk

14:30 Argentina

16:42 Ecuador

18:56 Optionality as an investment theme

21:14 Aurion Resource ROFR on their B2Gold JV

23:14 Navigating Risk

26:04 Recession in 2024?

28:55 Recession and its potential effect on net zero

31:37 Energy vs Battery Metals

34:43 Choosing which opportunity to invest in

36:35 Olive Resource Capital