Gerardo Del Real,
Editor
June 8, 2023
I’ve spent years learning and refining how to be a contrarian speculator in the resource space. Rick Rule’s famous line “you’re either a contrarian or a victim” has always resonated and seeing a mentor of mine amass a fortune using that approach was all the convincing it took me 16 years ago to decide that was the approach that best suited my speculating and investing style.
In 2005 I was buying, refinancing and helping friends flip homes. When I saw how easy it was for me – who at the time only had a pulse to qualify for a bank loan – to secure hundreds of thousands and eventually over a million dollars of real estate loans I realized I better learn how to do something else and started liquidating any properties I didn't intend to keep long-term.
The timing was one part luck, one part common sense and that helped me dodge the housing collapse that followed.
It’s also what led me to the junior resource space in 2008 – what timing huh? – which quickly informed my risk/reward tolerance. Nothing like a global financial collapse to welcome me to the joys of natural resource speculating.
Jokes aside, the rare earth mania of 2010 and 2011 instilled a fondness for seeking out metals/minerals that aren’t in the everyday conversation when discussing where to allocate capital. Quadruple-digit returns early on were a gift and a curse as I eventually realized those types of returns were atypical but also very possible.
Which is why when I recently had a conversation with friend and colleague Nick Hodge about helium, its applications, the sustained shortage and the ways he was tapping into that, I immediately perked up.
Nick explained the fundamentals of the sector, how opaque it is, and why that’s a benefit giving informed contrarian speculators an edge.
Nick is putting together a detailed report outlining the opportunity and how to profit from it. I recommend you get that done.
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Gerardo Del Real
Editor, Daily Profit Cycle