This 10X Setup Has Happened Before

You may have heard of Newmont Corporation. In 2019, it acquired Goldcorp to become the world’s largest gold mining company.

During gold bull markets, shares of Newmont perform well, as you’d expect.

They went up about 200% in the last gold bull market — from 2008 to 2011.

And went up about 65% in 2020 as the new gold bull market got underway.

That is not bad at all.

But check this out...

Back in 2003, Goldcorp spun off its royalties into a new company called Silver Wheaton.

Since then, shares of Silver Wheaton — now called Wheaton Precious Metals — soared more than 1,600%, leaving Newmont shares in the dust.

Then, in 2007, Newmont spun off its royalty business into a company called Franco Nevada.

Since then, shares of Franco Nevada have surged more than 1,200%. The royalty shares again significantly outpaced the mining shares.

Spun out for pennies on the dollar, both Wheaton Precious Metals and Franco Nevada shares went on to surge until their market valuations were equal to their parents’.

The combined market cap of Franco Nevada and Wheaton Precious is $50 billion.

That’s equal to their parent company Newmont.

Both royalty companies spun off from that gold giant.

They were once only a small part of the company.

Now they’re equal to its entire value.

Why is this the case?

Because a royalty company like Franco Nevada does nothing but collect cash.

It doesn’t have big operating expenses.

It doesn’t have to mine.

All it does is dish out large amounts of money collected from gold mining… Enriching
employees and investors.

And I’m not kidding…

This is the average pay of a Franco-Nevada employee.

Every single worker earns millions each year.

Far more than the average Facebook employee.

And they’re mostly paid in dividend income, not salaries!

Early investors have gotten rich as well.

The best part is…

Once a royalty deal is signed…

The payer is obligated to pay in good times and bad.

It doesn’t matter if the gold isn’t mined yet.

It doesn’t matter if the gold is late.

The money has to be in the bank.

This is why they perform in all gold markets — bear, bull, and sideways.

And why the royalty opportunity I’m about to share with you is so incredible…

Because the same set up is happening now that happened when Newmont spun off its royalty businesses…

And just like Franco and Wheaton… this new gold royalty company stock is set to rise 10X to match the valuation of its parent company.

It’s worth taking a look at now before that has a chance to happen.

Let's get it!

Gerardo Del Real
Editor, Daily Profit Cycle

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For the past decade, Gerardo Del Real has worked behind-the-scenes providing research, due diligence and advice to large institutional players, fund managers, newsletter writers and some of the most active high net worth investors in the resource space. Now, he is bringing his extensive experience to the public through Daily Profit Cycle, Junior Resource Monthly, and Junior Resource Trader. For more about Gerardo, check out his editor page.

*Follow Gerardo on Twitter.

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