Lawrence Lepard: We Are In The Next Leg Up For This Gold Bull Market
Lawrence feels the technical picture for the next gold bull market looks very good particularly now that it has moved through 1365. This is the next leg up, and this coming next rally will be driven by a loss of confidence in the policies of central banks.
There are excellent value opportunities for junior miners. Financing has been difficult for many companies in spite of many having an established resource. When gold prices rise, it will become much easier to finance these companies into production. The coming bull market will bring a lot of opportunities and potential leverage for investors.
Mining is a difficult business, and many things can go wrong in this industry. Investing in this space is possible with time and research. There are some companies with encouraging stories, those that have restructured and have improved their positions. Some will almost certainly move multiples higher.
The housing bubble of 2008 has a lot of similarities with where we are today in the broader stock markets. The stock markets are in a massive bubble that is looking for a pin. Investors should keep in mind that commodities are in a total bear market, and compared to the S&P, they are at near-century lows. The Fed will always fall back to printing money to support the system which will inevitably end in inflation.
Sound money is the basis of honesty and useful interactions between people while unsound money corrupts and impoverishes. He feels that Bitcoin will be an important part of the solution and encourages investors to keep an open mind.
Time Stamp References:
0:40 – Current action in gold.
2:50 – Mining stocks and juniors.
5:50 – Upside and risk in mining.
7:40 – Spotting trends and opportunities.
12:50 – Does luck play a role?
15:00 – Market psychology will change at some point.
19:30 – Books that influenced him.
23:00 – World will be better after the crisis.
Talking Points From This Weeks Episode
• We are in the next secular bull move.
• Central banks are cornered.
• Inflation risks are increasing.
• A return to sound money is necessary.
• He recommends the book “The Fourth Turning.”
• Humanity tends to move in 80-year cycles.
• Debt problems cannot be solved with more debt.
To view the latest report and commentary from Lawrence on the Gold market click here.
Lawrence W. Lepard is the Founder and Managing Partner of Equity Management Associates. He has spent his entire 38-year career as an investor, principally focusing on venture capital opportunities. Before co-founding EMA, Mr. Lepard spent 13 years at Geocapital Partners, in Fort Lee, NJ. There he was one of two Managing General Partners and was responsible for several venture capital funds. Before Geocapital, Mr. Lepard spent seven years at Summit Partners in Boston and California, where he was a General Partner in Summit I and Summit II.
Mr. Lepard received his BA in Economics from Colgate University, and he received an MBA with Academic Distinction from Harvard Business School.