Which way are the financial market biggies betting on in the commodity market space?. Watch today’s discussion on the commodities space, with Ian Williams, CEO at the Charteris Fund, up 200% YTD. Having outperformed most of the precious metals funds, we look at their performance, their biggest positions, and why both Silver and Gold see upside potential ahead. Interviewed by Charlie Gibson, Head of Mining at Edison Research, and Bonnie Hughes, Natural Resources Forecaster.
Key Quotes
“Our silver weighting is higher than competitors and that is responsible for our outperformance.”
“Haven’t really seen full extend of silver’s outperformance, The rate of fund outperformance is likely to go higher in future.”
“Biggest positions – Fortuna silver, Tahoe resources, MAG Silver, Fresnillo (LON:FRES)”
“Gold/Silver volatility comparison – Gold usually leads, Silver comes down more in bear market and goes up more in a bull market and that is why rate of our fund’s performance is going to get higher as silver outperformance is yet to unfold.”
“Silver is more industrial use than gold. It’s a billion ounce market (billion ounce supply/demand).”
“Silver – 40-year pattern since 1973 – most of the outperformance in silver and even in gold tends to happen in second half of the year. This year, all the funds have gone up in a seasonally weakest period.”
“Once next three weeks or so are out of the way (when prices back off a little).. prices could rally further. Gold could to $1500 and silver can go through $20 to $30.”