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First Majestic Silver Corp. (FR)
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Agnico Eagle Mines Limited (AEM)
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Albemarle Corporation (ALB)
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Fortuna Mining Corp. (FVI)
Q: I am wondering if it’s time to move money from some tech stocks into resource stocks. Do you like any of the following for a buy opportunity: Newmont/Kinross/Egnico, First Majestic/Fortuna, Albemarle, anything in nickle/platinum? If not, which resource stocks would you recommend?
Thank you so much,
Milan
Thank you so much,
Milan
5i Research Answer:
Of the list, we like FR, AEM and ALB the best. There are not a lot of choices in nickel, platinum. We think some resource stock exposure is warranted, with gold moving nicely and copper breaking out. Much will depend on economic growth, but metals tend to be less correlated with other assets, and a lower US dollar (with lower rates) can help the sector a lot. We would still see tech as worthwhile of a much higher sector weighting, but can certainly see 5% to 10% materials as justified for most investors.