The Elusive Nature of Bubbles: Insight and Ten Books on the Subject
In 2024, crypto is creating bubbles in the microcap space while NASDAQ is being fueled by big tech. Predicting market bubbles is notoriously difficult. The line between a justified bull market and an unsustainable bubble can be blurry. Even the smartest investors can make mistakes either predicting a bubble that doesn’t materialize or missing one […]
Playing with Profits: How the House Money Effect Can Derail Your Micro-Cap Strategy
Micro-cap investing offers the allure of explosive growth and landing a multi-bagger can feel incredible, validating your research and risk-taking. But beware: those very profits, if not managed psychologically, can become the seeds of future losses through a common cognitive bias known as the House Money Effect. Understanding and combating this effect is crucial for […]
Why Big Money Stays Away from Penny Stocks and What It Means for Retail Investors
The penny stock landscape is unique in that it’s largely devoid of the large institutional investors – pension funds, mutual funds, hedge funds – and even most high-net-worth individuals and family offices that dominate the larger stock market. This article explored why these big players typically steer clear of penny stocks and what that means […]
Penny Stock vs. Blue Chip: The Challenges and Realities of Competing with Industry Giants
The penny stock market is a breeding ground for innovation, populated by small companies with ambitious plans to disrupt established industries or carve out profitable new niches. These companies often attract investors with compelling stories of future growth, painting a picture of a future where they challenge the status quo and capture significant market share […]
Identifying the Microcap Pump & Dump
The microcap market, while offering the tantalizing prospect of high-growth opportunities, unfortunately also attracts those seeking to exploit unsuspecting investors. Among the most prevalent tactics employed are aggressive stock promotion and the insidious “pump-and-dump” scheme. These manipulative practices aim to artificially inflate a stock’s price through misleading or outright false information, ultimately separating investors from […]
Glacial Retreat and the Unlocking of Mineral Wealth
Beyond the well-trodden paths of infrastructure, political stability, and geological surveys, a new and increasingly significant factor is reshaping the landscape of mineral exploration: glacial abatement. Driven by the undeniable force of climate change, glaciers and snowpacks across the globe are receding at an accelerated rate, unveiling previously inaccessible terrain and potentially unlocking a new […]
Location, Location, Location: Why Geography and Infrastructure are Make-or-Break for Microcap Exploration Companies
Investing in microcap exploration companies carries inherent risks, but one factor that significantly impacts a project’s potential success, and often gets overlooked, is location. While the size and grade of a mineral deposit are undoubtedly crucial, the geographic location, including political stability, environmental considerations, infrastructure access, and even the depth of overburden, can make or […]
The Allure of the Elephant Footprint: Navigating the High-Stakes World of Microcap Mineral Exploration
In the high-octane arena of junior mineral exploration, the analogy of the “elephant footprint” serves as a powerful metaphor. It encapsulates the dream that every microcap investor and exploration company chases: the discovery of a massive, game-changing mineral deposit. While initial exploration results might appear modest, the keen-eyed investor and experienced geologist look for clues […]
De-Risking the Mine: How the Lassonde Curve Guides Investment Decisions in Junior Mining
The junior mining sector, particularly exploration, is a high-risk, high-reward proposition. Companies are often built around the potential of a single discovery, and their stock prices can fluctuate dramatically based on exploration results, market sentiment, and a myriad of other factors. For investors seeking to navigate this volatile landscape, understanding the Lassonde Curve, a concept […]
Understanding the Psychology Behind Short-Term Investing and the Gamification of the Stock Market
The investment landscape has undergone a significant transformation in recent years, moving beyond the traditional image of patient, long-term wealth building. Today, a growing segment of investors is drawn to the fast-paced worlds of short-term trading, cryptocurrency, and other asset classes that offer the potential for rapid gains. This shift is fueled in part by […]