Credit Collapse Warning: Rick Rule Reveals 'The One Thing That Really Scares Me'

Summary

Rick Rule discusses his Rule Symposium, investment philosophy, and market outlook. He highlights bullish opportunities in gold stocks, royalty companies, Canadian oil and gas, small community banks, and junior miners, while warning about high-yield credit ETFs and near-term weakness in copper and the economy.

• Rick Rule runs a vetted natural resource investment conference and emphasizes rational, disciplined stock selection.
• He holds Agnico Eagle as the best-run senior gold miner and Franco-Nevada as an undervalued best-in-class royalty company.
• Royalty and streaming companies are positioned for their best decade due to lower capital costs in a high-rate world.
• The junior resource market sold off 40%, creating what he calls spectacular value across good and bad companies alike.
• Gold is expected to rise markedly over the next decade, making fairly priced gold stocks attractive.
• Canadian oil and gas equities are in freefall and he plans to allocate capital there, expecting political pragmatism from the new government.
• Small US community banks trade at deep discounts to book with double-digit after-tax earnings yields.
• A major risk is high-yield corporate bond ETFs where illiquid underlying bonds could spark a run if retail investors sell, and the Fed has less capacity to intervene than in 2008.