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BMR got an excellent response to the first half of our interview with Jim Slater Thursday, and now we’re pleased to present the second half which begins with a further discussion on gold.  We also ask Jim about the UK-based Junior Mining Fund he’s involved with and some of the stocks in that portfolio including Gold Bullion Development (GBB, TSX-V) and Spanish Mountain Gold (SPA, TSX-V).

At BMR, we strongly believe that one of the best ways to make money is to surround yourself with those who have it and learn from them.  It was my great pleasure this week to speak with Mr. Slater who who knows how to make money and has a track record to prove it.  He is not only highly respected for his ability to uncover winning investments (often under-researched smaller companies that deliver massive gains) but he has been an extremely successful entrepreneur and author with 81 years of wisdom under his belt.  He has written many books including “The Zulu Principle”, a best-seller, and “How To Become A Millionaire” which he co-wrote with Tom Stevenson.

Jim is bullish on gold and quality gold mining shares which he chooses very carefully.  We highly suggest you check out his web site:

www.jimslater.org.uk.

Click on the link below to listen to Part 2 of BMR’s interview with Jim Slater:

BMR Jim Slater Interview – Part 2

The BMR Portfolio (1st of 2 parts):

Gold Bullion Development (GBB, TSX-V)

Gold Bullion held its own this week which was impressive if for no other reason than the fact 18 million shares became free trading on Monday…the sky did not fall as some had feared…GBB finished the week unchanged at 54 cents on total CDNX volume of nearly 5 million shares…for every investor who for whatever reason wanted to sell their 21.5 cent private placement stock from April, there was a buyer…the first set of drill results from the LONG Bars Zone eastern extension are going to be hugely important…based on historical reports and all the clues investors have been given in the last 2 Gold Bullion news releases, we have a high degree of confidence that Granada will deliver…GENIVAR seems to be hitting all the right stuff, for lack of a better word, and mineralization is being encountered near surface and at depth with visible gold in many of the 27 Phase 2 holes drilled east of the Block Model through the end of last month…we spent considerable time this week reviewing the 130+ page report (“Geology, Structure and Gold Mineralization on the Granada Eastern Extension Property“) authored by Willoughby in 1994, a publicly available document from the Quebec Ministry of Mines…we have made reference to this report before but here are a few more interesting observations…“The ongoing mapping and drilling of the Granada Mine and Granada Extension properties indicate an 8 kilometre long zone of shearing, deformation and gold mineralization along the southern part of the Granada Segment, and in conjunction with other mineralization features apparent within the segment, is considered to be a regional feature“…“The role of major northeastlery fault structures in the localization of high grade zones as steeply dipping, northeast plunging ore bodies is considered significant“…“A large circular feature interpreted from air photos encloses most of the Granada Mine Property and suggests an intrusive stock at depth, perhaps the feeder for the numerous sills and dykes mapped at surface“ …we’re not the only ones who see something potentially huge in the making with Gold Bullion…British investment guru, entrepreneur and best-selling author Jim Slater is involved with the UK-based Junior Mining Fund which, he revealed to us in an interview this week, has accumulated a significant position in Gold Bullion and will be adding to that position…“We like it a lot…it’s low grade but it’s growing very fast – massive tonnage,” Slater told us…”I’ve met the management team and I’m impressed with them…I would like to see them in due course move from exploration to development because that’s where the money is…another great feature is that it’s in Quebec“…

CDNX and Gold

All things considered, it was a banner week for the CDNX.  With the Dow falling 3%, the Nasdaq off 5% and the TSX down 2.5%, the CDNX held its ground and shed just 8 points (half of 1 per cent) to 1457.  Given the fact the CDNX has proven to be such a reliable and accurate leading market and economic indicator, we cannot emphasize enough how significant it is that this speculative Index has been performing so well over the past 5 weeks since bottoming at 1343 July 6.  The CDNX started moving to the upside before Gold did last month and now it’s outperforming the major markets.  What this tells us is that the overall markets in the weeks and months ahead should be pretty good, that a major crash just isn’t in the cards (we saw the opposite in the summer of 2008 when the CDNX moved ahead of Gold and the major markets to the downside, technically falling apart, and we all know what happened after that).   At the moment we have a very interesting technical situation with the CDNX which is trading between its 50 and 100-day moving averages.  After a 3-month decline, the CDNX 50-day SMA is imminently close to reversing to the upside – in fact, we could very easily see this reversal occur next week.  When this happens (we believe it’s only a question of when, not if), it’s like the equivalent of adding gas to a fire.  The Index can be expected to challenge heavy resistance around 1500 and with a fresh supply of fuel it has an excellent chance of breaking through that resistance (if not initially, then on another attempt).  Keep in mind the CDNX’s 200 and 300-day moving averages continue to rise – we saw a very normal 20% correction (May into July) and a classic “W”  bottom formation within an ongoing bull market, and now a major new advance appears to be underway.  Gold had an excellent week, pulling itself back up after some intra-day moves below $1,200, and closed Friday at $1,215 for a $9 weekly advance.  The Gold bulls have wrestled back control from the bears.  Even an advancing U.S. Dollar could not get in Gold’s way this week.  The yellow metal is underpinned by strong technical support as well as physical buying on any dips.  Given the fact we’re entering a traditional period of seasonal strength in Gold, it’s likely safe to assume the $1,200 level is going to hold and a move to new all-time highs ($1,300 to $1,350) is quite possible over the next couple of months.  That’s what the CDNX is telling us as well.

Gold has traded within a narrow range today of $1,211 to $1,219…as of 8:30 am Pacific, Gold is unchanged at $1,213…the bulls have the upper hand with Gold right now, based on technical factors, and the final 6 weeks of this quarter should prove to be very interesting as Gold is also entering a period of traditional season strength…Gold and the U.S. Dollar have both been strong this week, perhaps indicating some growing investor anxiety…North American markets are generally flat this morning with no clear sense of direction…the CDNX is off 2 points to 1452…over the weekend we’ll be taking another look at the current CDNX chart in comparison to the 2004 CDNX as there are many important similarities between the two…the second part of our interview with British investment guru, entrepreneur and author Jim Slater will be uploaded at 2 pm Pacific today…Slater talks a little more about Gold and also discusses some stocks in the UK-based Junior Mining Fund he’s involved with, including Gold Bullion Development (GBB, TSX-V) and Spanish Mountain (SPA, TSX-V)…Gold Bullion is currently unchanged at 52 cents…Slater sees what we see in Gold Bullion…the Granada deposit is growing very fast and has tremendous potential to develop into a massive tonnage situation…the first assay results from the eastern extension (outside the Block Model) could come any day now and given historical information on this area, in addition to “visuals” that were provided near the end of July in Gold Bullion’s most recent news release, we have every reason to believe these results will confirm the growing magnitude and potential of the LONG Bars Zone…a massive area going east appears to be mineralized, for several kilometres, within a north-south zone of approximately 450 metres in width…it’s not hard to do potential tonnage calculations on the back of an envelope with this one…those who do not see what’s developing here have simply not done their homework…Sidon International Resources (SD, TSX-V), which has tripled in value since we first brought it to the attention of BMR readers several months ago, has consolidated very nicely and is finding strong technical support at its rising 20-day moving average of 13.5 cents…Sidon’s overbought condition has largely “unwinded”, creating the possibility of another upleg in the near future…this would likely have to be accompanied by an exploration update on Morogoro East, however, as investors are waiting for Sidon to lay out some clear plans with that project…

At BMR, we strongly believe that one of the best ways to make money is to surround yourself with those who have it and learn from them.  It was my great pleasure yesterday to speak with respected British investment guru, entrepreneur and author Jim Slater who knows how to make money and has a track record to prove it.  He has a tremendous feel for the market and over the past 40+ years has consistently made outstanding individual stock picks with an understandable, effective strategy.  He has a real passion for the gold mining sector and is very bullish on the yellow metal.

Our interview with Jim has been divided into 2 parts:  In this first segment (click on the link below), just under 20 minutes in length, Jim offers words of wisdom on how we can all become better investors.  He also gives his macro economic outlook and views on gold.

In Part 2 tomorrow, Jim talks more about gold and gold mining shares.  He also comments on some of the stocks in the Junior Mining Fund, which he is involved with, including Gold Bullion Development (GBB, TSX-V) and another one of his favorites, Spanish Mountain Gold (SPA, TSX-V).

Slater’s track record as a successful investor, businessman and author speaks for itself.  He has written many books including “The Zulu Principle”, a best-seller, and “How To Become A Millionaire” which he co-wrote with Tom Stevenson.  We highly recommend visiting his web site which is www.jimslater.org.uk.

BMR Jim Slater Interview – Part 1

Gold held up extremely well in the face of a stronger U.S. Dollar yesterday, and today Gold has shot up convincingly through $1,200 with a $16 move to the upside…as of 8:00  am Pacific, Gold is trading at $1,214…technical momentum is clearly in favor of the bulls at the moment with the next target being the July high of $1,222…the CDNX is up 8 points to 1449…despite yesterday’s 23-point sell-off, the primary trend with the CDNX continues to be up…we’ve mentioned several times at BMR the striking similarities between the 2004 market and the current one…the market bottomed in July, 2004, and found support at its rising 20-day SMA from August through most of October…the CDNX’s current 20-day SMA is 1415…at BMR, we believe one of the best ways to make money is follow those who have it…we interviewed British investment guru, entrepreneur, author and multi-millionaire Jim Slater yesterday from his office in London, England…Slater is involved with the Junior Mining Fund in the UK which, he revealed to us, has invested in Gold Bullion Development (GBB, TSX-V) on 3 separate occasions over the past 6 months and will continue to add to its position…”It’s low grade but it’s growing very fast – massive tonnage,” stated Slater…”I’ve met the management team and I’m impressed with them…I would like to see them in due course move from exploration to development because that’s where the money is…another great feature of it is that it’s in Quebec”…we have divided our interview with Slater into 2 parts…the first segment will be posted this morning at 10 o’clock Pacific time with Slater speaking in general terms about investing, the macro economic picture and Gold…the second half of the interview will be uploaded tomorrow…Slater is also bullish on Spanish Mountain Gold (SPA, TSX-V) which he speaks about in Part 2 tomorrow along with Gold Bullion…GBB is unchanged this morning at 53 cents…Sidon International (SD, TSX-V) is up a penny to 14.5 cents…Sidon has cleansed its recently overbought technical condition and has strong support at its 20-day SMA of 14 cents…this stock has tripled in value since we first introduced it to BMR readers in late March…Richfield Ventures (RVC, TSX-V) pulled back as predicted and is sitting at $1.52 this morning, just above its 20 and 100-day moving averages where it should find strong support…

British investment guru, entrepreneur and accomplished author Jim Slater knows how to make money.  I had the privilege of speaking with him for an hour yesterday and it was a wonderful discussion I will not soon forget.  He is unquestionably one of his country’s most astute investors.  He coined the phrase “Elephants Don’t Gallup” which explains his passion for smaller companies, particularly in the gold sector, that have the potential of becoming the giants of tomorrow.

One of those companies he’s extremely bullish about is Gold Bullion Development (GBB, TSX-V) which we first introduced to BMR readers nearly 8 months ago at 7 cents.  In our discussion with Slater yesterday he revealed that the Junior Mining Fund he helped establish last year, and has a sizeable personal stake in, has accumulated a significant position in Gold Bullion.  “It’s a growing holding (the Fund took an initial position in GBB about 6 months ago, added to that position 3 months ago and just recently bought more) and we like it a lot,” explained Slater.  “It’s low grade but it’s growing very fast…I’ve met the management team and I’m impressed with them.”

The Junior Mining Fund invests in mostly producing companies which is “quite a compliment”, Slater stressed, to Gold Bullion.

We’ll be uploading Part 1 of BMR’s interview with Slater at 10 am Pacific today.  In this first segment, just under 20 minutes in length, Slater offers words of wisdom on how we can all become better investors.  He also gives his macro economic outlook and views on gold.

In Part 2 tomorrow, Slater talks more about gold and gold mining shares.  He also comments on some of the stocks in the Junior Mining Fund, which his son-in-law manages, including Gold Bullion and another one of his favorites, Spanish Mountain (SPA, TSX-V).

Slater’s track record as a successful investor, businessman and author speaks for itself.  He has written many books including “The Zulu Principle”, a best-seller, and “How To Become A Millionaire” which he co-wrote with Tom Stevenson.

Slater, who’s 81 years old with the energy of someone half his age, is currently Deputy Chairman of Agrifirma Services Limited which advises Agrifirma Brazil, an agricultural company, in which he has a substantial investment.  We suggest visiting his web site:

www.jimslater.org.uk

Markets are taking a beating across the board today…the Dow dropped 200 points at the open after weak manufacturing data out of China and a gloomier assessment of the economy from the Federal Reserve…the Dow is off 225 points as of 9:35 am Pacific…the TSX has slipped 245 points while the CDNX, which has been on a tear recently, has dropped 21 points to 1443…the CDNX is still in very good technical shape, however…this is a normal pullback that we warned was possible and a test of the 50-day moving average of 1425 could certainly occur…money is made on embracing this kind of weakness as the primary CDNX trend is very bullish in our view…Gold has bounced around today…it reached a high of $1,209 but has since gone into retreat…as of 9:35 Pacific, Gold is near its low of the day at $1,194 (down $10 an ounce)…the U.S. Dollar is much stronger today, up over 1 cent on the Index to 82.19…Gold Bullion Development (GBB, TSX-V), which staged intra-day rallies to close at 56 cents each of the past 2 days, is off 3 pennies to 53 cents…the overall market weakness today is providing attractive accumulation opportunities with Gold Bullion as well as Sidon International (SD, TSX-V) which is down half a penny to 13.5 cents, an area of strong technical support…as the old adage goes, buy into weakness…