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sipptrader under Basel 3 gold goes from 50% to 85% not 100%.
Just think about the timescale, if is was even remotely correct. buying gold would be a one way bet. It's not.
Why don't you say what you really mean...?
Redknight read what I said, I said that gold is not classified as Tier one on capital lending ratio one. So this 15,000 dollars an ounce price is rubbish.
Quady...instead of talking nonsense why don't you stick to being an actuary...
You clearly know nothing about Basel 1,2 or 3 and banks capital requirements...unlike those of us who qualified as bankers and treasurers and Directed Financial Services companies...
Basel Capital Adequacy ratios dictate the amounts of capital banks and similar institutions have to hold to manage the risk of, for example, lending...
Gold can be both a Tier 1 and a Tier 3 Asset under Basel 3, but there are strong reasons why countries and banks have been buying gold in anticipation of Basel 3...
Here is a 'layman's article'...
"On January 31 of this year, the World Gold Council revealed that global central banks, in response to the Basel III rule changes and growing political and market uncertainty, added 651 metric tonnes of gold to their reserves in 2018. This is a 50-year record, and represents a 74% year-over-year increase in net purchases. It is also probable that current institutional demand is reflective of the harsh reality facing the gold mining sector. The trifecta of declining resources, compounding regulatory and environmental burdens increasing the time to production, and few to no new major discoveries will lead to supply shortages. The explosive growth in monetary demand for gold and the dramatic decline in gold production will certainly buoy the price well into the future – independent of broader market conditions. "
https://bmg-group.com/gold-zero-risk-monetary-asset/
Where do people see this share going?
This article is older, but factual on Basel 3.
A bit more wordy.
https://www.kitco.com/commentaries/2019-04-02/Will-Basel-III-Send-Gold-to-the-Moon-Report-2-Apr.html
Zoros the post on basel 3 you posted is incorrect, gold will not be moved to become a tier 1 asset, tier 1 refers to the lending ratio's.
When every metal is down good time to buy SOLG
So...zoros...its fill your boots time with gold bullion and gold shares...
But dump CFDs...
Explains why central banks and sovereigns have been buying bullion...
It would be nice if it was, as that's roughly the time we will be mining the yellow stuff.
https://kinesis.money/blog/basel-iii-rules/
August 2022.
Gold will have to be re-rated to deal with the near $300 trillion debt globally. Hence why silly figures like $15k/ounce are thrown around!
Z
Redknight I am unsure what the colonel is on about. I am reasonably sure that Basel 3 doesn't kick in till 2022.
The biggest change will be the capital requirements under capital tier ratio one. But to be honest, most if not all banks should have sufficient reserves to meet their current lending, otherwise something is wrong.
Hi Colonel...you're always so knowledgeable...
Can you give a succinct summary of the Basel 3 changes please as they could also affect financial services/bankl valuations in the UK...
And another 99474...takes us back just shy of 900k again...
Lets see...
GLA
Bought back 190k plus at sub 23...here'e hoping...
I believe there WILL be an RNS tomorrow morning and we will close at 55p ; 0 )
Hi Q. Yes of course there will, here is an extract for the next month or so from my 'diary':
2021. 29000m Cascabel resource definition drilling. (Tandayama A / Aguinaga).
03/21. Tandayama drill results expected. (Drilling between 09/20 and 12/20).
2021. Porvenir. Updated drilling programme, 25000m. 112 man camp enlarged.
Q1/21. Blanca (Cerro Quiroz). Final assay results for holes 1 to 4.
Q1/21. Porvenir holes 5-8 assay results
Good results from any of these should nudge the SP, but what I am hoping for is a major hike caused by significant news.........
Z
Zoros- all good stuff you wrote apart from the-expect very little -I beg to disagree as there will be news flow within next couple of weeks.
As red said previously there is over $100+ BILLION of pm's and bm's down there and growing!
Who said this:
".....The Alpala mineral deposit, which is located in the Cascabel region, “could become the largest underground silver mine, third-largest gold and sixth-largest copper in the world..."
"...Additionally, the project during its first 25 years would have an annual production of around 207,000 thousand tonnes of copper, 438,000 ounces of gold and 1.4 million ounces of silver..."
[Ecuadorian government. 2019].
There is a major or majors out there who are completing their due dilligence as we speak, in preparation for a JV.
What would you be waiting for if you were that major?
Why haven't you initiated negotiations yet?
With the world swimming in fiat money and Au, Ag, Cu reaching new heights....what is the delay?
April 11th is the answer. Peace of mind before committing billions to this project.
May 24th - maiden speech by the new president. Mining will be the new oil.
Expect very little before then.
Z
Monte, it does seem that you never lose money on this stock if you sell a rally!! Taken me a few years to work that out!!!
Jerry
You are right, but we have seen it all before. Pea, the supposed PFS last year. Fantastic asseys, even a potential new discovery at poviner. We get to circa 40p and one way or another we always manage to get back into the low 20's, be it management f___ ups, artisan miners, referendums, elections etc etc. And that's not to mention cornerstone, BHP and il Duce Nicky boy.
I have always kept a main holding with a little trading here and there, if I had done it the other way around ie small longterm holding with a bigger trading pot, the final take out price would not be so important because I would already be on the yacht lol.
Monte, I hear what you say but not entirely true. The pea, pfs, dfs etc gave to have price inputs for various things including au, cu and ag. 1300 for au and 3.30 for cu look a bit overly conservative. Not sure what they used for ag but probably half the current price...
Not saying they should put mkts prices in but maybe a % of mkt would be reasonable?
RICH3R lol £1.50
Bubble you'd settle for £1.31 though - right ?? lol ;)