Thought for the day12 Apr 2025 08:21
Posted by Happyhaddock on another board:
Even if appearing pessimistic or condescending, given how many lose money speculating on junior explorers, the following warning to clearly identify all unknowns and consider all possible outcomes warrants periodic repetition.
I'm always amazed at the unshakable conviction folk on LSE have in their own opinions, along with their desire to have their opinions seen as more important than other people's. It is as if they don't realise that this sector is defined by uncertainty and that markets are moved by what the silent majority feel probable, not what vocal strangers on the inter-net hope or fear is possible.
Too many on LSE mistakenly equate a junior explorer's potential with guarantees of meeting their own targets and schedules. Companies can't announce new deals or great drill results whenever nervous folk worried about the share price want reassurance that they've backed one of the rare exceptions that will go on to make a loss making sector seem appealing. Progress with physical exploration and administrative paper-work is typically far more uncertain than most can tolerate, where share dilution, delays and short term price volatility are an expected norm even for the best exploration companies.
In the insular world of LSE bulletin boards some dedicate much of every day to cheering on speculative equity purchases like punters at the horse racing, or to jeering at those with contrasting opinions as if they were pantomime villains. This questionable use of time, along with the impatient hype of LSE contributors who champion extreme predictions, either to the up or downside, has no influence over, and tells us little about how, the wider markets that move share prices behave.
Insults and paranoid bickering about motive, honesty and understanding won't alter a lack of facts about which, if any, theory on future unknowns will eventually prevail. Nor does it move things along more quickly or increase the odds of a particular hope or fear being realised. Nevertheless, there are always some who think that others should share their conviction in extreme opinions that cannot be objectively confirmed or denied, but where hindsight usually goes on to show unrealistic expectation to have been the most common reason companies do not deliver upon the claims of those frequenting bulletin boards.
If folk here associate uncertainty and doubt with fear, then they should question if their temperament is suited to this sector of the market or if they have speculated with more money than they can afford to lose? Much of what impatient folk here focus their emotional energy on arguing about each day is, at best, peripheral short term noise only of relevance to people's confirmation bias, egos and self-esteem. Only the passage of time will show whose was right, but I remain happy to keep risking my small speculative share holding.
CAVEAT EMPTOR
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