144: Rick Rule, President and CEO of Sprott

Rick Rule, president and CEO of Sprott, has been in the natural resources and investing business for over 40 years — and it shows in his wealth of knowledge (not to mention the wealth in his pocketbook). Why would a guy who grew up in Silicon Valley in the 1970s become an investor in natural resources instead of technology? In part because, unlike technology, the natural resources market (think gold, coal, and oil) is one with very broad product cycles. And today we get a glimpse of how Rick has played those cycles and where he sees the markets heading.

We cover a wide range of topics in today’s interview, including the market in general (which Rick believes is largely propped up by low interest rates), gold as insurance, why gold stocks are catching up with the price of gold, anomalies in the GDXJ, and mistakes to avoid when considering private placement investments. Rick shares why he’s bullish on uranium, on China, and on the future of the Chinese people. 

Rick’s gift of gab coupled with his wisdom and humor makes this an episode you don’t want to miss.

In today’s episode you’ll learn:

• Why Rick chose to pursue investing in natural resources rather than technology, even though he grew up in Silicon Valley
• Why Rick doubts we’re in a “global synchronized recovery”
• Why resource industries are the most cyclical on the planet
• Why, although he owns a lot of gold, Rick hopes the price doesn’t go up
• Why the gold stock industry is showing signs of greater efficiencies
• Why it’s important to concentrate private placement investments based on the company’s management
• That only big rewards should induce you to take big risks 
• Why Rick believes a uranium bull market is on the horizon