Sprott Inc. (SII.TO)

(Note the shortish timeframe.) AUM have increased to over $70B USD. Diversity plus a dividend. If bull market in precious metals and raw materials continues (as he believes), global financial super-markets will buy Sprott rather than building their own natural resource silos. Suspects that in 5 years it will have been bought out.

Disclosure:  He’s still the largest individual owner of this one. He’s a former employee and former director.

Precious metals should be in every portfolio as an insurance policy. It's a diversifier. His position today is that he's trimmed back his gold position dramatically by reducing names. Doesn't own it today, but there's nothing wrong with it. He just took the weighting down in his precious metal names.

Commodities continue to do really well, and its earnings are driven by that. Stock continues to perform really well. Instead, he owns a number of companies with more direct commodity exposure.

If growth continues, AUM will grow, along with management fees, and so earnings will continue to gallop. If natural resources and precious metals bull market unfolds as he thinks over next 3-4 years, it'll likely be taken over.

Disclosure:  He's a former employee of Sprott, and believes he's the largest shareholder.

Yes, that's exactly the reason to own Sprott. It's a diversifier. Gold is a way as an investor to protect yourself from inflation and geopolitical concerns. This name brings leverage to gold because of assets they own and funds they manage. It also brings uranium. He sold some last week to take some profit after an unbelievable run. Dividends go up.

Doesn't see gold or uranium falling. Great place to park your money.

Great franchise around commodities and precious metals. Diversified products with asset management fees. Good way to get broad participation in a diversified bucket of commodities. Big run speaks to its success. 

A play on natural resources. Believes we're in a precious metals bull market. This name is a financial services brand name for gold and silver (as well as for uranium). Also active in many other materials, including the Sprott Physical Uranium Trust. Expanding from precious metals to the whole natural resources complex.

Assets under management now ~$40B USD and growing fairly rapidly. As assets grow, FCF from management fees will be enormous. Yield is 1.79%.

(Disclaimer:  He's a former employee and a former director of Sprott. Also the current largest shareholder at almost 10% of the company.)

Most investors need some help investing in natural resources. Sprott is a brand name for natural resources, in physical trusts and in equities management. You get the same diversification as a mutual fund, except they pay you a dividend instead of you paying them a fee. That's pretty good math ;)  Yield is 2.87%.

Disclosure: he's a former employee and former director. He's a large shareholder, and may even be the largest one. But it's a stock he thinks every natural resource investor ought to own.

Organic growth of internal products has done extremely well. Has become a brand name for precious metals investing, and increasingly in natural resources. Can see it being snapped up in a few years by a global financial player.

Disclosure:  He believes he's still the largest shareholder in Sprott.

Good business. Would buy. 

He used to be a director here. Is now a major shareholder. Asset management of natural resources is a fine business. In 2011, AUM was US$3 billion, and is now US$25 billion. Good cash flow and a strong balance sheet now. Will do well if there's a bull market in natural resources in the next 5 years and could lead to being taken over by a major company like Blackrock. Pays a 3.2% dividend as you wait.

A good way to play gold? The short answer is Yes. This is a multi faceted organization and have several different business lines. If you see continued growth in gold and silver, you are going to get the combination of higher market values for gold, and as a result, higher NAVs. Also, it will attract flows.