The Panic-Proof Portfolio (Stockchase Research)Sprott Uranium Physical TrustU.UN.TOTOP PICKNov 19, 2024

He wanted one pick to be a commodity with the best, long-term supply/demand profile. Supply has always been well below the demand needed. But we've had this overhang of inventory -- first the end of the Cold War, then Fukishima. That's finally dissipating. This is a pure play on a higher uranium price to get additional supply out. A longer-term play.

Annual demand is actually growing. Japan's restarting its nuclear facilities, Germany regrets its shutdown, and Chinese growth is right off the map. US and Canada are starting to add. MER is 0.70%.

Uranium stocks have been pulling back since November, before the market started to correct. Technically in the near term, they're all broken. Long-term picture is excellent. Don't add here, until you see something change for the better.

The thesis around a potential uranium shortage to generate electricity is still real. Difference is this is the spot market, whereas the longer-dated futures market is what matters and it's at 17-year highs. This situation will reconcile. Be patient.

Exchange traded product, but can trade away from NAV. Largest physical Uranium investment fund. A.I. and tech will require a lot of energy. Traditional energy sources not able to provide enough energy supply. Nuclear technology getting better - will be source of energy going forward. 

Not actually ETFs. At the centre of a firestorm whether uranium is being hoarded by financial services. A way to get uranium exposure.

Be careful with the alphabet soup of ETF suffixes when placing your trades, especially on the TSX. Sometimes it can mean USD series or currency hedged, but it's not consistent.