Jon Lamb, Portfolio Manager of Orion Resource Partners, talks about the global mining environment on June 6th.
Orion Resource Partners’ Portfolio Manager Talks Strategy
ORP is a global alternative investment management firm with approximately $5.0 billion under management, according to its website. When asked about gold and silver, Lamb responds,
“I think when gold breaks out of its range, silver will follow it. Either to the upside or the downside.”
While obvious, Lamb doesn’t believe the gold-silver ratio will fall anytime soon. Furthermore,
“Right now, the gold-silver ratio thinking about it in historical terms is going to remain at these high levels.”
The gold-silver ratio hit 90 earlier this week – a 28-year high. Mike Maloney breaks down the historic nature of silver’s low valuation when compared with gold.
When asked what he is looking at from an investment standpoint, Jon responds,
“I look for good leverage to price. And, that is going to come from companies that have meaningful production. Additional production that can come online. Companies that have a competitive cost position that can withstand some downside pressure.”
It is always valuable to listen to portfolio managers such as Jon Lamb from Orion Resource Partners because they are on the front lines.