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Maximu

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Everything posted by Maximu

  1. The value of gold has a few other drivers that I have not yet seen mentioned, including (1) gold is a very compact, lightweight store of value that can be easily hidden and transported. There are several practical applications of this including illicit transactions, smuggling value out of currency controlled economies, and fleeing in wartime when government currencies are worthless. Ignoring the illegal usefulness, gold does have a real value as insurance in the event of an existential calamity that renders traditional investment and currency inaccessible. (2) Political... if others want their currency to compete with or supplant the US dollar as the world's reserve currency, then the challenger needs to convince future consumers of its currency that it is a strong, secure alternative ... one way to do this is increase the amount of gold backing the currency. This may explain the buying by China and Russia, though given the absence of legal or political systems which are likely to be equitable to foreigners in the event of disputes, no amount of gold is likely to help. Another scenario is ... just as gold provides insurance to individuals fleeing wartime when govt currency is useless, gold accumulated by governments may become useful if the world economic system experiences a serious disruption... gold can be used as a medium of exchange to keep things moving.
  2. Thanks for the feedback. I will continue the quest and will let you know if I find a SEDAR import source.
  3. How would one go about obtaining Sedar data for import into MS Excel?. My initial research found that, unlike in the US through EDGAR, the SEDAR data is sold exclusively to 3rd parties who then in turn sell the data to institutions and other larger players with the result being the data is inaccessible to smaller investors. In most cases, companies are only post SEDAR in pdf, so perhaps converting pdf to excel would work; however, in my experience the reformatting required makes hand-keying almost as fast.
  4. I share your view - this is a company that has a (closing) window of time to tactically retreat, rethink its strategy, and restructure so as to preserve its existing capital and still have the opportunity to prospectively grow that capital. A mix of less aggressive, cash flowing assets and more aggressive, modestly cash burning assets would be ideal, in my opinion. Parq could have been one of those less aggressive, cash flowing assets; however, that is not materializing and with rising interest rates and bubblish asset prices worldwide, now would be the time to sell to preserve the equity already invested.
  5. I see it as negative. Clearly, the cash calls continue at Parq even after the summer tourist months wind down. Dilution of equity is now occurring (convertible option) as none of the original partners are putting up any more money and instead are bringing in outside capital at what is surely punitive terms.
  6. I actually see Parq as an existential threat to DC. If they continue, cash calls like we have seen the past few quarters could quickly deplete all of DC's liquid equity (assumes DPM is not to be sold due to upside) and then force the firesale of DC's less liquid assets. This issue is compounded by the looming Pfd-E redemptions. Options at this point include: sale to or partner with another company with cash to invest and/or sell Parq to preserve any existing value, and/or convert Pfd-E to common @ $2 (an easy win, but requires acceptance that DC is no longer what it was and $2 is a ceiling price for the shares over short to mid term until this mess of z-grade companies can be sold). While an option, I do not see suspension of the Pfd Series 2,3 dividends as helpful toward a LT solution. Why? DC's credit profile would weaken considerably, making future capital raises more difficult and expensive, DC is trying to get back into resource focused money management business and how you treat OPM (incl. your Pfd shareholders) matters, and the benefit is illusory as DC's problems are structural and require decisive (and fast) structural changes as opposed to short term relief that does not address the core issues. Other options: (i) Rights offering for common and Pfd shareholders ... cash goes up, cap structure stays same, no dilution; (ii) Goodmans offer to give up dual class structure ... DC shares take off upwards ... benefitting all, including Goodmans ... and raise more common, (iii) any others?
  7. I am long the B and C rate reset preferreds. Given that the rate reset feature provides significant protection from interest rate risk, I assume the large discount from par value primarily reflects the poor quality of the Dundee assets. Out of (morbid) curiosity, when I see a NR like the one you just referred to I investigate the company to see if it is a hidden gem or a dog. Petromaroc traded as high as $0.25 over the last 5 years and has fallen to $0.06 as of today. The company currently has a NBV of $.02, with the assets by my figuring being approx. 5M shares of sound energy and $500K in cash (see Feb '18 news release re payment of debentures). Petromarcoc is now effectively a shell ready for the re-birth of some equally speculative venture as the one they just exited. My question after reviewing several of DC.A's holding is ... What is DC.A doing wasting its time on holdings like these? And, why would I let Dundee manage my money in their new, fledgling investment management business when this is what they themselves invest in. I think a serious re-focusing and re-branding is required. Don't get me wrong ... I love investing in mining and speculative companies; however, these should be part of a balanced portfolio of other, more solid businesses providing consistent and growing cash flows. Am I missing something with DC.A?
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