Frank Holmes: Gold and Bitcoin to the Moon
Tom welcomes back Frank Holmes, CEO and Chief Investment Officer of U.S. Global Investors.
Frank discusses why the election results and a split house may be the perfect scenario for the stock market and the ideal scenario for gold.
G20 Central bankers have been functioning as a cartel since 2008 by synchronizing taxation and regulation. Now they are playing with MMT, zero interest rates, and monetary stimulus. However, they have redefined the CPI, and today if you use the old model, inflation is running at close to eight percent. Smart people are buying real assets like art, gold, silver, mining equities, and bitcoin.
Frank discusses the PMI index and how it reflects forward industrial demand. He expects a robust economy over the next six months.
The government is spending trillions, and when that happens, gold rises dramatically. Gold could quickly go to $4000 due to the amount of debt creation. Frank points out that gold has been positive 17 years out of the last 21 and has outperformed the S&P 500 by 2.5 times.
This lockdown has brought many Millenials to invest in the more speculative side of the stock market. Many are investing in ETF’s and junior stocks.
Gold stocks are showing up along with other common stocks due to their free-cash-flow. Institutions and big investors are starting to take notice.
Frank discusses the crypto markets and how Hive Blockchain is performing very well as a stock market proxy for Bitcoin and Ethereum.
Talking Points From This Episode
- Politics, Media and Sentiment
- Central Banks, MMT & CPI
- Money Printing and Gold to 4K
- Bitcoin, Gold, and Mining Equities
Time Stamp References:
0:00 – Introduction
0:50 – Election Outcome
1:44 – Stimulus, MMT, and equities.
4:42 – Capital/Bonds Changing
6:15 – PMI Index & Commodities
8:26 – Debt Creation and Gold
11:05 – Millenials & Liquidity
13:40 – Free-Cash-Flow in Mining
16:05 – Majors Going Mainstream
16:40 – Euphoric Media & Markets
18:42 – Royalty Companiesd
22:43 – Bitcoin & Hive Blockchain
26:00 – Gold & Bitcoin
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Frank Holmes is the CEO and chief investment officer of U.S. Global Investors. Mr. Holmes purchased a controlling interest in U.S. Global Investors in 1989 and became the firm’s chief investment officer in 1999. In 2006, Mr. Holmes was selected mining fund manager of the year by the Mining Journal, and in 2011 he was named a U.S. Metals and Mining “TopGun” by Brendan Wood International. In 2016, Mr. Holmes and portfolio manager Ralph Aldis received the award for Best Americas Based Fund Manager from the Mining Journal. He is also the co-author of The Goldwatcher: Demystifying Gold Investing. More than 30,000 subscribers follow his weekly commentary in the award-winning Investor Alert newsletter, read in over 180 countries.
Under his guidance, the company’s mutual funds have received recognition from Lipper and Morningstar; two trusted independent financial authorities. In 2015, Mr. Holmes led the company into the exchange-traded fund (ETF) business with the U.S. Global Jets ETF launch, which invests in the global airline sector. In 2017, U.S. Global Investors made a strategic investment in HIVE Blockchain Technologies, listed in Toronto, and Mr. Holmes was appointed non-executive Chairman of the Board.
Mr. Holmes was awarded the Huron Medal of Distinction from Huron University College in 2013, his alma mater for the class of 1978. This award recognizes individuals whose life achievements set an example of excellence and reflect Huron’s arts and social sciences missions.
Mr. Holmes is a native of Toronto and is a graduate of the University of Western Ontario with a bachelor’s degree in economics. He is a former president and Chairman of the Toronto Society of the Investment Dealers Association.
Mr. Holmes is a much-sought-after keynote speaker at national and international investment conferences.
Mr. Holmes is a regular commentator on the financial television networks CNBC, Bloomberg, BNN, and Fox Business, and has been profiled by Fortune and The Financial Times. His thoughts on gold are captured each week on a Gold Game Film program in collaboration with Kitco News and TheStreet.com. Mr. Holmes was also the feature spread in Barron’s during the commodity rally at the start of 2004. He is a regular contributor to Forbes, Business Insider, Seeking Alpha, and Wall Street Journal’s Experts Corner.
Frank Holmes has been appointed non-executive Chairman of the Board of Directors of HIVE Blockchain Technologies. Both Mr. Holmes and U.S. Global Investors own shares of HIVE, directly and indirectly. This interview should not be considered a solicitation or offering of any investment product.