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HardlyPeeved
07-30-2011, 11:01 PM
I've held Silver Wheaton (SLW).

I'm also looking at Franco-Nevada (FNNVF) and Royal Gold (RGLD).

Are these stocks good since they have lower risk and generally make money as the metals increase in value ?

Are there any surprises in these companies or other issue to watch out for ?

HardlyPeeved
08-01-2011, 10:42 PM
These small companies (20 or fewer employees) tend to find the good mines and then setup the royalty deals.

They do all the research and then setup the funding for the agreements.


Isn't this another way to invest in metals that avoids some risk ?

Some also do the same for other natural resources...Gas, Oil, Uranium..so they are ways to get into the mining profits...with limited gains, but limited risk.

Here is a site I found...(very Foolish)
http://caps.fool.com/Blogs/royalties-vs-streaming/477264

and another...
http://seekingalpha.com/article/272218-an-alternative-valuation-approach-to-precious-metal-royalties

and...
http://www.goldroyalties.ca/metals_streams_royalties_VPPs_reserve_purchase_agr eements.php

Does anyone have opinions about these types of investments ?