Monday, 26 August 2013

Tana Goldfields Mining Fraud Investment - Tips to remember while investing in gold

Tips to remember while investing in gold
Lovaii Navlakhi of International Money Matters recommends that upto 5-7 percent of the portfolio should be invested in gold and the best way to do this is through the ETF route.

In an interview to CNBC-TV18, Lovaii Navlakhi, International Money Matters shared his views on what should retail investors do with gold now after government hiked import duty on gold to 10 percent to arrest the declining value of rupee and contain the fiscal deficit to 3.7 percent of the GDP.
Below is the verbatim transcript of his interview on CNBC-TV18

Q: The government is coming down heavily on curbing the appetite for gold, what does this mean for the retail investor, what should he do with his investments? Should he branch out to gold, should he branch out of gold?

A: Gold needs to be a part of every investor’s portfolio. We normally recommend that up to 5-7 percent of the portfolio should be invested in gold. During uncertain times you can enhance that allocation to 10-15 percent. Therefore, the best way to invest in gold is going through an exchange traded fund (ETF) route.


You need a Demat account, you can buy the units of gold based on number of grams and their rate. But the real issue is when people look at the past performance of any investment, any asset class and decide to put in bulk money. So anyone who has invested prior to April or early April this year will be staring at losses at this point in time.

You should look at strict asset allocation and if you have invested 5 percent in gold, the value of gold has gone up 20 percent so your allocation to gold has increased marginally. You take out the profits every three-six months and that way you will ensure that you are within the asset allocation.

For people who have put a large chunk of their money in gold, at this point in time the thought should be how do I reduce it from 20-25 percent of my portfolio to 10 percent? They should have three-six months’ time window and in a staggered manner they will gradually reduce this allocation to gold so that they are within the asset allocation norms. Very much like an SIP, how you invest gradually, divestment also could be done gradually.

Overall, gold is a hedge against inflation and if you are expecting growth to come back in markets globally then it may not be the asset class that will outperform but it still needs to be there as part of the asset allocation.

Q: My mutual funds portfolio consists of HDFC Top 20 , HDFC Equity Fund , DSP Small and Midcap and Reliance Vision Fund . Is this a profitable portfolio or should I make some changes?

A: He has invested a variety of funds, there are couple of large cap funds, a multi cap fund and a midcap fund. So he has created a decent portfolio. I am assuming they are equally allocated.

If one was to look at performance then Reliance Vision Fund has underperformed in the last five years. It has gone only by about 13-14 percent in the last five years whereas all the other three funds have gone up by about 50 percent. So, Reliance Vision Fund is something that he should consider exiting.

Among the three schemes, DSP Small & Midcap is a midcap scheme, whereas HDFC Top 200 and HDFC Equity are large cap oriented. In the last five years they have shown equal performance. But the difference is stark in the past one year as well as three years.

While large caps have done okay, they have been flat in the last three years or so, the CNX Midcap index has fallen by 7 percent per annum. So he has to keep in mind that midcaps would typically take a longer period to perform especially if you have entered there in bad times. But it doesn’t mean that he shouldn’t have an allocation to midcaps.

If I look at specific schemes in each of these three categories, there are better schemes available. So for an HDFC Top 200 may be he can replace with Birla SL Frontline Equity . With HDFC Equity he can replace ICICI Pru Dynamic Plan . He can replace DSP midcap with ICICI Discovery. It is important to look at exit loads and capital gains impact so he should keep that in mind before he does that. He should not take out and put all the money into new fund simultaneously. Best if he has a financial advisor and if he doesn’t have one he should get one.

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Sunday, 18 August 2013

Gold Fraud Investment Tips - Gold /Silver / Copper futures - Weekly outlook: August 19 - 23



Investing.com - Gold futures rallied to an eight-week high on Friday, after a series of downbeat U.S. economic data dampened speculation the Federal Reserve will begin to taper its bond-buying program as soon as September.

Moves in the gold price this year have largely tracked shifting expectations as to whether the U.S. central bank would end its quantitative easing program sooner-than-expected.

On the Comex division of the New York Mercantile Exchange, gold futures for December delivery jumped 1.15% on Friday to settle the week at USD1,376.30 a troy ounce.
Earlier in the session gold prices hit USD1,379.10 a troy ounce, the highest level since June 18.
Gold futures were likely to find support at USD1,304.50 a troy ounce, the low from August 9 and near-term resistance at USD1,391.35, the high from June 17.
Gold prices added 4.55% on the week, the strongest gain since the week ending July 12. The precious metal has rebounded 16% since hitting a 34-month low of USD1,180.15 a troy ounce on June 28.

Gold found support after the University of Michigan said its consumer sentiment index fell from a six-year high of 85.1 in July to 80.0 in August. Economists had expected the index to tick up to 85.5.

Separate reports showed that U.S. housing starts rose less-than-expected in July and building permits also fell short of expectations last month.

Gold traders have closely been looking out for U.S. data reports recently to gauge if they will strengthen or weaken the case for the Fed to reduce its bond purchases.

Any improvement in the U.S. economy was likely to reinforce the view that the central bank will begin to taper its bond purchase program in the coming months.
An exit from the stimulus would deal a heavy blow to gold, which has thrived on demand from investors who buy gold to hedge against the inflationary risks of loose monetary policies.

In the week ahead, investors will be looking ahead to Wednesday’s minutes of the Federal Reserve’s most recent meeting, while U.S. data on initial jobless claims and the housing sector will also be closely watched.
Elsewhere on the Comex, silver for September delivery rallied 1.3% on Friday to settle the week at USD23.23 a troy ounce, the strongest level since May 15.
On the week, silver future prices surged 11.7%, the biggest weekly advance since September 2008.

Silver prices are up 24% since hitting a three-year low of USD18.19 on June 28, placing it firmly in bull-market territory.
Meanwhile, copper for September delivery rose 0.75% on Friday to close the week at USD3.362 a pound, the highest since June 5. The red metal gained 1.55% on the week, the second consecutive weekly advance.

The industrial metal was boosted after a raft of upbeat global economic data fuelled hopes for higher demand for the metal.

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Wednesday, 14 August 2013

Investment Comment: Investing in a low interest climate - ALL THAT GLITTERS

Traditionally, gold has acted as a hedge against inflation, so has been sensitive to indications on whether the US Federal Reserve is going to taper quantitative easing (the precious metal is priced in dollars). Inflation fears may have receded, but longer term inflation is likely to reappear. Investors can access gold through Exchange Traded Funds – like Source Physical Gold ETC – or through an investment fund.
Sebastian Lyon, manager of Troy Trojan fund, has exposure to gold and gold mining equities; inflation-linked government bonds in the UK and US; and cash. He still believes in the case for gold, despite the recent drop in price. He took the fall as an opportunity to add to his holding. He thinks the ultimate debasement of paper money through inflation and QE means there is a place for gold in a portfolio.
Giving guidance on when interest rates are likely to rise should help to keep government bond yields at their low levels, and reduce volatility in the bond market. Gilts do not look attractive at current levels, although corporate bonds are offering rates of 4 to 5 per cent, which will appeal to investors who are getting less than 1 per cent returns on cash.
Jupiter Strategic Bond Fund, managed by Ariel Bezalel, has the freedom to invest across the fixed-interest spectrum, from traditional government and corporate bonds to higher risk high yield bonds that behave more like shares. The fund can also invest overseas, potentially benefiting from currency movements and falling bond prices.
Adrian Lowcock is senior investment manager at Hargreaves Lansdown.


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Tuesday, 6 August 2013

TANA GOLDFIELDS articles - Govt working on investment options to check gold buying : Raghuram Rajan


CHENNAI: In a bid to bring down import of gold, the government is working on more attractive investment options to dissuade people from buying the metal, a senior Finance Ministry official said today.
"We should create more attractive instruments which provide people an alternative source of investment than gold. And I think, we are working on those," said Chief Economic Advisor in the Finance Ministry Raghuram Rajan at a function here.

The government recently launched inflation indexed bonds with an aim to ensure better returns to inventors.
"As the economy starts doing better, more of these instruments will look more attractive. Equities look more attractive, fixed income will look more attractive as inflation comes down. That will take off some of the hunger for gold as an investment," Rajan added.
Both government and RBI have been taking steps to curtail import of gold, which is mainly responsible for India's high current account deficit (CAD).
Referring to controversy over the poverty line figures, Rajan said: "I think the point really is wherever you draw that line what is important is large number of people have (already) crossed. Won't you want more of our people to have the resources to do what they want..."
The Planning Commission's poverty line which says persons are not poor if their daily consumption of goods and services exceed Rs 33.33 in cities and Rs 27.20 in villages, has generated a lot of controversy.
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Tuesday, 30 July 2013

About WMC - TANA GOLDFIELDS articles

WMC

About WMC

We’re proud to host the 23rd World Mining Congress & Expo in Montreal, Quebec, Canada, in 2013, and look forward to seeing you there. Montreal is truly a world-class destination and the perfect venue for our event as we look toward the future of mining.

WMC 2013 will be hosted by a collaborative team including professors from five top Canadian universities: McGill University, University of British Columbia, Queen’s University, University of Toronto and University of Alberta, as well as the Canadian Institute of Mining, Metallurgy and Petroleum (CIM). Canada is built on a spectacular natural resources base and continues to thrive as a world leader in the extraction of many commodities. As well, in this time of global economic challenges, Canada and its provinces are laying the groundwork for continued growth and prosperity through an expansion of infrastructure, particularly in the energy and mineral industries.

The theme for WMC 2013 is Mapping the Future: Advances in Mining Engineering, and an extensive technical program of leading-edge, peer-reviewed papers will provide the opportunity for high level knowledge sharing with peers. Over 1,500 people are expected to attend, enabling outstanding networking and the development of new business relationships. What’s more, the Mining Expo will showcase the very best suppliers and service providers supporting the global minerals industry, creating an unparalleled opportunity to hunt down the solutions to drive your business forward.

Please mark the date and plan ahead to join us in La Belle Ville as we map the future of mining, while indulging in the joie de vivre at the heart of Montreal.

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Monday, 3 June 2013

Tana Goldfields PLC United Kingdom - Mining gold for its investment potential



A special Diamond Jubilee gold coin proved popular with investors
Demand for gold jewellery has risen 12 per cent around the world in the first quarter of the year  according to the World Gold Council’s trend report published today. But while investing cash in a lustrous gold bar, coins or jewellery can be very alluring, it means your savings can present a security headache if you are keeping treasures at home. Investing in gold can be surprisingly easy for the ordinary punter, but it’s worth remembering that gold’s trading price is very volatile. Gold prices in the UK have dropped around 10 per cent over the last year, but its value has grown by 94 per cent over the last 5 years, according to goldprice.org. But the ups and downs don’t seem to be putting people off buying the yellow metal. Sales of of American Eagle Gold Coins rocketed in April for example according to the US Mint, despite recent price instability. Buying bullion or gold bars, purchasing coins such as krugerrands, or investing in the gold mining industry through share funds are just some of the ways to invest. Adam Laird, Passive Investment Manager at Hargreaves Lansdown said: ‘Investors need to weigh up the features of each method when adding gold to a portfolio. ‘Coins and bullion are more expensive. The cost of the coin is currently around 5 per cent higher than the price of gold. In addition investors also have to consider storage and delivery costs and risk loss or theft of the coin. ‘Some fund managers invest in gold miners and commodity companies.  These funds have generated profits for investors, but investing in these funds does come with additional risks.  Gold mining equities are often more risky than the metal itself.’
Kumto is the largest gold mine in central Asia, run by Canada’s Centerra Gold
Bullionvault.com allows you to buy physical gold and store it in vaults in London, New York,  Zurich or Singapore, which means that you do have to pay a premium to cover insurance. It allows ordinary investors to access the market and buy part or a whole bar, depending on how much you want to invest, although the site recommends a minimum investment of 2000 US dollars to make storage costs economical. Exchange Traded Commodities (ETCs) funds can be bought through a stockbroker for around £6 commission.  They are designed to track the performance of a single commodity. The annual charge on many ETCs is under 0.5 per cent which includes storage costs. ETF Securities Physical Gold (PHAU) is a physical gold ETC with metal being held by HSBC. It is one of the largest products listed on the London Stock Exchange, with over 6.5Bn US dollars worth under management. It has a management fee of 0.39 per cent. Blackrock Gold and General is a fund which invests in gold companies. Gold Coins can be bought from high street stores such as Scoin shop or through websites. The Scoin Shop recently agreed a deal with the British Royal Mint to sell 1000 Titanic £25 denomination, 22ct gold coins valued at around £1000 per coin. Shop founder and international bullion expert Alan Demby, said:  ‘There is an increased demand for high value coins at the top of the market and we are seeing buyers taking a more equal mix of bullion and collectables as part of their investment portfolios. ‘Ccollectable coins are popular because they are produced in limited numbers and have the potential to hold and increase in value.
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Tuesday, 28 May 2013

Tana Goldfields United Kingdom - Deep sea 'gold rush' moves closer



http://www.bbc.co.uk/news/science-environment-22546875

The prospect of a deep sea "gold rush" opening a controversial new frontier for mining on the ocean floor has moved a step closer.
The United Nations has published its first plan for managing the extraction of so-called "nodules" - small mineral-rich rocks - from the seabed.
A technical study was carried out by the UN's International Seabed Authority - the body overseeing deep sea mining.
It says companies could apply for licences from as soon as 2016.
The idea of exploiting the gold, copper, manganese, cobalt and other metals of the ocean floor has been considered for decades but only recently became feasible with high commodity prices and new technology.
Conservation experts have long warned that mining the seabed will be highly destructive and could have disastrous long-term consequences for marine life.
The ISA study itself recognizes that mining will cause "inevitable environmental damage".
But the report comes amid what a spokesman describes as "an unprecedented surge" of interest from state-owned and private mining companies.
Sharing the proceedsThe number of licences issued to prospect for minerals now stands at 17 with another seven due to be granted and more are likely to follow. They cover vast areas of the Pacific, Atlantic and Indian Oceans.
One of the most recent to be granted was to UK Seabed Resources, a subsidiary of the British arm of Lockheed Martin, the American defence giant.
Under the UN Convention on the Law of the Sea, the ISA was set up to encourage and manage seabed mining for the wider benefit of humanity - with a share of any profits going to developing countries.


Chimneys

The chimneys of hydrothermal vents contain many metals in high abundanceNow the ISA is taking the significant step of moving from simply handling bids for mineral exploration to considering how to license the first real mining operations and how to share the proceeds.
The ISA's legal counsel, Michael Lodge, told the BBC: "We are at the threshold of a new era of deep seabed mining."


The lure is obvious. An assessment of the eastern Pacific - a five million sq km area known as the Clarion-Clipperton Zone - concluded that more than 27 billion tonnes of nodules could be lying on the sand.
Those rocks would contain a staggering seven billion tonnes of manganese, 340 million tonnes of nickel, 290 million tonnes of copper and 78 million tonnes of cobalt - although it's not known how much of this is accessible.


A map shows the spread of licensed areas across the zone.
Right incentivesAccording to the planning study, the ISA faces the challenge of trying to ensure that nodule mining's benefits will reach beyond the companies themselves while also fostering commercially viable operations.

The plan relies on providing operators with the right incentives to risk what would be expensive investments without losing the chance for developing countries to get a slice of the proceeds.
But the ISA identifies what it calls a "Catch-22" in this brand new industry as it tries to assess which companies are skilled enough to carry out the work.


"Competence cannot be gained," it says, "without actual mining at a commercial scale, but at the same time mining should not be allowed without prior demonstration of competence."
A key factor in the ISA's thinking is the need for environmental safeguards, so the document calls for monitoring of the seabed during any mining operation - though critics wonder if activity in the ocean depths can be policed.


The prospect of deep sea mining has already sparked a vigorous debate among marine scientists, as I found earlier this year on a visit to the British research ship, James Cook, exploring the hydrothermal vents of the Cayman Trough.


The expedition's chief scientist, Dr Jon Copley, a biologist from the University of Southampton, urged caution.


"I don't think we own the deep ocean in the sense that we can do what we like with it," he said. "Instead we share responsibility for its stewardship.


"We don't have a good track record of achieving balance anywhere else - think of the buffalo and the rainforest - so the question is, can we get it right?"
Extinction riskAnd Prof Paul Tyler, also a biologist, of the National Oceanography Centre, warned that unique species would be at risk.
"If you wipe out that area by mining, those animals have to do one of two things: they disperse and colonise another hydrothermal vent somewhere or they die.


"And what happens when they die is that the vent will become biologically extinct."
However, marine chemist Prof Rachel Mills, of the University of Southampton, called for a wider debate about mining generally on the grounds that we all use minerals and that mines on land are far larger than any would be on the seabed.


She has carried out research for Nautilus Minerals, a Canadian firm planning to mine hydrothermal vents off Papua New Guinea.
"Everything we are surrounded by, the way we live, relies on mineral resources and we don't often ask where they come from," she said.
"We need to ask whether there is sustainable mining on land and whether there is sustainable mining in the seas.


"I actually think it is the same moral questions we ask whether it's from the Andes or down in the Bismarck Sea."
This debate is set to intensify as the reality of the first mining operations comes closer.



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