Share Consolidations
I may have briefly touched upon this before, but I'm starting to become a little frustrated with certain stocks within my portfolio. Whilst, I'm still (naively) optimistic that at least one of my picks will eventually 'deliver the goods', I'm becoming a little frustrated with some of my 'Wild Card' entries.
My portfolio consists solely of AIM stocks and covers a fairly broad spectrum of sectors. However most of the 'meat' is contained within mining (spread over silver, gold, copper, rare earths , Lithium/Cobalt, Tungsten and potash). I have some 'quality' AIM stocks and some not so's.
It's the 'not so's' I want to quickly talk about now! Basically, I've not been practising what I preach in all instances and have therefore put half a £K here and there in mining shares with 'Potential'. However, the only 'Potential' that I'm currently seeing is the potential for them to lose me money!
You see, the shares were at an attractive price to a contrarian such as myself and so I bought in hoping that a buy and hold strategy could see a substantial return on investment. However, the shares have done little more than depreciate further in price to the point where the management teams decide to do a SHARE CONSOLIDATION to improve the price. Whilst consolidating isn't necessarily a bad thing, I've noted that for the one's in my portfolio they are looking like repeat offenders i.e consolidate, raise funds through new shares (i.e. dilute), see the share price fall and then repeat.
My Advice - unless you know your Sh*t be careful dabbling with junior miners!!
With this in mind, I'd like to hear back from those wiser than myself. Can anyone recommend some decent miners within Canadian and Aussie markets. (I'm still looking for those with plenty of upside but not '1 in a million' contenders)
Thanks
