An Investor's Point of View by Grandpa Brian

GrandpaBrianGrandpaBrian Posts: 679 Silver ✭✭✭✭
Disclaimer: I started buying XAU shares via my Tax-Free Savings Account shortly after Roy and Josh took the Company public. Over the course of that first year, I would add to my position whenever I felt the stock was a bit beaten up. I looked at my investment as a long term hold and I still have all of my shares. No investment advice is offered.

As most will have noticed, the stock's price has been reaching new two-year highs recently. The market capitalization is approaching $400 million.

I could take a very handsome profit now but I am not selling. Here's why:

1. I bought my first shares because I thought this Company had the potential to be highly disruptive to a major market - and what is more "major" than currency?
2. I bought more shares once I met the founders of the company and saw the quality of the people they were bringing to the mission. ( In truth Goldmoney reminded me of Apple. I was an Apple Software Developer when I met the "Two Steves" back in 1978.)
3. Management has shown themselves to be adaptable. Not everything they try works at first but they learn and they adjust. The latest announcement regarding the "vaulting" of crypto currencies is just one example. ( The original name of the enterprise, BitGold, reflected the founders interest in these emerging blockchain technologies.)
4. This is by nature a high risk enterprise. Yet, the Board of Directors have smartly addressed these risks by strengthening the balance sheet at every opportunity. Staying debt free and increasing the cash reserves does at least two things: it allows the company to continue to invest heavily in the core platform every quarter; and, it allows me to sleep contentedly every night. The current $30 million bought deal is spot on.
5. They have only just begun. In the grand scheme of things, Goldmoney is still relatively unknown internationally. Most people "don't get it" in the same sense that the managers of post offices didn't "get" email at first. Or mall owners didn't "get" Amazon.

So this old dog is hanging on as long as I sense the passion of the founders is real and the Board continues its record of good corporate governance. Why would I leave after the second inning of a World Series game?

Comments

  • GoldmattersGoldmatters Posts: 4,069 Admin
    @GrandpaBrian !! So thrilled to see you back here, you are a legend my friend :)
  • GrandpaBrianGrandpaBrian Posts: 679 Silver ✭✭✭✭
    edited October 2017
    In the movie Unforgiven, English Bob says to Little Bill "I thought you were dead."
    And Little Bill replied "Yeah, I heard that too. Turns out I was just in Nebraska."

    Me? I've just been in Northern Ontario.

    @Goldmatters keep up the good work.
  • BigMouseBigMouse Posts: 147 Bronze ✭✭✭
    @GrandpaBrian very encouraging post. I am doing the same. I bought the shares first day bitgold went public in my rrsp account. Starting with small but gradually accumulate as much as I can whenever price drops to certain point. Selling? No way! unless it hit $100 and I am serious.
    I just hope GM provide ACH service to holding account so I can do recursive deposit. For now, I am stick with personal account. I hope GM succeed! I truly do!
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