Why A Fed Rate Hike Could Be A Blessing For Gold Prices: Brien Lundin

TGR: Are there any other companies that you wanted to mention?

BL: There is one company I'm involved in that I haven't been able to recommend to my readers because I am the chairman and largest single investor, and that's Natcore Technology Inc. (NXT:TSX.V) (NTCXF). It recently made news that it has developed a solar cell that completely eliminates silver in the production process, an advance that will dramatically lower costs. The cell structure is also amenable to ultrahigh efficiencies. This could really take the market by storm.

TGR: Your annual New Orleans Investment Conference is coming up in October. What will attendees take away from this year's event that will help them position themselves for the next upcycle?

BL: I think the next upcycle in metals is imminent. Because of that, the focus this year is on top-notch investment advice by some of the world's best experts, including Wall Street's leading contrarian Doug Kass, Dr. "Doom" Marc Faber, Euro-Pacific Capital's Peter Schiff and Sprott US Holdings CEO Rick Rule. Plus major newsletter writers like Dennis Gartman, Doug Casey and James Rickards will share their insights on the direction of the markets. We will also explore the geopolitical landscape with Dr. Charles Krauthammer and Canada's famed commentator Mark Steyn. The conference comes at the end of October and ends on Halloween Day, which fulfills a bucket list event for many who have longed to spend this time in New Orleans' French Quarter.

This year will focus more on precious metals and mining stocks than ever before. Typically, the biggest gains have been made at the bottoms of the markets. Some companies in attendance in 1993–1994 and 2000–2001, cyclical market bottoms, subsequently multiplied 10, 20 or even more times when the market turned. I think we're primed to do that again.

The conference is also an opportunity to quiz management about their experience and how much of the stock they own. In this environment, the most important question is the financial resources a company has in the bank. Many companies forced to raise money today have to do it at a nickel or less; that's exceedingly dilutive to a company's share structure. By participating in a nickel private placement, quite often, you're not doing yourself or the company any favors, because at some point that company will have to roll back its shares. You don't want to invest in a zombie company that's just sitting on its hands and not doing anything and trying to wait out the markets. Time is money. You need a company that is going to keep moving forward. When you attend an event like the New Orleans Investment Conference, the companies in the exhibit hall have made a significant commitment, so you know that they are determined to keep working. It's typically a smart management group that's continuing to build shareholder value even at the bottom of the market.

Over and above the speakers and the companies, attendees have the advantage of rubbing elbows with some of the top investors in the world, their fellow attendees. Just by deciding to go to the New Orleans Investment Conference, they're self-identifying as smart, savvy investors who make their own decisions and are information hungry. Our attendees tell us this all the time—that they get some of their best ideas by talking to others in the audience. In fact, even our expert presenters like to mingle with the attendees for that very reason. It really is a gathering of very smart, very experienced investors where ideas for making money are all around you.

TGR: Thank you for the time, Brien.

Brien Lundin With a career spanning four decades in the investment markets, Brien Lundin serves as president and CEO of Jefferson Financial, a publisher of market analyses and producer of investment-oriented events. Under the Jefferson Financial umbrella, Lundin publishes and edits Gold Newsletter. He also hosts the New Orleans Investment Conference.

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Disclosure:

1) JT Long conducted this interview for Streetwise Reports LLC, publisher of  more

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