Posts Tagged Base Metals

I always tell clients that building a portfolio is “meticulous”. It means taking every chance to lower average price per share. It means making the judgment calls per company. For example, today we were full of limit orders that ticked off in another volatile day. I was very pleased to see some clients pick up shares in China Aluminum Corp, Jiangxi Copper, Vale, China Construction, SID Companhia Siderguca Nacional. China raising bank reserve requirements has punished commodity and steel stocks. That is ok. One meticulous small purchase at a time, fighting our way to the finish line. Build positions while lowering the average price per share. That is the key, indeed.

www.crinvestmentadvisors.com

Copper prices have been rising and seem to be poised for further increases into 2011. China’s demand for the metal used in power cables and electrical wire will likely drive worldwide copper market growth which is estimated to expand between 2 adn 3 percent this year.CR Capital considers the Materials sector a primary building block in our portfios. That includes base metals. Price rises in nickel, lead and zinc may slow a bit because the ores are relatively plentiful making it easier to ramp up production. Stainless steel can be milled without much nickel. Nickel restocking is on a run now but will likely slow. Copper mines need constant investment to keep up output and as a result of the crisis which slowed that constant investment, supply could continue to stay tight and prices up.Jiangxi Copper is a good company for exposure. Jiangxi Copper is the largest copper producer in Mainland China. Its operations include copper mining, milling, smelting and refining to produce copper-related products, including pyrite concentrates, sulfuric acid and electrolytic gold and silver.

www.crinvestmentadvisors.com

International Emerging Market Equity Advisors

JIANGXI COPPER

CR Capital recommends exposure to base metals through the companies we buy who mine and produce them such as the Aluminum Corp of China, and VALE. These companies expose the porfolio to iron ore, pellets, manganese, alloys, gold, nickel, copper, kaolin, bauxite, alumina, and aluminum.

www.crinvestmentadvisor.com

Private Banking