cdu and dividends, page-4

  1. 2,499 Posts.
    IMHO promises of dividends for any new mining project are grossly irresponsible. There are just too many factors beyond management's control for them to guarantee a profit/dividend. For one, the copper price can do a nickel and fall 50% within a few years and wipe out the profits for all but the largest and lowest cost producers.

    If there's one thing ASIC needs to act on, its people who induce retail investors to invest large sums of money in a venture on the basis of large dividends, when no such guarantee can reasonably be made. The consequences of these kind of statements, if the investment goes sour, is horrendous.

 
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