Like all asset classes, this would be the case ‘usually’. However, as inflation is more related the amounting energy crisis/supply chain disruption, and less towards poor policy decisions — money will most likely flow into asset classes that that prove to ease the current issue at hand.
In our case, investing in a future Potash producer seems lower risk in this climate compared to other asset classes such as tech stocks. The security of a new western fertiliser (component) should be seen as a worthy area for finance considering the current issues all nations are facing. This can be extended to other areas as well; such as natural gas, potassium or wheat.
There will ALWAYS be the risk of not gaining finance for KP2, but I would argue it has a pretty good position to get it now more than ever with all other factors considered, including inflation. If inflation had nothing to do with an energy crisis, I would say otherwise.
All imo of course
KP2 Price at posting:
2.3¢ Sentiment: None Disclosure: Held
