Full disclosure, Im very new to GBR having only bought in during the recent dip to the mid 6's.
No argument, every single gold deposit that is near an established processing plant should be bought online at these levels.
As for Cumulus, im unsure how they acquired their position but 8.5% is a very large position for a fund like that. Therefore any selling is likely routine portfolio re-balancing rather than a loss in faith in GBR. If they arent happy with management they would flex their muscle rather than sell down.
Generally speaking, below is how I view gold cycles and how they play out. While most here think GBR has under performed it will have it moment as we go deeper into the cycle, which is why Im only buying in now.
1st - The top low cost producers (CMM) - tick
2nd - best undeveloped projects (Spartan, DEG) - tick
3rd - Mid tier (CYL) - tick
4th - new producer or have a path to near term production, less than 12 (MM8, MEK) - currently ripping
5th - Proven resources but still a while off for production (AAR) - accumulation phase potentially coming to an end.
6th - Small Caps with value (GBR,SHN)
7th - wild speculation, IPOs etc.
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