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GOLD ANALYSIS
BID TARGETS
Small to medium sized gold miners best investment bets for Investec
Investec portfolio manager, Daniel Sacks, reckons small and mid-sized gold producers are best investment bets during times of high bullion prices

Author: Pratima Desai
Posted: Thursday , 27 Mar 2008

LONDON (Reuters) -

Small and medium-sized gold producers with rising output which hasn't been hedged are bid targets and a better bet than large firms in the sector, Investec Asset Management says.

Daniel Sacks, a portfolio manager, at Investec told Reuters that small producers will gain more from record high bullion prices than large ones because they haven't sold their future output at prices well below current levels.

"We look for companies with no hedged production, rising volumes and good cost containment, whose earnings should therefore rise by more than gold,"