1 Red Flag for Precious Metals Stocks
Geopolitical tensions have gold and silver back in the limelight, as investors often view them as a safe haven. And high levels of inflation fuel the view that precious metals, as hard assets, can help protect against swiftly rising prices. That's the good news, given that gold and silver have been rallying. But there's another factor to consider when you look at precious metals miners, and if you don't pay attention to it, you could end up getting hurt.
Gold and silver mining is a fairly simple business to understand. First, find a place that has material deposits of these precious metals. Then get approval to build a mine. Build the mine. Extract the gold and silver and sell it.
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Source Fool.com