Lundin Mining

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My Approach to Investing

Summary

I focus my efforts on small and mid-sized companies searching for those where the growth prospects are not reflected in the share price. I am disciplined about the valuation I am prepared to pay; I don’t like to pay over 20x forecast earnings and favour companies that are paying a growing dividend and have a prospective dividend yield of at least 2.0%. I search for companies generating strong cash flow and if not having net cash, then debt levels that is low to moderate. Where possible I like to meet management and understand what makes them tick and if they have a decent stake in the business so much the better; our interests are aligned! I like companies that are beating expectations and earnings forecasts are being upgraded. Ultimately I am looking for the “double whammy” that comes from a re-rating and from faster than expected earnings growth. Having found a potential investment I look at the share price chart as it can help with timing; so often resistance and support levels work. I size a position based on my assessment of the potential Risk and Reward of the stock. I hold between 20 and 30 holdings, making use of investment trusts for overseas or thematic exposure.

The most important number to me is the return of the Portfolio! I try not to get too emotionally involved with individual companies; if I cut a holding and it immediately bounces, so be it. All that matters is the return of the Portfolio, each month, each year, each decade!

I invest principally in the UK

I invest mainly in UK stocks as that is where I have gained my experience. There are clearly opportunities to invest in overseas companies, and it is fair to say that it is now much easier to get the information you need. I think that for a private investor, such as myself, with limited time resources, it is better not to spread my net too wide. For me, it makes sense to focus my efforts on a market where I have experience and familiarity.

I focus on mid and small-sized companies

I focus on mid and small-sized companies but not exclusively.

The FTSE 100 Index comprises the largest 100 companies and by value accounts for around 70% of the UK market, The FTSE 250, (the next 250 companies) accounts for about 25% of the market by value, and the FTSE Small Cap, FTSE Fledgling and FTSE AIM, the remainder.

The table below shows the percentage returns over 1, 3, 5, and 10 years to 31st December 2020

My Approach to Investing

Summary

I focus my efforts on small and mid-sized companies searching for those where the growth prospects are not reflected in the share price. I am disciplined about the valuation I am prepared to pay; I don’t like to pay over 20x forecast earnings and favour companies that are paying a growing dividend and have a prospective dividend yield of at least 2.0%. I search for companies generating strong cash flow and if not having net cash, then debt levels that is low to moderate. Where possible I like to meet management and understand what makes them tick and if they have a decent stake in the business so much the better; our interests are aligned! I like companies that are beating expectations and earnings forecasts are being upgraded. Ultimately I am looking for the “double whammy” that comes from a re-rating and from faster than expected earnings growth. Having found a potential investment I look at the share price chart as it can help with timing; so often resistance and support levels work. I size a position based on my assessment of the potential Risk and Reward of the stock. I hold between 20 and 30 holdings, making use of investment trusts for overseas or thematic exposure.

The most important number to me is the return of the Portfolio! I try not to get too emotionally involved with individual companies; if I cut a holding and it immediately bounces, so be it. All that matters is the return of the Portfolio, each month, each year, each decade!

I invest principally in the UK

I invest mainly in UK stocks as that is where I have gained my experience. There are clearly opportunities to invest in overseas companies, and it is fair to say that it is now much easier to get the information you need. I think that for a private investor, such as myself, with limited time resources, it is better not to spread my net too wide. For me, it makes sense to focus my efforts on a market where I have experience and familiarity.

I focus on mid and small-sized companies

I focus on mid and small-sized companies but not exclusively.

The FTSE 100 Index comprises the largest 100 companies and by value accounts for around 70% of the UK market, The FTSE 250, (the next 250 companies) accounts for about 25% of the market by value, and the FTSE Small Cap, FTSE Fledgling and FTSE AIM, the remainder.

The table below shows the percentage returns over 1, 3, 5, and 10 years to 31st December 2020

ABOUT ME

I launched this website in January 2012 so that I could share with other investors how I manage my investment portfolio; the JIC Portfolio.

There is complete transparency with the current portfolio and all transactions shown. I explain all trades through my blog and hope the site provides food for thought to more experienced investors as well as helping those who are new to managing their own portfolios. I believe JohnsInvestmentChronicle is unique: There are plenty of “tipsters” who will remind you of the “good ones” and quietly forget the disasters; I do not have that luxury as the Portfolio is there for all to see, backed with real money; mine! I have to confront my mistakes and deal with them; there is no hiding place! Above all, this is a true expose of the trials and tribulations of a private investor!

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Well worth 50 minutes of anyone's time: Interview with Adam and Jack Lundin by "Money of Mine"

Well worth 50 minutes of anyone's time: Interview with Adam and Jack Lundin by "Money of Mine"

Well worth 50 minutes of anyone's time: Interview with Adam and Jack Lundin by "Money of Mine"

#podcasts Click on the picture above or HERE I listened to this today. It gives a good insight into the way the Lundins operate and the culture of the group. There are interesting parts on Lundin Mining and how it can see its way through financing the development of Vicuna with its JV partner BHP. NGEX is mentioned along with the recent spin-out of LunR royalty company. Altogether, a very informative podcast for both shareholders in Lundin Group companies and those thinking a

Nov 121 min read

Lundin Mining Q3 Results: Grok one-liner: "Copper costs down, guidance up, Vicuña ramping: Lundin’s poised for outsized gains in a rebounding metals cycle."

Lundin Mining Q3 Results: Grok one-liner: "Copper costs down, guidance up, Vicuña ramping: Lundin’s poised for outsized gains in a rebounding metals cycle."

Lundin Mining Q3 Results: Grok one-liner: "Copper costs down, guidance up, Vicuña ramping: Lundin’s poised for outsized gains in a rebounding metals cycle."

Lundin Mining (TSX: LUN, Market Cap C$ 19.4bn (£10.5bn) C$ 22.69 (1233p) currently 6.9% of JIC Portfolio). (In the portfolio view in my Investment Diary I show the share price converted to sterling). www.Lundinmining.com www.lundingroup.com Q3 Results Full news release can be found HERE Conclusion: Again, a good summary by Grok. I love the one-liner: “Copper costs down, guidance up, Vicuña ramping: Lundin’s poised for outsized gains in a rebounding meta

Nov 63 min read

JIC Portfolio: Short Review of each of my positions (I)

JIC Portfolio: Short Review of each of my positions (I)

JIC Portfolio: Short Review of each of my positions (I)

Background: I have discussed a potential market melt-up in my last two monthly reviews. I think that is what we are witnessing. I...

Aug 115 min read

I should go away more often!

I should go away more often!

I should go away more often!

I’m back from my hike along the Great Glen Way. Great fun with some old university friends, but not a route I would particularly...

Aug 82 min read

Lundin Mining - Vicuna District Mineral Resource Report - "Remarkable" and Exciting

Lundin Mining - Vicuna District Mineral Resource Report - "Remarkable" and Exciting

Lundin Mining - Vicuna District Mineral Resource Report - "Remarkable" and Exciting

Lundin Mining (TSX: LUN, Market Cap C$ 10.2bn (£5.7bn) C$ 11.90 (647p) currently 4.3% of JIC Portfolio). (In the portfolio view in...

May 74 min read

Lundin Mining 2024 Results

Lundin Mining 2024 Results

Lundin Mining 2024 Results

Lundin Mining (TSX: LUN, Market Cap C$ 11.1bn (£6.2bn) C$ 12.80 (723p) 5.0% target, currently 4.9% of JIC Portfolio). (In the...

Feb 216 min read

Life goes on! Lundin Mining 2024 production and outlook

Life goes on! Lundin Mining 2024 production and outlook

Life goes on! Lundin Mining 2024 production and outlook

Lundin Mining (TSX: LUN, Market Cap C$ 9.6bn (£5.5bn) C$ 12.46 (712p) 5.0% target, currently 4.6% of JIC Portfolio). (In the...

Jan 173 min read

Lundin Mining - Filo JV with BHP completed

Lundin Mining - Filo JV with BHP completed

Lundin Mining - Filo JV with BHP completed

Lundin Mining (TSX: LUN, Market Cap C$ 9.6bn (£5.5bn) C$ 12.46 (712p) 5.0% target, currently 4.6% of JIC Portfolio). (In the...

Jan 161 min read

Lundin Mining sells assets to focus on S. America. NGEx Minerals enters the TSX Composite Index on 23 December

Lundin Mining sells assets to focus on S. America. NGEx Minerals enters the TSX Composite Index on 23 December

Lundin Mining sells assets to focus on S. America. NGEx Minerals enters the TSX Composite Index on 23 December

NGEx Minerals : On Friday, it was announced that NGEx will enter the TSX Composite Index on 23rd December. This is positive news as it...

Dec 9, 20244 min read

Lundin Mining - Q3 update

Lundin Mining - Q3 update

Lundin Mining - Q3 update

Lundin Mining (TSX: LUN, Market Cap C$ 10.0bn (£5.6bn) C$ 13.64 (760p) Medium Risk/High Reward, 5.0% target, currently 5.0% of JIC...

Nov 7, 20245 min read

JIC Portfolio Trade - Added to two existing positions

JIC Portfolio Trade - Added to two existing positions

JIC Portfolio Trade - Added to two existing positions

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Nov 4, 20241 min read

Two more trades - Added to existing positions (Lundin Mining and NGEX Minerals)

Two more trades - Added to existing positions (Lundin Mining and NGEX Minerals)

Two more trades - Added to existing positions (Lundin Mining and NGEX Minerals)

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Sep 17, 20241 min read

Current thoughts on my positions - Part III (Part IV tomorrow and final part on Monday)

Current thoughts on my positions - Part III (Part IV tomorrow and final part on Monday)

Current thoughts on my positions - Part III (Part IV tomorrow and final part on Monday)

Lundin Mining 657p, 3.5% of the JIC Portfolio . Recent addition to the Portfolio with dairy entry HERE . Never mind the poor short-term...

Sep 12, 20245 min read

JIC Portfolio Trades - Added to three of my commodity positions with the cash raised this morning

JIC Portfolio Trades - Added to three of my commodity positions with the cash raised this morning

JIC Portfolio Trades - Added to three of my commodity positions with the cash raised this morning

#jicportfoliotrade

Sep 4, 20241 min read

JIC Portfolio Trade - I have just increased the new holding, added yesterday, to my target weight of 3.0%

JIC Portfolio Trade - I have just increased the new holding, added yesterday, to my target weight of 3.0%

JIC Portfolio Trade - I have just increased the new holding, added yesterday, to my target weight of 3.0%

#jicportfoliotrade

Aug 21, 20241 min read

JIC Portfolio Trade - New position added - funded by selling (taking a loss) in Glencore

JIC Portfolio Trade - New position added - funded by selling (taking a loss) in Glencore

JIC Portfolio Trade - New position added - funded by selling (taking a loss) in Glencore

#jicportfoliotrade

Aug 20, 20245 min read

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