Model Limitations
As with all financial models, there are some limitations:
- We assume that all financial statements, project studies and reports are accurate.
- Our models focus on primary or secondary projects. If a company has not done work on a project in over 2 years it is not included in our system.
- We focus on precious metal equities with market capitalizations of under $1 billion. We believe that there is already enough research available on majors.
- The variables within the system reflect our belief on current market conditions. The variables and their weightings can change at any point.
- The Tickerscores system is our belief in how companies should be valued and which metrics are required to value them correctly.
- High scores do not necessarily mean high returns.
- Using a basket approach and selecting a basket of high scoring stocks has the ability to outperform a general mining index over the long term given current constraints
We continue to work diligently to improve the model by adding in even more variables and re-weighting criteria.
