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Bringing the shine back into gold mining

It’s no secret that the gold mining industry has endured a roller-coaster ride since 2004, driven in part by changing economic conditions and price volatility. The industry’s average annual total shareholder return (TSR) has risen and plunged, sinking to new lows recently. While TSR performance has varied across companies, the industry overall has been destroying shareholder value since 2011, erasing gains that had come with a decade-long bull run.

While many still believe that a near- to-medium-term price recovery will revalidate mining companies’ current business models, we have a more bearish perspective, drawn from our proprietary Commodity