Jaime Carrasco, Senior Portfolio Manager and Senior Investment Advisor at Harbourfront Wealth Management, discusses the current state and future of precious metals with Tom. Jaime emphasizes the importance of focusing on allocation rather than the price of gold and silver, highlighting that only 2% of Western wealth is currently allocated to the sector. Tom notes the historical context, recalling that during their first conversation in March 2020, gold was around $1,575 and silver was around $15.50, contrasting with the current prices of approximately $4,000 for gold and $50 for silver.

Carrasco outlines his strategy, which involves maintaining a minimum 30% allocation to the precious metals sector and rebalancing portfolios to manage volatility. He discusses the significance of central banks accumulating gold, with some now holding more gold than US treasuries, signaling a shift in the global monetary system. He also touches on the potential for gold to reach much higher prices, citing historical precedents and the current monetary environment.

The discussion also covers the role of silver, which Carrasco believes is poised for significant gains due to its industrial demand and monetary properties. Tom mentions the gold-silver ratio and its historical significance, suggesting that silver could outperform gold in the current bull market. Carrasco highlights the importance of having a long-term strategy and not getting caught up in short-term price movements.

Jaime advises investors to focus on building and maintaining their allocations in precious metals, as this sector is likely to outpace others during monetary crises. He also mentions the potential for a monetary reset, drawing parallels with historical events and the role of precious metals in rebuilding the monetary system. Throughout the conversation, Carrasco stresses the need for investors to educate themselves and take action, as the current environment presents a unique opportunity to protect and grow wealth through precious metals.

Timestamps:
00:00:00 – Introduction
00:01:00 – Historical Price Discussion
00:07:00 – Huge $500 Gold Move
00:07:45 – Special Opportunities Portfolio
00:15:50 – Exploration Investments
00:19:44 – Sector Allocation Emphasis
00:21:12 – Generational Manager Shift
00:22:50 – Central Bank Gold Buying
00:25:00 – Gold Price Projections
00:31:52 – Silver Market Catch-Up
00:36:13 – Monetary System Transition
00:45:11 – Canada/Chile Mining Sector
01:00:40 – Long-Term Holding Strategy
01:06:03 – Concluding Thoughts

Guest Links:
X: https://x.com/ijcarrasco
LinkedIn: https://www.linkedin.com/in/carrasco1/
Website: https://www.harbourfrontwealth.com
E-Mail: mailto:[email protected]

Jaime Carrasco is Senior Portfolio Manager & Senior Investment Advisor at Harbourfront Wealth Management. From 2014-2018 he worked as Director of Wealth Management and Associate Portfolio Manager for ScotiaMcLeod. Before this, he worked for Macquarie Group, CIBC Wood Gundy, BMO Nesbitt Burns, Gordon Capital, and Merrill Lynch.

Jaime is a leading Canadian investment professional with 25 years of experience providing wealth management and investment counsel to affluent families, businesses, and institutions. He has garnered a reputation for questioning and challenging the status quo and exploring the most innovative investment strategies.

Jaime, whose mother tongue is Spanish, also speaks Italian and French. He completed a BA in political science and economics at the University of Toronto in 1988. While a student, he worked for CS Yacht, a company that built luxury sailboats, thus spending his summers as a skipper for the Canadian establishment members. Jaime credits this experience and having survived sailing through Hurricane Bob in 1991. This experience taught him lessons that have become a metaphor for his financial investment strategies.

“Like one’s financial wealth, sailing is not about controlling the wind, but rather about adjusting the sails.”