Medinah Minerals (MDMN)

[Goldstrike]

It is not possible for me to tolerate the Medinah universe without a healthy sense of humor.

I'd like to stay on the serious path. After all, this is ultimately about money.

“Mama always had a way of explaining things so I could understand them.”

You state that a stock like this should not comprise more than 5% of a rationally constructed portfolio. Good point.
Your recent posts indicate that you may have overexposure in this stock. May I politely ask how this came to be? You state in a post that “I've got tens of thousands of unrealized losses in this embarrassing "investment" but fortunately the loss isn't material in my overall picture.” I believe your cost basis was probably close to four times the current share price. That doesn’t make a whole lot of sense to me. Any seasoned investor knows to “buy low and sell high.” So what gives?
I think what happened to too many novice investors was exposure to a kind of mania fostered by word of mouth promotion. Inexperienced people with little experience in the market became fascinated by the story. There was and is something real behind the hype and I believe people sensed this. They did not, however, understand the time frame needed for exploration and exploitation of the resource, which is just now undergoing a renewed drilling program. Still, something caught and held their attention through the many years of alternating hope and disappointment. I can’t believe that Les Price or Dr. DeCosta should be held accountable for leading investors down the path. While persuasive, their talents are not magical like that of the pied piper.
The power of this story swept people off their feet to the extent that many plunged funds that they could ill afford to gamble with into this stock. That is where the true sadness lies. The question remains as to who is ultimately responsible for this. This is probably unanswerable. We can’t legislate against stupidity and greed and we can’t nanny state people into restricting them from taking chances. They have to make mistakes and learn from them. That seems to be a component of a law as inherent as that of natural selection applied to society and economics.
For those who bit off a bit more than they could chew, there’s solace in the fact that this collection of claims could very well be economically feasible to mine. There are indications that point favorably to this. Time will tell.