Sierra Madre : Invest Philosophy

THE Sierra Madre Venture Capital Fund invests in listed mining companies of medium or small market capitalisation which have to fulfil the following criteria:

    * Listed precious metal mining companies that are in production on the one hand, and have a high potential of substituting exhausted resource bases, and at the same time, of adding new reserves.

    * Listed precious metals companies that are set to go into production on the one hand and that have, at the same time, considerable exploration prospects

    * Listed precious metal mining companies that concentrate on the exploration for precious metals in commodity rich regions that already have a substantial resource.

    * We consider the experience and integrity of the mining company’s management as another important investment criteria.

We believe that medium sized mining companies offer more growth potential in the long-term than major mining companies as it is easier for them to grow their resource base.

Shares of medium sized mining companies are more volatile than big cap mining stocks and are best suited for long-term investors. We also believe that mining companies are extremely undervalued at this time in relation to gold and silver and that, for this very reason, they offer an outstanding capital gain potential.

Our aim is to focus on a sustainable and constantly growing performance.