The high flying loonie is probably one factor behind strong insider buying in the junior area of the market over the past year. Junior resource firms can raise money in Canada and invest around the world at favourable exchange rates. We stay with the international theme with a look at South American Silver Corp. On April 5, the company appointed Greg Johnson as chief executive officer. Mr. Johnson was formerly a director at NovaGold Resources which is hoping to develop a mine in British Columbia. South American Silver's flagship property is in Bolivia.
Despite the risks involved with getting a mine built in the country, the new CEO has been adding to his holdings. Since being appointed CEO, Mr. Johnson has bought 518,000 shares in the public market between 44 and 54 cents. The trades bring his total holdings to approximately 1.8 per cent of shares outstanding based on quoted market value.
Ted Dixon is CEO of INK Research www.inkresearch.com which provides insider news and knowledge to investors. Investments profiled are from a recent edition of the Morning INK report which is distributed daily to subscribers and clients of select financial institutions. INK staff may hold shares in profiled securities.
Chart reflects public-market transactions of common shares or unit trusts by company officers and directors.