
The Broken Equity Structure and Gold's Rally: Michael Green on the Systemic Risk of Passive Investing
Mining Stock Daily
Outro
Closing remarks, where to find Michael Green's Substack, offer of a discount, and standard podcast disclaimer.
Mining Stock Daily welcomes Michael Green to delve into the broken equity structure and its profound implications for the metals and miners audience. Green outlines his serious concerns regarding the explosive growth of passive investing, estimating that north of 50% of the total market capitalization is now contained within passive vehicles. This structural change creates a passive mandate bias toward large-cap concentration, which specifically distorts the valuations and liquidity of smaller cap resource and precious metals stocks. He illustrates how incremental passive flows disproportionately magnify the price impact on the largest stocks while shrinking buy orders for smaller index components, creating a momentum reinforcement vehicle that exacerbates market bifurcation. The discussion also covers the dangers of highly leveraged instruments like 2x-3x ETFs and the motivations behind their creation, which often caters to speculative demand rather than thoughtful investment policy. Finally, Green links current financial behavior and political inaction to historical cycles, drawing an analogy between the contemporary failure of American systems and the collapse of the Roman Republic, suggesting the current gold rally may signal a flight from systemic risk rather than just inflation.
Inquire more about the MSD discount for to Mike's Substack HERE
This episode of Mining Stock Daily is brought to you by...
Revival Gold is one of the largest pure gold mine developer operating in the United States. The Company is advancing the Mercur Gold Project in Utah and mine permitting preparations and ongoing exploration at the Beartrack-Arnett Gold Project located in Idaho. Revival Gold is listed on the TSX Venture Exchange under the ticker symbol “RVG” and trades on the OTCQX Market under the ticker symbol “RVLGF”. Learn more about the company at revival-dash-gold.com
Vizsla Silver is focused on becoming one of the world’s largest single-asset silver producers through the exploration and development of the 100% owned Panuco-Copala silver-gold district in Sinaloa, Mexico. The company consolidated this historic district in 2019 and has now completed over 325,000 meters of drilling. The company has the world's largest, undeveloped high-grade silver resource. Learn more at https://vizslasilvercorp.com/
Equinox has recently completed the business combination with Calibre Mining to create an Americas-focused diversified gold producer with a portfolio of mines in five countries, anchored by two high-profile, long-life Canadian gold mines, Greenstone and Valentine. Learn more about the business and its operations at equinoxgold.com
Integra Resources is a growing precious metals producer in the Great Basin of the Western United States. Integra is focused on demonstrating profitability and operational excellence at its principal operating asset, the Florida Canyon Mine, located in Nevada. In addition, Integra is committed to advancing its flagship development-stage heap leach projects: the past producing DeLamar Project located in southwestern Idaho, and the Nevada North Project located in western Nevada. Learn more about the business and their high industry standards over at integraresources.com


