What Gets Forgotten Becomes Obvious - in conversation with Jeremy Lin, Purpose Investments

 

Earlier this year, I wrote to clients about deliberately adding commodity exposure to their portfolios.

The reasoning was straightforward enough: commodities had quietly shrunk to near their lowest weight in global indices in decades.

The world needed the raw materials.

The setup was compelling.

But there is a deeper pattern worth understanding here. It is not specific to commodities.

Every so often, an entire asset class or sector falls so far out of favour that it essentially disappears from consideration. Not because the underlying economics are broken. Simply because enough time has passed, enough money has moved elsewhere, and enough people have been burned trying to catch the falling knife.

The longer that neglect persists, the more opportunity accumulates.

I sat down recently with Jeremy Lin, who manages the Purpose Global Resource Fund at Purpose Investments. Jeremy has watched this space for fifteen years. He came to it through engineering and credit analysis, not geology - a lens that shapes how he thinks about risk in a sector known for destroying capital.

He made an observation that stuck with me:

"I am a big believer that in a couple of years time, everybody is going to look back at 2025 and 2026 and think that gold equities was the trade of this cycle. It is going to be a very obvious trade in hindsight."

That line is worth sitting with. Not because it is a price prediction. But because it describes a pattern that repeats across markets: an opportunity becomes so obvious only after enough people have decided it does not exist.

He then widened the lens:

"For the first time in my career, everything within the resource base is working. Energy, metals and mining, precious metals, base metals. Everything has its own reason for why it is going to work."

That kind of observation comes from understanding that the longer an entire complex sits neglected, the more the fundamentals can shift beneath the surface. Supply decisions made years ago. Exploration budgets cut. New management teams focused on returns instead of growth. The simple math of how long it actually takes to bring a project from discovery to production.

Invisibly, the setup changes.

The conversation below explores what has changed in the resource complex specifically, and why this moment feels structurally different from the last fifteen years.

But the principle applies beyond commodities: when something has been left behind long enough, the returns that eventually come can be surprising.

Watch the full video on YouTube

For clients, we also recorded a second segment going deeper into how we are actually positioned in this space and what we are watching ahead.

Reach out if you would like access to that conversation.