You don't have to be a geologist or a workaholic fund manager to spot deals in the natural resources space—although it helps if you know a good one. Focus on the people behind the company, find out if they have skin in the game, and wait until you can get in at a lower price than their price. Then be patient.
The Energy Report: You recently launched Katusa Research after years of working with Doug Casey. How do you see your new company expanding on what you achieved at Casey Research?
Marin Katusa: My time at Casey Research was fun and a great platform to spread my wings. Doug and I are still very close. We're partners in a hedge fund and we talk regularly. Katusa Research is going to be much more focused on just publishing research. There will not be any upsells, and I am not a publishing company.
I run an investment fund, and my focus is making money on investments, not selling newsletters. Everybody will be able to get free access to all my research and thoughts on my website and monthly newsletter, all available for free at katusaresearch.com.
I have no axe to grind with the publishing model; it's just not for me. I've made all of my money from my investments, and the cash flow I received from the newsletters was a very small part of my income. So, I want to focus on the great opportunity I see currently in the resource industry. And, I plan structuring deals that in five years are going to add a significant impact to my funds' portfolios.
TER: What do you hope to achieve by publishing this for free that you were not getting when you were at Casey Research?
MK: Therapy and deal flow. I've done eight flights in the last week and visited six countries in the last 30 days. I spend a lot of time on airplanes, so I try to optimize my time, and writing is therapeutic. I don't pretend that I'm the best writer, but I am a fast writer, and jotting down my thoughts helps my stock analysis and research.
My output is up there with the best of the writers in the industry. I can create spreadsheets, but when I write it out in plain language, it helps my analysis. Moving forward, since my research will be free, I don't have to worry about the marketing side of the publishing business.
I am busy running one of the largest funds in the junior resource sector. I'm an investor and speculator. That's my focus. I'm not going to be hitting people's emails 10 times a day to tell them about the best investment theme of their lives. If people are interested, they can come to my website. Time will tell if my model will work.