UncleFred

Why Oil Is Actually Cheap At $75

Expect some short term volatility, but over the long run, Faisal is right on the money. Increasing demand for something in decreasing supply, like oil, will inevitably lead to increased price/unit. This is why the CANROYs are such wonderful investments: huge supply of terrorist and hurricane immune oil in a politically stable environment, and paying great dividends on top of that. Check out AAV, HTE, ERF, PWE, PWI for the last five years. Look at the price appreciation, then calculate what the dividends would have paid you, when they average ~12% (AFTER the Canadian tax). FDG is a coal play on a somewhat similar theme.