I’ve argued previously that H&T (HAT) was a great way to buy into a classic financial business with sound management and the added bonus of a positive gold price correlation. This morning, the company announced interim results which will see me continuing to hold on to my position.
Yesterday, I explained why I think gold-bugs should pay closer attention to the pawnbroking sector, and mentioned that H&T Pawnbrokers (HAT) is currently more than 20% of my stock portfolio. Today, I’ll take a look at the trading update which H&T released on Thursday, and see if the investment case still stands up.
Full disclosure: I am a gold-bug. I love gold. And I think the economic doom-mongers like Peter Schiff make fantastic arguments for a radically higher gold price. We are in uncharted monetary territory which threatens the fundamental integrity of our paper currencies. But I also know that investing on the basis of an impending apocalypse means betting on something that has never happened before. History tells us that stock markets and most of their constituents tend to survive wars, disasters, economic collapse, etc.