Today one of the wealthiest people in the financial world spoke with King World News about how he and Eric Sprott became so wealthy. Rick Rule, who is business partners with billionaire Eric Sprott, also spoke about one of the greatest opportunities that he has seen in his entire career. Below is what Rule had to say in his interview.
Rule: “You know, Eric, it’s funny because right now I am up in Vancouver, and looking at the despair in the professional investment community and juxtaposing that with the strange elation that I feel has caused me to feel very contemplative.
One of the things that occurs to me is that this is my fourth major market cycle. The three previous down-cycles that I’ve been through previously were the cause of my personal wealth, and Eric Sprott’s personal wealth….
“It’s interesting that at age 60 I have a lot more patience than I did when I was age 30. And I think one of the things that’s happening right now is the fact that markets and conditions have caused me to be a 3-to-5-year thinker, and most of the people I compete with, who are 20 years younger than me, have a 2-to-3-week time frame.
And the idea that somebody who has a 2-to-3-week times frame can compete with somebody who has a 3-to-5-year time frame is very problematic. What Eric and I are trying to do in very crass terms is go from being quite wealthy, to being ludicrously wealthy.
But the reality is that we are competing with people who are trying to make payments on their 2nd house at Whistler. In other words we are competing with people who are trying to live rich as opposed to being rich, which constrains them to a very, very short time frame.
Certainly I feel bad about having paid $3 for some stock that is selling at 60 cents, but it’s not the first time I’ve ever done that, and it’s certainly not the last time I am going to do that. But what I can tell you is that the money I’ve made in my life has come about through the aggressive deployment of capital at times like these.