PDAC 2026 Highlights Investor Rotation Toward Tangible Assets
At the Prospectors & Developers Association of Canada convention in Toronto, mining executives unveiled a significant shift in investor sentiment, with gold and copper emerging as top picks amid ongoing global uncertainty and a declining U.S. dollar. This movement signals a broader rotation from speculative growth narratives to tangible value stories, as metals gain prominence in portfolios seeking stability.
The Rise of Gold and Copper as Safe Havens
Rob McEwen, chair and CEO of McEwen Inc., emphasized the enduring value of precious metals, stating, "I’ve been a big fan of gold and precious metals for a long time and always felt that that’s money. And fiat currencies are not money; they’re pieces of paper." He highlighted that mining stocks, which once comprised 11% of global equities in the mid-20th century, have dwindled to just 3%, but could rebound to 5-10% as awareness grows about metals' necessity for modern civilization.
McEwen added, "It’s the beginning of a rotation from growth stories to value stories. And value is metal." This sentiment was echoed by panelists who selected gold and copper as the commodities poised for strong performance over the next 12 months, citing their tangible nature in contrast to volatile financial instruments.
Market Dynamics and Political Influences
Jackie Przybylowski, vice-president of capital markets at Gold Royalty Corp., noted that gold achieved a record year in 2025, and any chaos or conflict leading up to the U.S. midterm elections in November could further support its price. She explained, "Whether the Republicans or the Democrats succeed in the midterm elections, either way, U.S. spending continues to go up. De-dollarization, or a weaker U.S. dollar, is generally positive for gold as well."
Ilan Bahar, co-head of BMO Capital Markets’ Global Metals & Mining Group, pointed to stockpiling as a key driver of commodity prices, referencing Project Vault—a U.S. initiative to establish a strategic critical minerals reserve likely including copper. He stated, "When you think about the next 12 months, there’s a great opportunity for copper because of the short-term pull on the commodity as a result of government action and also just the various conflicts we’ve seen."
Industry Insights and Valuation Disconnects
Nawojka Wachowiak, senior portfolio manager at Ninepoint Partners LP, observed significant price disconnects within the mining sector, noting, "You could have one company that’s worth $100 million, another one that’s $300 million and, really, there is no difference in the asset base. I’m surprised to see that level of disconnect this far into the rally." She emphasized that momentum remains strong among producers and mid-cap companies, while junior miners still hold substantial untapped value.
Overall, the consensus at PDAC 2026 underscores a growing investor preference for tangible assets like gold and copper, driven by economic uncertainty and a search for reliable value in an increasingly volatile global landscape.
