About Us
TerraMetal Investment
Founded in 2010
So far private and
institutional investors
have not had the chance
to inves...
Metal Categories
Precious metals

Strategic metals

Rare Earths

Gold

Gallium

Neodymium

Indium

Yttrium

Silver

Tantal...
Our Claim

Rare earths and strategic metals
are optimaly suited for core investments

Why?
They are essential for the worl...
Growing Diversity of Industrial Elements
in the Past 30 Years

1980s

12 elements

1990s

16 elements

2000s

60 elements
Rare Earths and Strategic Metals
in Everyday Life
Aviation

Mobile communication

TV

Medical technology

Lighting

Cars
Components of an Average Mobile Phone
(Proportional Weight in G)
Component

Proportion/g

Component

Proportion/g

Siliciu...
The Demand for Rare Earths & Strategic Metals
in the Manufacturing Industry is Growing Steadily
Touch screens

Light-emitt...
(1) Emerging Markets – China & India
Market opportunities for consumer electronics in relation to TV sets

US
Electrificat...
World Population Growth
30,000,000,000

25,000,000,000

20,000,000,000
Medium variant
15,000,000,000

High variant
Low var...
Gallium
Ga, 31 – strategic metal

Increasing demand

Growth rate: 2,075% until 2030

Future technology

Light-emitting dio...
Indium
In, 49 – strategic metal

Increased demand

Growth will increase by factor 8 until 2030

Future technology

Flat sc...
Neodymium
Nd, 60 – rare earth

Demand increase

Growth will increase by factor 8 until 2030

Future technology

Permanent ...
Global Consumption of Raw Materials in
20 Years
How will global raw material demand for selected future technologies
incre...
Return on Investment (ROI)

Prices result from demand and supply.
We know that demand is steadily increasing.

But what ab...
(2) Emerging Markets – China & India

If China or India had a number of TV sets
proportional to Europe, there would be
no ...
Demand & Supply of Rare Earths –
Outlook 2015
Metal

Demand

Supply

Überschuss

Lanthanum

55.180 t

60.700 t

5.520 t

C...
Lifespan of Selected Metals
Statistical lifespan 2010 (in years)
Indium
Silver
Antimony
Tin
Chrome
Copper
Selenium
Yttrium...
Supply Increase –
Mining and Recycling are Not the Solution
Can the demand be satisfied, sooner or later?
Resources are li...
Performance - Tellurium
$400

$350

Tellurium 99,9% in € / kg

$300

$250

$200

$150

$100

$50

$0
1/ Mrz/ 04 1/ Mrz/ 05...
$0
Mai/ 11

Feb/ 11

Nov/ 10

Aug/ 10

Mai/ 10

$200

Feb/ 10

$250

Nov/ 09

Aug/ 09

Mai/ 09

Feb/ 09

Nov/ 08

Aug/ 08
...
Okt/ 11

500 €

3,600 €
Sep/ 11

3,800 €

Aug/ 11

1,000 €

Jul/ 11

1,500 €

Jun/ 11

13,94%

Mai/ 11

2,500 €

4,400 €

...
400 €

200 €

-€
Apr/ 11

Sep/ 11
Okt/ 11

Aug/ 11
Sep/ 11
Okt/ 11

Jun/ 11

Mai/ 11

Jul/ 11

1,200 €
1,000 €
800 €
600 €...
400 €

200 €

-€
Sep/ 11
Okt/ 11

Aug/ 11
Sep/ 11
Okt/ 11

Jun/ 11

Mai/ 11

Apr/ 11

Mrz/ 11

Jul/ 11

1,200 €
1,000 €
80...
Advantages of Investing in
Rare Earths & Strategic Metals
Real assets

Problem of inflation solved

Scarce resources

Prob...
Management Strategy
The management of TerraMetal Fund
follows a simple strategy:

Which metals will run out and
for which ...
Warehousing

Quelle: www.zf-albisrieden.ch
Composition of the Fund – First Step
Cash

5%

Silver

15%

Indium

20%

Gallium

15%

Tellurium

15%

Neodymium

10%

Ytt...
Szenario
Backtesting 15.11.2010 – 26.10.2011
Invested amount: 1 Mio €

Cash

5%

0%

0€

Silver

15%

30.7%

46,050.00 €

...
Target Setting

300% in 10 years

%
t
Rare Earth & Strategic Metals
The Perfect Allocation for the Global SAF
• Real asset
• High performance:
increasing demand...
Find Out More:
www.mylifeplan.info
Invest in Rare Earth Metals - Terra Metal Fund
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Invest in Rare Earth Metals - Terra Metal Fund

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Invest in Strategic and Rare Earth Metals via Terra Metal Fund
http://www.mylifeplan.info/

Investments in tangible values offer extensive protection against inflation. Limited supplies and consistent advances in technology (smartphones, iPads, flat screen monitors etc.) around the world create continuously growing demand for strategic and rare earth metals - even during cyclically weaker periods of global economic growth.
A great introduction to the Rare Earths Elements.

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Invest in Rare Earth Metals - Terra Metal Fund

  1. 1. About Us TerraMetal Investment Founded in 2010 So far private and institutional investors have not had the chance to invest in rare earth and strategic metals. TerraMetal has made it possible for investors to physicaly store rare metals. The TerraMetal Fund was initiated in Nov 2011. From now on even small savings can be invested.
  2. 2. Metal Categories Precious metals Strategic metals Rare Earths Gold Gallium Neodymium Indium Yttrium Silver Tantalum Dysprosium Rhodium Tellurium Praseodymium Platinum Germanium Lanthanum Palladium Rhenium Cerium Bismuth Europium
  3. 3. Our Claim Rare earths and strategic metals are optimaly suited for core investments Why? They are essential for the world and our future
  4. 4. Growing Diversity of Industrial Elements in the Past 30 Years 1980s 12 elements 1990s 16 elements 2000s 60 elements
  5. 5. Rare Earths and Strategic Metals in Everyday Life Aviation Mobile communication TV Medical technology Lighting Cars
  6. 6. Components of an Average Mobile Phone (Proportional Weight in G) Component Proportion/g Component Proportion/g Silicium 24,8803 Bismuth 0,0063 Synthetic materials 22,9907 Chrome 0,0063 Ferreous 20,4712 Quicksilver 0,0022 Aluminium 14,1723 Germanium 0,0016 Copper 6,9287 Gold 0,0016 Lead 6,2988 Indium 0,0016 Zinc 2,2046 Ruthenium 0,0016 Tin 1,0078 Selenium 0,0016 Nickel 0,8503 Arsenic 0,0013 Barium 0,0315 Gallium 0,0013 Manganese 0,0315 Palladium 0,0003 Silver 0,0189 Europium 0,0002 Beryllium 0,0157 Niobium 0,0002 Cobalt 0,0157 Vanadium 0,0002 Tantalum 0,0157 Yttrium 0,0002 Titanium 0,0157 Platinum In trace amounts Antimony 0,0094 Rhodium In trace amounts Cadmium 0,0094 Terbium In trace amounts
  7. 7. The Demand for Rare Earths & Strategic Metals in the Manufacturing Industry is Growing Steadily Touch screens Light-emitting diodes LCDs Wind power plants Semiconductors Solar cells
  8. 8. (1) Emerging Markets – China & India Market opportunities for consumer electronics in relation to TV sets US Electrification China India 100% 99 % 56 % Population 307 Mio 1.339 Mio 1.166 Mio TV sets in use 300 Mio 435 Mio 99 Mio 2,5 1,1 <0,8 TV sets per household But what about Indonesia? Vietnam? Brazil?
  9. 9. World Population Growth 30,000,000,000 25,000,000,000 20,000,000,000 Medium variant 15,000,000,000 High variant Low variant 10,000,000,000 Constant-fertility variant 5,000,000,000 2100 2095 2090 2085 2080 2075 2070 2065 2060 2055 2050 2045 2040 2035 2030 2025 2020 2015 2010 2005 2000 0 Source: www.un.org Worlds population increases by 79 Mio people every year In comparison: German population 82 Mio people
  10. 10. Gallium Ga, 31 – strategic metal Increasing demand Growth rate: 2,075% until 2030 Future technology Light-emitting diodes, photovoltaic technology, electronic high frequency components Extraction areas China, Germany, Kazakhstan, Ukraine Risk Countries Political risks to some extent Market power China (75% of world production in 2009) Marginal costs of exploration High exploration costs Substitutability - Applicability Highly applicable, nontoxic Quicksilver substitute
  11. 11. Indium In, 49 – strategic metal Increased demand Growth will increase by factor 8 until 2030 Future technology Flat screens, touch screens, medical technology, solar technology, light-emitting diodes, mobile displays, engineering, special coatings Extraction areas China, Russia, Japan, Canada, Peru Risk countries Political risks to some extent Market power China (60% of world production in 2008) Marginal exploration costs High in countries with deposits Substitutability - Applicability Highly applicable
  12. 12. Neodymium Nd, 60 – rare earth Demand increase Growth will increase by factor 8 until 2030 Future technology Permanent magnets, electric motors, hybrid technology Extraction areas China, India, Brazil Country of risks Political risks to some extent Market power China (97% of world production in 2009) Marginal costs of exploration Increasing costs of exploration Substitutability - Applicability Highly used in wind power plants
  13. 13. Global Consumption of Raw Materials in 20 Years How will global raw material demand for selected future technologies increase until 2030 in relation to current gross world production of certain raw materials? Commodity Demand 2006 - 2030 Future technology (selection) Gallium Factor 21,38 Thin-film-photovoltaics, IC, WLED Neodymium Factor 8,12 Permanent magnets, laser technology Indium Factor 8,23 Displays, thin-film-photovoltaics Scandium Factor 22,8 SOFC fuel cells, alloying element for Al Germanium Factor 8 Fiber-optic cables, IR, optical technology Platinum Factor 15,6 Fuel cells, catalysis Tantalum Factor 2,59 Micro-capacitors, medical technology Silver Factor 3 Lead-free solders, RFID
  14. 14. Return on Investment (ROI) Prices result from demand and supply. We know that demand is steadily increasing. But what about the supply?
  15. 15. (2) Emerging Markets – China & India If China or India had a number of TV sets proportional to Europe, there would be no more Indium, Gallium, Tantalum and Tellurium.
  16. 16. Demand & Supply of Rare Earths – Outlook 2015 Metal Demand Supply Überschuss Lanthanum 55.180 t 60.700 t 5.520 t Cerium 59.910 t 90.900 t 30.990 t Praseodymium 15.789 t 10.900 t -4.889 t Neodymium 44.264 t 36.600 t -7.664 t Samarium 330 t 4.500 t 4.170 t Europium 637 t 925 t 288 t 1.264 t 3.400 t 2.136 t 690 t 375 t -315 t 2.300 t 1.950 t -350 t Yttrium 16.116 t 12.300 t -3.816 t Others 520 t 1.400 t 880 t 197.000 t 223.950 t 26.950 t Gadolinium Terbium Dysprosium Total The development of new mines has already been taken into consideration
  17. 17. Lifespan of Selected Metals Statistical lifespan 2010 (in years) Indium Silver Antimony Tin Chrome Copper Selenium Yttrium Niobium 0 10 20 30 40 50 60 70
  18. 18. Supply Increase – Mining and Recycling are Not the Solution Can the demand be satisfied, sooner or later? Resources are limited Mine development takes several years (8-10) Mine development is not possible for all metals or generates vast costs, respectively Most metals can not be substituted Recycling is not possible, or not yet profitable Rising prices
  19. 19. Performance - Tellurium $400 $350 Tellurium 99,9% in € / kg $300 $250 $200 $150 $100 $50 $0 1/ Mrz/ 04 1/ Mrz/ 05 1/ Mrz/ 06 1/ Mrz/ 07 1/ Mrz/ 08 1/ Mrz/ 09 1/ Mrz/ 10 1/ Mrz/ 11
  20. 20. $0 Mai/ 11 Feb/ 11 Nov/ 10 Aug/ 10 Mai/ 10 $200 Feb/ 10 $250 Nov/ 09 Aug/ 09 Mai/ 09 Feb/ 09 Nov/ 08 Aug/ 08 Mai/ 08 Feb/ 08 Nov/ 07 Aug/ 07 Mai/ 07 $400 Feb/ 07 Nov/ 06 Aug/ 06 Mai/ 06 Feb/ 06 Nov/ 05 Aug/ 05 Mai/ 05 Feb/ 05 Price Development 2005 - 2011 Rare Earth in $ / kg $350 $300 Neodymium Cerium Lanthanum $150 $100 $50
  21. 21. Okt/ 11 500 € 3,600 € Sep/ 11 3,800 € Aug/ 11 1,000 € Jul/ 11 1,500 € Jun/ 11 13,94% Mai/ 11 2,500 € 4,400 € Apr/ 11 4,600 € Mrz/ 11 Okt/ 11 Sep/ 11 Sep/ 11 Okt/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Feb/ 11 Jan/ 11 Dez/ 10 Aug/ 11 25,78% Aug/ 11 Tellurium (Te) Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 600 € 500 € 400 € 300 € 200 € 100 € -€ Feb/ 11 Tantalum (Ta) Jan/ 11 1,200 € 1,000 € 800 € 600 € 400 € 200 € -€ Feb/ 11 Rhenium (Re) Nov/ 10 Neodymium (Nd) Jan/ 11 19,58% Dez/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 -€ Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Apr/ 11 Mai/ 11 229,25% Dez/ 10 Apr/ 11 Mai/ 11 Mrz/ 11 400 € Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 4,000 € Jun/ 11 29,23% 4,200 € Mai/ 11 Bismuth (Bi) Apr/ 11 -€ Mrz/ 11 200 € Mrz/ 11 18,32% 700 € 600 € 500 € 400 € 300 € 200 € 100 € -€ Feb/ 11 800 € Jan/ 11 200 € Feb/ 11 300 € Feb/ 11 Indium (In) Jan/ 11 100 € -€ Dez/ 10 50 € Jan/ 11 500 € 200 € Dez/ 10 Yttrium (Y) Dez/ 10 1,000 € Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 115,75% Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Feb/ 11 250 € Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 400 € Apr/ 11 600 € Mrz/ 11 Feb/ 11 Jan/ 11 Dez/ 10 Nov/ 10 100 € Mrz/ 11 35 € 30 € 25 € 20 € 15 € 10 € 5€ -€ Jan/ 11 Dez/ 10 Nov/ 10 150 € Feb/ 11 Jan/ 11 Dez/ 10 Nov/ 10 Performance Rare Earths & Strategic Metals Gallium (Ga) 16,72% Germaniumoxid (GeO2) 2,000 € 76,47% -€
  22. 22. 400 € 200 € -€ Apr/ 11 Sep/ 11 Okt/ 11 Aug/ 11 Sep/ 11 Okt/ 11 Jun/ 11 Mai/ 11 Jul/ 11 1,200 € 1,000 € 800 € 600 € 400 € 200 € -€ Aug/ 11 Gallium (Ga) Jul/ 11 Jun/ 11 600 € Mai/ 11 Indium (In) Apr/ 11 100 € -€ Mrz/ 11 200 € 50 € Feb/ 11 300 € 100 € Mrz/ 11 800 € Okt/ 10 Nov/ 10 Dez/ 10 Jan/ 11 Feb/ 11 Mrz/ 11 Apr/ 11 Mai/ 11 Jun/ 11 Jul/ 11 Aug/ 11 Sep/ 11 Okt/ 11 Okt/ 10 Nov/ 10 Dez/ 10 Jan/ 11 Feb/ 11 Mrz/ 11 Apr/ 11 Mai/ 11 Jun/ 11 Jul/ 11 Aug/ 11 Sep/ 11 Okt/ 11 Silver (Ag) Feb/ 11 400 € 150 € Jan/ 11 500 € 200 € Jan/ 11 250 € Dez/ 10 Yttrium (Y) Dez/ 10 1,000 € Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Feb/ 11 Jan/ 11 Dez/ 10 Nov/ 10 50 $ 45 $ 40 $ 35 $ 30 $ 25 $ 20 $ Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Feb/ 11 Jan/ 11 Dez/ 10 Nov/ 10 Silver & Gold vs. Rare Earths & Strategic Metals Gold (Au) 2,000 $ 1,800 $ 1,600 $ 1,400 $ 1,200 $ Neodymium (Nd) -€
  23. 23. 400 € 200 € -€ Sep/ 11 Okt/ 11 Aug/ 11 Sep/ 11 Okt/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Jul/ 11 1,200 € 1,000 € 800 € 600 € 400 € 200 € -€ Aug/ 11 Gallium (Ga) Jul/ 11 Jun/ 11 600 € Mai/ 11 800 € Apr/ 11 Indium (In) Mrz/ 11 100 € -€ Feb/ 11 200 € 50 € Feb/ 11 300 € 100 € Jan/ 11 400 € 150 € Jan/ 11 500 € 200 € Dez/ 10 Yttrium (Y) Dez/ 10 1,000 € Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Feb/ 11 Jan/ 11 Dez/ 10 Nov/ 10 250 € Nov/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Feb/ 11 Jan/ 11 Dez/ 10 Nov/ 10 Okt/ 10 Okt/ 11 Sep/ 11 Aug/ 11 Jul/ 11 Jun/ 11 Mai/ 11 Apr/ 11 Mrz/ 11 Feb/ 11 Jan/ 11 Dez/ 10 Nov/ 10 DAX vs. Rare Earths & Strategic Metals DAX 7,800 6,800 5,800 4,800 Neodymium (Nd) -€
  24. 24. Advantages of Investing in Rare Earths & Strategic Metals Real assets Problem of inflation solved Scarce resources Problem of enormous drop in prices in phases of recession is not expected No derivates, futures etc. Problem of possible bubbles solved Guaranteed increase of prices after a minimum term of 10 years Real yield problem solved Possibility of modest investments Almost everyone can invest Positive side effect Raw material stock for the European industry Correlation Low correlation
  25. 25. Management Strategy The management of TerraMetal Fund follows a simple strategy: Which metals will run out and for which metals will demand increase markedly? These metals will be purchased depending on availability and then stored physically. Evidently, future research developments and expansion of mine capacities will be taken into consideration
  26. 26. Warehousing Quelle: www.zf-albisrieden.ch
  27. 27. Composition of the Fund – First Step Cash 5% Silver 15% Indium 20% Gallium 15% Tellurium 15% Neodymium 10% Yttrium 10% Tantalum 5% Bismuth 5%
  28. 28. Szenario Backtesting 15.11.2010 – 26.10.2011 Invested amount: 1 Mio € Cash 5% 0% 0€ Silver 15% 30.7% 46,050.00 € Indium 20% 18.32% 36,640.00 € Gallium 15% 16.72% 25,080.00 € Tellurium 15% 25.78% 38,670.00 € Neodymium 10% 229.25% 229,250.00 € Yttrium 10% 115.75% 115,750.00 € Tantalum 5% 19.58% 9,790.00 € Bismuth 5% 29.23% 14,615.00 € ROI 1,515,845.00 € (51.58%)
  29. 29. Target Setting 300% in 10 years % t
  30. 30. Rare Earth & Strategic Metals The Perfect Allocation for the Global SAF • Real asset • High performance: increasing demand – decreasing supply • Low correlation to other markets • Limited resources • Active management with a simple strategy • Conservative ROI calculation
  31. 31. Find Out More: www.mylifeplan.info

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