low grade does not mean higher risk. low margin means higher...

low grade does not mean higher risk. low margin means higher risk. high grade  underground is just as risky as low grade open pit, just different types of risk. i own shares in a Canadian gold miner with AISC of US$450 ish on a grade of 1.5gpt. but the strip ratio is around 2

now the risk return ratio favours the punter given the potential upside. unless you can see a 5 to 10 times return why bother with gold  stocks as long term punt, short term is different of course. 

right now 5 times is possible over a couple years , 10 times needs a bull market in gold equities and signicant exploration success....and of course a succesful mine!

The biggest risk right now is a heavily discounted CR