Toll Collectors on Real Assets
Selo (ѱ,ѱ)@seloresiste
+1.7%
since Sep 30
The idea
I think the dollar keeps losing ground as the deficit grows, so I want exposure to things that can't be printed. Rather than just holding gold or land outright, this basket leans into the toll collectors: royalty companies skimming off every ounce mined, pipelines paid by volume, and landlords of towers, warehouses, and farmland, all earning fees on real assets while paying income. It's spread across five layers plus direct gold and commodities as ballast, with a small cash reserve to add on weakness, built to hold for years since being early is the real risk here.
What it owns
- Pipelines and export terminals earn fees based on volumes moved, not commodity prices, creating steady revenue from the physical energy that underpins the economy. · Enterprise Products PartnersIt earns fees on volumes moved through pipelines regardless of commodity prices, collecting tolls on real energy flows under long-term contracts., Kinder MorganIt transports a large share of US natural gas under long-term contracts, earning volume-based fees on a physical commodity that cannot be printed., Williams CompaniesIt owns the Transco pipeline system and collects fees by volume of gas moved to the East Coast, a stable toll road on energy infrastructure., Cheniere EnergyIt earns fixed fees on long-term contracts to liquefy and ship US natural gas abroad, operating a tollbooth on the export of real energy.22%
- Owners of towers, warehouses, farmland, timber and mineral-rich land collect rent on real assets that cannot be created by central banks or governments. · Texas Pacific LandIt owns Permian acreage and collects royalties on oil, gas and water that cross the land, nearly pure toll collection on a real asset., American TowerIt owns wireless towers that carriers must rent, with lease agreements that include inflation escalators, so income rises as the dollar weakens., PrologisIt owns warehouses at chokepoints for goods movement, and replacement costs in a weaker currency push rents higher on land near cities that cannot be reproduced., WeyerhaeuserIt owns millions of acres of timberland that literally grow over time, and wood prices rise when the dollar buys less., Gladstone LandIt collects rent on farmland, one of the least reproducible assets, generating direct income from acres producing food.22%
- These companies collect a percentage of gold, silver and copper production without paying mining costs, so currency weakness flows nearly straight to the bottom line. · Franco-NevadaIt collects a fixed percentage of gold production from mines it does not own, so gold price gains flow to earnings while costs remain flat., Wheaton Precious MetalsIt buys streams of silver and gold at fixed low prices from mines, so gains in metal prices flow almost directly to profit., Royal GoldIt earns royalties on every ounce of gold produced from mines on its properties, collecting a percentage without the cost burden of operating mines.20%
- Direct holdings of gold, silver and broad commodities serve as the purest hedge against currency weakness and steady the basket when other positions move. · SPDR Gold MiniShares TrustIt holds physical gold directly, offering the purest version of real-asset protection without operator or lease risk., Invesco Optimum Yield Diversified Commodity ETFIt holds a diversified basket of energy, metals and grains so the take does not depend on any single commodity carrying the entire hedge., iShares Silver TrustIt holds physical silver, which tends to amplify moves in the real-assets story and serves as the second unprintable metal in the basket.16%
- Miners and fertilizer makers hold decades of copper, iron, potash and other real inventory in the ground that reprices higher when currency weakens. · BHP GroupIt holds massive reserves of iron ore, copper and other metals in the ground, so gains in commodity prices lift the value of inventory not yet extracted., Freeport-McMoRanIt owns some of the world's largest copper reserves, and copper serves as a real asset with demand independent of currency movements., NutrienIt mines potash and manufactures fertilizer, essential real inputs to food production that cannot be printed, so prices rise with currency weakness.12%
- Cash8%