Foster: If this Red Back/Kinross merger is completed than Kinross will be our largest holding. We have a very large holding in Red Back, a generous allocation in Kinross, so the combined company will be our largest holding. Why else do you like Kinross? Why was it in your fund to begin with? Foster: Well first of all the stock is cheap and we see value in the stock. It fell out of favor with investors over the past year, year and a half, so we see it as a value play number one. And then secondly, they've got development projects. They're expanding a mine in Brazil, they've got a project in Ecuador that looks very attractive to us and then with the combination with Red Back now the Tasiast Mine will provide another leg of growth for the company. Now I've heard from some analysts that its actually better to own gold companies that aren't going to go buy smaller gold companies like Kinross. Do you agree with that? Foster: Well, we like growth ... It takes very skilled managements to make an accretive acquisition and that's one form of growth, but what we really like to see is organic growth where companies go out and discover the properties they can put into production themselves. Now as you mentioned Kinross is down around 15% year to date. What do you think it will take to get the stock out of its slump? Foster: I think once the Red Back deal is finalized and we start to see drill results come out of Tasiast towards year-end I think that is going to be a catalyst to lift the stock much higher. Now you also own the SPDR Gold Shares (GLD), the gold ETF. Why? Foster: The GLD is more ... defensive. When we said earlier that gold stocks have leverage to the gold price well that same leverage applies on the downside. If we see there's some downside risk in the gold market we might go into GLD as sort of a hedge through a correction or weak point in the gold price. According to VanEck's website, the GLD makes up 3.52% of the gold fund vs. Kinross' and Red Back's combined 11.07%. As a relatively substantial position, the allocation suggests that Foster is protecting the fund against short-term volatility in the gold price. Regardless of this short-term hedging, Foster thinks the gold price can rise more than $2,000 in the long term. This 63% rise could equate to a 252% rise in his gold growth stocks.