The Institute for Rare Earths and Metals eV was launched in its present form as early as the year 2008. 2011 was formally registered as a registered association at the District Court of Düsseldorf. During this time, the institute has warned against many investments in various companies that are linked to rare earths. However, some recommendations were made in which interested investors could engage as silent participants. Over the last five years, these holdings have increased their value on average by 32%.

Already on 11.03.2013, the Institute for Rare Earths and Metals warned that 70% of all listed companies that earn their living from rare earth exploration are facing insolvency (to article from 2013) , This is simply due to the fact that an average of seven to ten years of exploration can not be financed the entire time with the sale of treasury shares. At some point, even at the most interesting value, there is a flood of stocks on the market.

The participation model of the Institute for Rare Earths and Metals is more economical for all parties. After meticulous checks, an investment amount for the complete implementation of a project is determined. This investment amount corresponds to exactly 50% of the profit before tax, the remaining 50% remain with the company itself. This results in a precise distribution key that all those involved under the supervision of the Institute for Rare Earths and Metals have to adhere to. If a company steers into the profit zone after the years of development, the investments received must be transferred back to the investors. After the “tough years” of getting started, companies still have a majority stake, which could help them get a healthy IPO. After the start-up period, investors get their investment back if they do not convert it into shares in the company when it goes public. However, many investors receive more than 20% of their investment amount back with the first distributions, and this is increasing every year.

We would like to take this opportunity to thank the numerous investors who made it possible to realize new mines, processing plants, freight routes, trading platforms and much more. In order for us to be able to do this with equal success in the future, we are dependent on you, so please do not hesitate to contact us.

You can see an example contract here:

Participation agreement draft

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