Consider investing in the rare earth niche of the resources sector, here are some facts you should know:    

Rare-earth elements inhabit 16 of the 110 spots on the Periodic Table. Neodymium, dysprosium, lanthanum, terbium and europium are some of the few used to make specialized magnets, as well as phosphors and other components of high-tech gadgets and green technologies. China is in possession of over 95% of the world’s rare-earth element supply, and the amount in which China is making available for export is progressively reducing, as the elements internal needs and demands grow.

Rare-earth magnets, which are largely composed of neodymium, are used in variety of increasingly popular products—such as iPods, BlackBerrys, hard disk drives, high-fidelity speakers and MRI machines.

China is continuing raising export taxes, and lowering export quotas. As the dominant supplier, they are doing so in order to conserve rare-earth output for domestic requirements.

Investing Suggestions Outside of China

• TSE: AVL - Avalon Rare Metals Inc. (No debt)
• PINK: QSURD - Quest Uranium Corporation (Open pit); name change to Quest Rare Minerals
• CVE: GWG - Great Western Minerals Group Ltd. (Large trading volume)
• NYSE: SQM – Sociedad Quimica y Minera (ADR)
• NYSE: ROC - Rockwood Holdings Inc.
• NYSE: FMC - FMC Corporation
• NYSE: JCI - Johnson Controls