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MONEY YOU CAN BANK ON

BUYING GOLD/SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   No comments yet

Banks in California’s Central Valley are on high alert, and they should be. There is a young man, around 20-years old I’m guessing from his picture, who has robbed at least six banks over the last few months. He doesn’t use a gun, doesn’t wear a mask, or does he make threats to the bank tellers. Most customers or bank employees never know the bank was robbed even though the man committing these crimes flaunts his face in front of high-tech surveillance cameras time and time again. The young robber simply walks into a bank, hands over a note, and then walks out with stacks of other people’s cash. Local banks are warning employees and urging people to be aware.

My motive for sharing this story of brazenness is less about warning than observation.  Today’s banking industry shows concern over such theft but the truth is they’re more concerned with endangering employees than losing dollars. The mother-ship bank, better known as the Federal Reserve Bank, can….. and will, replace stolen fiat with a keyboard stroke, no worries.

After all, 99.4% of the perceived money safely stored in your local bank doesn’t exist. It’s nothing more than a digit assigned to an account number.

Oddly enough, the same 99% percent of folks staggering your neighborhood streets, and still believing their dollars are stored in a bank somewhere, fail to understand the difference between money and fiat currency. This monetary ignorance separates these folks from sound money like physical silver or gold, respectively.

The Wells Fargo bank building in my local community is hands down the nicest and most expensive building on Main Street. I’m not a commercial appraiser but guessing this building has a value worth several million dollars, I’m willing to bet your community is no different. Just down the street, but on the same side, sits my humble-looking local coin shop (I would estimate this building’s value around $250k, but no more).

One building, the Wells Fargo one, reflects a perception of wealth and security even though it houses no intrinsic source of sound money. The other building, our local coin shop, needs some updating but houses many times the building’s worth in physical silver and gold, or, real money. Unfortunately, less than 1% of the folks passing by recognize the difference.

Folks living in the US are at a real crossroads. Monetary confusion influences them to store wealth in dollars, by way of banks, even though most folks realize something is not right within our banking system in a overpopulated fiat currency age. These same individuals view silver and gold as valuable but fail to recognize how significant PM (precious metal) is in such an age. The fact both metals have declined recently only adds to this confusion; my fear is this confusion will cost the unknowing dearly.

It’s obvious since you’re reading this you understand the difference between sound money and a fiat currency, congrats. Our banking system not only drums a fiat melody of wise investment but relies on this trickery for its very survival.  The fact remains physical silver or gold is the only money you can bank on.

1984 is now:

Our world is buzzing over yet another Orwellian fruition. It is obvious to all that nothing written or said is secret now that we’re living in a technological age combined with governmental overreach. The great salesmen peddle such intrusion as necessary to protect us but the truth is such intrusion is a choice between freedom and security. This writer will take his chances, if the choice still exists.

George Orwell called such propagandists “crypto-communists”. What amazes me is Mr. Orwell made such timely prediction in 1948-49 just one year prior to his death. He also refereed to individualism, or independent thinking, as thoughtcrimes. Time has now turned Mr. Orwell into Orwellian.

I’ll climb the highest mountain, if necessary, to once again explain the availability to store wealth in undocumented physical metal is a closing window. It is still 100% legal to trade dollars for real money, like silver or gold. We can argue when PMs will rise and by how much but only after safely securing the right metal for you. Please take a close look at physical silver and/or gold soon.

QUESTION:  If we’re talking silver, are we investing or jumping into a safe haven?  I’ve read plenty of your writings but still slightly confused on the financial goal. Thank you for taking the time to take my call (edited).

TPS Reply: You’re welcome, and thanks for asking. My opinion is that physical silver offers both the benefit of investing and safe haven storage. The primary goal is preservation but the byproduct of such prudence is wealth building, aka investing. My belief is silver, at around $27 physical, will soon double, double again, and then continue to surprise even the most PM optimistic.

Silver, and gold, have always maintained true value compared to effort, other assets and tangibles. This is why a $1 legal tender silver coin is worth just under $30 as of June, 2013. This is why a $50 legal tender gold coin is worth over $1400 dollars, too. It is only because of our USD’s devaluation that silver and gold rise in dollar value.

We have reached a very unique time both historically and monetarily. Never before have so many had an option to own physical PM while simultaneously living under a fiat currency age. This means all currencies have the option to print as much fiat as necessary to appease her people. This printing will not fix an economy but will offer temporary stability. The long-term effects are not historically good. In fact, the long-term effects of overpopulating a fiat currency impoverishes most who fail to understand how safe-haven investing works.

Over producing a fiat currency weakens the currency’s buying power; this is why milk, fuel, and your favorite soda continue to rise in cost. Most working for a salary, or living on a fixed income, believe the answer is to earn more but fail to understand we will soon reach a point where it’s nearly impossible to out earn inflation. But for now, printing currency has somewhat stabilized our economy but this stability will not last forever without real jobs paying a fair wage.

Hope this helps clear the confusion. Thanks again.

QUESTION: Experts are predicting $19 silver by late summer or early fall (2013). I don’t own silver but I’m taking a hard look at trading some savings for physical silver in the near future. My reasoning has to do with an administration that refuses to practice fiscal restraint. My question, is it wise to wait for silver to fall in price? I obviously don’t want to be like the ones who paid 50% more than necessary – not that long ago.

TPS Reply:  Great question and comment. You’re wise to consider trading dollars for physical silver, in my opinion. No offense, but I know of no PM experts anymore, only informed prognosticates. Because of this no one truly knows what silver prices will do over the short term. This is why I rarely mention short-term fluctuations especially during such an age of economic volatility.

Now long-term speaking, physical silver has to rise if for no other reason than the one you mention. By the way, both political sides have leveraged debt for political gain, power and control. You’re correct, this administration has added the most but mark my words the next administration will also fail to practice fiscal restraint. Wall Street, and our banking system, have too much control and will always put profit over prudence.

Going back to your question, I don’t offer pinpoint financial advice. If in your shoes, I would consider a 50% entry into physical silver, soon, and then spread my silver budget over the next few months. It is always possible silver prices could drop, like you mentioned, but a long-term fiscal plan should be the focus far beyond the possibility of a short-term dip. Thanks for the question.

By the way, I too bought silver only to watch it drop from its recent high. I lose no sleep over price drops because it’s all about ounces owned, properly stored, and an overall foundation of self-reliance built on a foundation of sound money. Dips and rises have no effect on my overall plan.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.


 

 

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WHO WANTS TO BE A MILLIONAIRE?

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   No comments yet

Actually, who doesn’t want to be a millionaire?  As founder of The Prospector Site I have the opportunity to work/consult with many hardworking millionaires. I’m guessing many of you reading today are on the millionaire list……. congratulations. If your name isn’t on the list, yet, then please read today’s post closely because many preconceived wealth notions are false. In fact, by post’s end you may rethink your wealth goal well beyond joining the elite list of millionaires. Welcome aboard and thanks for joining our precious metal discussion.

This could come as a surprise but I can say with 100% certainty that millionaires worry about money just like those living check to check, it’s true. Could this be why the same millionaire who worries while building wealth then worries how to keep it? Just as surprisingly, I’ve heard a few actually compare wealth to a ball and chain as they cautiously maneuver wealth away from taxation and into safe havens (some have actually said they enjoyed life best when worth less!).

Nearly all millionaires still live on a budget. I’m estimating over 50% are self employed and somewhere around 20% have a master’s degree. You would be shocked how many have nothing more than a high school diploma. Over 80% are self-made and fewer than 20% inherited the wealth that adds their name to the millionaire’s list.

The question must be asked, “Are today’s millionaires nothing but a bunch of whiners?” I personally have my doubts. My opinion is that today’s millionaires are scared, tired, and frustrated by the economic challenges of the day. Their (millionaires) despair only validates my belief in faith, self-fulfillment and independence (freedom) as the truest source of happiness.

What nearly all millionaires have in common, at least up to the point of trading dollars for PM (precious metal), is the mistake of building personal wealth in dollars or dollar related assets. Actually, it all comes down to a loss of confidence in the US dollar and the realization that those with exposed wealth will pay for their entrepreneurial sins.

Taxation, fees, penalties, and capital controls are words the wealthy will become all too familiar with, at least those not protected by PMs.

The problem actually goes beyond the aforementioned as millionaires realize, in their own time I should add, that dollar wealth is much different from “money” wealth. Wealth stored in dollars may appear to offer stability but recent asset bubbles, then bursts (i.e. Dot-com, real estate, DOW, and soon bond, dollar, ?), remind those invested in dollars how quickly this wealth can disappear.

It is at this time we must compare a dollar millionaire to a PM (precious metal) millionaire. I seriously doubt few traditional millionaires give the difference a second thought. This is most evident by how few actually own physical silver or gold even as currencies worldwide constantly spew warnings of a great fiat demise.

The few who do “own” PM only own a few ounces of gold or, worse yet, own paper precious metal; paper silver or gold may appear protective but realistically are nothing more than speculative. Even our country’s millionaires suffer from monetary normalcy bias as their wealth falls under attack or, at least, subject to historic debasement.

I like to compare dollar to gold wealth with today’s spirited world of innovation. Innovation has forever touched our lives by making information the new industrial revolution. Anyone living within 200 miles of California’s Silicon Valley will attest our age of technology has only reached the tip of the iceberg. If not for the decline of the US dollar, I would have to compare today’s age of technological innovation to the implementation of fire, penicillin, telephone, or the combustion engine.

The problem isn’t innovation; the problem is our means of monetary exchange. The US dollar is the only component that will stifle our growing age of innovation. The reason I believe this is because all new innovations are built around capital and the availability to invest dollars in R & D. Today’s disruption of capital (dollars) will eventually devastate, or at least disrupt, the wealth of those investing in tomorrow’s innovation.

Now, please give the next sentence or two your full attention. The same folks at the tip of innovation are also the same folks invested in an outdated source of wealth storage and saving! Saving in dollars is no different than attempting to forward an email through a manual typewriter. Even our wealthy fail to compare old innovations to a dying currency; ironic isn’t it?

One reader recently asked why I’m so convinced the dollar is on its deathbed. My opinion; why else is it we have to inject perpetual transfusions of blood, QE1, QE2, QE3, QE?, if not for a terminally ill currency? This is not about economic recovery; this is nothing more than not letting the dying die. This, my friends, is why each person walking God’s green earth must understand the difference between dollar wealth and PM wealth.

QUESTION:  Precious metal prices have fallen far below the expectations of nearly all PM experts. Have we reached a bottom in your opinion? I’ll never hear the end of it from my family if I buy now and the PM market dumps lower!

TPS Reply: Thank you for asking such a timely question and congrats for at least considering PM. Let me put your mind at rest by mentioning the one fact all PM owners must grasp. Precious metals will rise/ fall and not one person, expert or otherwise, has a clue when either will happen next.

Most “experts” get paid when you spend your cash on their offering of precious metal. I’m not insinuating that today’s PM experts don’t know what they’re talking about, I’m only exposing fact. Truthfully, it really doesn’t matter how PMs perform over the short term since it’s only short-term minded PM investors who worry over volatility.

Please keep your eye on the larger picture by not over thinking physical silver or gold. Here is what I do for what it’s worth. I buy silver or gold each month, store them over three locations and sources, and then look forward to my next monetary chess move. Why would I worry about something I did yesterday when yesterday is already in the books?

Oh, by the way, you’ll never live up to all family expectations…… so quit trying.

QUESTION: Okay DC, you know my situation and you know I store my gold in a local bank. Cyprus has me worried sick and I’m not sure what the heck to do. What if a bank holiday traps my PM and I can’t get them when I need them? Sorry to be a weekly burden but I’m worried. As always, thanks for being patient.

TPS Reply: Man, no softballs today. I understand your situation and, honestly, there is no easy answer. Living in a large city complicates in-home PM storage. The risk of being burglarized must be compared to the risk of storing PM in a bank box. The question is not what the safest way to store PM is; the question is what the best way is considering your situation.

As you know, I’m not against using bank boxes for short-term storage that includes traveling or winter escape. I’m far more hesitant to recommend such storage options as part of a permanent storage plan. Regardless, you must diversify your storage in such a manner that includes keeping at least 1/3 within arm’s reach (this could be in home or with someone trusted).

I hate to say this but it must be mentioned. There is not, to my knowledge, a 100% safe way to store/own physical silver or gold. In fact, there is nothing in this world 100% secure or safe. This is a challenge we must accept and then move forward with the best plan possible.

With the risk of sounding commercial like; Storing Silver & Gold will hit Amazon.com the week of April 8th, in digital format. The book does offer a source, affordable source to boot, who will insure all PM stored at home OR in a bank box. I highly recommend taking the extra effort to insure all PM, especially in your situation.

COMMENT:  A friend recommended your book and I want pass along how much I enjoyed reading it. The simple manner in which you explain silver and gold to our current economic plight was just the motivation I needed to make a monetary change. Record levels of debt will not fix our economy and it angers me that more educated individuals can’t see the overall picture. Anyway, we started our plan by committing to buy silver bullion at the first of each month. Thank you for what you do.

TPS Reply: You made my day, thank you.

 

BERNANKE WATCH:

FED chair Ben Bernanke is the most powerful man on earth but other central bankers are quickly becoming powerful in their own right. The Bank of Japan just doubled down on its latest version of QE by devaluing the yen and, unfortunately, punishing currency savers. Once again, the banks win, exclusively, as Japan outpaces Mr. Bernanke with a fresh commitment to print currency.

The world is awash in printed currency and today’s video only proves the level of desperation among today’s central bankers. This fact cannot be overstressed when we compare a rising supply of currency to precious metal. Please add worldwide quantitative easing to the growing list of reasons to own real money like silver or gold.

 

DC Carlton is the founder of The Prospector Site and author of Why Silver and Gold Will Go Higher. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

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WHEN WILL GOLD GO HIGHER?

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   No comments yet

Agitation; this is the only word I can think of that accurately describes how the gold faithful feel today. I, honestly, have no precious metal worry. My lack of reservation…… while others try to find faith in falling gold prices, comes from a confidence that gold and silver will go higher, multiple times higher. It all has to do with a chosen course of action or, better put, CONFIDENCE. Not as much a confidence in gold but a lack of confidence in dollars. Please let me take the next few hundred words to thoroughly explain.

Thanks for joining TPS (The Prospector Site) today. I really appreciate your willingness to at least test nontraditional waters thus providing a true opportunity to preserve wealth in an age of economic uncertainty. If this is your first visit let me say I am not a pessimist by any stretch. My goal is to provide a sound money education for the few willing to no longer accept monetary misunderstanding.

It is also worth mentioning I’m not a gold bug. I own silver and gold (and have for over ten years) for one reason. They are the only source of money unprintable in a fiat currency age. Let me try that one another way. Gold and silver are money and everything else folks mistakenly call money are currency. Currency is a promise, a promise based on something without true intrinsic value.

Intrinsic value confuses some folks when its meaning is quite simple. The intrinsic value of a car is the grand total of all the components & effort to build/sell the vehicle. The intrinsic value of your home is the total of concrete, land, metal, wood and skill it takes to rebuild it (Yes, I realize this value can drop below intrinsic level but such an occurrence is very rare).

The dollars in your pocket have no intrinsic value (maybe $.06 worth of paper, ink, and effort). Gold and silver have true intrinsic value, their value is the cost and effort to extract, mint, and hopefully end up in your hands.

WHY?

Why do we trust something of no real intrinsic value with a potential of infinite creation? Gold will not rise to my point of prediction until the world truly understands the value of US dollars. To better illustrated this PM (precious metal) to dollar comparison think of an antique scale with brass trays on each end; now picture dollars on one side and PMs on the other. Gold will not rise until the dollar’s mass (confidence) declines.

If this is the only thing holding gold from $5000 or $10,000 or $75,000 an ounce we must ask what, why, and when. But to answer such questions we must first answer why so many still trust the dollar – and why so few don’t. By the way, at anytime feel free to substitute the word “silver” for gold; both are real money.

If you happen to be reading this at your local coffee hangout I want you to look around. You are the 1% if you’re a real money believer. The others comfortably sipping through their day have no clue of the messy divorce that occurred when dollars vs. gold split the sheets so many years ago. Honestly, most sharing your space don’t care as long as life resembles “normalcy”.

Folks, gold and silver’s relevance hinges here, please read closely. The US Dollar and gold were once the same. At any time a dollar holder could equally exchange paper for real intrinsic gold OF EQUAL VALUE (please take another look at the picture above. Notice what’s written clearly at the bottom of the bill, “In Gold Coin Payable to the Bearer On Demand”). At such a time, our dollars were money. Today’s dollars no longer mention payable in gold because they’re not worth anything of value.

Why so many still trust dollars is simple. Those trusting do so because they continue to view dollars as money, a secure source of wealth storage, and the best means to exchange effort (work) for money. The facts prove otherwise.

This gold and dollar disconnect, or divorce, is why economies around the world are under great economic duress. This is why folks in Europe have taken to the streets under protest, this is why currencies are fighting to devalue themselves, and this is why gold and silver will rise beyond the realm of what most view as possible.

Something detrimental happened before gold and dollars divorced in the year of 1971. Most major currencies connected (pegged) to the US dollar in hopes of stabilizing the world’s economy (Bretton Woods System). The dollar made for a perfect choice since it and gold were one and the same. This is why you commonly hear the dollar referenced as the world’s reserve currency, simple enough.

Now, here is the problem. The Gold vs. Dollar divorce set the dollar adrift no longer hinged to anything of real value. This is why the dollar went from an equal value of $35 per gold ounce to now just under $1600 per gold ounce. Most individuals out earning a living today fail to see the correlation of rising gold and decline dollars. They don’t think much of it.

This misunderstanding between gold and dollars is near breaking point, not just at home but across the globe. The world’s oil trades in dollars and has since the 1970′s (petrodollars), but only one country has the power to print more dollars as they see fit, no longer limited to gold or any other monetary standard . Is it any wonder other nations without this ability to print the world’s reserve currency (dollars) are conflicted?

Our society’s ignorance, or monetary misunderstanding, hides behind a printing press and a Federal Reserve unafraid to use it.

The power of printing dollars coordinately disguises real money (gold & silver) from fake pieces of paper. Education will eventually expose such monetary trickery. Today’s gold fluctuations mean absolutely nothing in the overall picture; this is why I pay no attention to short-term PM rises or declines.

The rising costs of food and fuel will be the breaking point here in the United States. The debasement of the dollar will be the breaking point for the rest of the world. At such time, silver & gold will go higher.

QUESTION:  Thanks DC for The Prospector Site. What is my first step?

TPS Reply:  Congrats, you’ve taken your first step. Education is the key to understanding PM’s relevance in today’s monetary age. Without education silver and gold are just another one of thousands of investment options. I don’t view silver and gold as investments. I view them as a store of wealth in a worldwide currency soon to experience a demand far exceeding potential output.

Your second step is actually the question….. so let’s start there. Your local bank doesn’t sell gold or silver (not the metal I recommend), this means you will have to do a little digging to find someone trustworthy AND willing to sell physical silver or gold. As of the last 9 -12 months this is the most common question I receive here at TPS.

The art to buying physical metal should be shrouded in discretion. The less who know you own PMs the easier it is to safely store. My advice is to make a trip to your local coin shop and ask to hold an American Eagle or Canadian Maple ounce of silver. Notice how it’s heavy, tangible, and expensive compared to the dollar number written on it. This is what real wealth feels like. It may feel odd in a day of fiat paper currency but trust me, this is real wealth.

Ask your local coin shop representative the spot silver price. Then ask how much more the price for real silver… like the one in your hand. The difference is the price between paper silver and physical silver AT A MOMENT IN TIME. This price could decline before driving away, or it could appreciate too. Neither scenario has anything to do with silver’s long-term justification. Now, the next steps I recommend is to find someplace safe to store and then continue this buying pattern each month, regardless the price.

Thanks for the great question.

 

DC Carlton is the founder of The Prospector Site and author of Why Silver and Gold Will Go Higher. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

 

 

 

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CONQUERING THE “FEAR FACTOR” WITH SILVER

BUYING GOLD/SILVER, GOLD & REAL ESTATE, GOLD & SILVER, GOLD AND MONEY, SOCIAL UNREST, Uncategorized   No comments yet

If you find yourself anxiously searching for answers in a time of great complexity then today’s post is for you. I see two trends that lead me to believe many folks are reacting to an emotion that has consumed the soul of man for thousands of years. Yesterday’s news was no surprise, not to me at least. It seems gun sales are up nearly 20% this Black Friday over last. Why, because people are afraid? Maybe this is why gold and silver sales are up comparably, too. So, before you buy another ounce, or AK-47, please read the following closely.

“He who fears something gives it power over him.  Author: Moorish proverb

You are wise to investigate why silver and gold are so necessary in such an age like the one we live today. But your decision…or motivation must go beyond a fearful reaction to preserve and protect what you’ve worked hard for. I realize this is something easier said than done.

An opportunity to own silver and (or) gold must be part of an overall commitment to develop a life of independence.  For me this decision is one I made over a decade ago as I realized something wasn’t right with the way we send currency (you may call it money) to Wall Street and then pray someone we don’t know takes proper care of it.

The thought of endless currency creation didn’t make sense either. How is it that I work so hard – for something like dollars – when others can create more on a whim…..accountable to no one and then give this newly created cash to only a chosen few?

Like you, I receive many PM newsletters but lately nearly everything written is based on a fearful projection of our future. Tales of currency collapse, social unrest, war, riots and other terrible forms of crisis. Maybe it’s time we break down our worst fears and then compile a “what if” plan not calculated from fear but God given common sense.

Do you realize all the terrible fears described above already take place as you read this post? The USD has lost 95% since it unhinged from gold; I would have to describe this as a “currency collapse”.  Social unrest fills our inner city streets as millions live a gang related life few of us can imagine (over 7 million people are on probation, parole, jail or prison in the US). Spend an hour in the city of Compton and you will have no doubt “social unrest” is prevalent today. Wars are rampant, in fact our youth have yet to live a day when our country wasn’t at war. It seems each evening we hear of yet another riot as Europeans realize bigger government is not the answer.

Wealth stored in silver or gold is about creating opportunities, like the opportunity to establish your own monetary policy. The opportunity to serve others, worship, store supplies, afford a weapon of protection and most importantly, the opportunity to pick your family up and move them elsewhere. These opportunities I’m describing today have nothing to do with fear. Sure fear may spark the motivation necessary to re-direct but fear shouldn’t lead.

I recall an email we received here at TPS not long ago. This reader was very concerned that the banking system is close to collapse and ultimately destroy the wealth of millions. Folks, I have news for all who will listen. The banking system, as we know it, only stands because of the trillions of dollars “borrowed” from the Federal Reserve Bank. This fiat system based on fractional reserve currency creation is a short-term experiment soon to show it uselessness.

Eventually inflation will erode the wealth of those unprotected. Some of this wealth will disappear and some will transfer to the few who hold silver, gold, and other “real assets”. You may ask why our elected leaders fail to warn of such a destruction of wealth but the truth is Congressman Ron Paul has done so for years.

Our banking system will someday “correct” itself or risk becoming obsolete. This is why a savings in “real money” is so necessary. Please allow your common sense to override your perception of reality; fear has nothing to do with such prudence.

Most of you know I authored a book called “Why Silver & Gold Will Go Higher”. One of the reasons both metals will elevated is, unfortunately, because of fear as millions realize what you already know. Please don’t include yourself on the fear list. Seek out unbiased precious metal sources to educate and then let wisdom supersede fear.

QUESTION:  If you had to choose just one would it be to buy silver or gold? Love the site, thanks.

TPS Reply: Thanks for the question, and reading TPS. Right now I would have to pick silver over gold, no doubt about it and here is why. So many folks around the globe are realizing the banking system is rigged and their wealth is in jeopardy. They are, or soon will be, desperately searching for a safe haven and many can’t afford gold. But they can afford physical silver and will buy boatloads of it while they still can. I completely expect to see silver inventories depleted as the masses attempt to protect wealth and then store it outside of the banking system.

Personally, I would buy $100 an ounce silver today, if necessary. I would rather risk paying too much for silver than watch my wealth disappear on Wall Street or disappear through inflation. Remember, most of the world is free to own a very limited supply of physical silver. Silver is unlike gold, once silver is used as a commodity it rarely returns to a physical form. I recommend taking a hard look at silver bullion, rounds or bars soon.

QUESTION:  Thank you for providing useful PM info for those of use new to silver and gold investing. My question today pertains to our wealth in real estate, particularly our home we live in. You mentioned the danger of wealth disappearing in our homes as values decline but lately we have seen the opposite. Our community has experienced an increase in sales that resulted in an increase in home values. Do you feel this trend will continue? We are seriously considering selling our home and renting but hesitant to sale while values are trending upward. Thanks.

TPS Reply: Great question so thanks for asking. I agree with your assessment that values in residential property are increasing after losing around 40% from peak bubble. You are wise to question the return of equity so congrats. We must ask why housing has turned around to answer if this trend will continue. The fact is most of today’s buyers are investors looking to take advantage of perceived bargains and low interest rates. These historically low rates are compliments of a federal government willing to backstop a housing market (low rates also allow our government to borrow trillions at historically low rates).

Our government will do everything possible to support real estate values because every new mortgage is the creation of currency the Feds don’t have to print. Our economy depends on consumption and new mortgages are great for a debt-based economy. Now, it’s my turn to ask you a few questions. What do you think will happen when the only lender in the land (US Government) realizes it cannot backstop mortgages forever? Do you realize no other banking institution can or will take the risk that our government provides today? Do you realize taxpayers are on the hook for every foreclosed property the gov’t insures?

This is why I view today’s real estate market as the housing meltdown 2.0 considering this is not a real market built on unassisted economic forces. Having said that, no two markets are alike and your home could sustain or grow in value. It is possible this administration will beg, borrow and steal to support housing for the next four years, who knows.

For the record, I still own my home because it is part of an overall plan of self reliance and my cost of ownership is far less than my local rates to rent. Hope this helps because I realize you are facing a very tough decision.

 

 

DC Carlton is the founder of The Prospector Site and author of Why Silver and Gold Will Go Higher. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

 

 

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THE ONLY PROTECTION LEFT…..SILVER & GOLD

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, GOLD OR SILVER BUBBLE   No comments yet

Listening to Congress argue over increasing your taxes reminds me of trick I used to play on my boys many years ago. As they crawled into bed I would lean into their room all while hiding the light switch closest to their door. With my free hand I would raise it high in the air asking my boys if dad had the magic to cut the lights with nothing more than a snap of the finger. What they didn’t realize was my other hand, blocked by my body, could flip the switch off simultaneously. The trick worked many times before my oldest let reason supersede the magic of his father. Today, our elected officials play the same cute little trick on the masses as we fall for the same taxation dog and pony show over again.

I love the exposure power of precious metals. Regardless the deceit, regardless the monetary games, silver and gold continue to expose the obvious for those willing to accept that ones in power refuse to admit a failed fiat system will only continue to erode what you and I have worked hard to amass.

Some of you reading today are new to precious metal which means you’re new to TPS (The Prospector Site). First, thanks for joining us today but especially thanks for joining the minority that refuse to accept the word “recovery” at face value.

There is zero chance that record debt creation will create a long-term healthy economy and the only way to protect you and your family is to make a proactive approach by insulating your wealth from taxation and inflation.

The trick we must discuss today now plagues not only the USA but most countries worldwide. All of us living in the US must burden the lion’s share of responsibility since we are the only voters capable of stemming the trickery I wish to discuss today. We are the only nation capable of creating more of the world’s reserve currency (US Dollars); therefore, each citizen of this country is responsible in some capacity or another.

Think back, if you will, of my silly trickery shared with my little boys and the hidden switch. My left hand represented today’s argument for taxation by drawing our attention. The news over my shoulder, as I write this post, cackles with left and right leaning personalities arguing who should pay more taxes in order to resolve this “fiscal cliff” rhetoric that fills our news.

This is the same argument we heard last year, and the year before. What if I told you this argument is nothing more than an illusion, or distraction, while central banks around the world create more currency backed by nothing more than your continuation to accept paper as money!

The argument of taxation creates the smokescreen necessary to push the problem one more day down the road and only because we continue to watch a political version of my hand slowly rising to an attention grabbing position. Some of you might ask what the big deal is since we’ve had deficits as long as most reading lived. I’m glad you asked.

Those elected need not raise taxes as long as you accept printing more money. You see, the easiest taxation ever created is the power of inflation since inflation doesn’t appear on a W-2 or year-end tax returns. Those requesting your vote realize the danger of taxing you directly but relish in the ability to tax you by way of inflation.

Please don’t take this wrong but such political power derives from our monetary ignorance, sorry.

If you ask how high silver or gold will rise I have a simplified way to answer your question. Real money (metal) will rise as high as necessary to counterbalance real money with inflation. Will gold rise to $5000 an ounce, maybe silver to $500? Can you imagine what happens to PM prices when we dump fear, uncertainty, and a very limited supply of silver /gold into our bowl of inflation?

The evidence is all around us. It’s at your grocery store, gas station, local utility, everywhere. It’s most evident at your local coin shop who now charges around $24,000 for $1000 of face value legal tender coins made from silver. Folks, these coins…… not long ago I might add, traded dead even with dollars. Now it takes 24 times more dollars to buy the same amount of silver. Welcome to inflation 101.

Our silver example exposes inflation when we consider 95% of our dollar’s buying power disappeared over one generation. Folks, we borrowed more money as a country over the last 5 years than over the previous 200 years. How can anyone argue recovery over inflation?

This type of inflation is tolerable when a debt based / consumer based economy supported growing wages but these days no longer exist….at least not for most of us. Can your income keep par with the level of inflation I’m describing today? If not, my advice is to relocate some of your wealth to precious metal, SOON.

The trick that steals your money is this simple. One way or another we all pay for the monetary mismanagement described today, we pay more in taxes or we pay more thanks to inflation.

LAST WORD…..at least until we try to answer some of your questions. Since the presidential election TPS has received an extraordinarily number of comments and questions. Thank you. This tells me folks are very concerned and looking for real answers in a time of uncertainty but fortunately many of you are considering silver and gold. I encourage each reader to continue their quest to find monetary truths and congratulate each of you for your effort.

WORTH REPEATING:

 November 9, 2012: “The Fed’s paper money system is the major source of economic suffering today. It is the reason that Congress can’t control its spending. It’s why it can fund wars and the police state. The paper money monopoly distorts economic signals and causes booms and busts. It robs the American people with the insidious tax called inflation. We must never forget that the Fed has the massive power it does only because of paper money. If it were restrained by a gold standard or monetary competition, the Fed would be a menace, but not a mortal threat. As it is, the Fed, and, by extension, the government itself, holds our entire economic future hostage.”  Dr. Ron Paul

For those who believe taxing the rich is the answer I want to share the Youtube clip below. It is sobering to say the least.

 

QUESTION: Why does the price for gold have such a close relationship with the price of oil? It’s easy for me to understand the price of gold [PM] following the value of the fiat dollar, but how is that related to the price of oil?
I might note that I have dealt with Don Stott, coloradogold.com on six different purchases, and could not give a stronger recommendation. Everything goes exactly as they say, and you have nothing to worry about. Thanks for the help.

TPS Reply:  Great question so thanks for asking. Oil, since the early 1970s, is priced in USDs and this is why we often hear the term “petrodollars“. It makes sense that oil and gold appear in lockstep when we consider both expose today’s declining power of fiat dollars.

Something else parlays oil and gold together and it can be summed up in one word, volatility. The conflict building in the Middle East has the potential to send both commodities beyond the affordability of over 90% of the world. Think how our economy now depends on oil to make the economic circle complete. Many folks in the US rely on goods transported over 1000 miles yet never consider how $200 a barrel oil affects the household budget. We have a choice to buy silver or gold, or not, but all things oil dependent are a much different story.

Today’s ratio (gold to oil) shows oil under priced so don’t be surprised to see oil rebound over the short term. The average ratio since 1970 is 14 – 15 oil barrels per gold ounce but today’s gold buys closer to 20 barrels. My bet is oil will rebound well before gold prices decline but who knows in such a volatile age of monetary manipulation.

Good call on the oil to gold relationship and thanks for validating Colorado Gold as a reliable source for physical silver and gold.

 

COMMENT:  Just found TPS.  After reading Aftershock (Wiedemers’ version) and Doug Eberhardt’s “Buying Gold and Silver Safely“, reading what I have here and seeing the same logic being applied to the world’s bubble economy and the realities of money printing, it is good to continue to find sources that agree with the Wiedemer’s and Doug in how to protect ourselves.

TPS Reply:  Yep, I agree and thanks for pointing out solid economic and PM information. Aftershock book is one often mentioned on this site since I’ve had long conversations with one of the three authors. It is impossible to not recognize economic bubbles after spending a couple hundred pages reading example after example why assets spike and then quickly lose value.

One event that helped me to truly understand PM comes from the 1980 gold era when metal spiked to just over $850 an ounce only to tumble in the months soon after. The gold bubble of 1979 to 1980 proves how the herd rushes into an asset late but just in time for the slaughter. Wise metal owners sold gold from the backdoor while the masses pushed and shoved trying to find the front door as coin shops struggled to meet demand.

I encourage each person new to PM to research how 2012 /2013 are different than the bubble days of 1980. Gold is off the radar of most investors /individuals considering it is estimated less than 2% own physical PM. Will gold’s relatively unknown status change someday? You bet it will and we’ll be right here to break down how current events affect today’s PM market.

Thanks for finding TPS!!

 

QUESTION:  Hi, I’ve recently become interested in buying gold and silver.  However, I am not thrilled about owning physical metals.  I would much prefer to own something like the SPDR Gold Trust.  I just wanted to get your opinion on owning gold via this method rather than the physical option and also if there is an equivalent silver trust that you like.  Thanks for the help.

TPS Reply:  Thanks for your questions. SPDR Gold Trust is one of many ETFs (exchange traded funds) that allow an investor to invest in metal without actually physically owning it. An investor sends cash to Wall Street and then hopes financial institutions promote your wealth in a favorable fashion. You are wise to show interest in silver and gold but I have reservations about anything owned but not held (allocated).

Owning silver and gold is part of a overall plan to shelter a family from uncontrollable economic conditions stemming from a fiat currency explosion.  The reason more and more search out assets like physical PM is to create an individual monetary system outside the financial establishment. PMs are the foundation to financial independence and have been for thousands of years, this will not change anytime soon.

The monies we hold in our bank accounts and wallets are no longer money, they are promissory. Too many have abused this fiat system we still call money and this is why TPS readers prefer real assets like silver and gold. I’m far more comfortable with you owning real physical metal first and then speculating on PM ETFs down the road.

By the way, if storing metal is not for you why not check out BullionVault or GoldMoney since both allow investors to buy real metal, close to spot (paper) price to boot, without the hassles of personal storage. Regardless, thanks for the questions and thanks for reading TPS.

 

DC Carlton is the founder of The Prospector Site and author of Why Silver and Gold Will Go Higher. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

 

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WHY YOUR GOV’T IS GOOD FOR GOLD

GOLD & SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   1 comment

The world is watching as those who dare call themselves “electable” make monetary promises no rational person can keep. As a precious metal holder nothing warms my heart like monetary ignorance that pushes my net worth higher, but as a father and business leader nothing concerns me more. It is painful to watch those trained to read a teleprompter articulate our middleclass into poverty, and worse for our poor. Sure 48 million eating off government platters sounds compassionate until we consider the only reason it’s necessary to feed 48 million mouths is because of monetary deceit and greed.

If you are reading this and new to precious metals I would like to communicate directly to you. The economic state of the world is only confusing to those who still believe swollen governments can print themselves into prosperity, they can not! I realized this over ten years ago and why I traded dollars for real money – silver and gold.

I recently heard a proponent of PM (precious metal) mention that something big is about to happen to gold. I agree, too, but the fact is something big has happened over the last ten years for those prudent enough to call B.S. on a system awash in deceit. The problem arises when we factor how few have found the protection the lies within physical silver & gold.

The proponent aforementioned is correct, something very big is in store for gold & silver. The only question left is how high can both metals rise before monetary decision makers “tap out” of a failed fiat system and accept defeat. Remember, defeat is more than admitting a multi-decade mistake, defeat is accepting a way of life that supports a government, and people, living within their means, and according to free market principles.

Borrowing money (deficit spending) and then disbursing it to chosen industries has proven itself futile for our overall economy but great for the few holding real money (silver & gold). This precious metal benefaction proves how simple, or reactionary, silver and gold have become. This is why I so enjoy holding my wealth in precious metals; nothing complex, just simple x’s and o’s of economics.

We are living in an era of self protection, at least financially, and this is why you’re reading TPS today.

Most of you realize the same old borrow and spend is not building a healthy economy and it’s just a matter of time before the masses come to the same realization. This “realization” will send all walks of life, all societies too, in search of the only simple source of real money ever to grace God’s green earth. My advice is to take a hard look at hard money soon.

QUESTION:  Thanks for the great website, I never miss a post. I have a question relating to storing silver rounds and gold bars at home. Costco sales a big safe for under $800 that looks perfect for storing guns, gold, & silver, do you know anything about the big gun style safe Costco sales? My intentions are to mount the safe in my garage.

TPS Reply: Thanks for reading TPS and thanks for the question. Several have commented on Costco’s gun safe but I’m not familiar with it (my guess, if Costco is selling it then it’s worth owning). We must consider that a standing safe is only one part of a plan for home storage, regardless the safe. Below are four items that should accompany a good safe.

  1. Safe should be placed out of site. This means positioning the safe (if in your garage) out of site from street traffic that might spot the safe if garage doors are left open. I like the idea of building a simple garage cabinet that hides the safe from anyone who happens to glance into your garage.
  2. Most garages have 4 inch thick concrete slabs that make bolting the safe down very simple. Never store PM in a safe unbolted, or fastened, to the subflooring or slab. This process is simple and most tools can be rented from your local construction supply store.
  3. Alarm your safe or the structure that the safe rests in. A properly fastened safe is all about buying time until people with guns arrive. Never assume PM stored in a gun safe is good enough. I have a stack of stories of lost metal all stored in what the owner felt was a good gun safe.
  4. Buy insurance that is precious metal specific. This insurance is not expensive and will protect properly secured metal in the event of theft. Email me for additional information regarding PM insurance.

 

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THREE PREDICTIONS SOON TO SEND GOLD HIGHER

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   No comments yet

I’m not sure if they still do but at one time most popular state fairs had a guy who would guess passerby’s weight. This expert of girth would randomly pick individuals walking by usually guessing a person’s weight within pounds. Wouldn’t it be nice if our economy had the same sort of fellow to help us choose our financial path and make accurate financial decisions? From business owners to individuals the world starves for accurate economic predictions to help protect and build wealth over such turbulent times. This is why today I want to point out three upcoming issues soon to send gold higher.

CONFLICT:

From simple road rage to city council conflicts the world is as tense as ever I’ve seen in my lifetime. Conflict affects all of us in so many ways and few realize this conflict will accelerate precious metal value as financial conflict expands across our globe. Everyone has an opinion how money must be spent and all agree there is no where enough to go all around. This is why cities bankrupt, countries send their young off to war and once happy couples allow slimy lawyers to divide assets and children’s time.

My wife and I made a commitment to not allow monetary conflict divide a family that means everything to both of us.

Refusing to allow burdensome debt in our lives is one of the ways we choose to promote harmony at home, owning real money like silver and gold is another example. This unity allows for a solid foundation while the rest of society stumbles through a maze of economic correction while conflict rages on nearly every front.

Gerald Celente is a trends forecaster who is and has made extremely accurate predictions over the last 30 years. His latest Trends General explains why the world is on the verge of the first great war of this century. It’s fascinating to read how Mr. Celente chronologically lists how recession, trade wars, currency wars and debt eventually lead to world wars. Our news today of upcoming conflict only validates another one of Celente’s accuracies.

Conflict drives precious metals with uncertainty and debt. History proves most wars find funding by creating more currency even when this monetary creation devalues the worth of those holding such currency. This devaluation is why it takes more cash to buy the same amount of groceries at your local market. This creation of war money also drives the value of your stack of silver and gold.

AWAKENING:

I recall an early morning when my two boys each had several buddies spend the night one weekend. I awoke early stepping over lifeless sleeping bags and empty bags of microwave popcorn knowing the morning’s quiet would soon shatter with awakening. The world around us is soon to awaken as well. This realization of all is not good will lead some to do what we will describe in the next prediction because they’ve not prepared for the inevitable economic correction.

But for now most silently rest still believing lifelong politicians can fix the unfulfillable. They still trust enthusiastic leaders full of promise and hope not realizing the insurmountable levels of world debt will eventually lead most to a lifestyle depending on rations of food stamps, housing allowances and low budget health care.

The word “austerity” equals awakening in my mind. Most won’t connect austerity as an admission of a failed society and fiat economy because most citizens are just trying to protect what they’ve worked for, or not worked for. The price of silver and gold will awaken before most Americans (the world as well) leaving ones needing protection the most outside looking in. But some can afford precious metal, regardless the cost, and are soon willing to pay whatever the few holding physical metal demand. How can such an awakening not drive precious metal prices?

PANIC:

I’m hesitant to use the word panic in an age that sensationalizes even the most trivial events. Many events can spark panic and I won’t pretend to understand what motivates some to run and others to calmly react. But the panic I’m describing today is not only spurred by an empty bank account or the loss of a retirement/pension promise. The one soon to send gold unimaginable is a panic stemming from a loss of trust and faith in a economy doomed by greed, debt and dishonesty.

The monetary panic of this decade will energize itself when world financial markets no longer find bailout money to support a false value. This will lead to an exodus eventually leading remaining wealth looking for anything offering monetary flotation and true value.

Folks this writer has no other insight than history. What we are soon to experience is a scenario that has played itself out many times before. Governments grow too large and make too many promises along the way. Real money shrinks and artificial wealth (currency) expands to a point beyond expandable. The problem this time is the currency expansion spreading toxin around the world stems from the USD. If your wealth is in dollars I urge to you do a quick study of monetary mistakes and then focus on how well silver and gold protect in such a time.

Don’t let panic drive your future. Take time to understand precious metal first and then make a commitment to store your wealth in the one asset history has proven necessary and worthy.

NOTE: For more information on silver and gold please read Why Silver & Gold Will Go Higher. I wrote this book for those searching for a simple explanation of why both metals will continue to grow in price and value.

COMMENTS & QUESTIONS:

Question:  Being an expert on keeping your precious medals safe – what is your opinion on the Free Lakota Bank?  I know it is smart to not have your stash all in one location, and I was therefore contemplating sending 1/3 to 1/2 of my stash to them and even being able to make interest of 7.25% (in silver) on  my investment.  They are fairly new, founded in 2008, and I have no idea how secure their facilities are (or in fact if it is a scam altogether) but wondered about your opinion on them in theory and practice.  This could also help get my currency (fiat money) out of regular banks as this is an interest paying account if you are willing to tie up a portion of your silver for 1 to 3 years.  Thanks for your remarks.

Answer: Great question and thanks for asking it. You are wise to bank outside traditional avenues of saving since the banking system as we know it is in great turmoil (fiat currency).  Free Lakota Bank is part of the Lakota Indian Nation and claims to be the only non-reserve, non-fractional banking institution that operates like any other bank. I personally love the concept and believe banks like Free Lakota are the future of banking (fractional reserve banking is the #1 source of debt creation – not good).

Here is how silver depositing works. A 12 month silver contract pays 3.25% (according to website). A 24 month silver contract pays 5.25% and, as you correctly mentioned, a 36 month contract pays an amazing 7.25% IN SILVER. These accounts are not dollar based, this means all interest is paid incrementally in real silver.

This is what the industry refers to as commodity banking. Free Lakota Bank is in their forth year of operation and I personally know very little about this institution, but intrigued.  If you, I would start out skinny and increase my deposits as worthy. My plan is to try them out with a small deposit and see how it works; I’ll pass along information as it becomes available. Thanks again for the question and if other readers have info on Lakota Bank please pass it along.

 

 

 

 

 

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FLASH MOBS SOON TO FIND SILVER & GOLD

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY   No comments yet

The Walmart in Jacksonville, Florida knows all about Flash Mobs. If you have yet to watch this short YouTube video I encourage you to do so just to get the full effect of such a mob scene. Flash Mobs hit the scene as a fun way to draw attention to themselves, or cause, by quickly converging somewhere simultaneously. Up until recently the event, if you will, was innocent and entertaining but the Flash Mobs of today are different. Flash Mobs – like in the video below – have now evolved into a chaotic swarm of locust like villains leaving businesses scrambling for a solution.  My gut tells me this is only the tip of the Flash Mob iceberg.

Some readers are thinking this is no big deal and riot like situations have been around since the Bible days. This is true, but one thing separates today’s mob scene from yesterday’s rioters, social networking.

Social networking will be a primary contributor to this historical silver and gold Bull Run we are soon to witness. Like a Flash Mob, buyers will converge on already thin inventories as individuals, investors, and industry all fight for a limited amount of PM (precious metal).

Each person holding PM or considering owning must realize how quickly a limited supply of both silver and gold will disappear in the days to come. This “Flash Mob” to PM is actually nothing new. I waited over a month in 2008 for a stack of gold American Eagles wondering if the metal would ever reach my local post office.

The combination of fear, panic, and social connection will provide the platform gold is destined to grace.

Stagnate PM prices have made us lethargic and assuming – I can read it in your emails, comments and questions. Sure it’s possible to buy silver a few bucks cheaper in the next month or two but isn’t it also possible something could trigger a flash to PM leaving many outside looking in? Of course, this is why it’s important to realize how delicately close we are to a day when those holding real money will not sell regardless the offering.

Somebody please add Flash Mob like metal runs to the long list of motivators soon to push PM prices higher!

 

 


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WHEN TODAY’S EMPIRES FALL

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY   No comments yet

History tells of no other time or place as promising as the Roman Empire. We often refer to the fall of Rome but actually the fall was more like a long decline ending in a very poor dwindled down version of itself deeply divided into two parts. I can’t help but watch the United States (actually the entire world) follow the same mistakes that buried Ancient Rome and like the Roman Empire history will divide the blame according to wealth and social status. My goal is not to argue why Rome fell but simply compare its fall with ours today. Some readers continue to question gold’s worthiness but fail to connect historical dots proving why real money sustains monetary mistakes, like Ancient Rome and like America 2012.


Nero and other emperors debased the currency in order to supply a demand for more coins. By debasing the currency is meant that instead of a coin having its own intrinsic value+, it was now only representative of the silver or gold it had once contained. By the time of Claudius II Gothicus (268-270 A.D.) the amount of silver in a supposedly (100%) silver denarius was only .02%. ABOUT.COM

To prove why your silver and gold are soon to skyrocket in value we must first systematically compare our currency debasement to Romes. Unlike today, Rome used coins of silver as currency but soon realized the Empire’s wealth couldn’t sustain, or appease, a overgrown government providing too many entitlements.  As you can see by reading the paragraph above the answer to fulfilling entitlement was decreasing the amount of silver (denarius) from 100% to .02%.

Money debasement in days of Ancient Rome is no different than our version of printed or digitized currency. The reasons to print, or in Rome’s case the reason to decrease the amount of silver in each coin, are the same too. The world is flush in currency only because folks refuse to give up such a comfortable way of life and refuse to hold central banks or elected officials accountable.

Roman emperors gave the people what they cried for and our world’s leaders today do the same. For you to fully grasp why an ounce of silver or gold will rise in value you must first understand this monetary repetitiveness of misfortune. I guess if truth be known misfortune is limited to those NOT holding real money (precious metals) since real money always rises to the surface in the times like we’re describing.

Your silver and gold coins safely stored away are minted with a number representing a currency worth, like the coins of Ancient Rome. Some of my gold coins represent $50 but no one in right mind will trade an ounce of gold for fifty bucks. Today this $50 gold coin is worth around $1675 even though the coins say otherwise.

The world no longer uses gold or silver coins as common currency but if we did I can guarantee you my $50 gold coin would be worth around $50, not $1675 like it is today. Please hang with me here because it is very important each of us understand how our wealth dwindles away by debasement.

The process of taking your wealth and then giving it to others (banks, politicians, entitled, etc) happens by printing more currency. Rome couldn’t sustain itself so it raised taxes and minted more coins each time lessening the amount of silver in each coin. This was and is no different than the massive currency printing happening as you read this. You can’t control central banks handing out worthless cash (to only the select few) but you can buy silver and gold, at least for the time being.

Our world today has chosen to follow Ancient Rome’s footsteps even though the outcome is clearly defined. Bailouts and fascism are now the norm and fiscal restraint is viewed as hurtful and irresponsible. The best you can do is grasping the protectiveness of PM and then stand clear of flying debris as this thing unravels.

I receive email after email with readers asking if I’m sure PM (precious metal) will rise like I write about in Why Silver & Gold Will Go Higher. Each reader holds a level of skepticism but only because they have yet to grasp our economic plight. We are Rome; if we stay the course our outcome will simulate the decline of the Roman Empire.

History also paints a disturbing picture of Romans waiting for a return to normal much like we see today. Nothing is normal about all currencies of the world in full print and borrow mode. To patiently wait for a return in housing values or a strengthening stock market is no different from expecting a return of the Roman Empire of 2000 years ago.

If you are still skeptical I have a suggestion to prove precious metal’s worthiness. Watch and see how often restraint supersedes printing more currency, or new taxation, to appease those crying in the streets. At the same time, keep in mind each dollar printed, and backed by nothing but a promise, reduces your wealth stored in savings and soft assets.

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RETIREMENT MYTH

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, SELLING GOLD/SILVER   No comments yet

Do you recall the good old days when a guy could find a job, work it for say thirty/forty years and then enjoy another twenty or so years living leisurely off a full pension, including health care coverage? Boy, what a difference a few years make since the best most folks can hope for now is a job working until their dying breath. Realism is liberating, this is why each reader must accept that all benefits, over a paycheck, are soon to become obsolete. This fact is yet another reason to divert today’s retirement funds into real money like silver and gold.


Let’s break this down in real fashion and then tie PM (precious metal) into this illusion of retirement. Somewhere down the line we convinced ourselves retirement wealth will take care of us during our golden years. The truth is many public pensions (private too) are severely underfunded and will not be around when age takes away the option to work. This news is hard for many to believe and possibly why so few have control of their wealth.

Right now the world is divided on how to fix monetary problems. One side looks for a government sponsored return to “normal” (even if it means mortgaging our children’s future) and the other side prepares for a correction your grandchild’s grandchildren will read about. My question is why are the two sides so far apart when the facts are as obvious as the nose on our faces?

Let’s look at where we are now to see where we’re headed. Those working want whatever is necessary to make good on past pension promises. Those looking for work want whatever is necessary to find a job.

How can we honestly expect a leisurely retirement when somewhere between 20% and 40% of the world is desperately looking for a job?

Part of my job includes consulting with small business owners and individuals to find a way to protect wealth in an age of denial and confusion. The first few minutes of each consultation includes erasing a lifelong belief in the USD (traditional investing)…… and then explaining the power of silver and gold. Most who call realize something is wrong in our monetary world but have yet to calculate exactly how this impacts them.

Why are we so confused and divided you ask? Maybe Yahoo’s home page can help answer this question better than I (As I write this Yahoo breaks new ground by sharing “Woman’s biggest Bikini-buying mistakes”), unbelievable!

Loads of misinformation keeps us from facing a harsh reality that no longer includes luxuries like retirement. The few willing to accept this as fact, and act accordingly, will greatly benefit from cheap silver and gold. Remember, no one new to PM cares what metals HAVE DONE, only what they will do.

Do we agree the job market from here forward is about to become more competitive? If so, then doesn’t it make sense new hires will take what they can get even to the point of forfeiting everything over a livable wage? Private employers always take a savings when possible, this I can guarantee you. Anyway, how much leverage will an applicant have when hundreds of others are competing for the same job? Someone will work for less and fewer benefits.

Volatility will sweep away retirement benefits for most, if not all, and the ones holding physical PM will find themselves very thankful they did so. My point today, don’t bank on a promised pension or retirement.

QUESTIONS & COMMENTS:

Question: I don’t get it…

If gold tends to rise due to monetary easing (stimulus) why did the extending of the operation twist, that is another form of stimulus ( http://in.reuters.com/article/2012/06/20/usa-fed-operation-twist-idINDEE85J0CP20120620 )

caused investors to devalue PM’s?

Why did i read today that operation twist if good for the stock market but bad for gold? Where is the sense in this if a QE3 would be good for both?

And while we are on it, what do you think of this guy forecasting that the value for gold will test $1373 an ounce by the end of this coming July ?

Share your thoughts about this.
Thanks

TPS Answer:  Love to and thanks for the questions. To begin with, the USD is benefiting from a panic sell-off in Europe as more lose faith in the euro’s future (what’s good for the dollar can mean short-term volatility for PM). Combine this with investors selling everything not nailed down to cover losses and it’s easy to see why gold and silver are off the radar (nearly all commodities are down). A run to dollars has a short shelf life and it won’t be long before the same concerns in Europe arrive here in America.

Will temporary faith in the USD take gold below $1400? Who knows, but who cares since nothing in the making will fix decades of continuous borrowing ultimately destroying the dollar as we know it. Gold will rise if for no other reason than keep par with massive currency printing.  My advice is to stick to the plan, still.

Question: This could sound crazy but my plan is to sell a few gold ounces then stock up on ammo and food storage. Talk of bank runs and bank holidays lead me to believe grocery shelves could empty overnight. Sound crazy?

TPS Answer: Crazy you ask? NO it doesn’t sound crazy, sounds wise to me. If your only option is to sell a few gold ounces then do it. All readers should have a supply of life’s necessities on hand regardless since no one knows what the future has to offer (remember Katrina?).

I’m all about self-reliance especially in this age and recommend each reader do the same. All the gold in the world does little good if you can’t protect it. I encourage you to put PMs on hold until 100% comfortable with everything your family needs in case of emergency. Great question and thanks for reading TPS.


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