Sunday, May 5, 2013

Gold is Financial Drano

Gold kept outside of the banking system is the ultimate un-blocker for your financial safety, especially compared to constipated funds blocked in a bank account. Thanks to silverdoctors for the following image of an Cypriot bank account in the process of being stolen.

Bullion coins are like health insurance in that you should own them but hope you never have to use them

By Mark O'Byrne of Goldcore

Gold and silver bullion coins and bars are important in this regard as they are not about making a capital gain per se rather they are about wealth preservation.

Given we are in an era of competitive currency devaluations, there is also the real possibility of making significant capital gains.

Of fundamental importance is the fact that gold and silver coins are not ‘investments’ rather they are a safe form of money and an important form of financial insurance that everybody should own.

With the risk of a global depression remaining very real, people need to own the financial insurance that bullion coins represent. Bullion coins are like health insurance in that you should own them but hope you never have to use them.

The biggest benefit of owning gold coins either in your personal possession or allocated in secure vaults internationally is that they will always retain a value unlike paper assets and currencies which have considerable counter party risk today – as was seen in the deposit confiscation in Cyprus.

Charlie Munger - "Bankers should not be trusted, they are like heroin addicts"

Keiser Report - Interest Rates Apartheid

From RussiaToday

In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the Great Leap Forward in central banks' central planning which has driven the Housewives of China to buy 300 tons of gold, an act of disloyalty to the central bank revolution. Max notices that Mrs. Wang has displaced Mrs Watanabe as the most important buyer in global financial markets. In the second half, Max talks to Alasdair MacLeod of about everything to do with the physical and paper gold markets - from open interest to naked short selling by bullion banks.