Gold preserves wealth over the long term. Land is the basis of all wealth, it can be from the earth- mining, farming, or improved land for living or manufacturing. Fine art is a separate category and fits into the collectible category. This takes some expertise but has been proven to both build and protect wealth generation
to generation. So there you have it, not much else to discuss, correct?
In a general way this is actually all you NEED to know from a macro perspective, but applied knowledge is true power and therefore we are willing to investigate further ways to increase your returns in real terms and to mitigate your risk as much as possible.
Since gold is the ultimate money and the fact that money is required to function in any society regardless of political structure we are assured that gold
is a backbone of building and keeping wealth for generations.
The problem for those independent enough to understand the adage that “he who owns the gold, makes the rules” means that the banks own most of the gold and therefore make the rules regarding gold. At times gold can literally be a lifesaver and at other times gold is illegal to own. It is worth mentioning that gold should be held even during times of being banned and there are ways to do this legally. The elites always leave
themselves a way out and all you need to do is find the loophole and do what “they” do. In fact this was addressed in a video update for our premium members recently.
Silver still provides greater upside than gold because it is required for a technology based society. The constantly increasing demand for silver suggests a natural “corner” of the silver market is as soon as 2030. This is based upon several assumptions and cannot be guaranteed.
The main problem with silver is that it
is not considered the money of last resort like gold. For all practical purposes no central banks hold silver as a monetary asset. If silver were considered silver by the banking system and the gold/silver ratio was set at the monetary ratio of 16:1 we would quickly learn how scarce the silver market is compared to gold. With the banks holding 3 billion ounces of gold it would require sixteen times as much silver to have the cover ratio, which means 48 billion ounces of silver. The amount of
investment silver is about five billion ounces at present.
Cycle of Success: Leveraging the Three Phases of Market Movement
Markets move in three phases. We have had two legs up in the gold and silver markets with one left. The silver market went from $5 to $21 and pulled back to under $9 in the financial crisis of 2008. From there the silver market
rallied to nearly $50 in May 2011. The low for the last move is in, silver hit $12 in March of 2020 just when Covid hit the mainstream. All that is left is for the last piece of this incredible puzzle to fit into place. The final leg UP is huge in price appreciation and once started accelerates rapidly, leaving many that were waiting for the big move left behind.
For example, in that last major bull market silver went from $6 in January of 1979 to $50 in January of 1980. A gain of 850%..
The current market can be expected to do at least as well because we will be in a worldwide panic out of stocks, bonds, real estate, currencies, and life insurance and into one asset class- precious metals. We may see oil and energy stocks move wildly as well.
When every investment is being sold for whatever the market price will bring and ALL of those proceeds chasing into a market that represents only one percent of the total financial system the move in percentage terms will be
monumental. This suggests a move in silver from the twelve dollar low of March 2020 to $100 minimum. Two hundred is more likely as markets overshoot during frenzies and this will be a market that will set records in so many ways.
The governments of the world may try and stop the run to gold but nothing can hold this back. Further, the BRICS nations are likely to add to the buying pressure by adding to their gold holdings while the West may try and discourage gold buying only to watch
their scheme backfire.
David Morgan Founder, TheMorganReport.com
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