Emotions

May 15, 2012

Don’t let your emotions get the best of you, you’re right.

For most people Warren Buffet is a household name. He is very flamboyant and loud when it comes to anything financial. He is an open “hater” of precious metals and encourages people to stay in the stock market.

Now, Mr. Buffet by his own admission says that by 2017 the US dollar will be worth less (worthless). He believes his stocks will hold strong in the midst of the chaos, however, he said if he could convert all his stocks into rental properties; he would!

I respect Mr Buffet, but I’m going to have to heed his advice, and realize the dollar will soon crash, which could result in a stock market crash, which may have me wanting to leave the country and precious metals is the best investment to allow me to do that.

When

May 9, 2012

When the US dollar collapses, will you be ready? When you are prepared thoroughly for something, it excites you, not scares you. If the US dollar crashing scares you, please reread all my blogs.

Minnesota, Tennessee, Iowa, South Carolina and Georgia are going to soon be issuing gold and silver coins for use! This is so awesome. I wonder what kind of premium these states will charge, or if they’ll have any premium at all?

This current investing cycle is not for the faint of heart. The precious metals will frequently dip almost just to scare people out. I have put all my eggs in one basket, I’ve bet the farm and then some. This is the biggest investment opportunity of a lifetime. Your money has the chance to grow and create for your family a dynasty of wealth. A simple $20,000 an investment may yield you the opportunity to retire early, a $5,000 investment now may yield your dream car. Don’t grow faint, fellow investors. Stay strong and you will be rewarded in due time for your patience.

Is It The Best?

May 7, 2012

I talked to an elderly coworker of mine today and she was raving about her stocks. What I wanted to draw her and explain to her was this simple 2 page diagram. This first picture shows two investments rising over time. Obviously “line 1” is outperforming “line 2” but as they sit, they are both good investments. However, what we often miss is the missing variable. How much money being printed is actually keeping line 2 from really making money. Line 2 is actually devaluing over time. Knowing the full scale changes everything.

Where To Buy?

May 7, 2012

This question got recently asked by a reader, and it’s an excellent question. Now, I will provide you with a few options, but you’ll have to figure out what works best for you.

 

Although silver may be $32 an ounce, there is what is called premium. For a generic silver round that was printed by a private company somewhere, usually you pay a premium around $1.00-$1.50 per ounce. This is added on so the business can pay their bills at the end of the day. Now, let me break down a few options for you.

 

  1. Craigslist – Craigslist can be the cheapest if the situation is right. I have bought a few bars/rounds on silver for either at spot or cheaper. I would not recommend you doing this until you get a silver test kit. These are readily available online. There are many tricks – smell, color, whether it’s magnetic or not, and I implore you to use all of them.
  2. Local Coin Shops – These places can be hit or miss. I’ve walked into coin shops and they’ve been well over $5.00 an ounce spot, I’ve also come in at days where it’s $1.00 over spot. As you build a relationship with the owner of the local shop you’ll be able to consistently get a better price. Most of these guys are very knowledge and I’d encourage you to get to know them and plan to spend 30 minutes in there every time you go in. For a buying strategy from a shop, I always go in with cash, look at my phone, check the spot price of silver and decide, “I’ll pay this today.” If it’s in my price range, buy; if not, then just chat for a little bit.
  3. The Internet – The internet is a great tool for everything! I know that Craigslist is on the internet, but I don’t consider it the internet! A few internet sites do quite a bit of advertising and have the number one Google rating and are also partnered with Youtube. These companies are vastly over priced due to their high expenditures on advertising and other means. The two places I have found to be best are Gainesville Coins and Jmbullion. These two companies depending on how much you’re buying run very similar prices. There are several over priced companies, but I will not slander them in this blog.
  4. Coin Shows – Coin shows are great places to find deals. Most of the coin dealers here are very friendly and it is a great atmosphere. And at a place with 40+ vendors, usually there is one selling bullion under $1.00 premium.

 

 

Also, all precious metal deals are made in cash. If you use a credit card you will get a 4% up charge. So, with a few of these places you will need to wire transfer or mail in a check, this is completely normal. Also, whenever you buy precious metals in person you will only be able to buy with cash. A few places will take a check, but not many. And if they take credit you’ll be up charged 4%.