Why Gold?

With inflation on the horizon, now is the time to begin transferring your wealth from paper-based assets like stocks, bonds, mutual funds, annuities and bank accounts into tangible assets like precious metals. Of course, the rest of the world already knows this and they are dumping their dollars for gold as soon as new gold supply hits the markets. This has been driving the price of gold up for ten years now, but that's nothing compared to what will happen when westerners finally realize that they need to make this transition as well. That stampede will usher in the next phase of gold's price climb, sending its price from a slow and steady climb to a parabolic leap.

The following excerpt from Ty Andros paints a clear picture of the mega-trend that is taking shape as alluded to above.  (Source)


In the United States and Euro zone, socialism is on the march and misery is being spread in ever-widening circles as the last vestiges of wealth creation are destroyed and fed to the elites, their government lap dogs, crony capitalists and their something-for-nothing constituents in a failing effort to rescue themselves. Fights over decreasing income are unfolding between the public versus the private, as there is a little less food on everyone’s plates. Everyone wants to be paid and have free healthcare, but no one wants to work, make products people want to buy at reasonable prices or compete in the world except for public servant with HOT AIR lip service, it is a recipe for disaster!

In the US and Euro zone, POLITICS holds preeminence in ALL its affairs, thus political solutions are always substituted for PRACTICAL solutions. Capitalism, competition and creative destruction of entrenched crony capitalists is BANNED through tax and regulatory corruption. Capitalism is alive and well in the emerging world, and it is dead and buried in the developed world. This is not a failure of capitalism in the developed world; it is a failure of socialism. We live in the land and times of George Orwell, where black is white, up is down and socialism is called capitalism.

Don’t forget, true capitalism is DISINFLATIONARY – its creative destruction provides more goods and services for less money because entrepreneurs compete for customers. Socialism is INFLATIONARY – it is always less goods and services for more money because elites short circuit the creative destruction and substitute crony capitalists who, through regulatory and tax manipulation courtesy of corrupt public serpents, mandate the winners in the competition for CUSTOMERS.

Gold's worth is immune to inflation as it cannot be created and devalued as can paper currency. Because of this, most traditional investment advisors will recommend you allocate 10% - 20% of your investment portfolio to gold as a hedge against currency devaulation (inflation). Personally, I have 100% of mine in gold.