Archive for the ‘SOCIAL UNREST’ Category



Signs are a forewarning that something important is soon to happen. Arm numbness could be a sign of a heart attack. Night sweats could be an early sign of diabetes. Lately I’ve been searching for signs of a real economic recovery. How else can we explain the latest gold/silver decline, all while the DOW posts another new high, other than a true recovery, right? After all, the great metal sell-off of 2013 can only be attributed to a new found level of economic faith.

Is the city of Detroit a sign of economic recovery? Detroit dropped from a circa 1950ish population of just under two million to less than 700k today. No one counting can be surprised by the bankruptcy of a city when it loses over half of its middle class and industry all while simultaneously growing the state’s pension obligations. Detroit is certainly not a sign of recovery as we watch poverty overtake what was once declared the city of great opportunity.

Nearly half of the wealth of American is stored in real estate. The lion’s share of this wealth rests in single-family homes known as a principal residence. But just as we’re led to believe the great housing recovery is unstoppable (housing bubble 2.0) news of a recent major decline in new mortgage applications say otherwise. Is it possible our great housing recovery could be upended by a 1% increase in mortgage rates?

The signs of a housing recovery are few and far between when the three denominators holding RE values together are cheap money, faith, and leverage.

What is a house worth, in municipalities like Detroit, after stigmatized by bankruptcy? The value of your home is directly affected by the health, and obligation, of your state and local economy.

The anti-recovery list grows longer. The new-found affordability of the Affordable Care Act has to be a sign of recovery, yes? Cities collapsing under the strain of long-term debt and unfunded liabilities have to be a sign of recovery, too. The fact we’ve reached the point of unbridled QE must be the truest sign of real economic recovery.

Why Silver & Gold will rise!!

The positive signs of economic recovery presented by today’s media are nothing more than a monetary distraction. Most individuals have reached a point of no longer willing to think for themselves, not to mention the ability to question those who put motive over principle. If the media or internet says so then it must be true.

I know my stack of PMs will take care of my family’s future for one reason only; what most folks view as financially stable is supported by the ability to create (borrow, print, or tax) currency. Everything from social programs, pensions, real estate values, stocks, banks, etc have reached the point of fiat dependency. This recovery is as real as any structure built upon a foundation of debt leaving no other choice but print of die.

Only the minority now buck this trend of nonstop quantitative easing. The rest, the majority, only argue over how to spend it. Think about this for a moment, please. Can you imagine the Detroit inferno if the evening news reported a significant reduction in social services, section 8 housing, food stamps, disability, etc.? What if a politician announced a monetary commitment to stop deficit spending altogether? The clip below answers it best.

Not only would city streets in every major city burn but the outcry from those invested in paper assets would be so great that the very life of the one proposing such a foolish plan would be in jeopardy.

This “jeopardy” is why your stack of physical silver and gold must rise just to keep a natural order of monetary balance and buying power. The United States, most countries too, have reached the point of no other option than print to appease, both politically and economically speaking.

I know TPS has mentioned this before but we are long past the point of arguing if metal will rise. It must rise, and will rise, as our nation accepts we are to the point of print or burn.  TPS recently posted how debt has become a threat to our national security. I’ll go as far to say the domestic threat outweighs the foreign threat when we calculate the growing number of our entitled.

COMMENT:  I personally believe the gold bugs are about to be squashed – maybe less than $1000 an ounce!!

TPS Reply:  Thanks for the comment. If every prudent person sitting on physical gold had to sell now then “yes”, the gold bugs are soon to be squashed, at least the most recent buyers. But your theory has one giant hole in it when we consider that few bugs are sellers. In fact, many are out buying discounted precious metal.

Let me guess, the DOW is your suggested new opportunity of safe haven? If so, what happens to the value of today’s DJIA if not for perpetual QE? What happens when the DOW has to stand on its own monetary merit? Will the 2008 DOW meltdown pale in comparison when those with wealth realize it’s nothing more than a paper promise?

Bernanke’s pile of printed money supports Wall Street because the lion’s share of this fiat rests on Wall Street. Of course investors in return support WS because they have little choice other than follow the next bubble; can’t you see this? I, for one, will side with the gold bugs by taking my chances with sound money (according to our US Constitution & 5000 years of history).

QUESTION:  In your last post, Fake Money Threatens our National Security, you mention the word “printing” but this is inaccurate. The money is nothing more than a digit, not only is it fiat but it doesn’t exist at all…. literally. Your point is noted but you should clarify. Thanks for what you do!!

TPS Reply:  Great point, thanks. You’re correct, less than 1/2% of cash deposited actually exists. This number can vary but never anywhere close to a percentage that would make most depositors comfortable. This is why the banking world is deathly afraid of a bank run similar to what happened in Cyprus.

This is also why I recommend keeping most liquidity in cash, silver, or gold form. In my opinion, at least 1/3 of this wealth should be within arm’s reach safely stored in-house or with someone trusted. I wish more folks understood the fragile nature of today’s banking world, fractional reserve lending (banking), fiat currency, and, of course, real money.

Good for you and thanks for the reminder!!  By the way to all readers, if this sounds like an overreaction just research the words “bail-in” as it relates to today’s banking institutions. Why not take a proactive stance while this option still exists?


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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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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Sometimes just owning silver and gold is not enough, it wasn’t for me. The goal of precious metal ownership is to create an independent life no longer relying on agencies and assets that will continue to decline as our economy weakens. Most have not connected the level of societal unrest or personal wealth loss and still truly believe one more trillion dollars borrowed will fix decades of monetary mistakes. These same folks simply fail to recognize what their local community will become as budgets decline to the point unrecognizable. At such a time owning precious metal is not enough.

I want to be perfectly clear at this point, there is no perfect place of monetary utopia.  Even the Manhattan billionaire is affected by potholes and unanswered 911 calls.  This article is not describing escape since escaping is impossible but “better” is attainable.

Your definition of “better” is different than mine. For me, better was wide open spaces in a friendly flyover town where folks still look after each other.

My better is a place where city and state budgets look for ways to decrease spending not tax payers more when times get tight. These types of places are growing extinct but my bet is you’ve probably noticed this.

In Why Silver & Gold Will Go Higher, I discuss the benefits of hiding wealth in precious metals and provided more than enough facts why both metals will make holders very happy over the long term. What the book doesn’t discuss – as much – is the trade off for prosperity. All things sending your stacks of silver and gold higher also lead to a severe decline in quality of life that few metal holders want to think about.

A decision to buy precious metal is a big decision but nothing compared to saying goodbye to family and friends while over packing a U-Haul. I won’t pretend to know what is right for your family but will provide a few trends to look for that may help open denying eyes.  I’m guessing many of my readers today are seriously considering “getting out of Dodge” so I thought maybe we should list a few trends that could help with such a big decision.

TREND #1: MAJOR DECLINE IN HOME VALUES: Declining home values are far worse for communities than most imagine. Most city and school budgets rely on property taxes to fund safety services and local programs. When values decline budgets shrink. When budgets shrink then services are cut. This eventually leads to a breakdown in infrastructure on nearly all levels. This means your city services can no longer support local citizens and this always ends with you paying more taxes or living with such a decline.

Most of you are familiar with the growing number of cities declaring bankruptcy but most fail to realize this also increases the number of individual bankruptcies too. This chain reaction – if you will – severely weakens a local quality of life not to mention the drag on personal wealth. My question for you is how much wealth do you have stored in your home’s equity? How fast is it declining?

TREND #2: UNEMPLOYMENT:  The year 2012 introduced a new term called “Silent Depression”.  By definition, a silent depression describes bad economic times hidden by massive government support. Picture soup lines of the 1930s replaced with EBT cards, food stamps, long-term unemployment benefits, ever increasing numbers on disability, etc. This support becomes normal when job opportunities decrease or pay less than the local standard of living. There is a difference between a temporary safety net and long-term dependency (only one is sustainable).

The problem arises when we consider the wealth of most countries cannot support the rising numbers using such services, this is why most countries have growing deficits. The facts show cities in a silent depression are experiencing an increase in robberies, rapes and murders. Can you imagine the extended level of such crime when services are reduced or benefits lag behind inflated food and housing costs? Can you imagine the level of hatred as those who truly feel entitled decide to blame those with remaining wealth?

TREND #3: DECLINING INCOME: Some of you cannot imagine saying goodbye to family and friends, I understand. But the fact remains you live where you live because of opportunity, even if you’ve already relocated. Opportunity to grow a business or advance a career keeps us in a place slowly deteriorating. For some, it really comes down to income and a lifestyle but the truth is today both are in serious jeopardy of decline. My advice is to watch both closely realizing something must “trigger” a God given instinct to protect family and remaining wealth. I personally left a tax heavy state (simultaneously killing business with more useless regulation) when my income no longer justified the hassles of such a lifestyle. I wish I had made the move a decade before to be honest.

Several decades ago Americans fell into a trap when someone convinced us “more” is the secret to happiness. This lead to “more” spending, more personal and public debt, more acid inhibitors, more family fights over money, and especially more compromise in order to live someplace in obvious decline. If one thing good comes out of today’s economic correction let it be a return to common decency and a simple family oriented way of life. This lifestyle I’m describing does not take a boatload of money but a savings in silver or gold will help.

Let my last note be this. Who knows what your wake up call will be or if you will hear one. I personally would rather own less metal and a better quality of life than the other way around. The choices are yours but you can rest assured we will continue to justify precious metal ownership as events unfold, regardless where you live.


QUESTION:  In 2011 I bought 200 ounces of silver for the first time thinking silver was a wise move but now not so sure. I do not doubt my decision to buy silver but question my timing more than anything. How does a small silver investor know when is the best time to add more considering how silver continues to drop in price?

 TPS Reply:  Nothing casts doubt like PM prices dropping especially for those new to silver and gold. Thanks for the great question and let’s see if we can help ease a few concerns and then answer your question. First, yes silver has significantly dropped and this leads many new to PM to doubt such a wise decision. This doubt has a short shelf life since “real money” will soon surface as one of only a few true safe havens of wealth storage. The true question is what will silver do in the future, right?

You already know the same monetary mistakes still take place in fact, most currencies have only increased the mistake that will drive your silver skyward, debt. Nothing will stifle economic growth like the burden of debt. This is why the job market lags, this is why housing can’t rebound, and this is why cities across America, heck the world, are starving for revenue while college students riot in the streets. All these things cause remaining wealth to flee for safety. Nothing has the historical track record of silver and gold, nothing ever will.

To answer your question, my advice is buy each month with little attention on price realizing it will average over the long term. I too bought silver only to watch it fall. I also bought gold less than $400 an ounce. My point is we are soon to enter a time when price paid is far less important than ounces owned.




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Have you noticed that there really is nothing 100% “safe” from theft? From Wall Street to Main Street the threat of someone taking something from you is as real as I can remember. The longer I write about precious metals the more I realize theives come in many shapes and sizes and by no means stereotypical. Now I’m not just talking thievery like we see on TV where thugs with covered faces rob folks at gunpoint. The biggest threat to your wealth is the guy sticking campaign signs on your neighbor’s front yard, or his cronies (taxation). The second threat is inflation and the sad side of this threat is that most victims don’t realize how much wealth is right now lost from it.

This is why it’s so vital to not only own physical silver and gold but to also have a bullet proof plan to keep it safe. This is where I can help so thanks for joining us today.

Keeping your PM safe is not difficult but does require a well organized security plan with a continued effort from you and whoever shares your address. I’ve heard from readers who question the above statement by mentioning other family members living in the same home know nothing about the stash of silver or gold. This, my friends, is a recipe for disaster since those not knowing can’t be part of a plan to protect your metal, not good!!

I don’t believe in secret PM storage programs, here is why. My thinking is PM security is a family effort since the fact you are storing the metal in home means you are willing to put all those living there at risk. Risk you ask? Yep, owning PM and storing it at home carries risk and only someone naive will believe differently. Maybe it’s time we put the cards on the table showing exactly the growing risk each PM holder will face as our economy continues to unravel.

I knew when I wrote Storing Silver & Gold that some readers would find true examples of home invasion too much to take. I’m guessing my book editor right now is thinking the same thing. I warned readers before hand with each home invasion example because each of you must prepare for the risk that comes with something that every person on the earth will soon view as necessary. I hope I’m wrong but doubt it.

As precious metal holders, few look beyond future wealth and riches. We think of the nice things we can buy or opportunities to help others but rarely invest thought that a rise in gold’s value equals a decline in society as a whole. This exposes you as different – even lucky, or wealthy – putting a big old bull’s eye on your family’s back. Think about it.

The challenge to keep your metal safe will grow as the economy weakens, sorry.

This is why it’s so important to begin a plan now to store physical PM in multiple locations. I do recommend keeping at least 1/3 of all PM owned in hand or at least close at hand. I like storage diversification most because it adds an insurance value to all eggs in one basket. Another thing I like is insurance (yes, insurance exactly like the policies you have on life, home, car, etc) on every ounce of silver or gold you own.



Question: You wrote about insuring gold so I thought instead of emailing I would call, hope this is okay? My question is can I determine the value of a particular coin when buying insurance? Will the company offering this insurance ask for an appraisal?

TPS Answer: Thanks for calling and “yes” it is okay to call (I actually prefer email but realize some want to discuss by phone, this is okay too). No, my understanding is a person cannot simply request a rare coin worth $3000 insured for $6000. I don’t have rare coins insured (I’m mostly in bullion, rounds, and bars since they carry less of a premium) but can tell by the conversations I’ve had with those offering insurance that value must be proven. They could ask for a proof of purchase and this will help determine value at least at time of purchase.

Something else comes with each new policy all readers must be aware of. Each new policy comes with a signed fraud statement plainly explaining the charges for insurance fraud. My advice is to keep it straight and sleep well at night.

If other readers have questions on insurance for physical silver or gold please feel free to email me at theprospectorsite@gmail.com.

Question: What exactly does The Prospector Site do?

TPS Reply: We offer facts related to why, how, where to own physical precious metals all without readers worrying with a motive. Most PM information floating around the internet comes from companies selling PM (most have a buyer’s best interest in mind, some don’t). TPS doesn’t sell silver or gold, we only write and consult with individuals why it’s so necessary to own it and then offer proven ways to buy and protect it (precious metals). Thanks for the question.





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Many of you are business people first and owners of gold second, I realize this. Since our readers are business minded I believe it’s time we look for new ways to prosper why the rest of the world waits for another round of stimulus.  Over the weekend one syndicated newspaper magazine had an article describing how cities on the verge of bankruptcy layoff police and fireman. It shouldn’t come as a surprise that the same cities letting lawmen go are the same cities seeing a spike in murders, theft, etc. The ironic part of the article is how private enterprises are protecting citizens with private security, at least for those willing to pay for this service. One private security business admitted to an 80% increase in business by providing trained, and armed, private security.

This article got me thinking and I’m going to roll this out while praying new readers don’t take it wrong, ready? Maybe now is the right time to focus more on making money than buying silver or gold.  Let me explain.

I don’t regret owning physical gold or silver, each new day validates my 10-year decision as prudent. What I do regret is allowing our modern-day depression to distract me from opportunities that only comes around once in a lifetime. My first point, I was so focused on preserving wealth I failed to account for new opportunities. Point #2, a well structured business is far more profitable than appreciating gold, at least right now.

I, like some of you, took a savings in dollars and traded it for coins of gold and silver several years ago when I finally realized more borrowing will not fix a debt problem. Of course each metal has risen respectively but neither metal offers passive income like a well planned business can.

Of course each person reading this should own a percentage of physical precious metal FIRST but isn’t it also true that a profitable venture could raise your stack of silver or gold? We mustn’t allow fear or confusion to cloud today’s opportunities.

I failed to consider the social impact of a silent depression like the one we see unfolding around the world today.

This “impact” has left huge holes of opportunity for private enterprises to fill gaps the public sector can no longer service. This is why the security business – in my example above – has expanded 80% while their local police force disappears. One door opens while another door closes, at least for those looking for ways to prosper.


Readers often ask for examples of business that will prosper over the next few years or decade. This is a difficult question to answer since each of us live under unique circumstances and what works in my home town might not work in yours.  Below are the three things to consider for those brave enough to tap into today’s wild world of business.

  1. Think Savings:  Remember the good (not gold but good) old bubbling asset days of yesterday? A spendy vacation, expensive dinners out, steak over hamburger, the sky was the limit as long as equity lines replenished themselves with a new rise in housing values. Folks, these days are long gone and the new trend is anything that can save a dollar or two.  Redbox is a perfect example of a business making tons of cash while reducing the cost of movie entertainment. TIP: Put technology on your side when developing a plan based on saving consumers money. No longer do sales people need expensive offices or receptionists since our technology age allows businesses to operate from home all while looking professional.
  2. Be a Problem Solver: Everyone from business owners to individuals can feel the walls of economic correction closing. Many businesses are too top heavy to survive the age of lean/mean and unfortunately many will fail over the next year or two. This new age of downsizing offers plenty of opportunity for those who dare to call themselves problem solvers. Think of ways to assist businesses and individuals to quickly downsize, did I say quickly? Simple, fast and effective methods of liquidation will be the trend of the future. Auctions, liquidation assistance, consultants who specialize in business simplification will prosper greatly as folks realize another month of overhead means less savings in the long run. This trend will soon lead to folks searching for ways to do themselves what was once hired out. Think of ways to teach others how to do what they should have been doing all along.
  3. Safety & Security: Try to name someone who doesn’t desire safety and security, I bet you can’t. Folks, turn on the news and then tell me we live in a safe world. I’m convinced average citizens will pay whatever is necessary to keep their families and homes safe. Home security, personal security, identity security, silver & gold security, private security, all things making us feel safer will prove profitable for professional and reliable companies offering such services.  Take time to see what your city or town needs and then let these markets develop around you. My guess is this trend is not going away anytime soon.



Question: Just finished reading Why Silver & Gold Will Go Higher and must admit you made a good case for expensive silver and gold. We started with one once silver rounds and our plans include gold fractionals as our budget allows us. You mentioned a new book on storing precious metals and I’m wondering when it will be available?  Thanks and I’ll look for a reply on the next post or two.

TPS Reply: Thanks for reading my book and commenting. Silver is a great entry to PMs and I believe you are wise to buy as much as you are comfortable with. Part of being comfortable is developing secure options to store the metal we have all worked so hard for. Silver is cheap right now which means you will quickly find yourself with pounds of metal to secure, this can be a challenge. Silver is much more difficult to secure than gold (a handful of gold is ten times more than the average American has in savings), but well worth the effort since many PM experts predict $500 to $1000 an ounce silver. Regardless of price, silver’s trend is to rise as countries around the world battle to devalue currencies and print them worthless.

My next book on storing silver and gold is finished and now in editing. It will provide several ways to safely own/store silver and gold while providing the peace of mind all PM owners’ desire. I suspect it will be available over the next couple of months. Thanks for the question.





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Sometimes one “REALITY” so grabs our attention it awakens us from a state of denial. My wake-up call came during the aftermath of Katrina while watching desperate citizens of New Orleans cope with the unthinkable. Katrina exposed two things I want to share with you today and both should keep everyone dependent on entitlement up at night (yes it has everything to do with owning silver & gold). I’m not sure what surprised me most, watching helpless folks stranded on rooftops plea for help while streets turned into rivers or multiple layers of bureaucracy so large, so inept it couldn’t simply react to an emergency without first establishing blame and protocol.

The incident I’m discussing today is a prime example of what happens when an ideology transforms a society to a point of inability.

The fact is our overall economic condition is much worse than perceived; this is why food stamp participation has doubled over the last three years. This means many once in the middle class are now part of the dependent poor. They are, if you will, future roof top dwellers holding signs for help.

Katrina was my wake up call because it proved to me we really have few safety nets in life. We can expand social programs but in the end they only create a lethargic economy, new taxation, and unsustainable deficits. What happens when a tax base can no longer support under funded food centers, housing subsidies, school lunch programs, farm subsidies, and the million other programs that can no longer fill the gap of a real economy?

I have great concerns for inner city America. I see plenty of anger and blame when someday soon entitlement programs admit they can no longer fulfill obligations. This massive and publicized outcry will not go unnoticed and this will lead to more money (currency) printing as governments desperately try to literally feed the giant they created. The alternative is to watch cities burn.

Most folks receiving government aid don’t consider themselves among the poor. They fail to recognize a lifestyle or condition without the help of programs.

I doubt most gold/silver holders truly recognize the layer of protection they’ve provided for their families. The benefits of owning PM continue to grow each time we allow central bankers and governments to print currency in order to fill budget shortfalls. It is very important you recognize the two primary benefits of physical silver and gold well before buying it. The first benefit, real money provides sustainability and keeps its participants from sliding from middle class to dependent poor.

The second benefit is both protective and highly profitable for the few willing to trust silver and gold.  This benefit allows those holding physical PM to expand wealth while the rest of the world realizes fiat currencies can no longer print themselves out of fiscal mistakes or promises. This is why an ounce of silver or gold will soon be worth ten times its value today.

Right now each of us has choices. We can accept dependency – like most of us eventually will – or we can begin to provide for our families a layer of INDEPENDENCE one ounce at a time. Yes, it really is this simple.


COMMENT: Here is how I see it so please tell me if you disagree. I too believe ones who still hold wealth will frustratingly turn to physical PM when the “realization” you often discuss becomes reality. But who’s to say the same folks buying silver at say $100 an ounce, or gold at $3500 an ounce, won’t eventually have to sell the one wealth-holding investment just to feed a family or put a roof over their heads.  To me, it seems most who buy silver or gold now will end up having to resell when things get tight.

TPS Reply: Great comment and thanks for sharing it with us today. Yes, you’re probably correct, many who buy silver and gold today will have to sell, barter or trade it down the road as our economy continues to correct, I won’t argue this probability. Precious metals are the ultimate savings account – the reason we save is so we have options when the unexpected enters our lives. To not save is to rely on a failing ideology, the same ideology that left Katrina folks on roof tops, for our family’s well being.

You make valid points but miss the true benefits of owning physical PM. I have great concerns over the short term and bigger concerns over the longer term. I feel budget strapped cities and states will reduce the same social programs many now depend on to survive. This will cause a backlash so disturbing – burning cars and looted buildings – eventually leading to more entitlement only supported by digital currency creation and taxation (remember, our country is broke – just like many other countries around the world).

Okay, stay with me here. When we print too much money the buying power of our currency declines, this is why a box of cereal is twice the price it was not so long ago. This is why a box of cereal and other necessaries someday soon will cost far too much for the average family budget to afford. At such a point, the only option is to forgo a healthy diet or rely on government assistance that is only available by borrowing (printing) more currency.

Now let’s tie this all together. Let’s say a family sells the camper trailer today and then buys physical silver at $30 an ounce (300 ounces of physical silver). You mention $100 silver in your comment above so let’s use this number since I feel $100 silver is not only possible but a fraction of tomorrow’s offerings.

By trading a declining asset (camper trailer) for a growing asset we leveraged the power of wealth relocation. Wealth relocation is something I wrote about extensively in Why Silver & Gold Will Go Higher, probably the most powerful weapon for wealth expansion and independence. Now that we own physical silver, or gold, we have the luxury of watching all things priced in dollars rise but stay relative in terms of PM. By example, an ounce of silver buys around 8 boxes of my favorite cereal today. When cereal prices rise so will silver making it possible to buy the same number of boxes regardless of price.

The power of PM is beyond questioning since history shows all fiat currencies eventually print themselves worthless (we are witnessing this right now) proving only one true source of money – gold & silver.



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Last Friday was nothing short of the purest example of a typical day for future gold. When fear and uncertainty grip millions, maybe I should say billions, the results are a monetary flight to all things real.  We are living history and the world is soon to realize paper assets cannot compare to the real protection within silver and gold. How many days like last Friday will it take before the masses line up to pay 2 or 3 times today’s physical gold offering? Let last Friday go down as a sign of the times.

I wasn’t alive during the Great Depression to witness shuttered banks wipe out the wealth of good honest folks. I wasn’t around to watch folks in Germany push carts of currency necessary to buy hyper-inflated groceries during the days in Weimar Germany. But I will be around to witness the greatest wealth transfer in the history of mankind, this is all but certain.

It takes a loss of faith to push something like PM (precious metals) to the point of last Friday. I want you to think back making a mental list of who and how many predicated such a gold advancement like one witnessed last Friday. My list is empty. My point is we have entered a period of perpetual volatility on a massive level and anyone willing to make short-term predictions are unwise or arrogant.

The average person doesn’t realize how quickly wealth can transfer in our age of instant money movement.  Are we on the verge of such a wealth transfer into silver and gold, I think so? The great rush into 10-year treasuries paying under 1.5% could be such a sign of the times described today. Eventually, the result is a flight to PM but no one said the flight is direct.

The few still hanging onto recovery also anxiously wait for the next bailout. Who honestly believes a life of endless bailouts can continue?

Last Friday’s amazing, soon to be typical, gain attributes to a worse than expected jobs report and continued trouble in Europe. Yes, this news lit the fuse but the winds fanning the flames comes from a giant media base willing to sensationalize anything from collapse to celebrity addiction.

This is why I believe gold’s next bull run is an accumulation of multiple factors sensationalized into the greatest flight to safety in our lifetime. Think of it like a person shouting “fire” in a smoky room not to save others but to create a profitable scene of chaos. Nevertheless, the results are the same.

Like most weekends, this one was no different when an individual asked the one question I hear so often, “Why is gold the best choice right now?” See the question below. I’m willing to bet this same individual didn’t have gold on the radar until recently.

Can you imagine a week of multiple days of 5% or better gold gains and how the media will sensationalize gold as the hurry-and-jump-on-metal? You can bet that we’ll be right here to sort it out by making factual silver and gold observations.


Question: What makes precious metals the best choice considering the volatility around the world? Second question, silver or gold? (verbal question during consultation)

Answer: Thanks for the questions. Just to make sure we’re all on the same page here let me start by saying we are talking physical metal. Also, we recommend low premium bullion, rounds, bars, and junk over rare or numismatic coins.

As said in Why Silver & Gold Will Go Higher, precious metals are the safest store of wealth today. We have to realize the ill economic effects we’re feeling now started many years ago (actually decades ago). Up until recently we papered over the problems with borrowed money but this appears to no longer work.  A life of credit allowed a lifestyle that should have never existed in the first place.  A consumer based economy driven from credit allowed us to invest in assets that appeared solid or trustworthy but are not.

More of us realize with each passing day that traditional investment or savings sources are in huge trouble, this realization drives more in search of solid trustworthy assets. Nothing has a history like silver and gold, nothing ever will. Think of it like the perfect storm driving masses to the one cove of shelter but on a global scale.

As per your second question, I see little chance silver will not benefit from gold’s draft and I personally own both (80%/20% gold over silver). But I do recommend using silver as a segue into PM since it’s easy and cheap to buy. Hope this helps.

Question: I love reading TPS and enjoy your realistic view of precious metals (I bought gold many years ago). I’m thinking about taking advantage of cheap mortgages and discounted real estate by exchanging some metal for income property. I recall something you wrote last year mentioning this is wise under certain situations, this leads me to ask two questions. Should I offer gold as part of a down payment or completely “cash out” the properties?

Answer: Thanks for the nice words and reading TPS. I hear your questions and I’m making the same decisions myself. Like you, many of us bought gold for hundreds of dollars and now tempted to buy discounted real estate. I will devote an entire post to real estate this Wednesday and I have no doubt your questions and more answered. Thanks for asking and be sure to catch us on Wednesday.

News Worthy:

CBS DENVER: Embalmer Pleads Guilty to Stealing Gold Teeth from Dead

LONGMONT, Colo. (CBS4)- A man who was working as an embalmer says he stole from the dead in order to support his family. Adrian Kline, 43, of Brighton, pleaded guilty Thursday to removing gold crowns from the teeth of dead people and then selling them.

Kline received a deferred sentence, probation and community service after pleading guilty to two counts of providing false information. Police believe Kline may have recovered or extracted hundreds of teeth from the deceased or the deceased’s remains.

After a body is cremated, any metal — including dental work — is usually removed from the remains to be recycled. Kline claims he only took the gold crowns that were going to be thrown away at the funeral homes, but one funeral home manager in Brighton said Kline was fired after jewelry belonging to a deceased man went missing. Creepy, but readable right here.

News Worthy:

KSEE 24 NEWS: Increase in Thieves Snatching Gold Necklaces of Necks

Gold theft is on the rise in Fresno. Fresno Police Sgt. Mark Hudson explained, “They’re coming up behind the victim or somewhere beside them, running by, snatching the chains right off of their necks and then taking off that way.”

One of the most recent thefts happened at the Git N Go Market on Tulare and Peach. Gerald Kane was arrested after he was caught on surveillance video snatching the cashier’s necklace. This past month alone, there have been ten of these types of thefts in Southeast Fresno. Most of the victims have been women. Police suspect the increase in this crime is due to the increase in the price of gold. Read it here.

TPS adds, we expect to see more of this type of crime as metal prices rise and the economy continues to correct. The problem complicates when we reason states like California no longer have the revenue to incarcerate at the level necessary to clean trash like this off the street.

News Worthy:

AMMOLAND: Firearms Industry Numbers Reflect Record Pace of Gun Sales

NEWTOWN, Conn --(Ammoland.com)- Following the eleventh straight month-over-month increase in consumer firearms purchases, firearms and ammunition manufactures are reporting strong sales even with the down economy.


Sturm, Ruger & Co. (NYSE:RGR) reported that first quarter sales increased 10.5 percent compared to the same period last year. Read more here.

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We spend a great amount of time discussing PM (precious metal) security/storage. One glance at today’s headlines show why.  I will not approach today’s topic as an alarmist, this does little good. The objective is to provide several options making you as comfortable as possible storing PM at home. You are forewarned, we will provide disturbing examples of exactly how brazen home invasion is today.

We are long past the age of solely relying on a gun safe to protect in home valuables.  Although part of a plan, stand alone PM protection can no longer be viewed as one dimensional. Of course, the odds are you’ll not be victimized by home invasion, but do you really want to chance it?

The facts are home invasion crimes are a growing problem thus requires a progressive plan of protection.  Here are but just a few facts.

  1. Home invasion crimes are not limited to big cities.
  2. Home invasion crimes are not limited to elderly or single women.
  3. Home invasion crimes are not limited to evening hours.
  4. Home invasion crimes are on the rise.
  5. Worsening economy equals more risk.
  6. Rising PM values equals more risk.

ROMEOVILLE, Ill. (CBS) April 12, 2012 A 99-year-old woman was duct-taped in a chair and attacked in her own home in southwest suburban Romeoville on Wednesday (along with her son).

Ann Budzinski, who turned 99 on Saturday, talked to CBS 2’s Dana Kozlov on Thursday about what the three attackers did to her and her disabled son over the weekend.

She said one of the attackers grabbed her forearm and pushed her down.

“Then I noticed I was bleeding,” she said. “I figured I better not scream or nothing, because you don’t know what they’re gonna do.”

He said one of the attackers had come to their door around 1:30 p.m. Wednesday, claiming he needed to check the water pressure at their house. When he tried to shut the door on that man, two others helped the stranger barge into the house.

“I had a stick there with me that I use when I go out, and I was going to hit the guy with it,” Ann said. “That’s how he grabbed me, and he pulled me. Then I almost fell down, then he pushed me on the chair.”

James said the robbers threatened to kill them if they didn’t tell the trio where they kept their safe or jewelry.

“I said ‘We don’t have any, we’re on Social Security,’” he said.

“It scared me, but it didn’t hurt, and I guess I felt kind of numb,” his mother said.

The Budzinskis said the intruders were at the house for about 25 minutes, ransacking the home for valuables, stealing some plastic costume jewelry and cash from a recent garage sale.

Ann’s arm was cut in the attack, but – even at 99 years old – she said “I feel fine.” Morehere.

Below is one last example of home invasion risk. Please be warned this one is disturbing and some readers will find reading very uncomfortable.

Second Example:

Source: COIN CRIMES February, 2012Robbery of a gold coin collection worth an estimated half-million dollars was the apparent motive when intruders slit the throats of three people, killing two men and critically wounding a woman in their Gonzales home over the weekend, the Ascension Parish Sheriff said Sunday.

Businessman Robert Irwin Marchand, 74, and his stepson Douglas Dooley, 50, were killed in their home at 39122 Babin Road, said Ascension Parish Sheriff Jeff Wiley.

Marchand’s wife and Dooley’s mother, Shirley Marchand, 72, was “clinging to life” Sunday as she underwent emergency surgery at a local hospital, Wiley said.

The brutal slayings probably occurred between 12 a.m. and 10 a.m. Saturday, Wiley said.


Sheriff’s deputies went to the home about 10 p.m. Saturday to check on the Marchands after Dooley’s wife, who lives in Tennessee and speaks daily with Dooley, had been unable to reach him for more than 12 hours, Wiley said.

When deputies received no response at the door, they peered through the windows, Wiley said, noting nothing out of the ordinary — and no signs of a break-in — until they came to an office on the far left side of the house where they saw three bodies covered in blood.

Deputies forced open the door and realized Shirley Marchand was still alive, Wiley said. All three victims were fully clothed, and each had signs of trauma on their bodies, indicating the intruders used a “blunt object” as well as a knife, he said.

“This department is working non-stop to identify and capture the killers,” Wiley said.

Though Marchand’s critical condition prevented her from being able to speak with police, investigators are reviewing footage from three surveillance videos in the area, Wiley said.

“We’re not at a standstill by any means,” Wiley said of the investigation.

There are a few clues that lead police to think the intruders may have known the victims, he said.

One clue is that the house had no signs of forced entry, which could either indicate the door was left unlocked, or that the victims had willingly let the intruders in, Wiley said.

The sheriff said that detectives believe there was more than one attacker, particularly because Dooley was a large man and would not have been easily subdued.

But the primary clue, Wiley said, was that the intruders had known to take Robert Marchand’s safe, which contained hundreds of thousands of dollars’ worth of gold coins, while a desktop computer, laptops and cellphones in the house were left untouched.

Robert Marchand’s gold coin collection, which included coins that dated back to the 1800s, was divided into five “groups,” Wiley said. One of the groups was known to be worth $104,000, he said.

An outsider would have never known that the Marchands’ modest home contained an estimated $500,000 in gold coins, he said.

“It was clearly not random,” Wiley said. “We think it had to be planned.” Read more here.


DISCRETION:  Think about this for a moment. Someone else always knows when you store PM in home. This person, or persons, is usually trust worthy but an acquaintance, cousin, relative of a cousin, or friend, possibly not as reliable.  Your first step against home invasion begins with discretion when buying, storing, and selling.

Never buy face to face unless trading at a trusted coin shop or show. Never use social networks or sites like Craigslist to buy or sale PM.  Always use prudence before, during and after the sell.

STORING:  We are soon to release an e-book called STORING SILVER & GOLD (June 2012) here at The Prospector Site. The research invested in preparing for such a book release was nothing short of worthwhile.

Your storage plan must include multiple levels of safe storage practices including three or more storage options. We have no way of knowing for sure but our suspicions are over 75% of all physical silver and gold stores in owner’s homes.  If this includes you please read closely.

Thieves, home invaders if you will, all have a few things in common. They want to leave with something perceived precious as quickly as possible. Your storage plan must allow both if your home victimized. This means decoy metal stored in a decoy safe is recommended as a necessary part of your home storage plan.

Home security experts all agree around 70% of intruders do so by way of doors or windows. This includes everything from kicking in a door to impersonating a trusted professional. Doors and windows are easily secured with minimal cost (email us for more information). Knowing who to trust (at the door) is more challenging especially depending where you call home.

The truth is no one should expect 100% protection . Homes are where we live and raise our families. They are NOT security vaults or fortress like compounds. This requires each PM owner to have realistic expectations about home security. In my view, you must realize three or more storage options carry less risk by providing multiple levels of security that your home can’t.

Many of our readers are against storing PM anywhere outside their property (home). They feel the risk is just too great by trusting banks, vaults, or international storage. This is not necessarily true and certainly wasn’t the case for the victims we described above.


I want to disclose that I’m not a security expert by any means. I have researched endlessly and can honestly say the first minute of a home invasion is critical. The time to prepare for such an unlikely occurrence is today.  Here is what my research reveals as prudent.

  • Assess their goal. Why are they in your home? Are they professional or drug addicts looking for something to turn into cash? Are they agitated or calculated? Do they know the home (floor plan, family, etc)? What is their goal RIGHT NOW!
  • What will it take to immediately get them to leave? We know their goal is to steal something of perceived value. Do they know you have PM in home? If not, they will accept decoy metal without question, at least in most cases.  You must decide if offering up decoy metal is wise UNDER YOUR SITUATION. This last point is most important. Silver and gold are replaceable (yes expensive but replaceable), family is not.


Comment (regarding last Friday’s post called Rivers of SilverThis question has already been answered – junk silver! Pre-1965 US minted coins, primarily dimes and quarters, but including half dollars, are 90% silver. Called “junk” silver (no numismatic quality), American silver coins are less than an ounce and readily available by the roll or the bag ($100, $250, $1,000).

Picking up a $100 bag of 90% junk silver quarters or dimes (71.5 oz, FDR or Mercury) is easy at most coin shows or shops. Look into junk silver!

PROSPECTOR REPLY:  Thanks for the comment. You make a great observation by mentioning how relevant junk silver will soon be. Junk silver coins are fractional silver and do offer small silver denominated trade. The problem arises when we consider only a limited amount of junk silver is available (they are not making more junk silver). This is great for those owning junk but not for the masses new to silver and gold. Great point, I think I’ll buy another bag of junk someday soon.


I pity the poor/rich people who bought Gold & Silver off TV ads and the internet. They should have known that the government will order the names, addresses and the amount of gold or silver they purchased / and then go to their doors and demand it or go to JAIL.Just like all those dummies who registered their firearms / they too will be tracked down and their guns taken or go to JAIL.

PROSPECTOR REPLY: Thanks for the comment. I agree most forms of government are to the point of overreaching but doubt silver and gold is atop the list, as you mention. Why, because silver and gold are far less relevant today? Let me explain, gold once was the anchor of most currencies. This “gold anchor” (gold standard) limited reckless spending and fiscal insanity. But this is no longer the case and hasn’t been since 1971.

The overreach you mention is likely but far more likely via taxation of more common assets (compared to confiscating PM). It is much easier to raise property taxes, capital gains taxes, etc, than go door to door looking for ounces of silver or gold. This doesn’t mean PM holders should expect exclusion because I’m sure some “creative” means to levy your PM is possible, maybe probable.


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Sarah Dawn McKinley thought it impossible for the week between Christmas and New Years to worsen.  How could it possibly grow worse since this was the week she became a widow with a 3-month-old son? Unfortunately, Sarah Dawn had no idea she would have to make one of the biggest decisions of her life just to save it. As gold holders something more than bravery must be taken from this story.  After all, the #1 reason to own gold is to provide a buffer of independence in times of control and manipulation.  I won’t try to compare gold to a child’s life today.  There simply is no comparison in my mind.  I will compare a person’s decision-making ability with mine, and yours.  Here is how it played out.

It started with a controlled question to a 911 operator, “I’ve got two guns in my hand.  Is it OK to shoot him if he comes in this door?” Not mentioned was behind the door stood not one man but two with the second wielding a knife.   “Well, you have to do whatever you can do to protect yourself,” dispatcher Diane responded. “I can’t tell you that you can do that, but you do what you have to do to protect your baby.” Moments later a 12-gauge shotgun took control of the situation leaving mother and baby safe but one bad guy wishing, if only for a split second, he had picked another home to invade.

Stories, like this, of the good guy winning sound rewarding at first but then the realization sits in this could have been any of us. I doubt anyone really wants to take a life to protect their family or stash of gold but this is a choice a small minority of us will have to face someday.  Somehow most gold owners believe they can toss their container of gold bullion in a gun safe and never worry for its security again.  I feel this is assuming and unwise in this day and age.  If you only take one thing from today’s post I want it to be this.  Gold & silver are the most defenseless assets you will ever own!!  They are nearly impossible to identify, easy to carry off (in most cases), and hard to secure.

While doing a rewrite on a soon to be released gold and silver book I found my self struggling with a chapter on securing physical gold/silver. Everything else in the book flowed together but this chapter was difficult.  It dawned on me late last night why this is.  Every one of you is different.  You live in different places, you have different convictions and beliefs, and you own gold for different reasons.  What you do have in common is you want to protect what you have worked very hard to amass.  The number one source of security your gold has in its favor (next to discretion) is you.  Like Sarah Dawn McKinley, your metals’ best defense is a well thought out plan and a willingness to protect as you feel relevant, convicted, and necessary.  Everything else is nothing but thick metal and hope.

Here is an example of what we’re saying if unclear. Some of you are very pro 2nd Amendment and have no problem protecting what’s yours, no problem.  Some of you are pro 2nd Amendment but as Believers feel taking a life defeats a belief in all things of this world as materialistic and a greater prize awaits those that believe.  Some of you have never given a thought to what you would do if you had to pick between gold, a gun, and a life (not once).  Here is how I want to leave this.  Take time over this week giving thought to what you would do if faced with the same situation Mrs. McKinley faced just over a week ago.  The time to make a plan to protect (defend) your gold is well before the unlikely situation arises.

This is our take so give us yours.  Are you willing to defend something as silly as a mass of metal?  Would you take the life of a person if they stood between you and your metal?  Contact us here since we would love to hear what you have to say.  Thanks for spending time with The Prospector Site today and don’t forget to scroll down and read what others have to say.


QUESTION: I just started buying silver rounds, I am not a coin collector. I am just looking for silver. I studied things for a few months before buying. This site is what made me go ahead and buy. I have a good job and almost have my house paid off. I have 300k in my 401k but I am always afraid that the money won’t be there in 20 years when I am ready to retire. My question is what is the difference between buying 1 oz coins or 1/2 oz coins. I was told two 1/2 oz coins are worth more then one 1 oz coins? What is your opinion?

ANSWER: Thanks for a great comment and question.  Congrats on taking the time and energy to not only protect by way of PM (precious metal) but build equity in your home and retirement (*).  Silver is extremely popular these days and compared to early 2011 it’s on sale.  I own silver but I do worry (a little) about how it will fare in the long term compared to gold.  Silver owes some value to its industrial side and as economies slow it’s hard to say if the investment side will compensate.  No doubt the metal will grow in value as long as printing presses continue to solve debt problems.

As far as the 1/2 ounce silver rounds go, I too own them.  They are not worth more than 1 ounce coins if we value rounds on their silver value.  If you account for the premium added to each round then “yes” they are worth more than 1 ounce rounds (ounce to ounce comparison).  Depending on your motivation to own 1/2 rounds, we recommend keeping premiums as low as possible and the best way is to limit the amount of “fractional” gold and silver as possible.  We recommend favoring 1 ounce silver with the lowest premium available.  You don’t mention gold but we feel it’s wise to own both metals. Thanks for the question and following our site.

*SIDE NOTE:  We emailed this reader directly discussing the other concerns they have on savings, retirement, equity, etc.  This reader brings up a great point and we want to spend a sentence or two on them.  We are in uncharted waters economy wise and once safe/secure assets no longer are as protected.  Ask the farmers and investors who lost millions when MF Global lost $1.2 billion of their dollars recently.  During times like these assets become manipulated and ones not in control become left out.  One thing I love about precious metal (for the record I’m not a gold bug) is financial control stacks in my favor.  When this control stacks in my favor, independence and self-reliance follow along like 2 month old puppies.  Just something to think about.

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We, like you in all likelihood, receive plenty of PM newsletters both online and mail.  They all have one thing in common by advising those thinking of buying gold/silver to do so quickly.  This leads us to ask if gold or silver are still a bargain?  Maybe some perceive metals as discounted when comparing today’s prices to gold’s $1900 high and silver’s amazing near $50 high?  But wait a second, didn’t most residential real estate sell 40% to 60% more than today not long ago?  Is real estate hinting to what gold holders have to look forward to someday soon?  Maybe we should take a closer look at so-called bargain gold & silver.

The world of cinematography has changed the way viewers perceive things forever. I love to watch a documentary or movie when raised cameras allow us to view scenic landscapes from high above.  Only over the last few decades has this been possible.  Billions of our ancestors could only imagine what a view from high above would be like.  Maybe as gold enthusiasts we should step back and look at both metals from a bird’s-eye perspective.  Actually both gold and silver are very expensive compared to metal prices of not so long ago.

Doug Casey (Casey’s Research) has said for some time that he struggles to recommend investors to gold even though he has little doubt both metals will soar. He struggles because as an adviser he realizes metal could be had at much lower prices than today (for the record he does recommend a large percentage of wealth stored in physical metal).  Mr. Casey makes a good point but is it possible he is living in the past?  I’m not so sure he is and here is why.

I certainly will not speak for an expert like Mr. Casey but have opinion on bargain gold. I’ll give you mine and then you can give us yours.  Is it possible when we look at both metals from a broader perspective that gold & silver could experience back-draft type turbulence from other asset bubble bursts?  Few will disagree, bailouts and backdoor deals all affect other investments (assets) but eventually a free market will weed out value and worth.  Will this process take months, years, or a decade?  My take, for what’s it worth, it depends how long governments worldwide try to prop up a failed economy.

Going back to gold; gold and silver could easily drop, rise, or stay the same (short-term) patiently waiting for the world to realize artificial recovery is only temporary. This means you can wait and eventually buy physical gold and silver much cheaper than today’s bargain price, possibly.  Once the gig is up, and it will be up soon relatively speaking, both metals will quickly catch up to where they should be.  Manipulation can only suppress real value so long.  The question you must ask is if it’s worth the gamble to wait.

One more thing before I give you the floor. These times are exciting for those already invested in gold and silver.  Please don’t misread, I’m not excited to see the financial struggles of small business, neighbors, and friends.  I’m  excited to see a well thought out plan continue to protect my families well-being.  If I hadn’t bought gold and silver I doubt I could be very excited.  What if gold jumped in price to a point hardly affordable?  Once a person owns gold and silver most pay little attention to drops, bargains, or discounts.  Why?  Because the long-term plan is what most holding metal are all about.

This is our opinion of bargain gold so tell us yours.  You can reach me right here. Thanks for taking the time today to invest in your financial future!!


COMMENT REGARDING, “Will the Economy Collapse”

Hi, It is so obvious to me what is on the horizon. I suspect within the near future we will be looking at total collapse of the U.S. economy. I believe one day the U.S. will wake up to a Bank Holiday you will not be able to get your money, it will be devalued and your retirement accounts will be raided. Just like Jim Rogers says. Those unprepared will be SOL The way in which this MF Global thing is being handled is a sign as to what is to come.  It is inevitable you can’t fix a debt problem with more debt. The powers that be are sucking every dollar possible out of the system. It is in utter amazement that I see this so clear and others (most but not all) can’t see it. Its going to be real ugly. But anyway I have liquidated everything sold my home and pulled most of my money out of the system and bought silver. I will buy more today and some gold as where I live now the dollar is up and the price of PM is down. The intent is to preserve the money I have. BTW my banker tells me many of his clients are buying PM’s. LOTS. I moved to Mexico. My question is how much of an effect will the collapse of the Euro and the dollar have on other countries. Like Mexico. Thanx for your good work.

THE PROSPECTOR SITE REPLY:  Thanks for the great comment and I admire your willingness to make such huge sacrifices.  You bring up several good points so let’s take a closer look at them before trying to answer your question.  We also feel overgrown governments will not shrink without crazy schemes like possible bank holidays, gold confiscation, or raiding retirement accounts.  Something like this can easily be wrapped up in “for the betterment of mankind” type thing.  VP Joe Biden admits “bank holidays” were on the table when his administration took over in 2008.

You nailed it when you commented “the intent is to preserve the money I have”.   The beauty of precious metal is it allows holders to throttle up, or down, according to their faith in local economy and government.  You sound more “throttled up” than most readers we hear from, I understand.  I don’t feel total collapse is as likely but do believe it will feel like total collapse to many unprotected.  Country group Alabama had it right when they sang “Someone told us Wall Street fell, but we were so poor that we couldn’t tell”.

As far as living in Mexico (on the decline of the euro & dollar), some don’t realize but Mexico’s GDP is 1/14th the size of the United States (14th overall, US is first).  Mexico has a unique situation since it’s relatively cheap to live and most folks still live within their means.  I suspect Mexico’s underground economy will grow in a time, soon, when the leading currencies (USD & euro) become more worthless.  Your silver will no doubt be the currency of choice, along with gold, if things continue the direction headed.

According to some experts, Mexico and Canada’s economies are “hinged” to the U.S. and will certainly be affected by our woes.  What Mexico does have over the U.S. is a less regulated market which allows commerce to trade much cheaper than say the U.S.  A Mexican farmer will grow produce far cheaper than a farmer in the Imperial  or Central Valley of California.  Protection and corruption will be an issue for Mexico just like any other country.

Good luck and thanks again for commenting.


QUESTION:  Love the site.  Will we see $8000 gold?

THE PROSPECTOR SITE:  Thanks for the question.  I certainly hope we never see $8000 gold but I have opinion we easily could.  I’m an overall picture type guy.  Sure $8000 gold is great for my personal bottom line, probably yours too, but what will $8000 gold mean for our economy and society?  If I were to bet, I would bet gold will stumble along for a while then catch hold as most realizes borrowing money to pay debt will not increase formal job growth, not help keep inflation in check, and not help the person on the street.

My question for you is this.  What would $8000 dollar gold mean for physical silver that today sells for around $31 per ounce (bullion dealer prices not secondary market)?

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