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WHY PRECIOUS METAL HAS ME WORRIED

BUYING GOLD/SILVER, GOLD & SILVER, SECURING GOLD & SILVER   No comments yet

Our physical silver and gold market is in a precarious position…… and this worries me. The great paper PM (precious metal) sell-off of 2013 started in April and showing little signs of reprieve as June fades into July. The hard asset faithful patiently wait for a bottom all while questioning the wisdom of owning physical silver or gold. All this while today’s media wastes little time casting disparaging remarks for those practicing sound money practices and prudence. Even with all the aforementioned, this is not why precious metal has me worried.

Thank you so much for joining TPS (The Prospector Site). This post, like the hundreds before, is all about translating monetary fact from fiction, sound money from paper promises. I have no doubt our world of financial rhetoric confuses many, maybe most. Hopefully we can clear the air of confusion that clouds the judgments of so many.

Even though the US Mint will sell more Silver Eagles in 2013 than any year prior, our physical silver market is on the ropes. Demand for silver is great but nowhere near equal to today’s level of economic turbulence and fiat uncertainty.  The great alternative currency experiment is nearing an end.

The PM volatility we’re experiencing as you read this is beyond the expectation of this writer. Honestly, I expected to see paper silver, and gold, dip but did not expect physical PMs would follow in such waterfall fashion. It’s easy for me to say prices will stabilize, then rise, because I understand the equilibrium between inflation (consumer prices) and physical PM.

After all, it was only after abandoning the gold standard we realized a rapid rise in consumer prices. The many decades before realized little, or only slight, inflation because the ability to print fiat did not exist. From Egypt to Brazil, the conflicts we see today are all a derivative of fiat currencies out of control.

Why I’m concerned:

Let’s take a closer look at this from a businessman’s viewpoint. A business expands as demand generates profit. This includes leasing or buying more equipment and space, growing a workforce, and so on. The goal is to generate enough product or service to match the market’s pace and trend. Simple enough I’m sure you will agree?

Today’s companies in the PM exploration and mining industry are in great trouble. Mining stock is in far greater decline than paper or physical PMs, even with rising worldwide demand. Why you ask? Because an ounce of real metal sells for less than the tangible cost to extract PM from the ground.

A company in the mining business doesn’t view silver or gold as a safe haven. They view PM as an avenue of business growth and profitability. The problem is we have reached a price point to where the return is not worth the investment, not to mention risk.

Each person considering owning physical silver or gold should expect to see an interruption in precious metal availability sometime in the near future.

The mining industry has yet another problem, as well. Today’s environmental challenges are complex and litigation is extremely expensive. Each passing day brings the threat of yet another environmental related regulation that requires new or updated compliance. It is only worth fighting through such regulation if the trouble equals profitability.

This tandem threat, environmentally motivated regulation and lack of profitability, is far more concerning than a temporary waterfall drop in PM prices. A mining bust will not return to a boom overnight, regardless if PM prices rise in the meantime.

TORONTO, June 24 (Reuters) – Barrick Gold Corp will lay off about 30 percent of corporate staff at its headquarters in Toronto and in other offices in a downsizing plan triggered by problems at major mines and a drop in the price of gold. Read it here.

So what does this mean for those of us living outside the complex world of PM mining? It means a growing market of PM buyers will soon compete for smaller piece of the pie. If current PM physical demand weren’t as great I would say declining output is in nature order, but this is not the case.

The collapse within the paper silver and gold market has caused adverse effects far beyond what most comprehend. Please take a moment to read the Q & A segment if you’re contemplating adding more metal to your PM stack.

QUESTION: DC, are you buying now?

TPS Reply: Thanks for the tiny question. My answer is “no”. I’ve suspended my purchasing plan until prices stabilize because I refuse to buy new metal only to watch prices free-fall soon after. Remember, this is all about ounces….. not price. If I can buy more ounces tomorrow with the same amount of money then why buy now?

I’m not a financial adviser, this means I’m speaking for myself and each reader can take it for what’s worth. I do offer consultation for those who’ve made their mind up to buy metal but want to make sure they’re buying the best metal possible, at the lowest price, but from a reputable source.

It’s easy for me to suspend my purchasing plan because I’m already PM protected. I own both physical gold and silver; my PM plan is on cruise control. Please don’t confuse my temporary action as a loss of PM faith, far from it.

If I were yet to own physical silver or gold I would buy immediately, regardless of today’s PM market volatility. Who knows when the economic shoe could drop leading to an overnight depletion of an already thin inventory of PM?

I will resume buying physical PM when prices stabilize, not before. Thanks for the question.

QUESTION: After reading Storing Silver & Gold I would like to add my two cents. I’m looking to purchase a standup style safe but a little conflicted over investing money for a block of iron when I could invest the same money into PMs. Right now a $1000 will buy a couple rolls of silver bullion!!! What about a compact safe instead? What is your opinion on PVC storage?(edited)

TPS Reply:  Thanks for the comment and question, as well as making the effort to properly store your PM. You’re correct, a thousand bucks will buy a substantial amount of bullion these days, but. Someday soon this silver will rise in value and your ability to safely store this stash is imperative in order to protect your family’s financial future (this is the goal, right?).

I’m not against using a compact style safe, depending on the situation, but prefer something weightier and less mobile. The important issue here is how it’s mounted more than size itself. Regardless, insure the safe’s contents just in case the unlikely worst-case scenario happens to you (the book’s last chapter provides private PM insurance information).

Also, you must consider that money spent on a good safe is also an investment; investing a $1000 bucks for peace of mind sounds very reasonable to me when we view such an expenditure as an asset, too. Since you read my book then you also realize safe manufactures, like Liberty Safe, can’t keep pace with consumer demand. I doubt this trend will do anything but compound – especially when we have an administration taunting gun control.

Now let’s discuss PVC storage. For those who are unfamiliar, storing PM inside a buried section of large diameter PVC pipe is extremely effective. This process includes capping each end to ensure all contents stay dry and airtight. The PVC section is usually buried vertically just long and deep enough to allow access as needed. My only concern with storing metal buried in the ground is who will know where to look if something were to happen to you? Be sure to let someone trusted know of your PVC storage plan.

Thanks for the comment and questions.

 

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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PM FREEFALL: What should you do?

BUYING GOLD/SILVER, GOLD AND MONEY, SECURING GOLD & SILVER, STOCKS AND GOLD/SILVER   No comments yet

Are you losing faith in physical silver? The question I hear most is “why”. Why are precious metal prices dropping when all the fundamentals are in place for it to rise? International economic volatility, threat of regional wars turning worldly, a flood of paper currency; the list is long and growing. The answer, my friends, is obvious, yet concerning, and the topic of today’s post.

It is unfortunate that we invest so much time, effort, and space in order to justify the only tried and true worldwide currency.  I agree, it’s impossible to ignore such  volatile erosion as we’ve witnessed over the last few months. No doubt this decline is disheartening to those new to PM (precious metal). For this reason alone we’ll invest time and space in hopes of answering why silver is dropping, should you buy now, and when silver will rise again.

Anyone with $11,700 can buy 500 ounces of American Silver Eagle bullion and have it shipped to their door (or local USPS). Comparing today’s silver offering to March 2011 is astonishing, to say the least. I founded TPS (The Prospector Site) in 2011 when the same 500 bullion ounces sold for over $21,000…… crazy! Precious metal experts, who coincidentally also pedal bullion related assets, can spin it anyway they desire but the loss, at least at this point, is very real.

In Why Silver & Gold Will Go Higher I expose the mystery behind silver and gold’s true value. Each coin in existence has literally two sides, value speaking. The first side is intrinsic, or has inherit value. The intrinsic value includes the grand total of effort to mine, mint, and distribute each PM ounce. No different than the land, concrete, lumber, wire, roofing and labor value it takes to build a home or an apartment.

The second side of a metal coin offers value too, but this value is much more subjective than the intrinsic counter side. This side is all about demand, nothing more. If demand raises so does the coin’s value. If demand declines well, I guess, today’s PM market is the best proof as we all watch silver/gold retreat.

So how can prices fall if demand for physical metal is up? After all, today’s PM peddlers and experts talk little other than how worldwide demand for PM is through the roof, right? If true, then why has gold declined from just under $1800 to less than $1300 per volatile ounce? The answer to these questions goes far beyond the paper manipulation argument so commonly made by the PM faithful.

PM manipulation?

The words “manipulation” and “precious metal” play over and over again reminding us of a late-night HBO movie. You’ve undoubtedly read countless articles – written by PM aficionados – that repeatedly prove how PMs fall victim to Wall Street entities like JP Morgan and other “cartel”. I have no doubt Wall Street giants work the PM system but this doesn’t explain why physical precious metal is falling.

Physical silver and gold are in decline because PM can’t compete with today’s level of money printing. Never before are so many currencies simultaneously committed to printing fiat in order to appease a rising tide of concern. This printing offers a false sense of financial security, built on a foundation of debt, which only temporarily relieves the inevitable correction soon to fall upon each of us. Nevertheless, printing money to artificially support handpicked assets hasn’t bode well for gold holders.

Never underestimate the power to create currency (money).

It is only because of FED support that giant banking institutions (the same who manipulate silver and gold to their advantage) even exist. Remember, these giant Wall Street banking institutions should have disappeared September 2008, and would have if not for the biggest bailout in US history. Organic assets like precious metal cannot compete, not while we have an administration and financial structure hell-bent on picking winners, and therefor losers too.

What to do?

With a deep breath we must ask ourselves, as PM faithful, what to do. Obviously, we can’t fight the billion dollar status quo toe to toe. Nonstop bitching won’t help either. Far too many promote staying the PM course but with silver $19ish and gold $1200ish I for one no longer support, at least without question, staying a course that hasn’t worked for some time now.

I own both silver and gold and have for many years. But if I were new to PM, and didn’t own physical, I would buy some now, just in case something black swanish happened in the near future, but keep most powder dry until prices stabilize. But for those looking to add more physical I’m not so sure I’d be in a big hurry to stack more, not with such PM volatility. Here is why.

Folks have lost faith in PM. This hasn’t helped support prices in the least. Eventually low metal prices will discourage mining output and this disruption will dry metal inventories. I truly thought demand alone would vaporize such a limited inventory of PM but this isn’t the case. When miners can no longer profit they will decrease output. A decreased output of physical metal will do more to separate physical from paper than anything else I know. At such a time, physical metal premiums will rise regardless of Wall Street’s paper party.

We must put the age we’re living in context. From the $50k car we drive to the $500k homes we live, they all hold value only because of manipulation thanks to the power to print. This debt won’t and can’t last forever. Eventually something will sever the ability to print and at such time physical PMs will find equilibrium of true value and worth. I base this on history far over my opinion. Not one person walking this earth knows when the fiat printing will cease or no longer work thanks to inflation.

QUESTION: DC. I enjoy and value comments and reply of TPS. I recently overheard a conversation in our local coin shop – ” nobody has any silver” – ” there is a serious shortage of silver” – “silver is constricted” – ” the mints can’t get the raw material” – surely some “PAC MAN” monster didn’t consume all the silver that was out there not TOO long ago.

With spot being 20ish it seems more likely there is a lot of holding and hoarding going on, also I have recently purchased a few MONSTER boxes, so those ASE’s are available with considerable discount from months past. What’s keeping silver at 20ish? Is intervention and manipulation that controlling? I don’t question that silver is suppressed, my question IS WHY and by WHOM. Based on your experience and expertise, how constricted do you think DEALER or secondhand supply will be when silver is $100ish? Also, would you care to guesstimate when $100ish silver will be probable rather than possible?

TPS Reply:  Ah, the questions of when and how much. First, thanks for the great questions. I realize you’ve made a substantial PM investment and certainly have earned the right to ask “why”. For what’s worth……. my long-term PM opinion finds deeper validation with each passing day. In the meantime, PM is as volatile as I’ve seen them.

Let’s dive into your questions. Those selling PM are no different from anyone else selling anything else. Demand is an emotion. If a seller can convince a potential buyer that demand is high, and inventories low, then this potential buyer is more likely to buy. I have no doubt inventories are low but physical silver is still readily available, without a long wait time I should add.

Far too often we hear about a Chinese thirst for PM. Recently a photo of an alleged crowd of 10,000 aligned buyers has circulated the internet all hoping to buy physical gold or silver. I’m not buying it. I’ve done business in China and can tell you for a fact that the Chinese play their cards close to the vest. Sure, the Chinese are buying PM but the truth is this public option has only existed for a few years. Up until recently a Chinese citizen could be imprisoned for buying or possessing physical PM.

The Chinese have but one motive. Their plan is to hoard enough metal to reestablish a gold-backed currency, and this is exactly what they will do. Can you imagine the offering for physical metal when the yuan unseats the USD as a world reserve currency? The one Chinese question still unanswered is will the Chinese have to sell their gold if and when their economy corrects and how will this affect their reserve currency plan? My guess is the Chinese government will confiscate private gold/silver holdings sometime over this decade, just my opinion.

You asked about who is manipulating metal and why. This manipulation is about Wall Street profit more than anything PM personal. For Wall Street, it’s all about making money and few care who is hurt along the way. Our financial system is run by distrustful thugs with little integrity or concern over the hardworking fabric of America.  Central banks benefit, monetarily, and enjoy nothing more than watching a competing currency, like silver and gold, decline. Again, never underestimate the power to print money or those willing to manipulate such power for personal gain.

The true injustice, or risk, of falling metal prices is not a loss of wealth. It is a loss of ounces that concerns me most. When a PM buyer pays more than necessary, because prices drop soon after, this inhibits the ability to buy more ounces for the same dollar exchange. In the long run all PM owners will appreciate such monetary prudence, but this doesn’t help over the short term.

When will we see $100ish silver is like asking when hot water will boil. Silver rising will happen only after the US dollar index declines. The world still invests in the USD and will right up till the point they won’t. Only after the dollar loses trust will silver see $100, then $200, then? I would hate to be shopping for my first physical silver at such an age. Look for the secondary PM market to swallow today’s dealer/broker trade as soon as metal prices rebound.

I was once asked who should buy (own) physical silver or gold. My answer, the best person is the one who buys metal, stores it away, and then lives life like PM never existed. It’s hard to do, for some, but over-analyzing PM will drive a person to drink; we’re living in interesting times no doubt. Thanks for email.

 

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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MONEY YOU CAN BANK ON

BUYING GOLD/SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   No comments yet

Banks in California’s Central Valley are on high alert, and they should be. There is a young man, around 20-years old I’m guessing from his picture, who has robbed at least six banks over the last few months. He doesn’t use a gun, doesn’t wear a mask, or does he make threats to the bank tellers. Most customers or bank employees never know the bank was robbed even though the man committing these crimes flaunts his face in front of high-tech surveillance cameras time and time again. The young robber simply walks into a bank, hands over a note, and then walks out with stacks of other people’s cash. Local banks are warning employees and urging people to be aware.

My motive for sharing this story of brazenness is less about warning than observation.  Today’s banking industry shows concern over such theft but the truth is they’re more concerned with endangering employees than losing dollars. The mother-ship bank, better known as the Federal Reserve Bank, can….. and will, replace stolen fiat with a keyboard stroke, no worries.

After all, 99.4% of the perceived money safely stored in your local bank doesn’t exist. It’s nothing more than a digit assigned to an account number.

Oddly enough, the same 99% percent of folks staggering your neighborhood streets, and still believing their dollars are stored in a bank somewhere, fail to understand the difference between money and fiat currency. This monetary ignorance separates these folks from sound money like physical silver or gold, respectively.

The Wells Fargo bank building in my local community is hands down the nicest and most expensive building on Main Street. I’m not a commercial appraiser but guessing this building has a value worth several million dollars, I’m willing to bet your community is no different. Just down the street, but on the same side, sits my humble-looking local coin shop (I would estimate this building’s value around $250k, but no more).

One building, the Wells Fargo one, reflects a perception of wealth and security even though it houses no intrinsic source of sound money. The other building, our local coin shop, needs some updating but houses many times the building’s worth in physical silver and gold, or, real money. Unfortunately, less than 1% of the folks passing by recognize the difference.

Folks living in the US are at a real crossroads. Monetary confusion influences them to store wealth in dollars, by way of banks, even though most folks realize something is not right within our banking system in a overpopulated fiat currency age. These same individuals view silver and gold as valuable but fail to recognize how significant PM (precious metal) is in such an age. The fact both metals have declined recently only adds to this confusion; my fear is this confusion will cost the unknowing dearly.

It’s obvious since you’re reading this you understand the difference between sound money and a fiat currency, congrats. Our banking system not only drums a fiat melody of wise investment but relies on this trickery for its very survival.  The fact remains physical silver or gold is the only money you can bank on.

1984 is now:

Our world is buzzing over yet another Orwellian fruition. It is obvious to all that nothing written or said is secret now that we’re living in a technological age combined with governmental overreach. The great salesmen peddle such intrusion as necessary to protect us but the truth is such intrusion is a choice between freedom and security. This writer will take his chances, if the choice still exists.

George Orwell called such propagandists “crypto-communists”. What amazes me is Mr. Orwell made such timely prediction in 1948-49 just one year prior to his death. He also refereed to individualism, or independent thinking, as thoughtcrimes. Time has now turned Mr. Orwell into Orwellian.

I’ll climb the highest mountain, if necessary, to once again explain the availability to store wealth in undocumented physical metal is a closing window. It is still 100% legal to trade dollars for real money, like silver or gold. We can argue when PMs will rise and by how much but only after safely securing the right metal for you. Please take a close look at physical silver and/or gold soon.

QUESTION:  If we’re talking silver, are we investing or jumping into a safe haven?  I’ve read plenty of your writings but still slightly confused on the financial goal. Thank you for taking the time to take my call (edited).

TPS Reply: You’re welcome, and thanks for asking. My opinion is that physical silver offers both the benefit of investing and safe haven storage. The primary goal is preservation but the byproduct of such prudence is wealth building, aka investing. My belief is silver, at around $27 physical, will soon double, double again, and then continue to surprise even the most PM optimistic.

Silver, and gold, have always maintained true value compared to effort, other assets and tangibles. This is why a $1 legal tender silver coin is worth just under $30 as of June, 2013. This is why a $50 legal tender gold coin is worth over $1400 dollars, too. It is only because of our USD’s devaluation that silver and gold rise in dollar value.

We have reached a very unique time both historically and monetarily. Never before have so many had an option to own physical PM while simultaneously living under a fiat currency age. This means all currencies have the option to print as much fiat as necessary to appease her people. This printing will not fix an economy but will offer temporary stability. The long-term effects are not historically good. In fact, the long-term effects of overpopulating a fiat currency impoverishes most who fail to understand how safe-haven investing works.

Over producing a fiat currency weakens the currency’s buying power; this is why milk, fuel, and your favorite soda continue to rise in cost. Most working for a salary, or living on a fixed income, believe the answer is to earn more but fail to understand we will soon reach a point where it’s nearly impossible to out earn inflation. But for now, printing currency has somewhat stabilized our economy but this stability will not last forever without real jobs paying a fair wage.

Hope this helps clear the confusion. Thanks again.

QUESTION: Experts are predicting $19 silver by late summer or early fall (2013). I don’t own silver but I’m taking a hard look at trading some savings for physical silver in the near future. My reasoning has to do with an administration that refuses to practice fiscal restraint. My question, is it wise to wait for silver to fall in price? I obviously don’t want to be like the ones who paid 50% more than necessary – not that long ago.

TPS Reply:  Great question and comment. You’re wise to consider trading dollars for physical silver, in my opinion. No offense, but I know of no PM experts anymore, only informed prognosticates. Because of this no one truly knows what silver prices will do over the short term. This is why I rarely mention short-term fluctuations especially during such an age of economic volatility.

Now long-term speaking, physical silver has to rise if for no other reason than the one you mention. By the way, both political sides have leveraged debt for political gain, power and control. You’re correct, this administration has added the most but mark my words the next administration will also fail to practice fiscal restraint. Wall Street, and our banking system, have too much control and will always put profit over prudence.

Going back to your question, I don’t offer pinpoint financial advice. If in your shoes, I would consider a 50% entry into physical silver, soon, and then spread my silver budget over the next few months. It is always possible silver prices could drop, like you mentioned, but a long-term fiscal plan should be the focus far beyond the possibility of a short-term dip. Thanks for the question.

By the way, I too bought silver only to watch it drop from its recent high. I lose no sleep over price drops because it’s all about ounces owned, properly stored, and an overall foundation of self-reliance built on a foundation of sound money. Dips and rises have no effect on my overall plan.

 

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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BIBLICAL REASONS TO OWN GOLD & SILVER

BUYING GOLD/SILVER, GOLD AND MONEY   No comments yet

 

On my summer/fall read list is a book called Killing Jesus written by Bill O’Reilly. There are two things I can assure you about this book, even before I read it. One, it will spend months atop the bestseller’s list, and two, it will be extremely controversial as well – nothing stirs emotions like religion. Regardless your faith, regardless your view, the Bible is full of fascinating factual mentions of money. For the record, there is no mention, to my knowledge, of paper currency…… just silver and gold. With that, let’s dive into one of the most intriguing mentions of “real wealth” in human history.

I recently had an interesting consultation with a pastor of a small church. One comment this pastor made stands out as much, or more, than anything I’d heard before as a PM consultant. As our hour began to wrap, he said, “Well, if silver/gold are good enough for God – then they’re good enough for me. I need no other proof than this.”

Now folks, I’ve heard every reason under the sun to own gold, but this was a faithful first. This man’s faith leads me to ask if it’s possible we’re over thinking personal investing and monetary rule. Is it possible our world is so economic chaotic because of our failure to follow biblical recommendations of sound money? As with all things written here at TPS, the final decision is yours and yours alone.

Godly Gold:

The word gold is mentioned 417 times in the King James Bible. Silver, respectively, is mentioned 320 times and the world for money is mentioned an additional 140 times, as well. Both Hebrew and Greek words for silver/gold/money are mentioned throughout the bible and always regarded as noble, rare, durable, and malleable. It is estimated that Solomon’s Temple was made of over 3000 tonnes of gold (measured in talent, a talent is equal to 75 pounds).

To this day, each time we describe an athlete or entertainer as talented – we’re comparing these individuals to silver or gold according to biblical terminology. The bible often mentions Kings and Queens paid in gold/silver as part of God’s commandment. Not only does the bible compare PM to wealth but both Old and New Testaments compare the metal to knowledge, wisdom and faith.

Gold and silver are often compared to spiritual wealth within the bible. Some confuse 1 Timothy 6:10 with money as the root of all evil, but the scripture is often misunderstood. The correct reference is “for the love of money is the root of all kinds of evil”.

While researching today’s post I found myself intrigued. Few in today’s society stop to consider what the most popular book written has to say about silver, gold, or all things monetarily significant. By the way and for those interested, the bible makes the first mention of gold within the first few hundred words of Genesis (first book of the Old Testament). Genesis[2:12] “and the gold of that land is good; bdellium and onyx stone are there.”

The word of God & gold in 2013:

Few will argue the monetary role of sound money in biblical terms. It is obvious gold’s primary purpose was, and still is, storage of wealth and value while silver’s purpose was, and still should be, used for daily trade.  I personally believe that God created gold to be the foundation of an economic system that would be solid, stable and not subject to manipulation.

Flashing forward to 2013 we find physical silver and gold somewhat irrelevant in today’s economic system. Not one currency on earth still uses a gold standard to restrain government fiscal irresponsibility or monetary stability. This means it’s up to each of us individually to find and follow a monetary plan founded on sound money and fiscal prudence.

Not a day passes without someone reminding me that both silver and gold are worth much less than not long ago. I can’t argue this fact but the truth is today’s PM price has little to do with a monetary law of sound money principles. It is only from manipulation and intervention that we question, or even doubt, the benefit of storing wealth in precious metal.

Over the last few weeks we are reminded what happens when governments expand without restraint or fiscal prudence. The losses of American liberties are now too long to list but few associate how today’s fiat system allows leadership to expand without constraint. This trend, in my opinion, will worsen as fiat economies continue to rob the wealth of those not protected with sound money (silver or gold).

No different today than the words written thousands of years ago, “and the gold of the land is good”.

QUESTION I read where you still buy silver each month. Do you buy online or in person?

TPS Reply:  This is true; I still buy physical silver each month and have no plans to stop. Purchasing silver online or in person each has benefits over the other. Online precious metal brokers and dealers can sell physical PM, usually, for less than brick-and-mortar outlets. The key, regardless the method, is to find someone reputable that is willing to play a vital role in your long-term PM plan. To answer your question I use both methods to add to my stack.

The thought of purchasing physical metal stirs anxiety within most new to silver or gold. Even the author of a NY Times bestseller on investing once admitted, to me, her fear while making a first online gold purchase. The goal here at TPS is to offer peace of mind for those willing to trade fiat dollars for sound money. The key is to know what you what to buy, and willing to pay, before contacting a PM seller.

The benefit of buying silver in person is obvious. You hand the seller cash and they in return hand you physical silver. No waiting, no prolonged anxiety either. Another benefit of buying in person is developing a local PM relationship just in case you need to liquidate a few ounces in haste. Regardless the method, my advice is to ask plenty of questions all while practicing due diligence along the way. Thanks for the question.

 

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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IS SILVER WORTH IT?

BUYING GOLD/SILVER, GOLD & REAL ESTATE, GOLD & SILVER, SECURING GOLD & SILVER, STOCKS AND GOLD/SILVER   No comments yet

The truth is only the precious metal faithful are still buying silver or gold……. at least here in the US. Those who aren’t continue to irresponsibly invest, directionally speaking, thanks to the greatest wealth intervention in history. Far too many weigh PM (precious metal) up against other investments without considering the monetary difference, challenge, and purpose. Today’s DOW explosion is the purest example of such intervention. If we are to compare the two assets, DOW vs. PM, intervention gives the DOW a half track head start over precious metal all while spectators ask, “what’s up with precious metal and why is it pacing so far back?”

I see just two types of investors these days. The first type chooses to remain clueless as long as “experts” drum a rising DJIA and housing market. This type cares not to question “why” and too busy living life to question manipulation, intervention, record borrowing, or anything else for that matter. The second type is as concerning because these folks perfectly understand why the DOW and housing are rising but don’t care as long as they’re getting theirs.

The tiny sliver (sliver not silver) nestled between the two types aforementioned is you, the PM holder. You discretely stack discounted metal realizing the law of economics will soon and suddenly forever change this generation’s view of investing. I congratulate you for your tenacity.

It’s hard to get up each morning and then tell ourselves to stick to the plan. Metal experts sound like a broken record each time they predict a PM breakout that never seems to happen. Are these experts wrong? Is it possible the days of rising silver or gold are over? We both know the answer is “no way”.

Once wealthy countries like the US can no longer afford our current fiscal path. Our job market will no longer support the costs of everything from education to mortgages, pensions to property taxes. This tension causes a fiscal conflict that adversely affects nearly all aspects of our lives. This tension is also the reason politicians and governments have stepped beyond our constitutional rights of privacy and capital control.  Neither form of overreach will change anytime soon.

The word selfish surfaces in my mind this morning as I try to explain today’s complexity while living in a 21st century world. Investors succumb to selfishness as they watch a debt derived DOW add inflationary dollars to a bottom line. Politicians practice selfishness as they print dollars in order to maintain another round of power therefor appeasing a growing class of dependency.

Someone recently asked, “Where does it all end?” This is a good question but one far beyond my pay scale, sorry. My guess, it ends right where it all started some time ago. Was it that long ago when folks relied on each other and not a gov’t program? Was it that long ago families, churches, and other private organizations took care of those in temporary need? Was it that long ago we traded effort (cash) for healthcare, cars, houses, meals, etc. - not debt?

Could the end actually be a beginning? Is it possible the end is nothing more than a recurrence built from sound money and limited government? Can monetary intervention last forever without true growth within the economy? Maybe I’ll keep stacking silver and gold just in the off chance I’m right!!

I heard several great questions this week but two in particular really caught my ear and eye. I’m guessing if someone is willing to ask then others are quietly doing the same. As always, thanks for sharing your time with TPS.

QUESTION:  I’m new to precious metal and have a simple question, thanks. What will keep silver from someday dropping to a point of no value? It appears headed in that direction now.

TPS Reply:  Boy, no kidding. What a great question so thanks for sharing. Although highly unlikely, silver could decline to a point well below today’s offering. Such a scenario is, in my opinion, a short-term possibility when we consider today’s economic climate of accumulative fiat debasement and devaluation. The fiat currency experiment is building toward a climatic end that won’t bode well for most investors.

The majority of those considering silver, maybe you too, are judging the worthiness of physical metal on past performance. In other words, we buy or don’t according to today’s price far over the overall economic picture. Falling silver prices must mean silver is no longer a worthy investment, right?

Here is my recommendation to you and all those considering physical silver. Ask yourself if you truly internally believe economic recovery is real. Is the DOW rising because corporations are profitable or is the DOW rising because everyone is blindly jumping in? Is US housing in recovery or too-cheap-to-be-true mortgages spurring the next real estate bubble?

And the most important question to ask; what would the economic picture look like if not for the trillions of FED/US Treasury created dollars supporting everything from food stamps, healthcare, housing, military, banks, DJIA, pensions, Social Security, foreign banking, foreign government, etc? Because if you believe an economy 100% dependent on printed money is sustainable, please don’t buy physical silver.

Regardless, thanks for the question and following TPS.

QUESTION:  Although your book (Storing Silver & Gold) is interesting – I have a better plan. I’ve owned, and personally store, gold jewelry and bullion at home without a floor, wall, or standup style safe. It makes more sense to keep something of value in places a thief would never consider. To me, a safe communicates storage of wealth but something hidden says the opposite. Am I off base with my storage plan?

TPS Reply: No, not necessarily. A storage plan is extremely personal for obvious reasons. I wrote Storing Silver & Gold to make one huge significant point for those practicing the independent voyage into PM. Each person storing wealth within PMs must spread the risk among two to three storage options and methods. Simultaneously, it is recommend to keep at least 1/3 of your physical metal within arm’s reach or with someone trusted and close by.

TPS has other readers who also store bullion and jewelry in fake drawers, cabinets, tubes, walls, rooms, toilets, fireplaces, firewalls, etc. My opinion is if hiding PM outside a safe is what makes you most comfortable – then so be it, but. I encourage all readers to consider the possibility of fire damage along with the risk of theft. Gold will melt, as most know, and such a risk is as real as the odds of your home or office burning down (by the way, the PM insurance often mentioned at TPS will not cover PM improperly stored outside a safe, to my knowledge).

For what it’s worth, here is what my book research proved. The right safe, as part of a complete storage plan, sends a signal to a would-be thief that this family is prepared and protected from such an intrusion. Maybe the best plan for you is a combination of my recommendations and your existing plan? Thanks for the comment, reading my book, and question too.

 

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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ARE 100 oz. SILVER BARS IN YOUR FUTURE?

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, GOLD/SILVER COINS, SELLING GOLD/SILVER, STOCKS AND GOLD/SILVER   No comments yet

By nature most folks willing to trade dollars for physical silver or gold do so secretively.  No fan fair, no cocktail party announcements either. The monetarily prudent simply trade fiat for the hardest asset – all while discretely living the day to day routine of life. The choice to buy large silver bars, or not, is one worth considering especially as we near an imminent point of silver rationing and pending internet trade taxation. Both rationing and the inevitable taxation on all e-commerce will change the what, where, and why of physical silver.

Today’s physical silver world remains a great maze of mystic confusion for those new to precious metal. By far, most newbies entrust what they buy, silver speaking, to a complete stranger who just happens to be a person selling PM (precious metal) and next in line. The conversations vary but the result is always the same. The precious metal illiterate (no disrespect intended) buy whatever the PM sales representative recommends.

TPS doesn’t “tell” folks what to buy, nor do I offer pinpoint financial advice either. My goal is one of monetary education because someone educated rarely fall victim to manipulation or bias opinion. Honestly, I can tell this annoys some of my readers by proof of emails asking for more specific advice on what to buy and how much. My opinion is that no one person walking the earth today can accurately predict the how much and when of precious metal, especially considering the monetary intervention that clouds all assets.

For this reason alone I recommend we stick to the facts. The fact is silver’s value will rise (sorry, I don’t know when) as more individuals realize printing dollars only benefits the super wealthy and political psychopaths of the world. This inevitable awakening is one we often discuss here at TPS. Combine such an awakening to a truly limited supply of precious metal and it’s easy to see why metal values can do nothing but rise beyond the expectations of most who understand some, or nothing, about monetary truths.

A larger than typical hunk of silver is an interesting storage of wealth. It is much more than a bar of silver. Some view bars of silver as bulky and heavy when actually such a formation of money is nothing more than a huge stack of $100 bills repellant against the ills of a fiat age. Those willing to buy large bars of silver enjoy the fulfillment of buying physical silver within 5% of spot. For comparison’s sake, a legal tender one ounce bullion coin will cost its owner a premium 20 to 35% beyond silver’s spot value.

This savings is undeniable, but not reason enough to exclusively own large silver bars. Such a large hunk of silver has its benefits but still might not be the right silver for you.

It’s a natural tendency for humans to picture the future in now terms. By example, my son graduates from high school today and merely weeks away from leaving home for the first time. But in my mind I can’t grasp a future with him living anywhere but where he’s always lived. Some of us view silver similarly not realizing someday silver’s value could rise hundreds of dollars beyond today’s dollar assessment. The divisibility issue in such an age will complicate trading such a large hunk of real currency.

For this reason alone I offer this PM advice. Consider storing some silver in smaller denominations; like one ounce bars, rounds, or bullion, exactly as you would a $20, $50, or $100 bill. Then, view a larger bar of silver (like a 100 oz. bar) as you would a savings account or long-term storage of wealth. Silver is a true source of liquidity but not necessary a divisible source simultaneously.

Please consider bar size just another thing to keep in mind as folks consider adding physical silver as part of self-reliant lifestyle.

QUESTION:  An acquaintance used your consulting service and something you recommended for them to consider I find confusing. You recommended they purchase one ounce silver bullion even though they will pay far more than a larger bar premium. Why would you recommend something that will land them less silver by paying more money?

TPS Reply:  Great question so thanks for asking. There are many folks who receive the same recommendation, from me, to buy silver ounce offerings over larger bars. This recommendation is 100% based on an individual’s financial situation and long-term monetary plan far more than my personal preference.

I don’t like the idea of acquiring large silver or gold bars until after securing one-ounce legal tender coins or rounds. We live in an age of great monetary volatility and uncertainty…… even though few are willing to admit it. If September of 2008 proved anything it was just how quickly a life dependent on a fragile banking/Wall Street world can turn upside down. Your ability to store real wealth within arm’s reach is not only prudent but necessary. Small silver, in physical form, will always be a universal source of money.

The truth is the majority of folks new to silver will never afford anything but single ounce form of precious metal. As silver rises, some will find themselves limited to 1/2 silver offerings as they struggle just to make ends meet. There will always be a market for large silver bars but nothing close to the secondary demand for one ounce silver. With that said, the option to melt larger bars into smaller ones will always exist as a way to divide such a large store of wealth.

I have no crystal ball but if I had to guess here it is. My bet is large bars will be the last to go as demand erases silver inventory. The first to vanish will be recognizable single ounce bullion or rounds even though the additional premium when compared to larger bars. Why not buy one ounce form while the option still sits on the table? Thanks for the question.

COMMENT: Silver prices are taking a beating lately all while the stock market roars to new highs. This only proves most Americans will trust the US dollar over silver when times are tough.

TPS Reply:  Thanks for sharing your comment. The DOW is on fire, this is undeniable even to those religiously respectful of silver and gold’s future as real money. Short-term speaking, a rising DOW along with declining silver puts PM writers in the far corner of credibility. This writer loses not one minute’s sleep since the long-term outlook for PM is stronger than ever before. The crowd is not an indicator of prudent monetary action.

You’re also correct with your analysis of Americans running toward the USD when time are tough, but. Long investor lines are not reason alone to join the dollar bandwagon. Do you recall the long lines during the Dot.com bubble burst? What about the long line of suckers waiting to buy overpriced housing just before the bubble burst, too?

The one word in your comment that jumps out most to me is trust. Folks continue to trust the US dollar because it is the world’s most overproduced currency. The FED camouflages the dollar’s weakness by printing record levels of supporting currency. This illusion tricks those trusting the dollar to spend, borrow, and fail to recognize such a way of life has a temporary shelf life. I hate to imagine the chaos when dollar investors around the world realize its very existence is in the hands of a government trillions of dollars in debt.

I think I’ll keep stacking silver regardless how low it drops or how high it soars, thanks.

 

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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WILL THE IRS TARGET PHYSICAL GOLD & SILVER?

BUYING GOLD/SILVER, GOLD AND MONEY, STOCKS AND GOLD/SILVER   No comments yet

So by their admission it appears the IRS has decided to pick who to pick on. Some, even the media, are outraged over such one-sided abuse but in my opinion most reporting the news have entirely missed the message. The back story here goes well beyond the IRS picking conservatively based groups to audit or postpone as a tax free worthy entity. The real message here is capital control and the price you will pay when you question the motive of an overreaching government who can no longer sustain itself within the constraints of our country’s constitution. Please add IRS overreach as yet one more reason to store your wealth in precious metal.


Storing wealth in physical precious metal is not 100% risk free. It is possible someone could steal what you’ve worked so hard to amass leaving you with no choice other than to start all over. But such a risk is very low and I say this only after countless hours researching the best methods to store silver and gold, both domestically and internationally. I cannot say the same for wealth stored within the reach of an overbearing IRS.

The ability to buy and physically own precious metal is one far too many fail to capitalize on considering the volatile age we live. Right now, a person in the United States can legally trade dollars for silver, or gold, without reporting this exchange to a governmental agency (a few exceptions exist so use due diligence). PM advocates often refer to this privilege as the last frontier of wealth storage. I know of no other asset with the same discretionary capability but this window of opportunity is closing as you read these words today.

To argue if metal prices will rise or fall, short-term speaking, is redundant in my opinion considering the discretionary benefits of physical PM.

While some view the latest PM price take down with frustration….. I view it differently. Paper silver at $22, and gold in the $1300ish, help preserve precious metal as an irrelevant asset even as the world disguises our silent depression with denial and printed currency. Think of this PM obscurity as a postponement with a short shelf life.

There is no chance the IRS will not target physical PM in days to come. In fact, no asset worthy of storing wealth has a snowball’s chance of not paying a “fair share” as determined by an ever-growing IRS. For the record, the fair share scale and the ability to print currency are the only reasons a government grows beyond the comfort of her people. The IRS is the monetary enforcer of such a time of governmental overreach.

As a precious metal advocate you have one huge advantage over the pinpoint overreach that fills our news today; your PM currency is not only irrelevant it’s also universally discrete.  But our digital age in a land of artificial currency will eventually pressure those trading physical silver or gold into a corner of regulation. At such time I see much less value in trading dollars for silver or gold.

So, where does this leave you as an individual willing to play by the rules as long as regulation and taxation stays within the parameter of reasonable? My advice is to not underestimate the power of the only governmental agency running a profit (how can the IRS not be profitable?). I’m also not an advocate of letting intimidation limit the one monetary step that will sustain not only a level of wealth but also a higher standard of personal independence. Keep discretely stacking physical silver and gold.

QUESTION:  I still don’t see it, sorry. Why buy silver or gold when precious metal prices are vulnerable to volatility far beyond a rising DOW, real estate, etc? Is this a fear thing that drives physical demand when real metal prices have dropped like a rock? I just don’t get it.

TPS Reply:  Thanks for expressing your view. You’re correct, the DJIA is up, year to date, somewhere around 16% while paper silver and gold are significantly down over the same time period. If we’re to judge asset worthiness using one spot in time then the DOW appears the winner. I, personally, refuse to place my wealth motivated by such shortsightedness; here is why.

The reason to trade dollars for precious metal has little to do with silver or gold. The disease is debt and the carrier of the disease is the US dollar, all while other currencies feverishly print themselves worthless, too. Hard assets, like PM, are nothing more than monetary lifeboats willing to transport the few who truly understand the significance of our age. Too many, maybe you, are focused on PM justification without recognizing the monetary epidemic at hand. Growing global debt combined with worldwide currency debasement will consume a large part of the world’s wealth.

I won’t argue with your fear observation. Folks are scared, and they’re growing reasons to be concerned. But I don’t recommend making monetary decisions based on fear, not during such important times like today. Fear can spark the flame but education and prudence is the reason demand for physical metal (not paper) has grown beyond silver and gold output. Thanks for the comment and questions.

QUESTION:  Want to read your books but I don’t have a Kindle reader. When will they be available in paper book form?

TPS Reply:  Thanks for asking. The plan is to combine both digital books into one paper version ASAP. The wheels turn slowly in the publishing world so I apologize for the delay, but will do whatever I can to speed things up. Until then, please remember some tablets will recognize digital books since the e-book industry is the most affordable way to read newly released books. Thanks to all readers for making both books included on Amazon’s #1 bestseller list.

QUESTION:  Will you agree that the secondary PM market carries far more risk than buying directly from a metal dealer? Why pay more for the risk, in my opinion? (TPS – several readers asked a similar question so I took the liberty to edit)

TPS Reply: Absolutely I agree. As long as an individual can buy from a reputable dealer then do so. But the problem is that such availability is very limited and worldwide PM demand is rapidly expanding (all while Americans enjoy the illusion of economic recovery yet question affordable silver and gold). Maybe I should take some space to better illustrate how limited today’s supply of physical silver and gold.

Silver and gold dealers (sources) are growing in numbers all across the world. Never in modern history have this many folks had the opportunity to own precious metal, this is good. But even as sources to buy PM grow output doesn’t. Mints can only process the metal after it’s clawed from the earth and this output is nowhere close to meeting our world’s growing demand for the one true universal worldwide currency. A million PM sources all buy from a handful of PM wholesalers.

Resurrecting scrap metal helps fill this growing supply-to-demand gap but it’s unrealistic to believe this will have a long-lasting impact. Combine India’s thirst for gold jewelry (they view gold as displayable wealth), and it’s easy to see why the world’s demand for PM goes far beyond bullion, bars, rounds, scrap, or junk metal – not to forget industrial usage too.

Back to your comment/question. The secondary market from here forward will become a dirty way to trade precious metal. To better illustrate, compare a reputable PM dealer to Costco and a growing secondary PM market to an outdoor flea market in Mexico City. Continue to buy from a local reputable coin shop or bullion dealer/broker as long as possible. Thanks for the great question.

BERNANKE WATCH:

The most powerful man on the earth’s surface is worried over inflation, but not from the same viewpoint you’re imagining. It appears inflation is too low for the FED and this is causing great concern (1.3%). But John Williams (ShadowStats) has inflation teetering around 8.7% leaving the other 99.99% of us asking who the heck is telling the truth.

No person buying their own groceries or filling the gas tank honestly believes the threat of “lower than expected inflationary numbers”. It appears that items of necessity are rising, rapidly I might add, while things not so necessary are stagnate or declining. This is a perfectly natural occurrence as households harness unnecessary spending by way of belt tightening.

Free thinkers really don’t need ShadowStats, the CPI, or Bernanke to tell us when costs are rising. The proof we need is as close as our most recent bank statement.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestseller 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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WILL OUR ECONOMY “COLLAPSE”?

BUYING GOLD/SILVER, GOLD/SILVER COINS   No comments yet

Not a day passes without a prognosticator preaching economic and financial ruin. Such a dire prediction stirs fear in the hearts of some yet supports a state of denial for others. Personally, I don’t believe in the school of economic collapse, at least not in the typical sense we so often read of. I believe the economy is and will continue a course of correction. Now, let me be perfectly clear. This correction could potentially feel like collapse since far too many are socially, spiritually, individually, and economically prepared for anything other than a stereotypical state of normal.

I blame a government that refuses to instill individual responsibility, promotes institutionalization, and….. in some cases – a cradle to grave dependency for such widespread inaction. Unfortunately, physical silver or gold isn’t even on the radar of our ill prepared.

The correction each must recognize affects us individually, and in many ways. Far too many have made the prudent step to buy physical PM (precious metal) but are at risk of becoming a short-term PM seller stemming from a lack of overall preparedness. In other words, they will sell their metal, to continue living a life of normalcy, just when they most need PM. This could come from desperation or it could come from monetary ignorance; it’s just too soon to tell .

The collapse (as most put it) is happening as you read this….. all in slow motion. Ask the man on the street and they will quickly point out a lack of good paying jobs. Ask a banker and they will say the problem is a lack of credit. Ask a politician and they will lay blame on the opposing party or a previous administration. The fact is all the above are 100% correct, but this does nothing to help our situation.

Nothing will stop today’s course of correction because too few are willing to acknowledge the destructive nature of overpopulating a currency. This neglect is building into a monetary civil war within the United States. The type of person willing to trade dollars for PM suffers great anxiety by living in a country that is no longer willing to address our economic challenges with rationality. This is why we’re reading about states proposing legislation in hopes of creating an alternative currency (Utah, Arizona, etc).

Our country has far more to lose from conflict than economic collapse. A divided nation is vulnerable from within, vulnerable from afar, and everything between. Why else is it so many folks like you view PM as the get-out-of-Dodge-card? Wealth stored within physical silver or gold provides an option, or luxury, most will never realize. In my opinion we are well beyond asking “if” our economy will collapse.

What now?

Without fail there is one common question asked when I consult with folks about buying and storing precious metal. They all ask if there is anything else they should be buying or doing other than whatever it is they are actively “doing”. These folks fail to recognize that they’re miles ahead of 99% of all other Americans, politicians, financial planners, economic advisers, accountants, etc. This is what a call the “what now” syndrome.

I’m convinced that a person willing to make the effort to buy physical PM has what it takes to answer the what now on an individual basis. Since you’re reading this post I congratulate you and your ability to actively pursue a personal stake of individuality in a day of complacency. Your next what now could be a career change or it could be relocating where your family calls home. Your next what now could be the start of a plan that includes internationalizing your wealth or it could lead to internationalizing where you live.

Four years ago, my what now led me to relocate my family from a high taxation state to a less populated  and more independently minded fly-over state. Over ten years ago my what now led me to trade dollars for physical gold. The what now inside you could lead to gardening, reloading, campaigning, prospecting, serving, fasting, start-up business, downsized business, who knows? Whatever your what now is please remember this. Owning precious metal should be the monetary foundation of a life commitment to self reliance so that compromise is never a word atop of your to do list.

Let everyone else worry about economic collapse while you focus on reality.

QUESTION:  DC, last week we found out some silver American Eagles circulating around the US and Canada is actually counterfeit reproductions made in China. What steps can a small silver investor like me do to safeguard against fake bullion? Thanks for your work at TPS.

TPS Reply:  Thanks for the worthwhile question. The silver counterfeiting you mention has me greatly concerned for many reasons. Far too many folks view silver with skepticism, this news will only compound the level of silver confusion. It’s easy to say the odds of buying fake silver are low but very real for the few who actually find themselves as the unlucky few.

As silver inventories shrink the benefits of counterfeiting will rise. If crooks are willing to counterfeit legal tender this leads me to believe counterfeit (silver) bars and rounds is a bigger problem than anyone would like to believe. I view this as even more reason to buy from reputable sources who will stand behind every single ounce sold.

The fake silver problem will worsen as the secondary silver market grows because the secondary market is much less regulated, not to mention limitless. As of May 2013, I see no reason to buy fake bullion since the majority of silver sold transfers directly from the mint to the end user (you). I will admit such an opportunity is growing short as demand for silver bullion outpaces output.

I encourage each silver buyer to educate themselves on the sounds and feel of real metal. Real silver bullion is impossible to replicate if a buyer takes the time to look beyond appearance. Feel free to contact TPS for a list of reliable silver sources if you have any doubt.

QUESTION:  Are you buying silver rounds too?

TPS Reply:  Thanks for the tiny question. No, I’m not buying rounds at this time but I will as soon as legal tender bullion supplies dwindle to the point of what I feel are reasonably priced. Silver rounds usually cost less than legal tender coins; this is because anyone can legally mint a silver round. Some private mints will accept your larger silver bars and then melt (mint) the large bars into one ounce bullion, very cool. The fee for this service is minimal compared to attempting to sell a huge hunk of silver.

I like to buy recognizable silver when possible. Also, legal tender bullion will not trigger an IRS notification when a buyer sells bullion back to a PM dealer (please use due diligence since tax laws change quickly).

This doesn’t mean I wouldn’t but silver rounds, just not at this time. Thanks again for the question.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestseller 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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STORING SILVER & GOLD

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY   No comments yet

Protecting your family’s wealth by trading dollars for physical silver/gold is one of the wisest decisions you’ll make. We can debate silver vs. gold but at day’s end both metals are shaping themselves into the last safe-haven currency while all other currencies race toward debasement. This not only means the value of your physical metal will rise but so will the temptation for others to take what you’ve worked diligently to own.

Below are few paragraphs promoting my newest book Storing Silver & Gold. Each chapter is an extended answer to the many storing questions readers like you are asking. Questions like how to insure the PM you have stored at home, what is the best way to discretely buy silver or gold,  or the only time you should store SOME metal within a bank box, and when it’s time to consider storing metal abroad (internationally). I hope you enjoy this tiny taste of my newest book release.

 Storing Silver & Gold: How to Safeguard your Precious Metal.  I believe at least fifty percent of those practicing home storage do so with sub-par safes improperly mounted to the structure’s sub floor or foundation.

Wow, this means half of you should be reading very closely. Now, I’ll be the first to admit I am not a safe or vault expert. (We’ll hear from those who are in the next chapter.)

My goal is to not discourage home storage, but encourage proper protection for the assets you’ve worked so hard for. Storage must be part of our overall PM plan, but you’d be surprised how often it isn’t. If you’re not ninety-nine percent comfortable with your form of home storage, I encourage you to take the money and time to correct this before buying more silver or gold!

Again, in-home theft will most likely never be an issue, but why not provide one last level of security, just in case I’m wrong? Would you be surprised to hear that the number one source of your PM’s security is the one least considered—you!

Let me explain. The best way to defend against bad guys is to beat them at their own game. This starts with a refusal to let anyone take what’s yours. Most robbers try to take something of value from someone unsuspecting and weaker. Their plan is to enter a home full of valuables, and quickly transfer ownership from you to them, unnoticed and un-caught.

Think of it like an offense-defense conflict. The criminal is on the offense and you’re on the defense, trying to keep what’s yours. This usually works out okay, but I propose we change ends of the field.

What if we are the proactive ones? What if we turn this storage plan into an offense success story, leaving bad guys scratching their heads while looking for easier prey? We are about to throw out several proactive ideas; then it’s up to you to determine the best fit for your needs.

I have readers who are so supportive of our Second Amendment rights, they’ll slap NRA stickers on everything in their front yard. I also have isolationist readers who believe the world will soon turn into anarchy. They trust hardly anyone. I also have readers that know nothing about guns, NRA, or personal defense, but see PM as a necessity (and some live under strict gun control laws). Each must find the most appropriate means to store PM, within their beliefs.

I’m hesitant to include the real life story below, because it’s so shocking some readers might elect not to own PM. I want to make this perfectly clear: This is the worst-case scenario and, in all likelihood, will never happen to you or someone you know. It is quite disturbing, I warn you now.  Read more here.

QUESTION:  DC, I read your blog religiously and have been buying silver from Colorado Gold as you recommended. I plan to work another 7 or 8 years and I own my house and land, vehicles, etc. outright. My husband died last year, so I have only my income but I do have a 401k and stocks. Should I plan to get out of the stock market and buy PM? Would you draw the money out of the 401k? I think I’d feel safer putting that money into PM and I could live comfortably on my income. I have a farm and grow a lot of what I eat. Thank you for what you do…you have opened my eyes.

TPS Reply:  Thanks for the email and nice words. It sounds like you’re making wise choices since losing your husband…… I can only imagine how difficult this last year has been. What impresses me most is how you’re utilizing PMs as a foundation for an independent lifestyle, very cool.

As you may know, I’m not a fan of retirement accounts or the stock market. I’m not saying that all stocks are risky or all retirement accounts are in jeopardy but we have certainly entered an age when politicians salivate over exposed pools of cash. My bet is most pensions and retirement accounts will fall under some form of capital controls.

Let me ask you; does this risk, of a bureaucracy controlling your capital, fit into a life built around self reliance? Your situation is unique in that you have personal wealth stored in both PM and “typical” investments too. I would favor PMs over traditional investments (given the times we live) and here is why.

I don’t have a crystal ball but here is how I see things playing out. Wall Street, the Federal Reserve, US Treasury, and this Administration are too wise to outright steal the wealth from those invested in stocks or bank deposits. Oh, don’t get me wrong, they will take some of it somehow but not as directly as what we’re seeing in Europe.

A more likely scenario is one that presents itself as a “takeover” that protects your wealth compared to flat-out stealing it. Those who understand currency debasement and capital controls realize confiscating wealth (like the retirement account you mentioned) allows a government to pay it back over time and with debased dollars. This also empowers a growing government as millions more rely on trusted politicians for groceries, shelter, healthcare, you name it.

Millions of other folks are asking themselves the same “do I or don’t I” type monetary questions. I wish I could offer more but…… honestly, no one knows how far an overreaching government will go in such a time.

Regardless, you’re miles ahead of most Americans….. good job!! Oh, be sure to read the next question because I’ve purposely combined it with yours. Thanks again.

QUESTION:  Why is it that my financial planner has nothing favorable to say when I bring up relocating some wealth into physical metal? It’s getting a little old.

TPS Reply:  I hear you loud and clear…… and couldn’t agree more. You can’t believe how often I hear this question from readers who are, like you, growing uneasy with the same nonsense. It’s not only monetarily foolish to not consider physical PM; it’s also playing out to be financially catastrophic in some cases.

Equities have benefited from the creation of a currency that can no longer sustain itself. The U.S. can continue to solely print US dollars (causing worldwide tension) but we can’t print jobs. Nor can we fool ourselves into using printed currency to create temporary jobs while simultaneously believing this is our path to a true long-lasting recovery. IT IS NOT.

Financial advisers have little to gain when your cash leaves the status quo and then reinvests into physical silver or gold. Why would an adviser recommend an asset that profits them nothing? The answer is pure and simple, at least from my viewpoint.

QUESTION:  A relative sent over a site that sells junk silver for as low as $24 per ounce. Why should I pay the premium for American Eagles?

TPS Reply: Thanks for the question. Why would anyone sell physical metal when today’s premiums are around 30 to 40% over silver’s spot price? I would be very skeptical since it’s way too good to be true. If true, please send over the info because TPS has several thousand readers who will buy a boatload ASAP. Thanks again.

BERNANKE WATCH:

FED chief Ben Bernanke will be the first chairman to miss Jackson Hole in 25 years. This event is the Super Bowl for central bankers and I’m not buying the conflict in schedule excuse (this would be like Tom Brady too busy for America’s biggest NFL game). It leads me to ask if Bernanke is on his way out as the most abusive banker in world history. Trust me, we will keep a close eye on Bernanke’s exit and whoever fills the position of the next most powerful person on earth.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestseller 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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WHO WANTS TO BE A MILLIONAIRE?

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   No comments yet

Actually, who doesn’t want to be a millionaire?  As founder of The Prospector Site I have the opportunity to work/consult with many hardworking millionaires. I’m guessing many of you reading today are on the millionaire list……. congratulations. If your name isn’t on the list, yet, then please read today’s post closely because many preconceived wealth notions are false. In fact, by post’s end you may rethink your wealth goal well beyond joining the elite list of millionaires. Welcome aboard and thanks for joining our precious metal discussion.

This could come as a surprise but I can say with 100% certainty that millionaires worry about money just like those living check to check, it’s true. Could this be why the same millionaire who worries while building wealth then worries how to keep it? Just as surprisingly, I’ve heard a few actually compare wealth to a ball and chain as they cautiously maneuver wealth away from taxation and into safe havens (some have actually said they enjoyed life best when worth less!).

Nearly all millionaires still live on a budget. I’m estimating over 50% are self employed and somewhere around 20% have a master’s degree. You would be shocked how many have nothing more than a high school diploma. Over 80% are self-made and fewer than 20% inherited the wealth that adds their name to the millionaire’s list.

The question must be asked, “Are today’s millionaires nothing but a bunch of whiners?” I personally have my doubts. My opinion is that today’s millionaires are scared, tired, and frustrated by the economic challenges of the day. Their (millionaires) despair only validates my belief in faith, self-fulfillment and independence (freedom) as the truest source of happiness.

What nearly all millionaires have in common, at least up to the point of trading dollars for PM (precious metal), is the mistake of building personal wealth in dollars or dollar related assets. Actually, it all comes down to a loss of confidence in the US dollar and the realization that those with exposed wealth will pay for their entrepreneurial sins.

Taxation, fees, penalties, and capital controls are words the wealthy will become all too familiar with, at least those not protected by PMs.

The problem actually goes beyond the aforementioned as millionaires realize, in their own time I should add, that dollar wealth is much different from “money” wealth. Wealth stored in dollars may appear to offer stability but recent asset bubbles, then bursts (i.e. Dot-com, real estate, DOW, and soon bond, dollar, ?), remind those invested in dollars how quickly this wealth can disappear.

It is at this time we must compare a dollar millionaire to a PM (precious metal) millionaire. I seriously doubt few traditional millionaires give the difference a second thought. This is most evident by how few actually own physical silver or gold even as currencies worldwide constantly spew warnings of a great fiat demise.

The few who do “own” PM only own a few ounces of gold or, worse yet, own paper precious metal; paper silver or gold may appear protective but realistically are nothing more than speculative. Even our country’s millionaires suffer from monetary normalcy bias as their wealth falls under attack or, at least, subject to historic debasement.

I like to compare dollar to gold wealth with today’s spirited world of innovation. Innovation has forever touched our lives by making information the new industrial revolution. Anyone living within 200 miles of California’s Silicon Valley will attest our age of technology has only reached the tip of the iceberg. If not for the decline of the US dollar, I would have to compare today’s age of technological innovation to the implementation of fire, penicillin, telephone, or the combustion engine.

The problem isn’t innovation; the problem is our means of monetary exchange. The US dollar is the only component that will stifle our growing age of innovation. The reason I believe this is because all new innovations are built around capital and the availability to invest dollars in R & D. Today’s disruption of capital (dollars) will eventually devastate, or at least disrupt, the wealth of those investing in tomorrow’s innovation.

Now, please give the next sentence or two your full attention. The same folks at the tip of innovation are also the same folks invested in an outdated source of wealth storage and saving! Saving in dollars is no different than attempting to forward an email through a manual typewriter. Even our wealthy fail to compare old innovations to a dying currency; ironic isn’t it?

One reader recently asked why I’m so convinced the dollar is on its deathbed. My opinion; why else is it we have to inject perpetual transfusions of blood, QE1, QE2, QE3, QE?, if not for a terminally ill currency? This is not about economic recovery; this is nothing more than not letting the dying die. This, my friends, is why each person walking God’s green earth must understand the difference between dollar wealth and PM wealth.

QUESTION:  Precious metal prices have fallen far below the expectations of nearly all PM experts. Have we reached a bottom in your opinion? I’ll never hear the end of it from my family if I buy now and the PM market dumps lower!

TPS Reply: Thank you for asking such a timely question and congrats for at least considering PM. Let me put your mind at rest by mentioning the one fact all PM owners must grasp. Precious metals will rise/ fall and not one person, expert or otherwise, has a clue when either will happen next.

Most “experts” get paid when you spend your cash on their offering of precious metal. I’m not insinuating that today’s PM experts don’t know what they’re talking about, I’m only exposing fact. Truthfully, it really doesn’t matter how PMs perform over the short term since it’s only short-term minded PM investors who worry over volatility.

Please keep your eye on the larger picture by not over thinking physical silver or gold. Here is what I do for what it’s worth. I buy silver or gold each month, store them over three locations and sources, and then look forward to my next monetary chess move. Why would I worry about something I did yesterday when yesterday is already in the books?

Oh, by the way, you’ll never live up to all family expectations…… so quit trying.

QUESTION: Okay DC, you know my situation and you know I store my gold in a local bank. Cyprus has me worried sick and I’m not sure what the heck to do. What if a bank holiday traps my PM and I can’t get them when I need them? Sorry to be a weekly burden but I’m worried. As always, thanks for being patient.

TPS Reply: Man, no softballs today. I understand your situation and, honestly, there is no easy answer. Living in a large city complicates in-home PM storage. The risk of being burglarized must be compared to the risk of storing PM in a bank box. The question is not what the safest way to store PM is; the question is what the best way is considering your situation.

As you know, I’m not against using bank boxes for short-term storage that includes traveling or winter escape. I’m far more hesitant to recommend such storage options as part of a permanent storage plan. Regardless, you must diversify your storage in such a manner that includes keeping at least 1/3 within arm’s reach (this could be in home or with someone trusted).

I hate to say this but it must be mentioned. There is not, to my knowledge, a 100% safe way to store/own physical silver or gold. In fact, there is nothing in this world 100% secure or safe. This is a challenge we must accept and then move forward with the best plan possible.

With the risk of sounding commercial like; Storing Silver & Gold will hit Amazon.com the week of April 8th, in digital format. The book does offer a source, affordable source to boot, who will insure all PM stored at home OR in a bank box. I highly recommend taking the extra effort to insure all PM, especially in your situation.

COMMENT:  A friend recommended your book and I want pass along how much I enjoyed reading it. The simple manner in which you explain silver and gold to our current economic plight was just the motivation I needed to make a monetary change. Record levels of debt will not fix our economy and it angers me that more educated individuals can’t see the overall picture. Anyway, we started our plan by committing to buy silver bullion at the first of each month. Thank you for what you do.

TPS Reply: You made my day, thank you.

 

BERNANKE WATCH:

FED chair Ben Bernanke is the most powerful man on earth but other central bankers are quickly becoming powerful in their own right. The Bank of Japan just doubled down on its latest version of QE by devaluing the yen and, unfortunately, punishing currency savers. Once again, the banks win, exclusively, as Japan outpaces Mr. Bernanke with a fresh commitment to print currency.

The world is awash in printed currency and today’s video only proves the level of desperation among today’s central bankers. This fact cannot be overstressed when we compare a rising supply of currency to precious metal. Please add worldwide quantitative easing to the growing list of reasons to own real money like silver or gold.

 

DC Carlton is the founder of The Prospector Site and author of Why Silver and Gold Will Go Higher. 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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