I have friends and customers with whom I often share opinions and advice. The advice is rarely taken, and my opinion on anything is often radical, so that’s life. However, I have a customer who I greatly admire, and she stores her wealth (gold) in England. Why? She says it’s because they can be trusted, and she has no faith in American banks or storage facilities.
Then there is a friend I have known for decades, and who is smart as all get out. He is well off and has this ‘thing’ about Ecuador, or a warm Caribbean island. He’s done both, and currently he and his wife have a home in Ecuador, at which they spend half the year, and the half in Colorado. (God lives in Colorado). He and I got into a discussion of late, and he thought I should buy in Ecuador. There is no way I would do that, and as I told him, Ecuador may use dollars as currency, but the favorite word down there, or in most any South American nation, seems to be “Revolution!”
The problem I have with storing gold or silver any place, including England or any off-shore place, is very simple. You buy metals because you may have to use them eventually. Barter, or merely using them as money, when paper currencies fail. And as history will bear out, ALL PAPER CURRENCIES EVENTUALLY GO TO ZERO. The dollar has gone ‘down’ 95% in the last hundred or so years. An ounce of gold has always bought a good man’s suit and it still will. Two silver dimes has always bought a gallon of gas, and still will. What more proof can one use to show the value of gold and silver? Where to store them till their use issues a call? Anywhere quickly accessible, and a safe on one’s home is best. A safe deposit box? Suppose the banks collapse? Buried underground? OK if you remember where you buried it Draw a map, and if you do, please do it next to an iron sewer pipe to escape metal detection.
Assume you have a part time home in Ecuador or any nation off shore. Suppose governments fall down or declare an ‘emergency’, prohibiting travel outside that nation? Suppose you are in Bolivia and you can’t leave? Suppose you are in America and you can’t leave for your home in Costa Rica? Suppose your storage place in the U.K., which you thought was so honest and secure, becomes not so? Not because that firm was dishonest, but because that government decided to confiscate all metals, which obviously are in direct competition with their soon to be worthless paper money. Governments do not like competition, and all governments will stifle any competition to their rule, money, or laws, by any force needed to quell a disturbance or competition. No one likes competition in business, love, or politics, and those facing competition will do everything in their power to get rid of it. Especially governments watching their paper money turn to dust.
Would you feel safe anywhere in the world, other than here in America? I know, we’re not nearly as safe as we were a decade or two ago, but we’re still far ahead of any other nation, and we speak English. I don’t want to live in a place where I can’t speak the language. Has gold done better than a savings account which pays less that 1% interest? Consult the technical charts on our web site. In the last year, gold has gone up 40%, and silver during a last one-year period, has gone up 145%. Will they always do that well? Probably not, but the China virus has made our Trump government spend so far, $5 trillion, and a couple trillion more are in the works. Other governments world-wide have had to do the same, and inflation is occurring everywhere. Thanks China, and STOP BUYING CHINESE MADE THINGS! The more they print, the less they will buy, commonly known as inflation.
Once again, consult history, even back to Roman times. The Roman Empire went bust because of ever increasing government size, foreign involvements, and their own little ‘Swamp.’ All nations in history since and before, have done the exact same thing, cleaning out the wealth of those who saved in those currencies. The former Soviet Union went bust because of bankruptcy, and good old England used to own the world’s seas, civilized India and other places, but now is but a shadow of its former self, and its pound as well.
Save in gold and silver which can never go bankrupt or be worthless. They are not dependent on any government for value, and are totally safe from inflation, revolutions, change of rulership, anywhere in the world. Nuf said?
By Don Stott 10/12/2020
don@coloradogold.com. -30-