Well it’s been 2 years since the whole notion of the importance of acquiring inflation proof assets entered my world, and let me tell you, it couldn't have happened at a more opportune time. I sat wide-eyed as I watched the whole Fanny Mae and Freddy Mac saga unfold before my eyes. This was what the likes of Richard Martin, Peter Schiff and Marc Faber had been predicting for months, and I had just finished taking it all in when it hit the mainstream media. I was on the phone with a friend when the news feeds hit the net. We could not believe our ears. “Is this it?”, I thought, “is this the beginning of the end of life as we know it?”
Then the ensuing images of regular families who so ill-advisedly “bit off more than they could chew” ending up in homeless shelters, motels, parking lots, or “tent cities” were unbearable. And to watch the audacity of the media as they blamed the families for purchasing something they couldn't afford, all the while, begging for a bail out for Fanny and Freddie; the culprits who caused the crisis to begin with.
Well it turns out that that the sky was not falling that day, but it was definitely a warning shot. With the Federal Reserve continuing to print money into existence, and the Federal debt growing exponentially, the foundation of this 100 year experiment called “non-gold backed, fiat currency” has been eroded and the economy is definitely on its slow decent into hyper-inflation.
Many seem to argue that things are turning around, the economy is getting better. We are told to cheerfully continue buying stocks and watch the stock market “rally”. But common sense simply dictates to take a look around you. What are we actually seeing in our lives today? Increased unemployment, record inflation, increased homelessness and the existence of “modern day shanty towns” N.America.
Can we rely on the government to rebalance the economy? As Chris Martenson so succinctly described it in the “Crash Course”, he states we are now in a situation with an outcome, and it is just a matter of how we are going to handle the “outcome”. What are some things we can do to lessen the blow of the outcome?
More and more it makes sense to store your wealth in something that is inflation proof. I for one will be buying gold and silver in a variety of forms.
Kirsty Hogg
http://www.goldvesting.com/
http://www.fundsingold.com/
http://www.goldvestments.com/
Showing posts with label investing. Show all posts
Showing posts with label investing. Show all posts
Sunday, March 7, 2010
Wednesday, October 28, 2009
Government Issued Coins VS. Non-Government Issued Coins – You decide!
I get asked a lot about where to buy the best small denominational gold/silver bullion coinage. An argument that often arises is should one stick with government issued coins like a Maple Leaf or American Eagle, Krugerrands, etc. Let’s take a look back in recent history. In 1933, Franklin D. Roosevelt by Executive Order, confiscated all gold coins and bullion from US citizens. By law, private gold ownership was forbidden in the US from 1933-1974. In 1933, it had to be sold back to the Federal Reserve Bank. This is an important point to remember when we start discussing “non-confiscatable” gold.
Many people are unaware of this fact: Government issued coins are not yours, you are only the BEARER of the coin, NOT the owner, as it is actual currency owned by the government. Just like on a dollar note, it says you are “the bearer”. This applies to all government issued currency.
One of the forms of gold that was not subject to the executive order for confiscation was religious collectable gold. Such as religious relics, medallions, etc.
Read the order here.
Gold has been money on this earth for over 5,000 years. Throughout history 2 distinct types of coins have circulated; Monopoly Coins and Open Exchange Coins:
1. "Monopoly Coins" identified by:
Government and/or 3rd party monopoly ownership (e.g. by various coinage acts and decrees.)
- A monetary face value determined by statute (e.g.1 Denarius, $1, or 50 pence)
- Government inscription (e.g. Image of "Caesar" or state "ID".)
- Little or no integrity of precious metal content.
- Little or no intrinsic value.- Being merely tokens of inferred value.
- Government can buy back at anytime for face value only - $50 gold coin (you'll get $50).
2. "Open Exchange Coins" identified by:
- Private bearer ownership.- Intrinsic value in their own right.
- Integrity of precious metal content.- Absence of a monetary face value.
- Absence of government or third party encumbrances.
- Open market assessment as to their value and tradability.
- Bearer's liberty as to usage or hoarding.With the benefit of historical hindsight, the civilizations that have embraced a system of just weights and measures and an open exchange of gold and silver coinage, not only enjoyed longevity as a power, but their citizens and those who chose to trade with such currency of integrity, enjoyed the prosperity and security it ensures.
MAXIMUM BENEFIT TEST
In order for gold and silver coinage to enjoy maximum benefit in the market place it must pass the following 5-point test.
1. The coin must be your property (Government issued coins are not yours, you are only the BEARER of the coin, NOT the owner, as it is actual currency owned by the government).
2. It must be a stipulated weight (Grams or troy ounces are preferred)
3. It must be a determined purity (Preferably pure gold, pure silver or a mixture)
4. It must be in small denomination of weight (2-30 grams, or 1/10th -1 troy ounce)
5. It must be internationally recognized (Via a reputable hallmark or trademark)
Based on the points above, here are other things to look for when shopping for gold;
* Mint fresh and un-circulated, issued with their refiner's certificate of fine weight and purity which makes it 100% standardized.
* Stipulated weight and purity, insuring their determined international value.
* Small denominations of weight making them liquid and easily tradable.
* Bear an internationally recognized Hallmark, attesting to their internationally reputable purity and minting.
* Fit the description of 'free market commodity' (sometimes referred to as free-market money).
* Ownership rights: 100% private Gold, non government issued.
If you have doubts that gold confiscation will ever take place again, think again. There is approximately a half an ounce of gold above the ground today for every living person on the planet. When fiat currency deflates, a logical step for the government is to reclaim their gold as their currency could be rendered worthless. Also, confiscation is such a serious downside, that I would not want to take my chances.
Tune in next time when I discuss another form of wealth confiscation that many people are not aware of. This happens globally, everyday, even while we sleep.
Kirsty Hogg
Many people are unaware of this fact: Government issued coins are not yours, you are only the BEARER of the coin, NOT the owner, as it is actual currency owned by the government. Just like on a dollar note, it says you are “the bearer”. This applies to all government issued currency.
One of the forms of gold that was not subject to the executive order for confiscation was religious collectable gold. Such as religious relics, medallions, etc.
Read the order here.
Gold has been money on this earth for over 5,000 years. Throughout history 2 distinct types of coins have circulated; Monopoly Coins and Open Exchange Coins:
1. "Monopoly Coins" identified by:
Government and/or 3rd party monopoly ownership (e.g. by various coinage acts and decrees.)
- A monetary face value determined by statute (e.g.1 Denarius, $1, or 50 pence)
- Government inscription (e.g. Image of "Caesar" or state "ID".)
- Little or no integrity of precious metal content.
- Little or no intrinsic value.- Being merely tokens of inferred value.
- Government can buy back at anytime for face value only - $50 gold coin (you'll get $50).
2. "Open Exchange Coins" identified by:
- Private bearer ownership.- Intrinsic value in their own right.
- Integrity of precious metal content.- Absence of a monetary face value.
- Absence of government or third party encumbrances.
- Open market assessment as to their value and tradability.
- Bearer's liberty as to usage or hoarding.With the benefit of historical hindsight, the civilizations that have embraced a system of just weights and measures and an open exchange of gold and silver coinage, not only enjoyed longevity as a power, but their citizens and those who chose to trade with such currency of integrity, enjoyed the prosperity and security it ensures.
MAXIMUM BENEFIT TEST
In order for gold and silver coinage to enjoy maximum benefit in the market place it must pass the following 5-point test.
1. The coin must be your property (Government issued coins are not yours, you are only the BEARER of the coin, NOT the owner, as it is actual currency owned by the government).
2. It must be a stipulated weight (Grams or troy ounces are preferred)
3. It must be a determined purity (Preferably pure gold, pure silver or a mixture)
4. It must be in small denomination of weight (2-30 grams, or 1/10th -1 troy ounce)
5. It must be internationally recognized (Via a reputable hallmark or trademark)
Based on the points above, here are other things to look for when shopping for gold;
* Mint fresh and un-circulated, issued with their refiner's certificate of fine weight and purity which makes it 100% standardized.
* Stipulated weight and purity, insuring their determined international value.
* Small denominations of weight making them liquid and easily tradable.
* Bear an internationally recognized Hallmark, attesting to their internationally reputable purity and minting.
* Fit the description of 'free market commodity' (sometimes referred to as free-market money).
* Ownership rights: 100% private Gold, non government issued.
If you have doubts that gold confiscation will ever take place again, think again. There is approximately a half an ounce of gold above the ground today for every living person on the planet. When fiat currency deflates, a logical step for the government is to reclaim their gold as their currency could be rendered worthless. Also, confiscation is such a serious downside, that I would not want to take my chances.
Tune in next time when I discuss another form of wealth confiscation that many people are not aware of. This happens globally, everyday, even while we sleep.
Kirsty Hogg
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