Category Archives: Precious Metals Investing

precious metals investing

Here are the 3 best ways to invest in gold

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Hot off the presses of my finance blog is another gold related article that you may be interested in reading. As you can tell by the title the article shows you what I think are the 3 best ways to invest in gold at the moment. Without further ado here is the article (follow the link below):

http://alansfinanceblog.com/2009/10/10/the-3-best-ways-to-invest-in-gold/

Happy investing!

Alan out.

Gold is Still Money

By Robert Prechter, CMT

The following article is excerpted from a brand-new eBook on gold and silver published by Robert Prechter, founder and CEO of the technical analysis and research firm Elliott Wave International. For the rest of this fascinating 40-page eBook, download it for free here.

Have you ever traveled abroad and taken a look at the local currency and wondered how the citizens of that country could take seriously what looks like “Monopoly money?” I’ve got news for you: You’re using the same stuff. Monopoly money is the money over which some government has a monopoly. It is the currency of the realm only because the state makes it illegal to use any other type.

Promissory notes issued by a state and declared the only legal tender are always doomed to depreciate to worthlessness because of the natural incentives and forces associated with governments. A state cannot resist a method of confiscating assets, particularly one that is hidden from the view of most voters and subjects. By extension, it is unreasonable to advocate a standard for such notes, which is simply a state’s promise that its currency will always be redeemable in a specific amount of something valuable, such as gold. A gold standard of this type is only as good as the political promises behind it, reducing its value to no more than that of paper. It could be argued, in fact, that a state-sponsored gold standard is far more dangerous than none at all, as it imbues citizens with a false sense of security. Their long range plans are thus built upon an unreliable promise that the monetary measuring unit will remain stable. Later, when the government’s “IOU-something specific” becomes, as Colonel E.C. Harwood put it, “IOU nothing in particular,” reliability disappears and the arbitrary reigns. Although the populace tends to retain its confidence in the currency for awhile thereafter, the ultimate result is chaos.

The only sound monetary system is a voluntary one. The free market always chooses the best possible form, or forms, of money. To date, the market’s choice throughout the centuries, wherever a free market for money has existed, has been and remains precious metal and currency redeemable in precious metal. This preference will undoubtedly remain until a better form of money is discovered and chosen. Until then, prices for goods and services should be denominated not in state fictions such as dollars or yen or francs, but in specific weights of today’s preferred monetary metal, i.e., in grams of gold. Anyone might issue promissory notes as currency, but the acceptance of such paper certificates would then be an individual decision, and risks of loss through imprudence or dishonesty would be borne by only a few individuals by their own conscious choice after considering the risks. Critical to the understanding of the wisdom of such a system is the knowledge that private issuers of paper against gold have every long run incentive to provide a sound product, just as do producers of any product. As a result, risks would be minimal, as the market would provide its own policing. Thievery and imprudence will not disappear among men, but at least such tendencies in a free market for money would not have the potential to be institutionalized, as they are when a state controls the currency. From a macroeconomic viewpoint, occasional losses resulting from dishonesty or imprudence would be extremely limited in scope, as opposed to the nationwide disasters that state controlled paper money has facilitated throughout history, which have in turn had global repercussions. As Elliott Wave Principle put it, “That paper is no substitute for gold as a store of value is probably another of nature’s laws.”

That being said, it is also true, and crucial to wise investing, that markets come in both “bull” and “bear” types. Being a “gold bug” at the wrong time can be very costly in currency terms. For nearly three decades, gold and silver’s dollar price trends have confounded the precious metals enthusiasts, who for the entire period have argued that soaring gold and silver prices were “just around the corner” because the Fed’s policies “guarantee runaway inflation.” Yet today, 29 years after the January 1980 peaks in these metals and despite consistent inflation throughout this time, their combined dollar value (weighting each metal equally) is still 40 percent less than it was then.

It is all well and good to despise fiat money, but it is hardly useful to sit in gold and silver as if no other opportunities exist. In contrast to the one-note approach, which has had an immense opportunity cost since 1980, competent market analysis can help you make many timely and profitable financial decisions in all markets, including gold and silver.

For more in-depth, historical analysis and long-term forecasts for precious metals, download Prechter’s FREE 40-page eBook on Gold and Silver.


Robert Prechter, Chartered Market Technician, is the world’s foremost expert on and proponent of the deflationary scenario. Prechter is the founder and CEO of Elliott Wave International, author of Wall Street best-sellers Conquer the Crash and Elliott Wave Principle and editor of The Elliott Wave Theorist monthly market letter since 1977

GoldMoney Moves into Platinum

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Hello dear e-currency fans and precious metals investors. I’ve got good news. If you’re familiar with GoldMoney you probably already know that it is one of the most trusted precious metals backed e-currency out there. Previously they offered only gold and silver, but the good news is that they’ve now added platinum to the mix. Thus the “precious metals trinity” is complete.  Have a look at their press release or for further details visit their website (storage fees, etc.) Press release follows below:

You can now buy platinum from GoldMoney with the same ease
and convenience you currently experience when buying gold
and silver. GoldMoney has introduced platinum bullion
stored at the VIA MAT vault in Zurich for purchase on its
website.

The press release can be viewed at:
http://goldmoney.com/news-goldmoney-moves-into-platinum.html

And when you log into your Holding, you will see the option
for Zurich-stored Platinum on the Buy and Metal-to-Metal
Exchange pages, enabling you to buy platinum with your
currency balances or exchange all or a portion of your gold
or silver for platinum.

The purchase fee for platinum ranges from 2.19% to 4.67%
depending on the amount purchased, and storage is only
0.59% per annum, charged monthly. Complete details about
rates and storage can be found on our fees page:
http://goldmoney.com/fees.html

We are very pleased to enable our customers to buy
platinum, and to further diversify their holdings into
another precious metal. We truly hope you enjoy this new
product.

Kind regards,
GoldMoney Customer Support

Happy investing!

Alan
http://alansmoneyblog.com

Prechter’s New Gold & Silver eBook Now Online

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Greetings,

Beware: Gold is setting itself up for “the buy of a lifetime.” Only the resource we’re about to share with you will help you prepare for it.

Do you invest in precious metals? Should you?

Only you can answer the first question; we’ve written this letter to help you with the second.

Gold bugs have long touted the yellow metal’s time-tested store of value. But, contrary to popular opinion, gold isn’t always the best investment when times get tough – and we have the analysis to prove it.

Our friends at Elliott Wave International have just released a brand-new eBook that will help you decide just how – and when – gold and silver should be put to work in your portfolio.

Among the unique insights in this free eBook are 6 eye-opening tables that reveal how gold and silver performed vs. stocks and T-notes during each of the 11 recession-expansion cycles of the past 100 years. These tables alone are worthy of a high price tag, but you can download them for free.

You’ll also get valuable analysis for gold stocks, precious coins and more – all at no cost.

If you have even the slightest interest in gold and silver, you must consult this free 40-page eBook now. It will show you how to invest in precious metals safely and successfully like no other resource can.

Learn more about the free 40-page Gold and Silver eBook here.

Warmest regards


About the Publisher, Elliott Wave International
Founded in 1979 by Robert R. Prechter Jr., Elliott Wave International (EWI) is the world’s largest market forecasting firm. Its staff of full-time analysts provides 24-hour-a-day market analysis to institutional and private investors around the world.

Gold Update and Current Direction

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The gold market sprang into life yesterday (5/20) as it closed in on $940 level which brings it back to its best levels since March 20th. We last looked at the gold market shortly after my return from New Zealand on May 5th. At that time, Gold (xauusdo) was trading at $902 you can see that all on my earlier video. Presently we are trading around $937 zone and it looks as though we can see further upside action in this market.

I think you’ll find this new video very informative and you may watch with my compliments. There are no registration requirements. Please enjoy and give your feedback on our blog. Thank you.

http://www.ino.com/info/366/CD3336/&dp=0&l=0&campaignid=3

All the best,

Adam Hewison
President, INO.com
Co-creator, MarketClub

Now is the Time to Buy Gold

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By Darryl Kelley
MidasLetter.com
Tuesday, April 7th, 2009

Given the false hope inspired by the conclusion of the G20 summit in London last week, and its associated residual ‘positive sentiment’ effect on global equity markets, now is a good time to accumulate gold and related asset classes. That’s because the price has suffered exactly the kind of steep correction that over the last 8 years have typically preceded a fresh assault on new highs.

And there are other telltale signs that gold is about to take a Great Leap Forward.

Foremost amongst them is the fact that the AMEX HUI Goldbugs Index is foreshadowing a jump with its habit presaging enhanced interest in gold with a sharp drop followed by a sharp rise. (The rise part of the equation has yet to form).

Secondly, the engineered ‘positive sentiment’ by U.S. media and financial elements has now served its purpose, which is to lend a mantle of credibility to the G20 process by allowing participants and leaders to point to robust markets as proof that their collective actions embodied in 15 pages of summary were in fact successful.

Third, there is the deluge of corporate earnings to be unleashed pre and post Easter weekend, which are almost uniformly awful. S&P 500 companies are expected on average to decline 37 percent, the eighth straight quarter of double digit losses in quarterly earnings.

And finally, analysts (to use the term loosely) have seemed to arrive at the unanimous conclusion that the IMF’s planned sales of gold to raise $50 billion will have no meaningful impact on the gold market. Maybe that’s because, as GATA will tell you, they don’t have it.

SOURCE: http://www.midasletter.com/news/09040703_Now-is-the-Time-to-But-Gold.php