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ken_ichikawa

Split Between The White And Yellow Stuff

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I've started getting a steadyish income again and thus since I keep 15% of my assets in PMs. This has remained pretty constant as my minor jobs here and there are keeping me ticking over.

Since I'm earning again I am torn between gold and silver. I like gold a lot.

But OTOH I can buy silver at £24 an oz and thus I can buy a hell of a lot more silver than I can buy gold. Also gold is easier to hide but has it peaked? And if silver increases and I have a lot more of it won't it be worth more in paper?

What would you buy? And why?

Help!

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I dont think Gold has peaked, it might not move very quickly (until something in the world happens).

Gold is a preserver of wealth. Most large banks/institutions own some so it will always be worth something.

Silver is less of a preserver and can MAKE and LOSE your Currency, it has many industrial uses as well as being a PM.

I am not aware that any Banks/Instituitions own any significant amounts of Silver. But if you fancy a bit of risk and reward then some Silver might be for you.

I hope you noticed I used the word "Currency" above, Many dont consider FIAT or our Great British Pound to be Money. Since it can be and is manipulated and is not (any longer) pegged to anything real such as Gold.

I reckon you should always have some Gold and a little Silver as a flutter and a gamble.

Remember its not the value in Currency (£/$) but the weight in ounces of either you own.

Good Luck and Happy Stacking !!

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I've started getting a steadyish income again and thus since I keep 15% of my assets in PMs. This has remained pretty constant as my minor jobs here and there are keeping me ticking over.

Since I'm earning again I am torn between gold and silver. I like gold a lot.

But OTOH I can buy silver at £24 an oz and thus I can buy a hell of a lot more silver than I can buy gold. Also gold is easier to hide but has it peaked? And if silver increases and I have a lot more of it won't it be worth more in paper?

What would you buy? And why?

Help!

David Buick my favourite city guy said the other day that trading silver is for Spivs and Vagabonds

And gold has got to be a bubble.

Surely the time to buy gold would have been BEFORE it quadrupled in price NOT AFTER ?

At the end of the day it is virtually impossible for ordinary people to make easy money without resorting to some sort of criminal activity, because ordinary people do not have access to the inside information that is necessary to make easy money any other way.

Good Luck - you'll need it.

:)

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I've started getting a steadyish income again and thus since I keep 15% of my assets in PMs. This has remained pretty constant as my minor jobs here and there are keeping me ticking over.

Since I'm earning again I am torn between gold and silver. I like gold a lot.

But OTOH I can buy silver at £24 an oz and thus I can buy a hell of a lot more silver than I can buy gold. Also gold is easier to hide but has it peaked? And if silver increases and I have a lot more of it won't it be worth more in paper?

What would you buy? And why?

Help!

I sold 80% of my gold about 18 months ago, all my silver 6 weeks ago, and I'll sell my remaining gold in the coming weeks.

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David Buick my favourite city guy said the other day that trading silver is for Spivs and Vagabonds

And gold has got to be a bubble.

Surely the time to buy gold would have been BEFORE it quadrupled in price NOT AFTER ?

At the end of the day it is virtually impossible for ordinary people to make easy money without resorting to some sort of criminal activity, because ordinary people do not have access to the inside information that is necessary to make easy money any other way.

Good Luck - you'll need it.

:)

The majority of my gold is in Krugers which I managed to get a long time ago, I don't have many of them.

The majority of my silver I bought around 2007-8.

My problem is with the paper, in that the government is going for a inflationary policy and nowt is keeping up. Even the NS&I RPI bonds are 10% less than real inflation.

Anyway its why I have 15% not 100% in PMs I have money in other things as well.

Edited by ken_ichikawa

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David Buick my favourite city guy said the other day that trading silver is for Spivs and Vagabonds

And gold has got to be a bubble.

Surely the time to buy gold would have been BEFORE it quadrupled in price NOT AFTER ?

At the end of the day it is virtually impossible for ordinary people to make easy money without resorting to some sort of criminal activity, because ordinary people do not have access to the inside information that is necessary to make easy money any other way.

Good Luck - you'll need it.

:)

The "quadrupling" of gold is nothing. In the 1970's gold went up 24 fold.

What has changed? The West is fighting debt with more debt. They will continue to keep the fractional reserve, fiat ponzi system going as long as possible and this will only boost silver and gold to even higher levels.

Edited by Take Me Back To London!

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The "quadrupling" of gold is nothing. In the 1970's gold went up 24 fold.

What has changed? The West is fighting debt with more debt. They will continue to keep the fractional reserve, fiat ponzi system going as long as possible and this will only boost silver and gold to even higher levels.

The question is where do you put your faith? In a barbaric relic than has been trusted for over 5,000 years or in paper that can be printed into oblivion. The answer is should be obvious, but thanks to a paper metals market 100x larger than the physical market not even precious metals are 100% safe.

I know one thing, the only paper worth investing in is toilet paper - it will always be in demand and thanks to inflation will continue to rise in price. If you are sticking with paper, buy bog roll...

Edited by MrFlibble

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David Buick my favourite city guy said the other day that trading silver is for Spivs and Vagabonds

And gold has got to be a bubble.

Surely the time to buy gold would have been BEFORE it quadrupled in price NOT AFTER ?

At the end of the day it is virtually impossible for ordinary people to make easy money without resorting to some sort of criminal activity, because ordinary people do not have access to the inside information that is necessary to make easy money any other way.

Good Luck - you'll need it.

:)

The only thing bubblicious about gold is the bubble talk itself. See attached charts for more info. Also last time gold was in a bull market it rose 24 times, so quadrupling in price is nothing.

Gold and silver bubble.gif

Gold as % of global assets.jpg

post-20010-0-75787000-1307809802_thumb.gif

post-20010-0-74625000-1307809818_thumb.jpg

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The "quadrupling" of gold is nothing. In the 1970's gold went up 24 fold.

What has changed? The West is fighting debt with more debt. They will continue to keep the fractional reserve, fiat ponzi system going as long as possible and this will only boost silver and gold to even higher levels.

Well said. That's really all anyone needs to know. And when the system collapses gold will go ballistic anyway.

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The majority of my gold is in Krugers which I managed to get a long time ago, I don't have many of them.

The majority of my silver I bought around 2007-8.

My problem is with the paper, in that the government is going for a inflationary policy and nowt is keeping up. Even the NS&I RPI bonds are 10% less than real inflation.

Anyway its why I have 15% not 100% in PMs I have money in other things as well.

15% Ken? Thought you'd have a little more conviction than that. ;) I presume that's 15% of total assets, not just cash assets?

Anyway, why not go for a mix of silver and gold. Personally I think they are both going up, but the recent correction in silver is probably a good entry point to capitalise on right now, so maybe weight purchases on silver for the meantime.

Edited by General Congreve

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Both are likely to correct over the summer before going higher again. Wait a bit.

Relying on typical seasonal trading in gold is no longer certain. There is no indication so far that 'Sell in May and go away' has been a correct call.

The overall trend has been up for years. If you try to time entry, you may be lucky and get your gold a bit cheaper, or you may not and pay more. I was 'unlucky' when I went all in, in early 2009, as gold gradually declined for a few months. If I'd waited until September, the low that year, I'd have saved a few quid, but if I'd have waited too much longer I'd have paid considerably more. Anyway, that few quid is small beer now, as the price is £300/Oz higher than what I paid, so the boy done well! B)

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Well said. That's really all anyone needs to know. And when the system collapses gold will go ballistic anyway.

My only surprise is how low they are managing to keep it given the number of basket case nations out there.

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My only surprise is how low they are managing to keep it given the number of basket case nations out there.

I think it's because all the 'leading nations' are equally f4cked, so they're sticking together in the vain hope they'll somehow make it out alive, however desperate the situation looks.

Plus of course, a diet of unlimited paper gold keeps the canary in the mine from chirping too loudly.

Tick, Tock.

Edited by General Congreve

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Relying on typical seasonal trading in gold is no longer certain.

I'm not. I'm relying on QE2 running out of steam, leading to a commodities correction and a dollar bottom.

QE3 will be along soon though.

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Anyway, why not go for a mix of silver and gold. Personally I think they are both going up, but the recent correction in silver is probably a good entry point to capitalise on right now, so maybe weight purchases on silver for the meantime.

Total assets.. I have other assets not in paper.

Anyway I worry about the day when I drop everything and get to the airport. While a bunch of sovs is easily taken out of the country the same value in silver coins is substantial. As you once said yourself in the SHTF scenario lugging 40kilos of silver vs 1 kilo of gold.

Edited by ken_ichikawa

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Total assets.. I have other assets not in paper.

Anyway I worry about the day when I drop everything and get to the airport. While a bunch of sovs is easily taken out of the country the same value in silver coins is substantial. As you once said yourself in the SHTF scenario lugging 40kilos of silver vs 1 kilo of gold.

It is true that I did say such a thing and if you're planning on being light on your feet at some point it is sound advice. Sounds like more lovely gold is the choice for you then Ken!

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I'm not. I'm relying on QE2 running out of steam, leading to a commodities correction and a dollar bottom.

QE3 will be along soon though.

Oh yes, a school boy error on my part to forget that point. However, the way things are going I think there will be stimulus of some sort a lot sooner than any of us bargain for. The primary function of QE is to fund US government debt after all, and it's not like there are many buyers out there.

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Anyway I worry about the day when I drop everything and get to the airport. As you once said yourself in the SHTF scenario lugging 40kilos of silver vs 1 kilo of gold.

That silver is gonna cost you in excess baggage fees, :(

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However, the way things are going I think there will be stimulus of some sort a lot sooner than any of us bargain for. The primary function of QE is to fund US government debt after all, and it's not like there are many buyers out there.

Possibly - but I reckon it's a sentiment driven market, so waiting till the timing is clear makes sense. It'll keep dropping till it starts rising.

Also (1) QE3 has to last until the November 2012 elections so they can't kick it off too early.

And (2) They need commodities to correct hard before they hit go on QE3 - in order to to moderate the effects of inflation. Do you really want to second guess that process? There's a lot of blown up silver traders who tried that one last month.

Edited by tpbeta

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That silver is gonna cost you in excess baggage fees, :(

Back in 2003 on a hol in lanzarote we got talking to a bloke who was a professional cigarette smuggler (I kid you not). He could get something like 20,000 fags in his big suitcase. He flew to Spain from different airports several times a month and came back laden with fags at 80p a packet to sell to private buyers, dodgy offies and working men's clubs.

Anyway, he told us that the previous month when coming in through a midlands airport he collected his suitcase from the conveyor an it was empty! Thieving baggage handlers had nicked all his contraband, and there wasn't a thing he could do about it! He just considered it an occupational hazard.

I imagine that if you were trying to smuggle 20kg of PMs then you'd be open to the same scam. A dozen sovs in your small change might get through though, and maybe a few platinum maples worth $1800 each.

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