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<p>[QUOTE=&quot;Rono, post: 2691036, member: 6492&quot;]Howdy,</p><p><br /></p><p>A few things.</p><p><br /></p><p>First of all, there is having a stash of PM&#039;s as an investment.&nbsp;&nbsp; This is normally in the 3-10% range.&nbsp; More than this is speculation.&nbsp; Please note that speculation is fine, so long as you realize that it IS speculation.&nbsp; In the former, you&#039;re using your investment stash as a &#039;security blanket&#039;.&nbsp; It&#039;s a store of wealth for times of economic uncertainty.&nbsp; The latter is a gamble that the POG and POS are going to appreciate.&nbsp; Both are fine and good and prudent - just keep them separate in your mind.</p><p><br /></p><p>While I&#039;ve watched the GSR for years, I don&#039;t let it run my life.&nbsp;&nbsp; It&#039;s one of several metrics like the Gold/XAU ratio that can give you a picture of what the market is doing.&nbsp; However, I never let them drive a decision.&nbsp;&nbsp; The reason I prefer silver as a speculative vehicle is because of its superior leverage.&nbsp; For example, back in the 70&#039;s when the Hunt Bros. were getting crazy, gold went from ~$250 to ~$800 or so while silver went from ~$4 to ~$50.&nbsp; Do the math.&nbsp; Gold went up 300% while silver went up over $1000%.&nbsp; This is compounded if you look at the mining stocks, particularly the penny or OTC stocks.&nbsp; My only &#039;home run&#039; was Silver Wheaton SLW, which I bought in 2002-3 for between $2-3 a share.&nbsp; Before the bull run was over, it peaked around $43.&nbsp; &nbsp; And this is why I prefer silver over gold for speculation.</p><p><br /></p><p>As for stupid, don&#039;t you dare take away my Right to be stupid.&nbsp; Too damn many laws designed to prevent people from doing stupid things.&nbsp; Ban the snot out of folks hurting others but let me have the option of hurting myself if I so choose.</p><p><br /></p><p>Lastly, when it comes to wealth allocation, years ago I read a quote from the elder Baron Rothschild that to protect yourself, you should have 1/3 of your wealth in Securities; 1/3 in Real Estate; and, 1/3 in Rare Art.&nbsp; (I&#039;ll let the readers on this forum redefine &#039;rare art&#039; as they see fit, teehehe).&nbsp; When you have a few moments, run your numbers but don&#039;t be surprised if the vast majority of your wealth is in Securities.&nbsp; </p><p><br /></p><p>and so it goes,</p><p><br /></p><p>peace,</p><p><br /></p><p>rono[/QUOTE]</p><p><br /></p>

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