Well here goes nothing.....

As are you. If you were genuinely interested in the true history of money, you would consult works such as the one researched by David Graeber which was written with no particular axe to grind.

 

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The "history" of money is now irrelevant. We have NEVER had the present conditions before, and there are many ways it can play out. I happen to think PM possession is the least risky, especially because if I am wrong, no one's hurt except me, no family or dependents.

 

Who says I haven't? You?

 

I am retired and live in the mountains , love it here, anyway you made a good move and as you say untraceable ... If you bought silver as you say you've made a sound investment in the future and it's under your control. You can readly sell a little off if you get to where you need some cash as silver is easily convertable... And in addition you have lots of friends here that will buy your silver at spot anytime , it's low right now but like everyone else we all expect to see it go up in the near future... If you run out of patience and want to sell PM me right away; I'm not rich by any means but for the right price I'll buy what you want to sell....Grampa Good choice and welcome to cointalk...

 

Or its high right now, or its priced fairly. It is definitely one of those. But which one? No one really knows, if you say you do, you are just fooling yourself. If the PM bugs can grasp this concept, then it becomes ridiculously obvious how foolish an all-in move is.

 

This is not a "one size fits all" type of situation where it's reasonable to call another person "foolish" for moving all of their accessible savings from paper to bullion.

He's already said he has personal reasons for doing this. Based on his comments, I'm suspecting (but not assuming) it's some sort of evasion: Upcoming divorce, bankruptcy, or tax evasion. If it's something along those lines, then I'd say the big issue is the ethical dilema, not the prudency of his investment decision.

 

I personally am not comfortable holding these ETF's (except with my 401K since I can't cash it out while employed). They are an IOU based on something that isn't there except to the tune of about 2% backing of physical metal in the case of GLD and SLV. They may be safe enough right now, but the moment they become unsafe it will already be too late.

All of these paper investment proxies also do a disservice to the investors in them, because had that money been put into physical metal the price would be impacted to a greater degree instead of going through these diversions that do not impact the actual supply.

The other thing to consider is that all those leveraged ETF's are derivatives. They are not stocks in a particular company. They have many degrees of separation from anything of real value, and will be the first to go up in smoke if the financial system starts to falter. They have numerous clouded counter party risk chains, and it only takes one failure in the link to throw a wrench in every instance of rehypothecation. The leveraged ETF's do not have ANY physical backing. They are just a bunch of hocus pocus so that they track the price accordingly. If you want to hedge your metals then that's one way to do it, but if you are investing in these, beware.

 

Fair point, there could always be extreme circumstances, but the OP clearly stated the biggest reason was he did not trust the Global Economy. I cannot assume anything else.

Now just so it is clear, I never, or at least in this thread, called anyone foolish. I said the move was foolish, which I still stand by. There is a difference. We have all done foolish things in our lives.

 

Wow, Blaubart - that's a doozy. I wonder never jump through all those hoops that fast.
I was reading hints of buyer's regret in that anxiety, but maybe I'm a naif - you're probably right!

 

I resemble that remark.

 

I hope I'm wrong...

 

The only thing that's obvious to me in this regard is how much the paper bugs fear precious metals, seeking out coin communities and doing the best they can to stem the tide that will inevitably undermine their power.

 

Inflexion-
There's no metal in the short instruments - they're purely synthetic. The point is NOT to hold these PM SHORT ETFs often, always or forever, just to factor hedging any downside that you foresee when/if you're holding a humonous bullion stash. People need to know they don't have to sell when POS drops -50% ; the ETFs performed adequately before.
Beware? Oh good grief YES ... but I think I mentioned that. And this isn't "professional advice" for anyone who doesn't know what/how/why to read the prospectu and know the Risks BEFORE you buy (anything.)

Over & out.

 

i agree totally, but still you can't go wrong investing in silver... Grampa...:thumb:

 

Forgive my ignorance, but aren't EFT's like what Gene Wilder and Zero Mostel were doing in the movie "The Producers"? :devil:

 

Did you mean Dom DeLuise in Blazing Saddles?
[video=youtube;JMK6lzmSk2o]http://www.youtube.com/watch?v=JMK6lzmSk2o[/video]

 

That is really out there, even for you. But what really gets me is how "we are doing the best we can to stem the tide".
Do you really think that I am delusional enough to actually believe, that what I say could possibly have any effect on the Global PM market?

Is that what you think my motives are?
Do you really think opposing opinions are part of a plan?

Let me tell you a story about Silver. I had just bought 8 ounces of silver and I was so happy with my purchase and how smart I was to be buying silver. Check out the price I bought it at, I paid $48 an ounce. Hey silver couldn't lose right? It was going to 100, everyone knew it. That's what everyone said, but let me get to the punchline here. I didn't buy those bars last year, you see, this story is about 1980.

Well, you know what happened. After the carnage, I dusted myself off. That was a lot of money for me back then. I realized my mistake, I blamed no one but myself. It wasn't the manipulators, or the evil Hunt brothers, it was just me being stupid.

It was time to make better decisions. I read, I learned and of course fully understood that sure things do not exist. So, when I post an opposing opinion about silver might not be the sure thing that the PM bugs think it is, it is just my experience showing and not some evil plan about trying to suppress the price of silver.

Now before you go off and say something totally irrelevant about how that was a different situation, don't even bother. The one thing that remains a constant in investing is, sure things do not exist and an all-in move for ANYTHING is foolish. Always was always will be.

 

I think silver is a good investment.

 

Sorry to disagree Grampa, but considering Ag is selling at a 50% premium over the cost of production, I think there are many things that could go wrong.

 

What are you investing in?