Investing in Gold - Survivalist Forum

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Hi, I'm new here.. I am thinking about buying gold for investment but I don't know much about it. I don't know where to start, Do you have any suggestions? Is it even a good investment? Or is silver better?

Thanks to the wonders of the internet you can get up to speed pretty fast. There is a ton of info out there, the real problem is sifting through it all. Ask 10 different pm investors what they think is best and most likely you will get 10 different answers.

Having said that, here is my .002 cents (adjusted for inflation)

Eric Sprott says gold was the investment for the last decade, silver will be the investment of the next decade. Historic gold to silver price ratios are around 16 to 1, current silver mining ratios are around 7 to 1 and silver is becoming harder to economically extract out of the ground (mining is long past it's peak.) According to today's arguably manipulated markets, gold silver ratios (GSR) are around 50 to 1. If the world decides fiat is not the way to go (which is showing signs of support due to currency easing around the world) we could see a major correction in the price of silver if the world goes back to a gold based monetary system.

All the above in combination with possible silver downward price manipulation by the fed and bullion banks may cause silver to be the buy of the decade. Many may say I am a conspiracy theorist, to them I say "to each his own"

There is plenty of evidence to support my theory of Silver price manipulation.

1. The fed has sold all of it's strategic silver asset holdings long ago.

2. Silver has been going down in value as the dollar is debased to create the illusion of no investment value and to prop up the perceived value of the dollar.

3. Worldwide demand for silver is increasing as southeast Asia see's it's true value as an investment and a way to protect wealth.

4. The major holder of bullion on the COMEX is JP Morgan, they benefit by holding a short position on silver and harvest great hoards of wealth by hedging this short position and making low PoS happen with algorithms.

5. There is not enough physical silver on the COMEX to cover the amount of ETF (paper silver) in event of a physical silver delivery crisis.

6. Eventually silver will not be able to be manipulated any lower and a limited supply of physical (thanks to stackers like me) will cause a delivery default on the COMEX. This will cause an asset bubble to form as the banks call force majeure (default on physical silver delivery)

IMO after we see a huge price increase and then an asset bubble pop in physical silver, the price will eventually find it's true free market value which will be closer to it's historic GSR.

Ok pm haters, you may now flame away!

Source: http://www.survivalistboards.com/showthread.php?t=275889

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