Indeed, Mr Stroctor. There is a strange dynamic going on with US Government bonds. Everybody has been saying for years that they are risky. They probably are, but every time something scary happens in the world many run to them. Who would have thought that the price of US bonds would INCREASE after the S&P credit down grade of the US in 2011?
On the plus side there will NEVER BE another S&P downgrade after the MULTI BILLION dollar suit by the US Govt against them in retaliation. Though many would argue the downgrade was fair (even lenient) the US Govt shot back very very quickly with retaliatory action.
hmmmm... Mr sterling, I did not know that the law suit was in the billions. If that's the case it makes sense that they would never do it again. interesting... What a planet!
Why do I say...because its enjoyable ...who doesn't enjoy stacking !!! Plus I don't want the bank to have every cent I earn...diversifying I love Cheers, HAPPY STACKING
I love stacking too Mr Strocker... That's why I wrote this article about my first silver purchase: http://www.choosingsilver.com/my-first-silver-purchase.html
"Although I have grown attached to my silver coins, I know their purpose is to protect my wealth. They are a means to an end. I will eventually sell these coins. But... only when the time is right." From your last paragraph Charles, I would agree. Had a few 2oz privateers show up today. Couldn't wait to hold them. Money burns a hole in my pocket. Outside my investments , I always feel good about picking some coins up. The money is still there, just a little harder to spend. Can cash em in anytime. Maybe for a lot more.
I started buying silver bullion a few months ago and I don't really know why I am doing it. I took a tour with my family of the Royal Canadian Mint this past summer and next thing I know is I am a proud owner of single 2015 Silver Maple Leaf. Twenty Maple Leafs later along with a few 5 & 10 oz silver bars I am now wondering if this is a stupid idea. I have a list of four Cons and just one Pro for buying silver. So why am I buying silver at $4.00/oz (20%) over spot? CONS: (1) I am confident that the price of silver will not be going up 20% during my lifetime in order to break even. (2) It appears to be a poor return on investment so it won't help me out in my retirement. (3) I am pretty sure that Canadian Fiat money will not go the way of Greece (at least in my lifetime). (4) I am not getting interest plus I pay storage fees. PRO: (1) It feels good to own. OK so I am buying silver because it feels good to own but a big fat bank account also feels good. At the end of the day when I'm old and sick in a healthcare facility, will I be able to buy more incontinence underwear and open-back hospital gowns with my saved Fiat money or with my silver bullion? I am still going to buy silver but I really don't know why. Is there some kind of disease that you can catch from touching silver that I don't know about?
Personally i have had a facination with gold since a young age. Also like JP Morgan stated i also use it as a way to save money.
Unless you are really old or very sick, I fully agree with you only on #4 but I wouldn't bet on the others. Try a bit of gold instead, and you'll feel even better.
Bury a 100 dollar bill and $100 worth of silver in the ground. Dig them up in 20 years. Which one will be worth more?
I more and more find that scary economic news sends me scurrying towards a metal purchase. Perhaps I stack through fear!
Number one has already happened, when Silver shot up to almost 50$ US. Now that it is back in saner territory, i wouldn't be surprised if it shot up again. What has changed since the last time where the world has been more stable and collectively holds less debt? Crickets... Number two is a false premise. Silver and Gold are a store of value, not much of an investment because they pay no dividends. Number three is normalcy bias. I'm pretty sure the US dollar will still be around for a long time too, but i wouldn't bet the farm on it. I look at it this way. After my bills are paid, money set aside for retirement, and i have some cash sitting around. I convert it to metals. I can always sell it to get my cash back, but it takes more effort. Kind of like putting the cash in a piggy bank that is really hard to get out of.
Depending what it is, it might take very little effort at all. I've even sold some little-known-about pieces at a decent profit. Yes, I've had to hustle a bit more to do so, but it was definitely worth my time. Lots of different selling avenues, and probably easier than you think.
That's good to know since all of my efforts have been used on accumulating and not converting back again.
