What they tell you is that diversifying in stocks/shares spreads your risk and reduces the total risk involved. What they don't tell you is that no matter how 'diversified' you are in a stock portfolio it's going to get smashed when the ASX crashes across the board (let's say for example, to 4000). You are only removing your unsystematic risk by diversifying in stock, you are still subject to market movements but the firm specific factors are mitigated. For stackers or people who diversify their investments into RE, PMs, Agriculture, futures, bonds etc, they are also reducing their risk exposure to market movements by being in 'multiple markets'. I am of the belief that if a financial advisor was any good he would be taking his own advice and be a billionaire and not a financial advisor.
Goldpanner - you are dead right. The problem is now that those scaly salesmen of 10 years ago are now selling us schemes in banking, politics and in every facet of our lives. They are doing a great job in destroying our way of life and eliminating the savings of those honest hard working and elderly people. I agree that in the past it was the greed factor of the investor that was the catalyst but now just working in the system makes you a victim. When I go to the bank these days the teller tells me - gee you have a lot of money ($10,000) in your account do you want me to organize that you meet with our bank finance adviser. The next time it is the insurance guy etc. The latest B/S scheme was solar panels - some guy tried to sell me 6 solar panels for several thousand dollars with some crappy government scheme to buy back the massive power these generate. You think I got the Snowy hydroelectric scheme on my roof. I am not even sure I can run my kettle off this. But dont worry it will save the planet !!!! My concern is how our society including our government has accepted these snake oil salesmen where the product value is irrelevant, the moral issue is important, the real issue is to fleece you (sorry sheep again).
yes 1/4 is just about the right size, recently I just swap for a 10 oz kooka with a friend here. still in the mail. hope everything went though smoothly, I got the gold from another swap when silver was high. so my conclusion is, buy the cost effective one and the one people are willing to accept when the time for the swap. right now, i still see silver relatively cheap, you know recently gold did not drop, but silver dropped a lot. so on the drop part silver is a better pick. when the ratio is lower, you can own the gold + some spare silver.
I'm with a credit union so I actually know the manager there already, but the tellers who do that at the big banks are just doing the same thing that McDonald's does when they ask "would you like fries with that?" Up-selling sometimes works and it costs them virtually nothing so they make the offer to sell you something else. Who knows, maybe you need insurance anyway.
- I least trust the banks and government schemes! I really dont think anyone is getting us to part with our money for our own benefit!!!?. I dont even have any superannuation! I hate having savings in the bank but I am planning on gradually getting that down to a minimum and it looks like pms is the only sensible alternative at the moment. Yes it is hard to know who to trust so you have to go with your own intuition. I got solar panels as I refused to pay over $100,000 to be connected to the mains!
The government is the absolutely last organization I trust. Our present red head most of all. How is Telstra working out for you? Ready to cough another $12 Billion I invested in a 50KVA diesel generator for work and run it on bio-diesel -fantastic. It cost me $15,000 wired in and it has a 400l tank. It is noise suppressed runs our aircon and has never let us down. I would love to have one at home but my neighbors will probably riot. Solar is just too feeble -good for hot water but not so good for grunt. I had the same problem I was asked to pay $80,000 to get connected. That was my contribution to the transformer upgrade by Western Power. Here in the West there is only 1 power company and boy do they slug you. They were shocked when I told them what to do with their transformer.
Let's just get this straight. We both agree that's it's impossible to pick the top of the market or the direction the market will take. (except maybe for Stella ) Even though you acknowledge this you still advocate pouring everything into the one big silver basket. I've sold half my stack as a risk management strategy. I'm still invested reasonably heavily in silver but I cannot lose on my position. And your warning me about playing the market????? C
Having sold half your stack is in itself a risk. Until such time as you've replaced those lost ounces - you are at risk. Why? simply because i dont believe for one minute that whatever you have purchased with the other "half" of your stack will come even close to performing as well as silver will. savvy??
...as a raging bull there is nothing I don't agree with the above...not saying you should buy at any price but if you sell for profit and don't return the oz's sold, your loosing big time IMHO - if your smart enough and have the balls to sell half to make some coin - good for you plus hats off - but if you don't re stack then you just lost everything you gained plus some - actually lost little less than half...
Ronnie Im in WA too. That $100,000 was a minimum quote it would have ended up a lot higher, I am about 3 km from the main line. My solar power system has been Ok but with overcast day like today I will run my generator for an hour tonight. I have to watch every bit of electricity and even have a watt meter to see where most of my power is going. I think I may have to add a wind generator. My small generator is a cheap Chinese one 6 kva but it is Ok, I actually bought it as a welder/generator and at $1500 it has paid for itself already in the work it has done. I never bought it for power generation but have had to resort to it during overcast weather. I hate the noise and fumes!
"That's if you live in a silver only world." Yep that is my problem in 9 words...either I'll be living on the streets or owning a few...no saying my way is right but I practice what I preach
Goldpanner I am one better - 4 km from the city centre and no power infrastructure. I couple the gennie to large UPS batteries that run my lights and pc's. Can you believe it, my power costs $300 less per month than my neighbor who is on Western Power.
I read an article about someone using his Prius as a genny/UPS... oh and I think he used it as a car too . Makes me tempted to look around for a wrecked Prius just for the batteries
seriously dude... i see attitudes like yours get creamed every other week in the markets.... but its funny watching this train wreck in slow-mo.....
^^^^^ I give her another fortnight before she's all burned out and just another bad memory 'round here!
Got a shit pajero going to the wreckers this month if you're interested. Drives well, but we gotta get rid of it. See, it's red, not silver.
I personally am not a fan of yippee as I find him/her to be too much of a perma bull but I have to give respect just for the sheer tenacity and passion for his/her investment. (But my god the "savvy" still annoys me to no end)
