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View Full Version : How much to save in gold/silver?




graddium
01-09-2008, 10:06 PM
Hi All,

With the impending economic doom in mind, if you had say, $3,000 - $4,000 of disposable income per month to save and no debt, how much would you put in gold and silver? And would you dump it all into metal, or build up a cash reserve as well?

Thanks,

Aaron

Cleaner44
01-09-2008, 10:16 PM
I would load up on as much metal as I could right now. Silver Eagles can be converted into cash so easily that there is not much reason to keep a large cash reserve. Junk silver is good too. With that kind of money you could get Gold Eagles but they are not so easily used as silver. Storing them is a consideration too.

In the first month I would probably sock away $2000 in cash and then work toward loading up on $5000 in silver and then start loading up on gold.

I would convert the silver to cash as needed and then convert the gold to silver as the silver depletes. Thats just me.

sam1952
01-09-2008, 10:34 PM
I can tell you what I did. I developed a relationship with a local coin dealer. As people brought in metals he would call before shipping it off. I would buy the junk silver coins as i like how liquid they can be. 1964 and lower dimes, quarters and halves. I've also bought ounces of gold this way too.

Buying this way has saved me a small premium. to invest 3 or 4 thousand a month you may have to order from a dealer or one of the reputable online dealers. Oh, and yes to having some cash on hand, couple thousand doesn't hurt.

diesirae
01-09-2008, 10:45 PM
If you have 3000-4000$ in disposable income, you should not be saving it in cash, as other people have mentioned. Gold is at a historic high right now, since it is a common hedge against inflation and recession -- since the threat of a recession has been looming for a while, via flat or inverted yield curves -- it's not readily apparent that it's particularly profitable to invest in at the moment. There are other hedges against inflation, and it depends on what your predictions for the near future are.

First of all, as has been said, silver is much easier to convert into cash if you want it. This is attractive if you are unsure of your cash demands in the near future, or need more security but want easy liquidity. Moreover, you can buy diversified mutual funds which are designed to capitalize on recessionary trends in specific economies -- if you believe the United States is going into a recession, then it would be wise to invest in industries and countries that will weather the storm well. Talk to a financial advisor -- unless you are convinced that all is lost, it's probably more sensible to invest elsewhere, unless you're into speculation in commodities markets.

jonahtrainer
01-09-2008, 11:22 PM
Hi All,

With the impending economic doom in mind, if you had say, $3,000 - $4,000 of disposable income per month to save and no debt, how much would you put in gold and silver? And would you dump it all into metal, or build up a cash reserve as well?

Thanks,

Aaron

In the current market the best place to be is in cash; but not dollar denominated. Many people forget that gold IS cash. Being in cash denominated in gold is the best place currently. In addition, you want to have no counter-party risk between you and your gold. Consequently, contraptions like the ETFs, while they give you exposure to the gold price, are not gold. They are not cash.

Here are some charts (http://www.runtogold.com). Here (http://www.mygoldmoney.com) is the most efficient way I've found to get into cash denominated in gold. I've been very happy with their services.

Fox McCloud
01-10-2008, 12:53 AM
I would invest in silver right now; while the price is going up, it's disproportionate to gold (hey, at least those "evil" insurance companies are good for something, since they're HEAVILY tied in with the silver market, and thus, they meddle with its prices)....so you'll end up making a larger return in the end.

Personally? I would invest about half into "survival" gear, water, other supplies and freeze-dried food every month (check out Freeze Dry Guy), oh and if you don't have a fire-arm, go to a GUN show (no registration) and get a really good one...also get ammo for it (since gun control isn't working, they're now controlling ammo...or letting FEMA buy it all)....I'd invest the majority of the other half into silver....and maybe a couple ounces of gold, down the road.

Also, I'd recommend getting about 6-10 .9999 pure silver coins (I think only Canada offers coins this pure as of now) for making "colloidal silver" (You think the Lord meant for silver to be used only as currency?)...e-mail me if you want to know more about it...I swear by the stuff (also, I'll be more than happy to discuss the supposed "dangers" regarding it).

Also, if you wanted to discuss "prepping" or investing in silver/gold more, contact me, I'd be more than happy to talk about it with you (the same invitation goes out to everyone else too).