What is Money & Why Silver is better than Gold

There are 8 primary characteristics of Money it has to be Identifiable, Portable, Divisible, Durable, Homogeneous, Stores Value, Scarce, and Hard to Reproduce , only precious metals and particularly Gold and silver meet all the requirements for being Money , this is true in stable times , but in unstable times anything goes as money as people more likely turn to barter .the reason fiat money is not true money is because it is not scare nor it is hard to reproduce , now they can create fiat currency in banks hard drives with a couple of computer key strokes . ETFs SLV and GLD are only a promise of money so do not confuse them with the real physical gold and silver , there is a 100 to 1 ratio between paper silver and gold to the physical . between gold and silver I prefer silver because silver is cheaper so you will get more silver ounces than gold ounces for the same price , the current silver to Gold ratio is way out of whack in that it should be below 30 to 1 , finally silver is consumed in industry while gold is hoarded therefore silver is disappearing in the land field and is essentially gone forever in relation to industry Silver has over ten thousand necessary uses from healthcare to electronics and the demand will not go away , while gold will preserve wealth in relation to currency that is decreasing in value silver will go up in value because it is both a commodity and an industrial metal , anyway you are better off with gold and silver than with fiat phony money currency




MAKE SURE YOU GET PHYSICAL SILVER IN YOUR OWN POSSESSION. Don't Buy SLV, or Futures or Pooled Accounts or any other BS paper silver product .Remember anything on paper is worth the paper it is written on. Go Long Stay long the bull market have even started yet

James Turk : GOLD $8,000 & SILVER $400 between 2013 and 2015

James Turk : ...well let's step back and look at the long term point of view I am sticking to my long term forecast that sometime between 2013 and 2015 Gold will be about $8000 and ounce and Silver will be about $400 an ounce , the ratio between the two metals will be 20 ounces of silver to buy one ounce of gold , I made this forecast back in October 2003 , obviously when the price of gold and silver was much much lower , the point I am making is that we are in a financial bust and during a financial bust like the one we have been in for several years and still few more years to go people move out of financial assets and move into tangible assets because they are looking for a safe heaven , they want to avoid counter party risk and the safest of all heavens are the precious metals because they are tangible assets with no counter party risk , so for the longer point of view we are still heading into a much much higher , you mentioned the way I approach the market which is to continue accumulating , do not view gold as an investment it really is not an investment because it does not generate cash flow it's really money and when you accumulate gold you are actually saving money and saving money is a good thing , at some point in time in the future we are gonna take these savings and either invest them or we gonna spend them or just continue to hold them , at some point in time in the future gold will be at the maximum and you want to take advantage of everything that you are saving now through the these difficult economic and financial times , in regard to the short term , I am looking for a a pop up in gold price this summer and it relates back to what happen in the summer of 1982 when the Mexican government defaulted on its debt and it sent gold up 50 percent in three months and a double in six months , the circumstance today is very similar , the government ready to default though is not Mexico , it's Greece Portugal Ireland may be even Italy who knows , any number of countries that will be defaulting on their debt and when that happens I think that could really light a fire out of the Gold price so ...be prepared for an upside jump in the gold price this summer ....

James Turk : Gold is a sterile asset

James Turk :...the Euro is not the Deutschmark the ECB is not the DeutschBank once you recognize that and understand that you'll understand the reasons why you need to own gold and silver to help protect your wealth and assets against the tough times that we got coming . James Turk Compares Gold's annual rate of exchange against 9 major currencies : The US Dollar the Canadian Dollar the Australian Dollar the Chinese Yuan The Euro , The Indian Rupee The Japanese Yen The Swiss Frank and the British Pound ....Gold is without a doubt one of this decade's best performing asset classes ...very few years in this table when gold actually lost value against any of these currencies , we had double digits rates of appreciations against all of the world's currencies ...this is a very simple way of preserving your purchasing power just hold GOLD...this rates of appreciations are going to continue...Gold is not volatile , the volatility comes from the currencies...gold is not investment Gold is Money , Gold is not an investment it is a sterile asset cause it has no cash flow attached to it that's why it is money , now there are two things you can do with money either spend it or save it , presently because gold is so depressed you should save it until 2013 - 2015 when James Turk prognosticates a gold price of $8000 an ounce then you can start spending your gold and buy undervalued assets and we will be riding the next boom bust cycle ...Gold does not increase your wealth it preserves your wealth , Gold does what money is supposed to do it is supposed to preserve purchasing power over time , The US is heading towards an Argentine type of hyperinflation



One could argue that with the paper manipulation in the gold and silver markets, holding physical gold and silver will BOTH preserve wealth AND create wealth.


Related ETFs : Ishares Silver ETF (SLV), SPDR GOld ETF (GLD) SPDR GOld ETF (GLD), Powershares DB SPDR Gold ETF (GLD), Newmont Mining (NEM), Barrick Gold (ABX), GoldCorp (GG)