Category: Gold

22
Oct
2008

The Big Picture: Gordon Brown’s Golden Legacy

Today’s Daily Mail has a rare picture of the Bank of England’s Gold Reserves

You are looking at the room most likely to weather the credit crunch, a vast vault filled with the final word in financial security: gold.

As stocks and shares tumble, house prices crash and previously unassailable institutions crumble into dust, the sight of several thousand 28lb bars of 24-carat gold stored in the Bank of England’s massive underground

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20
Oct
2008

FT Video on Gold – Gold & Silver Investments’ Flood Interviewed

In a very interesting video about the gold market today, Stephen Flood of Gold and Silver Investments is interviewed by Javier Blas of the FT .

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14
Oct
2008

Will Bailouts Risk Hyperinflation? (CNBC Video)

Government bailouts of the financial system will destroy the dollar, euro and sterling because of hyperinflation, Martin Hennecke, senior manager of private clients at Tyche told CNBC. But Todd Everts, president & CEO of Wall Street Global, disagreed.

“The privatization of the banks is the first step down the road to hyperinflation,” Hennecke said Monday.

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02
Oct
2008

Savers in stampede to safety – the Guardian’s front page today

[caption id="" align="alignnone" width="518" caption="Click for larger (readable) version"]Click for larger (readable) version[/caption]

Yet Gold is off $28 and Silver $1.20 today. What is going on in the futures market?

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30
Sep
2008

”Vault staff are doing a lot of overtime this week” – A view from the LBMA Annual Meeting

Further news about the divergence of the futures and physichal bullion markets.

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25
Sep
2008

‘Hitler’s Gold Grab’

This fascinating, frightening and compelling video details the plundering of Austrian, Czech, Polish and other national gold reserves and the theft of German and european citizen’s (especially the Jews) gold for the Reichsbank.

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Gold was moved to a secret potassium mine in Merkers in Thuringia in the very heart of Germany.

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22
Sep
2008

Forget stocks, gold is back!

Gold & Silver Investments very own David Russell appeared on CNN on Friday:

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29
Aug
2008

Largest Gold Refinery in the World Runs out of Krugerrands

Shortages of certain bullion products is possibly the most important issue facing the gold and silver markets today.

The sole maker of South African Krugerrands, Rand Refinery Ltd., largest gold refinery in the world, today ran out of the iconic bullion coin after an ‘unusually large’ order from an unnamed buyer in Switzerland.

Rand Refinery has delivered more than 46m blank coins over the years since it opened in 1967.

[caption id="" align="alignleft" width="360" caption="South African Krugerrand"]Continue Reading

20
Aug
2008

British Gold Sovereigns – The Preserve of Collectors, Savers and Smart Investors

Gold as Essential Diversification and Financial Insurance

Gold bullion remains an essential diversification and essential financial insurance to have in all properly diversified portfolios. Besides the ever more important factors of inflation hedging and financial insurance, gold is likely to continue to outperform other asset classes and to provide significant returns to gold buyers. Many of the world’s major investment banks are in agreement that gold is again in a long term multiyear bull market. Many believe gold will surpass its inflation adjusted 1980 high of $2,400/oz in the coming years. Citigroup’s former head of technical research and managing director of Yamada Technical Research Advisors LLC., Louise Yamada sees gold on its way to $3,000 within a decade. "Gold is the purest play against the dollar,” said Louise Yamada, Yamada is highly respected and was voted Wall Street’s best technical analyst from 2001 to 2004. Credit Agricole’s (France’s largest bank and the fourth largest bank in the world) brokerage, Cheuvreux see the possibility of a rise to $2,000/oz or higher.

How to Invest in Gold in Preparation for 2,000/oz Gold?

Gold and Silver Investments Limited agree and believe gold will surpass its inflation adjusted high of $2,400 per ounce in the next 5 years. This is why we continue to advocate investors continue to diversify and increase their gold holdings. So, how should one invest in gold? There are many different ways to invest in gold and one’s motivation for buying gold should dictate how one buys gold. Are you a speculator, investor or saver? Are you buying to make a capital gain or as a hedge against systemic risk and using your gold as financial insurance? Is your motivation a little of each? ETFs, mining funds, digital gold, Perth Mint certificates, gold bullion coins and bars in one’s possession and or semi numismatic gold coins are good ways to buy gold. Given the extent of current macroeconomic and systemic risk a diversified precious metals holding makes sense and it should not be a question of “either or” rather a combination of these various ways. Having eggs in various gold baskets so to speak is the most sensible and prudent strategy. As part of this mix, older gold coins should be looked at. Classic European and world gold coinage is an often overlooked but extremely important sector in today’s gold market. Pre 1933 and 19th Century European and world gold coins are an intelligent alternative to modern gold bullion coins or bars as there is often more room for appreciation with these beautiful old coins due to their rarity and yet they can often be bought at bullion prices. [caption id="" align="alignleft" width="150" caption="2006 Gold Proof Half-Sovereign depicting Saint George"]2006 Gold Proof Half-Sovereign depicting Saint George[/caption] Importantly from an investment point of view is the fact that gold bullion and older gold coins are not subject to VAT due to the EU Gold Directive. Even more important is the fact that unlike the other forms of gold investment outlined above, British gold sovereigns are also not subject to capital gains tax (CGT). Thus all post-1837 British gold sovereigns due to them being legal tender and having a legal tender face value are capital gains tax free, which is obviously a massive benefit to investors vis-à-vis other gold investments. The prices of these beautiful coins are only slightly more expensive than modern gold bullion but offer many advantages. Besides not having to pay CGT, other advantages include increasing scarcity, aesthetic value and historical significance. European and British gold coins are recognised as one of the most advantageous ways to invest in “bulk” gold, by sophisticated investors. European, American and world gold coins are bought by both collectors and investors at a small premium to the price of bullion coins. Perhaps the most popular semi numismatic gold coins internationally are British Sovereigns.

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15
Aug
2008

I.O.U.S.A

Few are aware that America may be on the brink of a financial meltdown. I.O.U.S.A. explores the country’s shocking current fiscal condition and ways to avoid a national economic disaster.

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