Lux Lucet

Not so very long ago the thought of buying gold and silver seemed unthinkable.  I didn’t know very much about investing,  and the little I did know came from studying my one and only underperforming, large cap mutual fund.  To me, the bond market seemed like foreign territory, so the thought of investing in precious metals was about as  far off my radar screen as it could be.    

That started to change in 2007, when after becoming convinced of the worsening financial condition of the US and the distinct possibility that the powers that be would try to monetize the government’s debts – by monetize I simply mean create new dollars out of nothing by a process the academic frauds who run our nation’s financial institutions call Quantitative Easing, thus destroying the value of the existing dollars in your checking and savings account  – I finally started to seriously consider investing in gold and silver, and over the past three years I’ve become much more comfortable with the metals.  

Maybe you’re like I was in 2007, intrigued by precious metals but unsure whether it’s a good investment.  Does it make sense to invest in gold and silver?  How would I go about doing it?  What dangers should I be aware of?  If you’re asking these questions, that’s ok.  In fact, if you’re not asking these questions before investing, you’re disrespecting your hard-earned, God-given capital.  So before putting any money into silver and gold, it’s best to learn why and how you should buy. 

The key to this is finding a good mentor.  One of the best I have found in the field of precious metals is James Turk.  He’s a  sober-minded investor with decades of experience in finance and precious metals.  I find his writing clear and easy to understand, even for novice investors, and his forecasts of the price movements of gold and silver have been remarkably accurate.  His 2004 book The Collapse of the Dollar and How to Profit from it is a good place to start for learning about the silver and gold markets.  In the first half of the book, Turk makes his case for why the dollar will collapse: it’s a government fiat currency with an unlimited potential supply.  The second half of focuses on gold and silver investing and provides helpful information on how to purchase both the physical metals and also gold mining stocks.  There’s also a disturbing chapter dealing with the specter of government confiscation of not only gold, but also Americans’ retirement savings.  You can find used copies of The Collapse of the Dollar for a few bucks on Amazon or other internet booksellers.  Think of it as one of the better low-cost investments you’ll make in the new year.

Click here for a recent audio interview with Turk by Eric King of King World News.