Gold and Silver Stocks or Just the Metal?

The answer depends on whether or not you want to make money fast and lose it fast, or make it slowly, but have almost no overall loses. Gold and silver stocks will go up and down fast. The metals rise and fall, but the cost of selling them is so prohibitive, that your best bet is simply to buy and hold through all the ups and downs.

Then when the metals hit your price or you decide you have a better place to rest your wealth, then sell off part of your holdings. Since in my opinion both gold and silver have numbers like $5000 and $200 ahead in the not to distant future, I sell the stocks with the market trends and bank on the metals to keep my coffers full.

The play looks like this.

Convert your FRN's - the name of the paper script coming out of the communist manifesto bank known widely as the Federal Reserve - into gold and silver.
25% of your desired amount of your wealth into gold, and 75% into silver.
Watch the gold to silver ratio as it bounces from as high as 60 (gold:silver), down to as low as 16 or even lower. Now the ratio stands just over 55, so silver has MUCH more upside than gold....

until gold takes over again for a variety of reasons.

Silver may lurch towards $20+ in the next 2-3 months, probably taking the ratio to around 48-50. That would put gold comfortably near $1000.00 Possibly gold will not move as much, but silver is poised.

Both gold and silver will rise beyond levels that we can imagine now, all the while the dollar and the health of the U.S., from political to economic to social measurements will all decline rapidly. Wealth amidst sorrow may be one way to look at it. Prices will rise for everything, but the precious metals will keep our heads well above water, perhaps even increasing our wealth by life changing amounts.

Then silver will drop from popularity and the ratio will spike in golds favor. This is the time to exchange your silver for gold. Among the many reasons to do this - portability of gold as you might want to get out of the land of totalitarian government, massive crime, starvation, crushing taxes, travel restrictions, and gangs. Like Bond with his 50 gold sovereigns, we all may need to parachute into a safer, freer land. Silver will be too heavy, and gold will be more easily converted, even though by then it will be so precious that you might be able to buy a very respectable home with only 20 of your soveriegns and use the other ones to support your staff of 19 year old wives!


Both gold and silver will be your providers, protectors, escorts, tickets to freedom, and insurance against the nearing fiat currency collapse. Knowing when to lean on silver and when to switch to golds monetary shoulders could separate those that make it through and those that thrive on the way to owning far more after the collapse than before.


Pick your security guards carefully..and they will serve faithfully.