Which Metal & Bullion Products Are Best For Your Needs?

Silver vs Gold ➤➤➤ Your Metal Percentage Mix?

I have an important question for you.

Quick, get a piece of paper and write down a no more than 100 word answer to this critical question. Don’t worry, I’ll wait right here and I’ll actually do the same thing with you.

We can then compare notes.

Ready, go!

Question:

Why are YOU interested in silver and gold bullion?

Stop reading. Write your answer down!

O.K. – I can still not assume you have written your answer down.

If you didn’t write your answer down…. you will meander aimlessly through this greatest gold and silver bull market so do yourself a real favor. Take a minute for yourself and complete this exercise.

Again:

Why are YOU interested in silver and gold bullion?

Here’s my answer to this brief assignment:

I am interested in silver and gold because they have proven themselves throughout history to be the best asset class when markets / banks / sovereign bonds / governments / paper currencies default or devalue. Like in the highly inflationary periods of the 1970’s or in Argentina’s currency devaluation circa 2001-02, I not only want to retain my purchasing power, I want to enhance it. I believe silver and gold bullion will be the best investment vehicle to do just that.

If you analyze my rationale, it’s pretty simple. I not only want to keep what I got, I want it to increase its value. In essence, I am averse to loss (gold) and I am ambitious for gain (silver).

No matter the media nor paper price propaganda we are experiencing in the short term, ultimately gold is the anchor of the financial system. Gold is steady and it is reasserting itself on the world financial stage. I remain highly confident gold will help me retain my purchasing power so I have converted approximately 20% of my “fiat currency to bullion allocation” into physical gold bullion. Later I will discuss what types of gold bullion products I buy and why.

As for silver, I believe I’ve covered pretty well by now the no-brainer opportunity we have going on when a precious monetary metal is being sold physically at prices lower than the average cost to dig it out of the ground (as of writing this report… you can get physical silver bullion for less than $19 an ounce). I have converted about 80% of my “fiat currency to bullion allocation” into physical silver.

Again later on, I will discuss what types of silver bullion products I buy and why.

As for the percentages I choose…

Question:

How old are you?

I’m 34, I believe (God willing) that I have some time remaining in this plane of existence. It is my lifespan expectancy with allows me to be more aggressive in my majority allocation to silver bullion.

Based on the most recent data available….

Of all the 35-year-old non-Hispanic, white males alive today in the USA…

  • 99% will live to 40
  • 96% will live to 50
  • 89% will live to 60
  • 76% will live to 70
  • 52% will live to 80
  • 35% will live to 85
  • 18% will live to 90
  • 6% will live to 95
  • 1% will live to 100

Source: CDC

Now if I were 68 years old hitting my golden years, I’d likely flip that allocation to 80% gold bullion and 20% silver bullion.

Question:

How important is YOUR ability to transport YOUR stash?

If you want to be able to get up and go, there is nothing better than sovereign gold coins with legal tender face values. I will explain more on the whys later. For now, let’s do a quick thought experiment.

Let’s say I was an older retiree living in a place that is Earthquake prone and God forbid, the big one hits. Somehow I got away alive but we’re talking a game changing forced relocation devastation. In order to get to my new place I have to dig up my bullion stash and boogie through lots of dangerous traffic, potential checkpoints even.

If my original $100,000 stash was comprised of only gold coins, I’d have 4 tubes of 20 coins a piece. Something I could hide in my belongings… say an empty pair of boots with 80 gold coins stuffed into the toes. Easily moveable, hard to find, difficult to jack.

If my original $100,000 stash was comprised of only silver coins, I’d have 250 tubes of 20 coins a piece. In other words, 10 cases containing over 40 pound, 500 oz allotments of silver. Each case being big enough for a pair of men’s boots. Not easily moveable, easy to make a scene with.

One metal is not better than the other, I am simply pointing out the differences in size, weight, and transportability.

The next article in our Beginners’ Guide to Buying Physical Bullion will discuss private vs. reportable bullion transactions.

» Private vs. Reportable Bullion Transactions

All Market Updates are provided as a third party analysis and do not necessarily reflect the explicit views of JM Bullion Inc. and should not be construed as financial advice.