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Where Do We Put our Money?

by Silver Coin Guy on February 12, 2015

Investing in 2015Looking ahead at the rest of 2015 one has to wonder where they can put their investment dollars in hopes of a reasonable return.  What are the options:

Cash – you can stick in a bank and earn anywhere from 0.60% to 1.0% on your money.  Not only pathetic but once you factor in inflation, taxes and fees…say an overdraft or two, and this is a guaranteed way to lose value over time.   Even in a 5 year CD you’d be lucky to earn 2.5% and again, after inflation and expense you end up behind.

Stocks – Pumped up by QE and the FED and cheered on by the main street propaganda machine stocks are currently at an all-time high, which might make them seem at first glance like a good bet to earn some appreciation on your investment money. The problem, there are a few flaws in this plan.

Factor in inflation and the ever present taxman and, averaged over the last fifteen years you’re still behind. On March 24, 2000 the S&P 500 peaked at 1527.  As I write, on Feb. 11, 2015 the S&P 500 closed the day at 2068.53, a gain of 35%.  Impressive. Now let’s factor in inflation, which has averaged over 20%.  Plugging 1527 into the inflation calculator at the Bureau of Labor Statistics Inflation calculator and we get…2099.28.  This is before we subtract any capital gains taxes and of course the ever present fees.

Stocks are a sucker’s game.

Bond’s – Bonds have the same problem as cash in the bank – low yields.  10 year treasuries are currently yielding 2%!  That’s 2% for sticking your money with the Government for a decade.  Sure, your investment is arguably safe.  Certainly safer then investing in Euros or gambling in Vegas, but in light of the risks your money will be exposed to over the next ten years that’s a paltry return.  And if (when) interest rates rise your investment is going to be crushed. Again, a sure fire way to lose money.

Real Estate – Everyone’s favorite investment.  In fact, real estate has created more millionaires than any other asset class yatty yat yat ya.  Real Estate is in a bubble brought on by massive money printing and speculation.  In other words, real estate is poised to take a beating just like it did in 2007-2008.  Now does not seem like the time to invest in real estate.

So where do you put your money, especially the money you want to keep safe.  Well, seeing that this is a website extoling the virtues of investing in silver and gold you might guess that I’ll suggest exactly that and you’re right.  It’s my opinion, and this is certainly not investment advice, that putting away a chunk of money in precious metals, mostly gold but some silver as well, is a very smart strategy.

Precious metals may fall in value, just like every other investment listed above, but it also may rise.  In addition, if you buy physical gold and silver, meaning coins, bars or bullion, you have tangible wealth you can hold in your hand.  There is value in that. To Invest in Silver Coins click here!

And unlike any of the other investments there is no counterparty risk with gold or silver, which means you’re not relying on the good faith and credit of anybody.  All you need is the gold.

Do yourself a favor in this crazy world today and protect yourself.  Protect your family.  Protect yourself with gold and silver coins.

(c) Can Stock Photo

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