Some investors are so worried about the prospect of economic collapse that they are buying gold and having it delivered to them, rather than holding the precious metal in the form of futures contracts or other securities. That’s the conclusion of a recent article in the Wall Street Journal.
Perhaps more interesting, however, was the informed discussion that followed on the WSJ’s site, in the “Comments” section.
“Why place your trust in paper that is printed by the government?” asks reader Linda Hawkins. “Gold has been serving as money much longer than governments have been printing fiat currency. The risk is that the government may print so much of it, that we end up like Germany in the 1930s, or Zimbabwe right now.”
Gold, as commenter Avery Goodman went on to explain, “is not bought for “end of the world” planning. It is bought for preserving wealth when the financial system is working incorrectly … People are buying gold to have a thing of value that has no counter-parties, and, in that manner, protect themselves from a collapsing financial system, and a probable depression and/or hyperinflation.”
I particularly liked that point about gold having no counter-parties. That is, of course, assuming we are talking about real physical gold bullion, not about paper or virtual gold like ETFs. I have blogged over on my personal site before about the dangers of investing in GLD ETF, and – for that matter – other commodity ETFs. Journal reader Alex Vasilyevich points out: “I personally believe that the gold short trades on COMEX are not backed by any physical delivery capability. If there is a sudden spike in the deliveries demanded by buyers, the game will be exposed, just like what happened with Madoff and Stanford.”
Of course, regular Q Wealth readers will see nothing new in this discussion, but sometimes it is reassuring to know that even the mainstream financial press reports and respects our views, and that onshore Gold dealers in places like London and New York City are doing a roaring trade. It follows on from the article in January in London’s Daily Telegraph about Why the Rich are Running to Gold Bullion.
We do take matters one step further, however, by suggesting international diversification for your gold bullion holdings. Why? For example, there have been many rumors that the US might once again prohibit private ownership of gold, and confiscate – or, purchase at an artificial exchange rate – existing gold bullion held by individuals onshore. The same applies to many European governments, some of which only legalized private gold ownership in the last decade or two.
There’s also the important matter of how to buy gold bullion. Most gold sales go through a cartel of international bankers and precious metal traders. It is however, possible to go direct to the source and buy pure gold direct from the producers.
All these aspects of buying gold offshore and more are covered – together with step-by-step practical instructions and contact details – in the new Gold Report – otherwise known as How to Buy and Hide Gold Bullion Offshore. Of course we must stress what we are suggesting is a perfectly legal form of offshore asset protection. Unlike bank accounts, or ETFs held through brokerage accounts, real gold bullion is not subject to reporting requirements. If you want to keep it secret you can – legally. That personal and financial privacy aspect is just one more reason why we are so bullish on gold bullion right now. It is a secure, private store of wealth management with a view not just to asset protection but to really creating wealth in a secure, offshore environment. And that is what The Q Wealth Report is all about.
Would you like to obtain your copy of The Gold Report while the unique information in it is fresh and bang up to date? Well the good news is – it’s FREE. It’s available for download right now in our Members’ Area. The bad news, of course, is that you have to be a member to access it. But a membership still costs just $87 per year and brings numerous other benefits. What are you waiting for? Join Q Wealth today!