It’s a Great Time to Add Gold to Your Portfolio

The flu has ravaged the country this winter. People are dropping like flies, as this year’s flu shot has proven less effective as a variety of flu strains have circulated.

Today, the Centers for Disease Control and Prevention announced that for the first time in its 13 years of monitoring the flu, the continental U.S. has shown “widespread” flu activity.

The impact of this flu season could cost employers more than $9.4 billion in lost productivity, according to Challenger, Gray & Christmas.

But the flu isn’t creating the only shutdown that should concern investors right now. Luckily, there’s a shining star waiting in the wings to soar…

Don’t Brush off This Shutdown

Nobody likes to make a budget and actually stick to it. Washington is certainly no different.

But agreed upon funds to keep the government’s lights on run out at midnight tonight. While the House of Representatives pushed through a one-month stopgap measure on Thursday, the chances of it passing the Senate are looking pretty grim.

The potential for a partial government shutdown is looking strong. And even a brief shutdown could add uncertainty to the market.

Since 1976, there have been 18 government shutdowns, and only 44% of those saw the market close higher during that time frame.

On average, the market has fallen 0.6%.

I’m sure you’re thinking: “But you’re being silly. A 0.6% drop is tiny.”

And you’re right. A 0.6% drop really is… well, just a drop in the bucket. But let’s consider the market’s recent run.

The S&P 500 has gone 394 days without a 5% drawdown, according to Goldman Sachs. That’s tying the longest stretch in the market’s history.

We’re facing an overstretched market, and it’s looking for an excuse to let off a little steam in the form of a pullback.

Under normal circumstances, a brief government shutdown wouldn’t have much of an impact. But we’re not trading under normal circumstances.

Washington turmoil could be used as an easy excuse to take some profits off the table, sending stocks sharply lower.

However, there is one standout this year that could easily weather a government shutdown and a stock market sell-off.

Gold Is the One Stronghold You Need

Gold has enjoyed a stellar rally. After putting in a short-term bottom on December 12 at $1,238.30, the yellow metal has rallied 7.7%.

Over the same time period, the S&P 500 Index has gained 5.1%

Gold is a favorite among investors during times of turmoil and uncertainty.

Load up on Gold Now

Gold has surprisingly outperformed the broad market over the past month, and it’s likely to maintain that uptrend through a potential pullback in stocks.

Should I Buy Gold? Why Gold and Silver Is a Smart Investment Now

Let’s understand first that different investments have pros and cons, and the choices we make are always personalized to our personal circumstances, which include many variables. Some of those variables include the following: investment objectives; length of time to reach your objectives; your risk comfort level; the value of your existing holdings; your unique tax consequences; your potential need for liquidity; and more. Here I named a few things that will lead each of us to our own decisions for our unique situations. Please note that I am not providing any investment advice, particularly in light of what I just mentioned above (I am not a tax, law, or investment professional, nor do I know anything about you or your unique circumstances). Let’s see how gold and silver fits into this picture.

So why gold and silver you ask?

The answer is because it has its place for almost anyone in their portfolio. Let’s review the reasons.

Both gold and silver are universal. That is, they hold their value anywhere in the world, no matter what the local currencies are doing or what the local economies are experiencing. Gold and silver is the world currency, and in fact has been the basis of currency on our planet for thousands of years.

Of the many objectives people have, some invest to build wealth, and others to sustain or protect wealth. I believe it is fair to say that most people invest to either build a financial future or to protect their financial future. Because gold and silver are precious metals, they have the innate ability to hold value – which is perfect for wealth protection. This makes it ideal to sock away a percentage of your investment dollars and to protect those dollars by owning physical bullion. By doing this, you are also building your wealth.

It is true that there are risky investments that can bring you a higher return, but it is also important to note that they are also more likely to bring you large losses. High risk investments have their place (for some people), but if you do venture there, be sure you know what you are doing and be sure to be diversified to mitigate that risk. Again, gold and silver is a perfect place for a low risk investment simply based on the fact it will always hold value by nature.

Another important point is how it relates to the economy and the changing economic conditions. Various economies move up and down the world over. These changes cause all sorts of investment to swing wildly. These changes cause inflation, and even deflation in currencies around the world. Both gold and silver values vary as well, but keep this interesting point in mind: You can pretty much buy the same amount of milk today with an ounce of gold as you were able to by thirty years ago. How’s that for stability! Don’t be fooled by the small swings in value… it is important to realize that both gold and (especially) silver have important roles in commercial use, and those demands do have a day to day effect.

So why is gold and silver a smart investment now?

In short, the answer is uncertainty. There is a great deal of unrest around the world. We have threats of terrorism abroad and at home. We have shifting world trade and power with the growth of China and other growing nations. We have an increasing threat from North Korea. We have a US President who some citizens feel is exactly what we need, yet other citizens are horrified at the very prospect of his presidency. No matter what happens here, the uncertainty is a good reason for having the stability of silver and gold in your portfolio right now.

An additional reason for investing now is the looming prospect some people feel for the implosion of our currency. People who prepare for disaster are collecting gold and silver because they can use it as currency for trading for the things they would need in such a scenario.

Whatever you reason, precious metals can make a great addition to your portfolio or a great way to start your portfolio. Just be sure to learn how to buy the right way, and do it with confidence!

Gold and Silver – Why Every Prepper Must Own It

So you think you are prepared? Or maybe you are in the process of prepping. You’ve thought about food, you’ve thought about water, you’ve thought about security, housing, medical supplies, communication… even transportation. How much attention have you given to currency? If you have already been prepping and working through your options in this area then bravo to you! Are you doing it right?

By currency, I refer to the ability to trade for goods in the even of an economic meltdown or a currency implosion. In short, how are you going to buy stuff?

The answer is easy… stockpile gold and silver as an important part of your prepping plan. There are many other benefits as well… such as preservation (or building) of wealth, currency fluctuation protection, and a hedge against inflation. Both silver and gold makes sense for everyone, but is particularly useful to preppers.

Once you are building your portfolio these precious metals, this is how it goes when in need… you use your bullion to make simple purchases for every day things.

Investing in gold and silver for preppers differs from the investing other people are doing for other purposes. There are two things that differentiate us as preppers that we need to address when buying for prepping…

Important Preppers Point 1: Ensuring we have verifiable bullion that can be used in a wide array of denominations for the varying costs of goods. When I say verifiable, I am referring to buying bullion that other people will recognize as real, and which they will be able to easily understand the value of. As an example, coins (not all of them though) are generally a good choice for this purpose, while gold nuggets or ingots are generally not a good choice. Both gold and silver should be part of your portfolio because gold can be used for larger purchases (and take up little storage space), while silver can be easily used for smaller purchases.

Important Preppers Point 2: Ensuring we have chosen, a smart, safe, and easy way to access and store our bullion. It should be obvious that all preppers must own physical gold and silver (which, by the way, I think every buyer should do), but it may not be as obvious to think about how and where to store it. Your storage options and choices can make all the difference of having access to your gold and silver when you need it.

The content of this article is important! To sum up its importance, just remember that we must have bullion that can be recognized by others as real and genuine, we need to have small enough denominations to purchase low-cost items (such as bread), as well has higher denominations to easily facilitate a larger transaction (for say, a horse). Lastly, we need to ensure we have a safe, easy to access place to store our gold and silver so that we can reach it in time of need.