Friday, November 30, 2012

Ten Commandments for Buying Gold and Silver

Ten Commandments for Buying Gold and Silver

  1. Always take delivery.
  2. Never buy premium if you can avoid it.
  3. Buy bullion for business, numismatics for fun.
  4. Buy silver first, then gold.
  5. Buy small gold first, then large.
  6. Never buy exotic coins or modern rarities or anything you don't understand.
  7. Know your dealer.
  8. What governments can't find, they can't steal.
  9. Never swap bullion coins for U.S. $20 gold pieces.
  10. Never break the law.

Four Bullion Portfolios

Please note that our recommendations vary depending on your concerns and the market. If you want to invest in gold and silver to protect your assets and have something easily divisible and spend-able to hedge currency depreciation or collapse, then:
  • If you have $5,000 or less to spend
    At least half in silver (either US 90% silver coin or 1oz. Silver Rounds) and half in British Sovereigns, French 20 Francs, Mexican Pesos (10, 5, 2.5 or 2) or some other inexpensive, fractional gold coin.
  • For $10,000 buy
    Two-thirds US 90% silver coin or 1oz. Silver Rounds, with the balance divided between a fractional coin like British Sovereigns, French 20 Francs, Mexican Pesos (10, 5, 2.5, or 2) AND Krugerrands, Austrian 100 Coronaes or Mexican 50 Pesos.
  • For $25,000 buy
    Two-thirds US 90% silver coin or 1oz. Silver Rounds; half of the remaining third in Sovereigns, French 20 Francs, or 1/4 oz. American Eagles; and the balance in one oz. Krugerrands, Austrian 100 Coronas, Mexican 50 Pesos, or American Eagles.
  • For $75,000 buy
    Two-thirds US 90% silver coin or 1oz. Silver Rounds; $5,000 worth of Sovereigns, 20 Francs, or 1/4 Eagles; the balance in Krugerrands, American Eagles, Mexican 50 Pesos or Austrian 100 Coronas. (For over $75,000 simply do multiples of this portfolio.)
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