Do Gold and Silver Stand for Being a Winning Investment Choice?

By  

A question that I have been asked frequently.


Frankly speaking, I don't know!
Analysts are talking about a definite collapse of currency system in the near future.
Financial Market experts are urging people to put their money in precious metals in order to defend themselves

from the coming hyperinflation.
Precious Market players assuring that the move to gold system has already began in the wake of weak confidence in

the principles of currency system.

Oh, Really!
Negative Interest Rate is hitting banks and case of depositors bailing-out banks is becoming an adoptable model.

Am I an idiot or what to start stacking yellow blocks because of panic!
Okay! I will not take more of your time but will try to clear the picture for you in the following couple of

lines.

Rule 1: as long as currency note, which we use to buy things, constitutes faith in our minds, gold coin will

continue to symbolise not more than belief in our hearts.

Rule 2: as long as currency system is sailing, choosing precious metals remain a questionable investment option.

Rule 3: as long as income stream is visible by most of us, capital gain will always be a difficult thing to

recognise.


What am I talking about? Am I contradicting myself?!
Not Really! I am serious enough to share with you my experience.

Gold and Silver can not become a tradable currency until and unless they get transformed from belief to faith.

Such transformation can not happen until the model of banking system with currencies is replicated in a form of

Vaulting Network with bullion bars and coins.

But the question is what do pieces of gold and silver currently represent?

Okay! it is a simple question and can be answered by comparing the conditions of Good Standing of a bank cheque to

the ones of a bullion bar!

Good Standing conditions of a bank cheque:

origin of the blank bank cheque
worthiness of bank cheque drawer
financial capability of drawer's bank
Good Standing conditions of a gold bar:

origin of the raw gold
worthiness of the gold bar producer
financial capability of liquidity maker
When a bank cheque is cashed at its face value or below, similarly gold bar is also sold at its metal value or

less.

As a conclusion, what you do hold now in a form of gold and silver pieces are in fact private cheques!

My dear friends the above is called skilled investment approach, and it is my pleasure to share my personal

experience with my readers. I take this kind of job in general and investing in precious metals in particular as

an enjoyable hobby. I hope you also enjoy reading my brief articles and get some beneficial knowledge.

Thanks again for your time and will be more than happy to answer your questions or discuss your investment plans.

Abdul Rahman Ghalayini
Email: abedghalayini@gmail.com
http://www.fourmetalsmarket.com/4mmblog/

Article Source: http://EzineArticles.com/expert/Abdul_Rahman_Ghalayini/839556



Article Source: http://EzineArticles.com/9402119

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