Frequently I hear or read about whether or not preppers should buy gold and silver as an investment.
The answer is “yes”, but I thought I’d give you 1 specific reason why.
Simply put, many currencies in the world today are not backed by anything tangible (commodoties, precious metals, etc). In the U.S., and elsewhere in the world, we have a “fiat” (or government controlled) currency, which lends itself to extreme volatility, and specifically, inflation.
Because this type of currency can be essentially created “out of thin air”, more of it can be created at any given time. And the more that is created, the less valuable it is.
On the other hand, gold and silver cannot be created out of thin air anytime that someone wants to. They are limited, finite elements that come from the earth.
And because there is limited supply, their demand (or value) remains consistent.
Offense or Defense?
If you buy gold and silver as an investment, it’s important to understand that doing so is a long term, defensive play. This puts it on the far opposite end of the continuam from speculative investments like penny stocks, or funding a tech startup on track for a big I.P.O.
When people talk about the price of gold or silver shooting up, what is more likely the case is that other currencies are actually plummeting. True, the “relative” value of precious metals has increased, but what has actually happened is that your precious metals have maintained their value while other monies have decreased.
Think of it as more of a protection against a sudden loss of wealth, rather than a tool to quickly increase your portfolio.
With economies all over the world becoming more and more unpredictable as the weeks pass, precious metals are the only investment that remains as strong now as it was the week before, and the week before that. Do yourself and your future wealth a favor and consider even a small investment in precious metals.
Special Announcement: JM Bullion Sponsors The Daily Prep
On that note, allow me to introduce the first ever sponsor of The Daily Prep– JM Bullion. JM Bullion is an online resource for just about anything related to precious metals, and can help you get started investing in gold and silver.
Although there are several outlets for purchasing your precious metals, JM Bullion offers a handful of compelling advantages:
- Low over spot pricing. Better than Apmex or Monex
- No minimum order size. You can buy one single round or $5,000 worth of gold in a transaction-doesn’t matter.
- Cheap and FAST shipping. My order arrived ON the 3rd business day!
- Physically located in Pennsylvania. Not just a company that exists in the interwebs.
- Accessible customer service. I’ve exchanged emails several times with Mike, one of the partners.
- Organized and easy to navigate website.
- Multiple payment methods available(with discounts for purchasing with check, bank transfer, etc)
- Credit/Debit Cards ($0-$3,000 Orders)
- Paper Check/Money Orders/Cashier’s Check ($0-$10,000 Orders)-4% Discount
- Bank Wire ($2,500-$100,000 Orders)-4% Discount
In addition to all this, JM Bullion understands and supports the prepper community. Prior to Mike approaching me about being a sponsor, JM Bullion was a sponsor of The Survival Podcast and Prepper Website–a couple of sites that I know personally and really respect.
I will have more posts about JM Bullion and precious metals investing to come, but for now, just wanted to introduce you to them.
Clearly there are other sites that you can purchase your precious metals from, but if you are serious about investing in gold and silver, definitely check out JM Bullion. You can reference exactly what is listed above, and see if they’re a good fit for you.
More details on JM Bullion and my experience purchasing through them here.