freebo

I trust you don't mean GLD?

Thanks for the info BTW, and thanks to TE, guess you where a trader at some point?

Turban Explorer

Malthus has been wrong time and again but if you factor in the big predicted climate shifts he might still be proven right - also keep hacking down forests for more land don't we accelerate the process as the carbon sinks disappear? My money is probably still on the fence but the more regurgitated synthetic slop we all eat the better. Actually maybe Australia is actually progressive and avant garde in this!

ozzieeagle

As long as you've got water... Carbon is good for plants, makes them grow quicker.

Thats why dope growers use cannisters of CO2 gas on their indoor crops.

renth

I'm not in GLD although I have exposure to gold in a broad commodities ETF.

Turban Explorer

Yes. An old career many moons ago before the yacht and the sunsets! IPE for four years and after freight derivatives

NedKelly

I just did, excellent and an eyeopener. The question is, how do you make money from knowing it?

renth

I reckon go long commodities especially silver and gold... or to be more precise should have gone long a year or 2 ago.

Fact it no one really knows how long the commodities bull market will last and there could be a huge pullback if and when Ben Bernanke turns off the "free money" spigot.

NedKelly

For someone who has their assets denominated in Australian Dollars, going long commodities doesn't necessarily work unless you pile on the leverage. If you look at the price of Gold in Australian Dollar terms it has actually dropped over the last two years. Had you purchased gold at it's low of mid 2009 you would now be up about 20% which is better but not fantastic. Inflation will have eroded some of that. I think the focus now should be preserving what you already have rather than making a killing and that is the reason I would now buy gold and silver. If we get rapid inflation which seems to be the obvious outcome then holding gold & silver would just preserve your wealth.

freebo

Agree the Crash Course is very good & Chris Masterton's site often has good info on it. Gold has kept pace with the Aus $ pretty well, but you need to ask yourself which will maintain its value longer, of course its a matter of opinion and your conclusion may be different to mine. Also Gold & Silver minings shares tend to outperform the price of the metal, one approach is to buy a unit trust which invests in a variety of miners. I'm not recommending anything just giving opinions/options.

Another Video I found interesting -



EDIT - I see the CM Vid is not the full crash course but an updated talk with some reference to it, will make sure I watch it thanks

renth

You can always open an account with a broker that allows you to trade US$ denominated assets like futures and most ETFs, but then you do have the currency risk too.

If you are talking precious metals then really there is only one way to go - physical and yes, probably better to look at it as insurance.

However, if you start to look at silver's fundamentals then there is a chance it will fly much higher. Potential is still there to make a lot of money with silver. Loads of upside, just my opinion though.

freebo

Mine too, and Silver is now in total backwardation - several theories as to what is causing this.

Although cotton was the best performer last year I think.

NedKelly

Silver is in backwardation because there is a front end squeeze. This is because everyone wants physical delivery rather than a piece of paper.