Thursday, 20 August 2009

Gold Stock or Gold Bullion

There are arguments about whether people should invest in stocks or bullion when buying gold. This is a very simple matter so far as I am concerned. If you have a lot of money to go around then you can afford to buy both, in order to spread your investments.

But if like me you are just worried that our current paper money may lose its value and you want some gold bullion stored away for that rainy day, then please just stick to bullion, and buy gold coins that can be easily sold off for cash, gold bullion bars are much more difficult to sell off and you may even have to sell these at a bit of a loss, if you have to produce proof of its authenticity.

Gold stocks and bonds are speculative investments, gold bullion coins and bars means you have the actual product in your possession or in the vault of your bank. I would therefore prefer to have the physical ownership than speculative certificates that could mean big losses or gains down the line.

Tuesday, 18 August 2009

5 Nigerian Banks: Bosses get the Sack!

What a disaster, these 5 Nigerian Banks most of which were giants in the Nigerian Financial sector now brought to their knees in just space of time.

Most people in the west would not be aware of these banks existence, but they are another result of the current global economic recession now at hand. They are namely, Oceanic Bank, Union Bank, Finbank,Intercontinental Bank and Afribank. The bosses of these banks have been sacked by the Central Bank of Nigeria and 19 Top Executives are wanted for questioning regarding "bad loans" which led ultimately to the hundreds of billion of Naira ($2.6 billion) bail-out.

It can be argued that sacking these bosses seems quite drastic if not draconian, some-one even said if I can remember rightly that the Central Bank of Nigeria Governor has been too high handed and should not have taken this action as it has now caused panic amongst the banks clients. Britain and USA were cited as examples of countries that did not sack their bank bosses.

Maybe the argument should be that the Western government should take a leaf from the Governor of the Central Bank of Nigeria who has had the guts to get rid of the arm of "Untouchable Bankers" who think they can hold the economy of a nation in their hands and use it as a pun on their corrupt playing field.

The hope is that their injection of cash into the banks will help to free the flow of liquid cash into the system and that the panic will die down. A lot of work still needs to be done. But it seems that Nigeria's Central Bank has started cleaning house for the countries financial sector and the Naira may finally start finding its feet in the worlds economy

Monday, 17 August 2009

Gold, Silver and Paper Money: Big Difference.

Gold as well as silver, have incredible characteristics no other matter on earth can match and neither can paper money. There are many distinct characteristics but here are three important ones to start with:-

Gold is a very durable metal, it wont rust, neither can it be destroyed by fire, You need over 1900 F to melt it! And guess what, most of the gold ever mined still exist today! Bank-notes on the other hand are easily destroyed, in actual fact paper money has a shelf life in most countries, especially in the developed world. The old are discarded and newly minted notes are issued and circulated. What gold there is is all there is, no newly made gold is being made today by mother nature.

You cannot reproduce Silver or Gold, people have tried to produce items in other metal forms and pass it off as gold down through the ages, but they have not succeeded. Unlike paper money gold and silver is not printed. It comes in the natural form given it from the beginning of time, that is before man started innovating stuff, and the scales will always catch the fraudulent impostors

Gold is beautiful and also very portable compared to paper money. You can carry a couple of gold bullion bars in one hand. Try doing that with paper money of the equivalent amount!

One other thing, don't forget that Gold and Silver are Internationally accepted, even the US Dollar as popular as it is does not enjoy the same status. Gold is what it is. Lets not put all our eggs in just one basket. Diversify your cash now for the rainy day.

Thursday, 13 August 2009

Gold and Silver: Important Investments

OK, I've been going on about buying gold and silver bullions. This time I just wanted to remind us that even the gold and silver jewellery we buy are important investments.

I was reminded of this by a dear friend of mine who is going through some very trying emotional and finacial troubles right now. I've known her for years and I'm aware of her deep love for collecting any good quality gold jewellery. Well guess what, now that times are hard, she sells her gold off, bit by bit; and is therefore able to pay her important and essential bills, without having to go borrowing. Now that is a good investment.

So if you haven't started thinking about it, please do. If you have, get to the next stage, ask questions find out how you too can start buying and investing in gold and silver so that your savings will be valuable when the rainy days from this financial recession starts to unfold.

Monday, 27 July 2009

Buy Genuine Gold Coins and Bars Please!

Last week I suggested that investing in Gold might be a very wise decision in our present economic climate, as the recession continues to hit hard at our hard earned cash stacked away in bank vaults for that rainy day.

As we all know the value of Paper Money has been weakened tremendously in the west, because of the greed that has fed the financial economic models in the last twenty odd years. We are about to start really paying for this, and the wise ones will make sure that their eggs are not all placed in one basket, namely in Paper Money saved in the bank vaults of our banking institutions.

So lets say you've decided to be wise and start investing in Gold bullions and the like, well one word of advice though, ensure that you buy your bullions from reputable firms and individuals preferably those that belong to the relevant trade associations in your countries. Bullions do not always come with certificates, but if you buy from a reputable dealer or firm you wont go wrong. There are a lot of fakes out there and you do not want to find yourself lumbered with worthless bits of metal someone sold to you as pure gold or silver.

Some reputable associations that dealers belong to include:

BNTA (British Numismatic Trade Association)
CAND (Canadian Association of Numismatic Dealers)
IAPN (International Association of Professional Numismatists)
SAAND (South African Association of Numismatic Dealers)
ANDA (Australasian Numismatic Dealer's Association)

Paper Money Collectors should note that this is not a call to abandon your hobby and paper money investment portfolios, but this is a call to broaden your investments and not keep every saved penny as raw cash in the banks.

Tuesday, 21 July 2009

Paper Money, Gold or Silver?

The current economic climate has made it difficult to continue writing about paper money without relating it to the reality that befalls us all. Life has become very stressful for most. No job, no home and little prospects of seeing the light at the end of this dark tunnel!

So what do you really think! My advice is what ever extra money you have saved up needs to be wisely invested in non paper money investments such as gold, silver, land or property. Things will get worse before they get better and leaving your hard earned cash in a bank as paper money will not serve you well in the long run.

Have you noticed that both banks on either side of the Atlantic Ocean have taken to selling off their gold and silver reserves to keep the price of gold down? Once its all gone the prices are going to shoot up sky high, this will in turn deplete the value of paper money to never before low levels.

The history of paper money in the east is about to repeat itself in the west. Take note and heed the well meant warning. I am not an economics expert but there is a bubble that is about to burst try and help yourself and get something tangible from your hard earned savings. Buy gold or silver now!

Saturday, 14 March 2009

A Few Paper Money Collecting Tit-bits

OK, this is going to be very short and sweet I hope. Still not with it so my presence here is going to be very limited. 

First thing a Paper Money Collector is also known as Numismatist.
Second, a fellow collector just informed me on FaceBook that this is actually a great time to collect paper money. There are good deals out there, so check out this Store   you may find something interesting and valuable at a great price.
I maybe able to provide a list of items available for sale in the next week or so, so if you are interested please stay tuned.

Saturday, 31 January 2009

The Credit Crunch and other Impediments

The Credit Crunch and Other Impediments have made it possible to keep me off-line and not writing for over a month now. My apologies, its been quite a while now. And within the month and a half so much has happened.

For the first time America has stood above racial prejudice and elected their first black President in Barak Obama. The Credit Crunch on the other hand has taken root and become a massive global recession.  The once strong British Sterling is now so weak its standing at nearly 1:1 with the Euro and just a bit over that with the US Dollar. How devastating for us all!
Well with the new President, I say well done, congratulations and now the hard work really begins, these are very hard times and what a burden he carries both for his nation and the world. So much is expected of him, I pray for God's wisdom to guide him, and for the other dark forces to keep off and let him do and achieve the best he can in the circumstances. To the rest of us I say on his behalf, don't expect superhuman results in the days, months and years to follow. Barak Obama is only a human being!

Now the Credit Crunch is another matter, I think the most poignant fact for me is seeing "Wollies" go down. That is the beloved name for the giant "Woolworths" that went into administration over the Christmas period. Many others have followed suit and so many people as a result have lost their jobs and maybe homes.

I must commend the Governments all around the world who have taken action promptly to reduce the massive negative effects of this economic disaster. For one thing the Banks have been saved from collapsing but unfortunately they still think they are financial masters and nothing can touch them. Well they should watch this space. If they don't change their ways, give back to the hands that fed them, help mend the fences that have come crumbling down in the last couple of months and stop over indulging their top directors and managers with fat cat bonuses, then whatever comes crashing down on their heads was brought on by nothing else but their greed.

I know I'm supposed to be collecting paper money, but I haven't done much in the past month. I've instead been taking care of my ill 5 year old, reaching down to my roots to understand the significance of the Obama Presidency and looking into ways to beat the credit crunch.

I know I'm straying but it is the sign of our times as the Credit Crunch and other impediments take up our limited time and resources.