Paper money in commercials--not the same any more

scottgardener

When I was a kid, before I knew about fiat currencies and the lack of gold backing, I remember seeing commercials that advertised for cars, air conditioning systems, lotteries, and an exhaustive list of other things. If you went with the competition, you were supposedly doing what they would do--set money on fire! Oh, the shock, as the spokesperson pulled out a lighter and destroyed cash before our eyes. If you bought their new car, they'd pile cash back on top of you. Or, you were one bottlecap away from spelling out the complete cola slogan that would pour reams of paper dollars over you like a snowstorm.

Then, in 2008 I got into coin collecting, bought a Saint Gaudens $20, and watched it outperform my retirement portfolio.

Today, I see "Cash for Gold" advertisements everywhere offering to pelt me with paper money for the coin and its new-found friends. Uh, no. I'll pass. But more than that, the magic of commercial advertisements are lost. No longer do I feel excited when Crazy Cash Jones wants to sell me a new Chevy or Hyundai or what-not, at such a rediculously low price that it's just like last week, when he threw reams of paper out the window. Now, seeing these ads just makes me think about Congress and the Fed. Wake me when someone advertises, "if you're not using insulation from Acme Jones, you're burning gold."

Baley

Then, in 2008 I got into coin collecting, bought a Saint Gaudens $20, and watched it outperform my retirement portfolio.

Three years IS an awful long time to track relative performance of financial asset classes for retirement.

1jester

<< <i>Then, in 2008 I got into coin collecting, bought a Saint Gaudens $20, and watched it outperform my retirement portfolio.

Three years IS an awful long time to track relative performance of financial asset classes for retirement. >>



10 years ago I had some money in gold coins. Within the past couple years I cashed out with a 500% return, and put the money into silver bullion. This past year I've cashed out a lot of that silver bullion at another 100% profit and bought a substantial property (considering my own very meager means) and built a brick house with the proceeds. And I am not a resident of Baleyville. Why must so many people disparage stackers and disbelievers in fiat?

Baley

Who's disparaging anyone? Sounds like you bought low, sold high, and bought a nice property. Good on ya!

1jester

Not you, necessarily, Baley. Just that some people are constantly reminding us on this board what a bad investment precious metals are...

Thanks for the kind words, though!

jmski52

Yeah, man! If you have to sell precious metals, do it for a reason and time it right! Looks like you did both! That's what it's all about.

1jester

Thanks! However undeserved it may be. My sales were driven solely by the need to finance something else (higher priority to have my own property/home than money in my central bank), and not by market prices. And in fact, I "timed it" quite poorly, not selling at anywhere near the highs earlier this year. Most was sold in the low $30s or high $30s to low $40s. However, I doubled my money on all that and then some. But it was not on account of any market timing, just luck (or divine intervention - in which case I wonder why He didn't allow me to realize a 300% gain rather than just a 200% gain...LOL).

cohodk

Great job Jester. All assets are for trading and you done good.

scottgardener

I'm not planning on dumping my entire portfolio and buying gold. But, I'm thinking that a healthy percent of it should be more than 5-10% these days. I'm shooting for 20%. Which, at the present rate will happen on it's own if I do nothing but let the European market crisis crash my existing portfolio downwards...

golfer72

You will find that a lot of the people who disparage the idea of owning precious metals have missed the runup over the last 10 years. Is there a connection there?

PreTurb

Regarding the people who are quick to post mocking, condescending, smirky comments - why do they even bother to participate here? If the rest of us are such ignorant idiots, why would one want to be around that? To stroke ones ego? Or to try to relieve some serious insecurity? Do they really secretly wish to participate more in PM's but the husband won't allow it?

highcheese

I for one am happy to see differing views posted on sites like this and others I visit.

I believe one of the most dangerous things that can happen to my decision making process is to live in a vacuum. Opposing views challenge me to think outside my comfort zone. That's what brought me to PMs years ago, a poster challenging my naive belief/trust in fiat and the fed.

scottgardener

I agree that one learns more from opposing views than from those who just agree with you.

mhammerman

"I agree that one learns more from opposing views than from those who just agree with you."

Yepper, not much to be gained from listening to one hand clapping.

ricko

I learn from both sides.... I did however start acquiring gold many years ago.... and have seen the value increase many times over. Even the recent dip does not concern me, considering how little I paid for so much..... but keep on posting.. both sides... it is important to understand the entire picture. Cheers, RickO