How much physical should one own?

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Fri, Jun 17, 2011 - 6:54pm jrobb316
Joined: Jun 14, 2011

LOL. I actually asked why

LOL. I actually asked why there was no gold or silver options in our 401k. Boy was I green at the time. So, then I asked if they would put in a couple of more mutual funds to reflect emerging markets and natural resources that T Rowe Price has. I even sent links on the T Rowe site. Well guess who didn't get e-mailed or called back about it. She did say there would be no gold or silver options in the 401k. After awhile, I realized I was already on my way to being much more smarter than the internal caretaker of the company's 401k. Man have I learned a lot since that "green" question to our 401k plan caretaker. LOL.

“Gold is the money of kings; silver is the money of gentlemen; barter is the money of peasants; but debt is the money of slaves.” Norm Franz
Fri, Jun 17, 2011 - 8:26pm TheGoodDoctor
Joined: Jun 15, 2011


TheGoodDoctor wrote:


Nice post. I sure wish I understood options better. I get the gist, just don't have the balls. LOL.

Yep I feel ya. The first one is the hardest because you think too much of the chance of losing the money (premium). I feel it is more a tool to not risk as much money as one goes long, because with a margin account going long in a wrong market can cause a lot of damage. Imagine at the moment, if one is scared to go long paper silver because of the euro crisis, debt crisis, ... the best thing is to buy options instead (example call 40 jan 2012). the premium is something you can loose, but that's it. And you don't have to watch it everyday and hedge it like a normal long position. Just buy a nice call or put at a level you feel comfortable and everything is good :)

The best thing with options is, when you're right, it's big bucks!

Sun, Dec 18, 2011 - 12:22am
Joined: Jun 14, 2011

Historically speaking on holding gold or silver

To pay your bills and be considered middle class or a bit higher you need about 30 oz. of silver or 1 oz. of gold per month to buy what you need. I'm sure you could augment those oz. with trade or other items but it's doable to get by on 1 oz. of gold @ $1750.00 in FRNs per month and even $1000.oo FRNs is doable if you are tight via 30 oz of silver. I think silver is undervalued at $30.00 FRNs per ounce and should be closer to $50.00 or more per oz.

Most of you folks work in percentages of investments. I can't do that as a person on SSD. I have to work with numbers of Oz. that can make my basic obligations. While I assume 30 oz. of silver or 1 oz of gold per month is what I need to have on hand. I'm lucky to buy even 5-10 oz. of silver per month.

But no matter what I have seen those numbers hold up historically in deflation and inflation. If you are holding gold and or silver for tough economic times I'd say at least 18-24 oz. of gold or 300-550 oz. of silver should get you through, and given enough time we can all reach or at least try for that goal.

Fri, Jan 20, 2012 - 4:00am Adventures
Joined: Jun 17, 2011

We went with a straight

We went with a straight volume goal of 1000 oz of silver, offset by an occasional gold purchase when the dips and my purchasing coincided. Once we reached our fist goal, the next one was set at 2000oz, which we are still working towards. The first batch was 100% physical in my possession the second batch is paper in order to build up some leverage as we are planning on purchasing an investment property at some point in the future. We do keep about 1 month worth of cash around, but Japan is basically a cash society so you need it for just about everything.