why invest in precious metals?
We live in a dynamic, fast-moving world where change has become a routine part of our lives. For example, the effects of changing government policies, shifting political alliances and mounting internal and external social pressures can and often combine in unforeseen ways to impact the economic health of our country and that of other nations.
In the uncertain world of the 21st century, the whims and fancy of a select few can quickly alter the economic security, stability and order we have come to expect and take for granted in our free society. In the end, it is the responsibility of each of us, individually, to be prepared for change? recognizes change when it happens? and take the steps necessary to adapt to change when it occurs.
Precious metals are often thought of as stand-alone assets class with gold receiving most of the attention. Gold is widely thought of as a ?hard currency? and a commodity that derives intrinsic value from its relative scarcity. It has withstood the pressures of time including fiscal and monetary policies, and has repeatedly demonstrated its effectiveness as a hedge against periods of monetary inflation.
The long-term outlook for precious metals continues to be favorable due in large part to the expected continues weakness in the U.S. dollar.
The weakness in the U.S. dollar is perpetuated by record high current account and budget deflects that are not expected to subside in the near-term. Investment experts have long-recommended portfolio diversification and that 10% to 20% (and sometimes more) of an investor?s assets should be devoted to tangible assets such as gold, silver and platinum bullion. That?s simple prudent asset diversification strategy. In today?s uncertain political and economic environment, there are many (and very sound) reasons to consider investing in precious metals now.