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Greenspan: Investment in Gold Now Is the Ultimate Insurance

GoldSilver  |

Over 50 years ago Alan Greenspan then under the wing of Ayn Rand penned his “Gold and Economic Freedom” piece explaining the importance of gold. Today In a recent interview with Gold Investor magazine,

Greenspan is now coming out once again championing the historical gold standard.

Dr Alan Greenspan on stagflation, indebtedness, despair and the role of gold

Here are some excerpts:

The gold standard was operating at its peak in the late 19th and early 20th centuries, a period of extraordinary global prosperity, characterized by firming productivity growth and very little inflation

I view gold as the primary global currency. It is the only currency, along with silver, that does not require a counterparty signature.

Gold, however, has always been far more valuable per ounce than silver. No one refuses gold as payment to discharge an obligation. Credit instruments and fiat currency depend on the credit worthiness of a counterparty. Gold, along with silver, is one of the only currencies that has an intrinsic value. It has always been that way. No one questions its value, and it has always been a valuable commodity, first coined in Asia Minor in 600 BC.

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One Response to “Greenspan: Investment in Gold Now Is the Ultimate Insurance”

  1. Don’t put your whole eggs in a single basket!” You’ve most likely heard that over and over all through your life…and with regards to investing, it is rather true. Diversification is the important thing to successful investing. All profitable buyers build portfolios that are broadly diversified, and you must too! Diversifying your investments would possibly embrace buying numerous stocks in many alternative industries. It could embrace purchasing bonds, investing in cash market accounts, or even in some actual property. The bottom line is to put money into several totally different areas – not simply one. Over time, analysis has shown that traders who’ve diversified portfolios often see extra constant and steady returns on their investments than those that simply put money into one thing. By investing in several totally different markets, you will actually be at much less risk also. As an illustration, you probably have invested all of your cash in one inventory, and that stock takes a significant plunge, you will most probably discover that you have lost your entire money. However, if you have invested in ten different shares, and nine are doing properly whereas one plunges, you might be still in reasonably good shape. A great diversification will often embrace stocks, bonds, actual property, and cash. It could take time to diversify your portfolio. Depending on how much you have to initially make investments, you could have to begin with one type of funding, and invest in different areas as time goes by. This is okay, but if you can divide your preliminary investment funds amongst various varieties of investments, you can see that you’ve got a decrease risk of dropping your cash, and over time, you will note better returns. Experts additionally counsel that you spread your investment money evenly amongst your investments. In different phrases, should you start with $100,000 to take a position, invest $25,000 in shares, $25,000 in actual property, $25,000 in bonds, and put $25,000 in an interest bearing financial savings account.


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