Customer Reviews

Portable Wealth: The Complete Guide To Precious Metals Investment

5 star:		(10)
4 star:		(1)
3 star:		(1)
2 star:		(0)
1 star:		(1)

 

 

As I said in my book, The Offshore Update, published by Eden Press:

Of all the financial experts who have demonstrated literary talent, Adam Starchild is perhaps the least appreciated. This is unfortunate because Starchild is not only a lucid writer -- he is also a credible and conscientious reporter working in an area that until recently has belonged in the same chapter of financial literature with Fort Knox, Howard Hughes, and the Gnomes of Switzerland.

Several powerful reasons exist today that completely change the old way of thinking about gold (and other precious metals).

1. The crisis in Asia clearly shows the ultimate outcome of credit expansion. The U.S. economy lives and breathes on low interest rates, easy credit and loose money. Mortgage refinancing, consumer credit, margin debt, leveraging, and credit cards heat up the economy and encourage speculation and overconsumption.

2. Shocking structural changes in the foundations of the U.S. economy have enhanced the need for gold. Low savings, low investment, excessive leverage, disastrous liquidity trends, trade deficits, high speculation and astronomical public and private debt are a vew of these revolutionary changes.

3. Mainstream financial advisors and economists scorn gold to the extent it has become the premier contrary opinion investment of all time. In the debt- and deficit-ridden countries such as the U.S. and Canada, many people commit their funds exclusively to stocks and neglect hedging with gold.

I purchased this book mainly because of it's high Amazon feedback rating. However, I was a little dissapointed. Although Starchild covers some good background history of precious metals, I felt his analysis was a little shallow. First, Starchild's argument that precious metals are a deflation hedge is controversial. Government's fixation of gold prices during the deflationary 1930's supported gold prices. Second, Starchild makes strong statements such as that silver prices can't go lower because they are already so low. Well just because something appears cheap does not mean it can't get any cheaper. We learned that during the tech stock meltdown. Lastly, Starchild has absolutely nothing negative to say about the subject. Everything is positive. There is no section covering pitfalls of owning or purchasing precious metals. I believe the volatility in precious metals make ownership of precious metals riskier than most investments and an assessment of risk needs to be addressed. Overall I felt this book did not a give a critical analysis on precious metals.

"You have a choice between the natural stability of gold and the honesty and intelligence of the members of government. And with all due respect for those gentlemen, I advise you, as long as the capitalist system lasts, vote for gold." -- George Bernard Shaw

Upon closer inspection, I believe the reviews were rigged.
The feedbacks look awful suspicious. Note that no positive reviews have have an identity, it just says "a reader". Secondly, the reviews have almost nothing to do with the contents of the book itself. The reviews are most likely an "advertising" ploy. Third, is the unusually high, "so and so found the review helpful" ratings. If you see my other review, you can see it is a bit more objective than the other reviews. I should have given a lower rating. I can't believe I was tricked into buying this book!

Alan Greenspan was an avid, devoted fan of Ayn Rand and knew her personally. Greenspan is one of the original goldbugs, believing in sound monetary policy based on real value. However, Greenspan is politically astute and realizes that getting America back on a gold standard is an uphill battle. Yet he continues to plant the seed. Last May, he told the House Banking Committee: "Gold still represents the ultimate form of payment in the world. Fiat money in extremis is accepted by nobody. Gold is always accepted." Three years earlier, he told a research institute audience: "The experiences with paper money during the Revolutionary War were decidedly inauspicious. 'Not worth a Continental' was scarcely the epithet one would wish on a medium of exchange."

Greenspan is certainly not among the "perpetual prosperity" junkies who dominate today's financial scene. A child of the Depression, he became President Ford's economic advisor during the financially troubled mid-seventies and was first named to his current job just months before the stock market tanked in 1987. Perhaps these experiences shaped his single-minded hostility against the evils of inflation.

Knowing this, it's hugely significant when this man who shapes the economic destiny of America feels moved to leave the stock market. His annual financial disclosure filing last spring revealled that he had liquidated all his equity holdings and moved his considerable wealth into "safe haven" investments. Given his record as a longtime goldbug, you can read into that what you will.

This seems to be very much the time to read Adam Starchild's Portable Wealth, to pay attention to his message, and to follow the step-by-step practical and permanent techniques he recommends. Dr. Starchild didn't just come on the financial scene -- his sound financial advice has been helping readers for over 25 years now.

"Gold were as good as twenty orators."
-- William Shakespeare (1564-1616)

Congress is spending money based on a boom as we move towards a bust! A crisis could create dollar problems while the euro and yen are also fundamentally weak. This would create currency instability leaving few stable avenues. Precious metals still retain all the features of real money. History suggests it is time for a rise in gold. When the yellow stuff goes up, silver usually follows.

This is one of Michael Hyatt's recommended books for a Y2K library. It is a good book in its own right, but is of little use to those preparing for Y2K.

This small volume covers the history, market forces, sources and uses of the 3 major 'precious metals', along with a summary of the ways to invest in them. As such, it is a useful tool for those investors who wish to follow the common wisdom to maintain some of their resources in precious metals.

However, many of the methodologies involve not actually receiving the metals you invest in. These methodologies are of questionable safety if Y2K affects communications, records, transportation or the viability of the holding companies.

Well, what have we here? In the last 2 weeks, gold has been in the news more than Alan Greenspan! Although analysts can't pinpoint any single reason for the most recent surge, which has driven the price of gold to an 11-month high, there are a number of things that appear to be contributing factors: (1) The Royal Bank of Canada Dominion Securities Gold Analyst raised the estimate for the spot price of gold from $275 to $300. (2) There seems to be a short squeeze caused by a story that a large Australian mining company may declare bankruptcy. The company in question has profitable gold hedge positions in place and may be buying the contracts back right now! (3) The series of cuts in U.S. interest rates this year has prompted worries about a revival of inflation (which historically drives the demand of gold). (4) Distrust of the equity markets.

I found this book to be very helpful in understanding the historical context, and then in learning how to use gold as an asset allocation tool to help diversify and protect my stock portfolio, but best of all was the direct practical advice on how, who and where to go to get things done in making gold investments economically.