Why Is Silver Tangible Wealth?

Silver cannot be manufactured on a printing press like paper dollars. Silver (and gold) have been an asset and a stable store of wealth for millennia. Other than printed currency, name some items of true wealth you possess. Cash in the bank? What happens if your bank goes bankrupt and seizes all of your savings? What happens when all depositors want to withdraw their savings at the same time, like during the Great Depression, when about 1200 banks closed? You get nothing. If you had silver (or gold) in your possession, it was tangible wealth and not empty paper promises.

And what happens if you miss a few mortgage payments? Your home will be legally confiscated.

How quickly can you pawn your jewelry or you sell your car? Unless you are driving a newer Ferrari, it is a rapidly depreciating item. And even a Ferrari becomes a poor store of wealth when you must pay $25,000 for an engine rebuild.

So why is tangible wealth so important? The U.S. government is printing away your wealth through inflation. Any increases in the money supply helps to fool Americans into believing the economy is doing great, to pay for hurricane damage rebuilding, and invasions and occupations.

M3 reports show that 7-13% more dollars have been printed yearly since 2001. Recently, the Federal Reserve (which is neither 'Federal' nor has any 'reserves') stopped releasing M3 data. What are they trying to hide by refusing to publish M3 figures?

If you had a 1 oz. silver bar, one year from now would that bar contain 7-13% less silver? Wouldn't you rather fight inflation and have tangible silver that cannot be devalued?

Why Physical Silver?

After the 'dot com' bubble burst, tech stocks were nearly worthless and I was afraid of the real estate bubble deflating. So when my friend told me about buying physical silver for what it cost to mine from the ground, I recalled the days of gold running up from $35 per oz. in 1971 -- to $820 per oz. in 1980. He then told me that silver had been in a 20 year bear market and that it would probably exceed the inflationary adjusted 1980 prices in the next few years. When I heard, "Diminished supply and increased demand never fail to increase the value of something," and "Warren Buffet of Birkshire Hathaway bought a large amount of silver in 1997," I had to learn more. History tells us that since the Roman Empire every currency has been inflated into non-existence, a valuation of zero. All world currencies will suffer the same fate eventually, so what to do with rapidly depreciating dollars? They say the smart money is going into gold, and the REALLY smart money is going into silver.

Anyway, after learning the benefits of physical precious metals, I chose to seek information about companies which mined it. If I could not own a lot of physical silver, I figured I could 'own' it in the ground.

Why Silver Mining Companies?

A few years ago my friend, Jason Hommel, informed me that his plan was to invest in physical silver and silver stocks. According to him, the next best thing to owning physical silver was owning stock in mining companies. Shortly thereafter he launched a FREE newsletter, specializing in reporting on the undervalued stocks of mining companies with large silver reserves in the ground. His research shows that above ground silver reserves are likely nearly depleted, because silver is coming to market only as a by-product of the mining of gold, zinc, molybdenum, etc. Few mining companies have directly mined silver for the last 20 years because they can only sell it for slightly more than it costs to extract from the ground.

Anyway, his free newsletter has grown to over 18,000 subscribers and his website is called the SILVER STOCK REPORT. Read his free Ebook, or purchase a monthly look at his portfolio.

http://www.silverstockreport.com/index2.html

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