Reasons to Buy Gold and Silver

American Gold Eagle Proof Front-view South Bay Gold

American Gold Eagle Proof

The reasons to buy gold and silver are based on uncertainty about the world’s economic security and the stability of governments to withstand market forces beyond their control.

We have all felt the impact of the price of oil. Every day the media reports on a new geopolitical event orchestrated to bring down a society somewhere, whether in the Middle East, Korean Peninsula, Europe, Mexico, or yes, even in the United States of America

With the recent collapse in housing and banking segments of the economy, people have seen once sacrosanct investments whither away, and are waking up to realization that they need to take responsibility for their own welfare. One way to do that is to secure a portion of their assets with ‘real money’: namely, gold and silver.

Historically, gold has never gone to zero value, despite wars, depressions, and other upheavals. Conversely, no nation’s currency which is not backed by gold has survived more than 200 years. Economies based on this ‘fiat’ currency are inherently inflationary, as their governments can literally create money out of thin air, rather than limit the ration of dollars, generated based on the amount of gold held.

This is the financial equivalent of living on the surface of a balloon. While it’s inflating, there seems to be more than enough room for everyone; but when it pops, everything collapses. Many experts think we are now at that point.

The above example is simplistic but we’re sure you see our point. Instead of a total collapse, on many fronts, we are all witnessing a disturbing trend downward in our way of life. Gold provides a way to preserve that way of life.

For years we have recommend1 our clients to own gold and silver, and many have. Unfortunately, most people stayed on the sidelines, waiting for prices to ‘go down.’ But here’s the bottom line: gold really doesn’t go up in value; the dollar goes DOWN. An ounce of gold today has just slightly more real-world purchasing power than it did 100 years ago. Gas and hamburgers were 15 cents, a new house was under $2000, and average wages were well under $1000 per year. What happened? Inflation.

If you believe peace is about to break out across the world, that social unrest is going to go away, the totalitarian regimes will no longer try to acquire weapons of mass destruction, and that greed will disappear from the energy, agricultural and financial markets, then you don’t need to worry and you don’t need gold.

If, on the other hand, you see danger signs ahead and want to protect yourself and loved ones from financial ruin, then you should take action immediately and invest at least 10% of your assets in tangibles like gold and silver.

Don’t try to time this market. Daily ups and downs are inevitable. but the long term trend is up, and prices have been on the march upward for years. Remember, you’re in this for the long term, and with just a fraction of your available money. All investments carry some risk, and you should never put all your eggs in one basket.

Here at South Bay Gold, we provide up-to-date information and recommendations1 that can guide you in your investment choices among a wide range of precious metal products. And remember, we are the refinery. That means it’s time to sell your gold, you can avoid all the middlemen and get top dollar for yourself. Ask your friends and neighbors about us: over 60% of our business comes from repeat customers. There has to be a reason. Maybe it’s time for you to take that first step toward peace of mind. We’ll be here when you’re ready. But there’s no time like the present.

1. The investments and services offered by us may not be suitable for all investors. If you have any doubts as to the merits of an investment, you should seek advice from an independent financial advisor.