Is This The Time for A New PP?

[l82start]

physical gold is not that weird, buy some, and before you know it you will be staring into its shiny surface with a glazed look in your eyes mumbling about my precious..   

(it also has a "value in hand" aspect that no other part of the pp has, which covers you in some potential shtf economic situations)

[I Shrugged]

Push3r,

I too put my money in GLD because it was so easy to do within my existing framework and comfort zone.  I'm talking a big lump sum.

Oh, how I wish I had invested in physical gold and Perth Mint unallocated gold rather than GLD.  I'm not (too) worried about the paper gold and counter party aspects.  More about the bookkeeping and automatically-realized capital gains when they sell gold to pay expenses.  Perth Mint unallocated: buy it and be done with it.  And if the SHTF, you can show up there and get physical gold.  Try that with GLD.

But first buy as many bullion coins as you are comfortable keeping in a safe deposit box.  And a few for home too.  That can be your sell to rebalance inventory.

[I Shrugged]

Tight money, what is that? 

[goodasgold]

Tight money, what is that?

A tight money recession occurs when the Fed deliberately imposes a sharply higher interest rate, with the expectation that this will put a brake on inflation. The result of a tight money recession is painful for all asset classes except cash. Since the tight money recession is usually short-term, when the dust settles the PPer's hoard of cash provides ample "dry powder" for evening out the 4x25 portfolio, in the hope of reaping fine gains as the economy resurges following the Fed-imposed ordeal.

[I Shrugged]

Sorry, I should have put a 

I mean, is there a chance in a million we are going to see a tight money recession?

[goodasgold]

Sorry, I should have put a 

I mean, is there a chance in a million we are going to see a tight money recession?

Well, it happened in 1981, and it could happen again, just as a government confiscation of gold could happen again.