Book Summary: Guide to Investing in Gold and Silver – Written by Michael Maloney

This is a great education book about real money. Mike reviews sound money principles that have lasted throughout human history. One thing is consistent and that is Gold and Silver are real money. In today’s world of fiat currencies, Gold and Silver are tools you can use to preserve and protect your wealth. Mike reviews the differences between currencies, real money and fiat money. Fiat currency is basically paper money not backed by anything. We will go into some detail on why this is dangerous and the average investor should at least understand the significance of debased money and bloated fiat currencies. With the 2008 economic meltdown along with Ireland, Greece and other bankrupt countries, we as small investors need to be educated so we can protect ourselves.

Why is this important to me?

This is important because the greatest wealth transfer is happening right now and that transfer is moving away from America and not toward us. This needs to be a priority if you want to protect yourself and your family.

Several things are happening but 90% of the general public does not truly understand it. This is understandable because of the noise between the political bobble heads on CNN and Fox News diverts the real issues. The real issue is this – The Federal Reserve is a private institution that is not regulated and not audited. They control the financial system. These guys are the quintessential king makers running the country in the background. Thomas Jefferson was admittedly against a central bank in the United States. For more information on this subject, you can listen to Ron Paul. He is the congressmen from Texas that is all over this stuff.

The big swings that we have seen from the Internet boom to the housing bust have been a direct result of the Fed. Not many people know this and some will bitch that this is wrong. The Fed has been keeping the interest rates artificially low which spawned the bloated housing market. The relaxed debt to equity and the financial instruments of mass destruction known as CDO’s & MBS’s and other weapons nearly killed the country. Financial education is needed for us little guys to have a chance. Read this book to get your eyes opened. One thing that is not being said in main stream media and is more potent than Terrorism is the following: If the dollar is lost as the world’s reserve currency then our total standard of living will reduce by a minimum of 25%. Right now it is already tough for 85% of American families. Another wealth transfer could put the last nail in the coffin. Get educated.

There is a ton of information in Mike’s book. The history of currency debasement is outlined from every major empire including Persian, Greek, Roman, British and now American. Currency debasement, inflation and taxation are the wealth stealers. If your money is a candle then taxes and inflation are the flames burning at both ends.

1. Ingenuity – I am not a doom and gloom person. I believe in the strength and resolve of the American people. This still does not hinder the fact that we all need to be educated and the only way to change is from the bottom up. There is no way top down government can benefit the country in this light. It is the iron horse ingenuity of the American people that will solve our financial issues.

2. Gold and Silver – Gold has been money for over 5,000 years. Its redheaded step sister Silver has also been known as money. The ratio between the two has been historically 16-1. I have personally seen that spread in the last year go from 80 to 1 down to 30 to 1 and it is back up to about 40 to 1. What this means is that you can by 40 ounces of silver for 1 ounce of gold. Thus silver is $35 per once and Gold is $1,500 per ounce. Now – reality check. Warren Buffett does not invest in Gold. If you have been following any of my book summaries then you know I am a Buffett fan so let’s look at this. Basically Buffett says that if he owned all the Gold in the world then he would have a 67 foot cube of gold (height, width, length for you beginning math majors). He could polish it and kiss it and sleep on top of it. Instead of the gold cube he could have half of the farm land in the U.S. plus 7 Exxon Mobiles plus a trillion dollars in cash. He would rather take the latter as I would. Basically Buffett is arguing that Gold has NO UTILITY. I agree with him. Silver on the hand is different. Buffett has owned silver in the past and still may own some. Silver does have utility because it is used in Cell phones, computers, smart devices and medical gadgets. This is why I love Silver as a means of savings.

3. Cash Flow vs. Capital Gains – We do not want to fall into the great fool theory and invest in Capital Gains. Well in true contradictory fashion, Silver is a capital gains investment. Anyway you need to look at all of you investments in a synergistic approach. This means that we want investments to spit off cash flow but we also want our savings to increase. Robert Kiyosaki states that savers are losers. Translated this means that if you hold onto dollars then you are losing because of inflation and currency debasement. Thus you can hold your savings in Silver.

Now let’s chat about holding “real money” as a wealth life preserver. Note: Get educated, I am not saying go out and invest in silver and gold today. I am saying get educated. I do personally invest in Silver and will continue to do so but it is a very volatile so you need to educate yourself. Also, I am not a financial planner and don’t give advice so please do your own homework. My goal is to simply help you with that homework.

1. Mountain of Debt – This book was written in 2007 BEFORE the subprime crash. Even then the U.S. was buried in a mountain of debt. Since then, the money supply has been TRIPLED by the Fed. Thus that Mountain just became Mount Everest. This happened in the last 3 years and that is why the dollar is at an all-time low in 2011.

2. Unfunded Liabilities – Social Security, Medicare, Medicaid……… These unfunded liabilities along with the mountain of debt just magnify the problem. When you give something to somebody and then try to take it away, all hell breaks loose. Take a look at GM. They had to go into bankruptcy, get a government bailout and renege on all their unfunded liabilities in order to survive. They are now doing pretty well but the little guy lost their pensions and medical care. Get educated my friends. Do not let other people manage your money… The same will happen to the U.S. with the unfunded liabilities. Start planning NOW.

3. Derivatives – We touched on this earlier but in a nutshell here is what happened in the subprime meltdown. Around 100 people sat in rooms and decided to sell MBS (Mortgage backed securities) to investors. The problem was they wrapped up crap and sprayed it with perfume and sold it as triple A rated instruments. The ratings agencies and the leadership of these companies should be prosecuted. What happened was that a 1-2% move in values could wipe out the companies because the Leverage was so deep. These guys were leveraging billions to make tens of millions. There are too many zeros for that to work in the long run. As we know now, it didn’t.

To summarize, what does all this mean? This book and others like it will help you take control of your own destiny. It is recommended that you should hold 10% of your assets outside the financial system. This means that there is no counter party risk. When you put all your money in the bank and there is a run on the bank and it fails, the bank is the counter party. Holding physical gold and silver as real money eliminates the counter party risk.

I hope you have found this short summary useful. The key to any new idea is to work it into your daily routine until it becomes habit. Habits form in as little as 21 days.

One thing you can take away from this book is GET EDUCATED. Please open your eyes and spend a few minutes per day educating yourself. You will be happy you did.

How to Save Beaucoup Money When Investing in Fixer-Upper Houses! 5 Tips on Learning to Make Repairs

Let your knowledge of how to repair investment properties grow like plants in a garden. Follow my tips and you will be prepared to respond to any problem.

Here is how I learn new skills:

Stick to Experts like Glue

Always be there to help when the handyman or contractors do work on the house. Ask questions. Make mental notes of how things work. For example, every time a technician works on my air conditioner, I am right there on the roof with them, I see how they analyze the problems, I asked them what the different components and parts are called, and I ask how to identify other types of A/C problems. Now I know what to look for, and I can do what he did, if the same problem arises.

Take Community College Classes

Community colleges offer a smorgasbord of useful classes for the fixer-upper investor. I have mostly taken classes in electrical wiring, but done some plumbing and woodwork too. The classes are at night to accommodate working persons schedules. No snoozing at the back of class during boring lectures because the classes are focused on hand-on learning.

Start a Library

Take to heart the old saying “A house without a library is like a body without a soul.” I own least 100 books related to real estate buying, selling, repair, taxes, and tenant management, as well as several how-to videos. Every time I am at a book sale, I always cruise the aisle with the real estate books and the aisle with the house repair books.

I have more house repair books than any other kind of book. Before I start a new project, I consult a book to show how the professionals demonstrate how to do it. During a project, when I get stuck, I refer to a book to find the answer to my problem.

Sometimes, when I’m not working on a project, I like to browse though my repair books to get ideas for the future.

Ask Help at Hardware Stores

I have always had better luck getting answers to my questions at smaller hardware stores, like ACE, rather than at the big box stores, like Home Depot. When I was learning to lay carpet, I got some good advise on how to secure the carpet to the floor from a sales person. The people who work there generally seem to have the hands-on experience to offer useful advice.

Internet

This is an area that I often overlook, yet it is potentially the most useful tool to find repair information.

To find out how answers to repair problems, I just type in what it is that I want to do on Google. For example, “I want to change a washer on a kitchen faucet”. Usually several good links pop up that offer solutions to my problem.

When you need help repairing your fixer-upper houses, don’t get frustrated, get prepared!

Tips For Buying Mutual Funds Online

Buy Mutual Funds Online

When it comes to investing, whether it be to save money for retirement or pay for a child’s college education, it’s a good decision to buy mutual funds online. They’re typically safer than purchasing stock, as these funds are actually partially composed of stocks. If a person’s shares in stock were to fail, their entire investment could collapse, whereas with mutual funds, the failure of one portion of a portfolio does not doom the fate of the entire fund. Should you decide to invest, there are a variety of options for you to consider. If you decide you’d rather not buy mutual funds online, you can always go straight to a broker. The following article, however, is about purchasing your funds through the Internet.

Choose A Mutual Funds Company

Your first order of business should be to decide whether to invest in a company, or to put money in an account for trading. An example of a company to invest with is T. Rowe Price; in the case of an account, you can go to Scottrade.com. If you choose T. Rowe Price, you will have access to only their funds, however, this is quite the wide selection. There will be no fees for the funds that you choose, unlike with Scottrade, which does impose a fee, in return for an even wider variety of funds. Once you have decided which company you will buy mutual funds online from, you will need to set up an account. This can be done online, but at some point will need to either wire funds or send in a check to get your investment started. It will also be required that you set up your banking information so that future investments can be made.

Select Your Mutual Fund

Next comes choosing the fund that you will invest in. Before deciding, make sure to carefully go through the fund’s prospectus, or the main goal of the fund. You can read up on the funds through the website of the company you have chosen, or you can browse for general information online. When you buy mutual funds online, finding out about past performance will help you to decide the best place to invest your money. It is ideal to try to be as well-versed in the nature of a fund as possible before you finally make the decision to get behind it. Once you’ve made your decision, all that’s left is to decide on how you will be investing, and finally, purchase your fund. Your options include making a one-time investment, or setting up monthly payments. You will find simple and helpful directions on how to proceed with either option on the website of your choosing.

Effective Intraday Tips for NSE

With the cost of living increasing fast due to different factors like inflation, people are leaving no stone unturned to make an increasing number of income. And, one of the quickest methods of increasing your income is by trading in Indian stock markets. Such profits are an outcome of instability in the different stock exchanges, the main ones in India being national stock Exchange (NSE), and Bombay Stock Exchange (BSE).

However, people trying to make easy and quick money sometimes avoid the probabilities of going through heavy losses that can be an outcome of making impetuous decisions. Hence, all the trading and investment verdicts should be made based on well-studied information. Such information can be obtained in the type of intraday tips and calls, among other choices.

Novice traders as well as investors should know and look for proper help from a specialist and expert resource. There are different online stock tips providers available who are providing very relevant and helpful tips which include nifty tips, intraday calls, option tips, nifty calls, NSE tips, etc.

An individual can simply find different stock tips providers on the internet and evaluate their study, quality of services as well as brokerages. However, these calls and tips can also be provided via emails and SMSes so that you can quickly act upon them and take hold of the chances of highest returns on the investment.

But, before you select a stock tips service provider, you should look into different factors involving their commissions and different charges, their services and the quality, constancy, number of happy clients, etc. As these services are provided online, they have a tendency to be present on a 24×7 basis. With these types of services as well as knowledgeable decisions, your investment portfolio is bound to be reinforced.

Apart from that, a number of frauds scam and outrage surface every now and then in the share market based on the market liquidity and drift. So, an investor should be very careful as well as attentive before trading in these stocks as well as share related markets. Therefore, it is suggested to the new investors, traders and starters in the stock market to perform their transactions according to the rules provided by your stock broker specialists and experts.

To get effective intraday tips for securities exchange is very important; as it can help you grow step-by-step, and help in making you rich so that your cash will work for you in more feasible manner. Different companies are involved into the same and people to understand the importance of it and make your cash work for you in the best way.

CNBC Investing – News on Business

CNBC investing could be interpreted in many ways; it could be that you are involved in trading using CNBC stocks. Well, it is a media entity and you are probably investing your time watching their updates from time to time relative to your business because it is naturally a business oriented news media. Having CNBC investing is a having a guide at which you will be making a decision in your business. CNBC investing almost covers all business entities around the world.

Source for Business Information

The network is a good source on a daily basis on business, they are very informative and you could have smart decisions using their guidance and publications. They are not biased that is why they are entrusted to inform business enthusiast ahead of time the things or scenarios on a particular country where status of that countries stocks are known and the trending of their markets. CNBC investing is purely of business concerns, with less of the other side of the news being of second priority as their slogan would say “first in world business”. Practically CNBC investing is a good source of business news.

People who gets bored with watching business news are people who do not have much concern about business, they may even say it’s none of their business where in fact, business news is suppose to be everybody’s business. Just take a look at what happened to the economy the recent years, the business community went down and it dragged a lot of people affected much of the living conditions. A lot of people didn’t saw that coming, not even some of the speculators in the stock market. A lot of businesses needed to close down, mass lay-offs of various companies took effect it was one of the worst conditions experienced not just in the business world but the whole country and eventually the whole world particularly economies that are tied with the economy of the United States.

Our Involvement

Now, what can we do to contribute to the development of the economy, this would rather be something that many people would say “leave it to the economists” but we are actually a part of it. This does not suggest that you watch CNBC investing news regularly or any other news media pertaining to business. What I am trying to tell you is that we can contribute by spending on what we need and save more for tomorrow; if you can think of something that you can earn from aside from employment, the better. There are times when your country would need you more than you need it, the successes of the individual in a country is also its success, it will not have many money if you don’t patronize what it offers. And how can you buy if you have nothing? Do you have to rely on your country to give you something all the time, think out of the box and improvise on how you would earn more than what employment can offer, CNBC investing may help.