Thursday, October 07, 2010


I will never profess to being the smartest guy in the room. In fact, that bit of humility separates me from my past liberal lifestyle where I always knew I was the smartest guy in the room.

So given that I'm not the smartest guy in the room, I always observe and try to emulate what the smartest guys are doing.

So if you are looking to get rich, you typically don't follow the path of you average homeless dude. Right? You do what the rich people are doing.

Right now the rich are buying gold....... Lot's of gold.

The rich may be different from you and me, but they are not immune to the charms of gold. At a time when advanced economies are in a race to devalue their currencies, private bankers are reporting booming demand from their well-heeled clients for the metal that is no government's liability. Is this surge in interest part of a considered strategy to preserve wealth, or are the rich simply responding to gold's impressive price momentum?

Buying gold ... by the tonne!
At a time when the trailing 10-year total return for the S&P 500 remains negative, it's certainly difficult to ignore an asset that has returned nearly 400% over the same period. One UBS private banking executive reported that a wealthy couple purchased a tonne of gold -- worth more than $40 million at the current market price!


& More....

By the way gold closed at $1345 yesterday. I bought a couple of Krugerrands last year at $975 so it's working for me.

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