Last night Susan and I went out to dinner with friends. They brought along two couples we hadn’t met. Both of the men were very wealthy and retired. Both were from Canada. They lamented how horrible the Canadian health care system is, and how you have to wait for months and months to see a doctor – or if you end up in the emergency ward of a hospital you can expect to wait for up to 10 or 15 hours to see a doctor. They said that the quality of care was excellent, but you could die waiting for it. Of course, if you had a lot of MONEY, you could by-pass the system and get US-type care, but only the rich had access to it.
They said American’s are about to experience just how awful the new Obamacare health care really is. They had no ax to grind, but made the point that socialized medicine is a bad, bad thing for all but the very rich. The high tax rates and socialized medicine (sound familiar?) drove them out of Canada and into the US. They are saddened to see what is happening here now.
Neither of them had ever considered owning gold or silver, but after one of my “lectures,” one of them replied, “I think you are on to something. What you say makes sense.” He asked me for my business card.
Things really are different now – wealthy people who would never consider gold and silver are starting to come around. As more and more of the “top 2%” decide to diversify 5% or 10% of their wealth into gold and silver, “just in case,” sourcing gold for the average American will be very difficult and very costly. I am running into more and more people who think nothing of dropping hundreds of thousands or even millions of dollars into precious metals. These are first time buyers. After a six months or a year in this market, when they see their investment really starting to pay off, they will become “serious” buyers. A couple of orders from this type of buyer will clean us out of gold.
I’m telling you like it is. It’s one thing for you to acknowledge that you need gold and silver. It’s another for you to step up to the plate and take care of business. The fall of the dollar and the explosion in gold and silver will happen suddenly, not gradually over time. The “gradual” rise is behind us; it has taken place for the past 11 years. The next couple of years will be a game changer and those with enough “ounces” will fare much better that those who thought about it and did nothing.
Here is a picture of Andy Schectman with Cowboy Bill Holter and his lovely wife, outside the restaurant where we held the Miles Franklin holiday party on Saturday night.