Citigroup receiving bonuses as well; Bill Murphy on Gold Manipulation

AIG isn't the only bailed-out financial firm paying big bucks to managers who helped steer their company to near collapse. Citigroup has pledged millions of dollars in bonuses to senior executives for the next few years, despite lawmakers efforts to eliminate such payments.

Citigroup Plans Big Bonuses Despite Rules Against Them

SVM: Silvercorp Metals Inc.

I just bought stock in this company today.

I highly recommend taking a look at it. It has ZERO debt, and one of the lowest cost silver miners in the world. They have a plentiful cash position and pay a dividend of $.02 per share. They are headquartered in Vancouver but do business in the People's Republic of China. According to their website, China is the third largest silver producing nation with room to grow. It is a high growth play and I advise you to take a look at their website.

Silvercorp Metals Inc.

Hedging against inflation by investing in gold and silver

If you are interested in buying mining stocks, you should seriously look at the companies that make up the XAU index. The link to the XAU index with all the symbols is below. I've also linked to a Wikipedia page listing the percentage allocation of each company that the XAU follows.

XAU Index presented by Kitco
XAU presented by Wikipedia

There is also an ETF with the symbol "GDX" that is traded on the stock exchange. The name of the fund is called the Market Vectors Gold Miners ETF. I've listed the link to their website as well. However, by being an ETF it incurs certain costs and is subject to expense fees. However, these fees are very low at .55% per year. They are also subject to counterparty risk as well.

Van Eck's GDX page

The "GDX" fund is probably the easiest way to diversify with gold stocks as it includes a balance of small, mid and large cap mining companies. If you don't want small caps in your portfolio, then I highly recommend investing in all ten companies that make up the XAU index. However, I do not recommend "GDX" as there is too much risk involved. It is much better to invest in the miners directly without any counterparty risk.

There are also two other funds. Their holdings primarily consist of physical gold and/or silver bullion and are audited frequently. Again, being ETFs there are expense fees but they are relatively low.

CEF: Central Fund Of Canada - Mandated that at least 90% of its holdings must be in gold or silver bullion. Currently it is allocated at 57.7% gold and 39.6% silver with 2.7% being cash and other net assets.
http://www.centralfund.com/

GTU: Central GoldTrust - Holds 95% of its assets in gold bullion.
http://www.gold-trust.com/

Other than CEF and GTU, I would not invest my money in any other ETF that claims to hold or track silver or gold bullion. Many of them don't own the silver or gold bullion in the fund and hold paper certificates instead.

The best way to own gold and silver is to own the physical metal outright. Nothing beats having it right in front of you! You can do this many ways and they include Ebay, APMEX, BullionDirect, and your local coin shops.

Sometimes you need to relax...

Presenting Joe Satriani's "If I Could Fly"

george4title: Californians Scrapping, Squating and Stores Closing Down

VisionVictory: All Roads Lead to Hyper-inflation and a severe Depression

Here is the Gold for Bread Video:



According to http://www.goldgrambars.com/, The value of .1 grams of pure gold is $3.08 on March 19, 2009 (based on $958.50/ounce price).

AIG Bailout? Think Again. Also comments about Federal Reserve and Peter Schiff Video

If you think that the recent $30 billion bailout loaned to AIG was for keeping it afloat, think again. Eliot Spitzer explains in the article linked below that the real scandal is about AIG's counterparties.

It's not the bonuses. It's that AIG's counterparties are getting paid back in full.

The recent media about AIG's rather miniscule "bonus payments" of $165 million pales in comparison to the $30,000 million that remains unaccounted for. Where did THAT money go? Perhaps the recent bailout was a rather "sneaky" way to bailout the entire financial system instead.



The Federal Reserve decided today that it would buy securities totalling over $1 trillion in value. Putting this action in simple terms, it is PRINTING MONEY. Silver was trading as much as 5% down before the Federal Reserve's decision at 2:15 P.M. EST and traded higher when the markets closed at 4:00 P.M. EST This decision immediately proved disastrous for the US dollar, which saw a 3.5% drop today.

Even though the stock market increased nominally today, most investors don't realize that in real terms their net worth has decreased in real terms because of the collapse of the dollar.

The depreciation of the dollar will take many investors unnoticed, and this is only the beginning of an inflationary spiral.

Silver Market in BACKWARDATION

http://goldmoney.com/en/commentary/2009-03-15.html



This is EXTREMELY bullish for the silver market and only adds to the fact that people are wising up. Soon, the banks will not be able to fulfill on their promise to deliver their silver to investors.

While financial companies like AIG continue to defraud the American public and give bonuses to their executives, why not invest in something that is almost guaranteed to go up?

US Mint Suspends Production of More Gold and Silver Coins

US Mint Suspends Production of More Gold and Silver Coins

The paper market manipulation of silver and gold is blatantly obvious and is about to unwind.

GET PHYSICAL METAL today.

Silver Shortage?