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Category: Gold

Gold hits new all-time high in Sterling

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The gold price today (30 July 2019) has risen to a new all-time high, of more than £1,175 per troy ounce, more than £14/oz or about 1.3% over the previous day. The previous record was more than £1,160, in September 2011.

Jason Cozens, CEO of the fintech company Glint, said: “This rise to a fresh record high in Sterling demonstrates the power of gold to retain people’s confidence when paper currencies are looking vulnerable, as a result of macro-economic uncertainty. The turmoil over Brexit, the decline of the pound, the likelihood that the US Federal Reserve will cut interest rates tomorrow, the probability that Christine Lagarde will be forced to extend Mario Draghi’s quantitative easing programme at the European Central Bank, all underpin this tremendous bull-run in gold. The world’s economies are in trouble, and it is natural for people to turn to gold as a defence.”

Glint’s account and debit Mastercard, which is available in the UK and launched in the USA this week, enables users to save and pay for goods and services in pounds, euros and dollars, and also gold. The Glint card means that “clients can protect their wealth by holding physical allocated gold, and spend it as money,” added Cozens.

 

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About Glint
Glint – Money’s New Standard – is a FinTech that uniquely enables physical gold to be used as money digitally, along with offering a multi-currency account and debit card. Its vision is a world where everyone has an equal opportunity to prosper, made possible by providing everyone with a reliable form of money, gold. Glint, in partnership with Mastercard, enables its clients to buy, save, exchange and spend physical gold, and other currencies, anywhere in the world Mastercard is accepted. Glint’s clients know their gold is secured in a Brinks Vault in Switzerland and insured by Lloyds of London. Gold, and all currencies purchased via Glint, are in safeguarded and segregated accounts. Already available in Europe, Glint launched in the UK in February 2018 and is set to launch in Canada, Japan, Scandinavia, and the USA in 2019.

The Company has tens of thousands of clients to date. Gold is the world’s alternative to government-controlled fiat currencies and has been a secure and globally accepted form of payment since 4,000 BC. Glint is a tangible alternative to cryptocurrencies, because it provides ownership of physical gold and permits instant gold-based purchases. Glint interacts with the global banking system and is a form of instantaneous payment for goods and services.

Glint Pay promises consumers an easier way to transact in gold

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Glint Pay promises consumers an easier way to transact in gold
London fintech firm basing U.S. operations out of Boulder
Denver Post
By Aldo Svaldi
29 July 2019
https://www.denverpost.com/2019/07/29/glint-pay-boulder-us-headquarters/
If entrepreneur Jason Cozens has his way, the United States will return to the gold standard, one consumer downloading one mobile application and transacting on one debit card at a time.
Glint Pay Inc., the company Cozens founded, launched a gold-backed debit card in the U.S. on Monday. Based in London, the company has made Boulder its U.S. base of operations.
“We want gold to be considered like any other currency,” said Cozens. “We want to give a reliable currency to the world.”
Glint Pay rolled out its debit card early last year in Europe and has had more than 50,000 downloads of its mobile application and more than $50 million in transactions. The company launched a U.S. debit card Monday, with Boulder serving at its U.S. base of operations.
Users can download the Glint application on their mobile devices and quickly register. Money is wired from an existing bank account to purchase physical gold held in a vault in Switzerland. The exchange is made at the spot gold price, less a 0.5 percent transaction fee.
Registered users are provided with a Glint Debit Mastercard, pursuant to a license from Mastercard USA. Glint is an agent of Sutton Bank, and the accounts are regulated under the Federal Deposit Insurance Corp. A customer retains ownership of his or her gold until it is spent, and the vault holdings are audited daily.
Why go through the hassle? For starters, Cozens said the U.S. dollar has lost 86 percent of its buying power after the country went off the last vestiges of the gold standard.
Back in 1970, a cheeseburger would have cost 55 cents, but last year it was up to $3.47. A gram of gold would have purchased two cheeseburgers back then. Today, it can purchase 12 cheeseburgers, he said.
One of the knocks against gold is that it is not that convenient. It may store value, but it isn’t easy to spend. McDonald’s and Wendy’s aren’t going to accept a gram of gold in return for 12 cheeseburgers.
Glint gets around that by allowing people to draw on the gold reserves to make purchases through a debit card, which can be used around the globe. The technology allows users to effectively buy meals at restaurants or book a room for the night using grams of gold, something that was done in the Colorado’s earliest days.
When the gold runs out, the debit card stops working, just like it would if a checking account gets overdrawn.
But many early adopters are using Glint as a way to earn a higher return on their savings. As countries continue to pile on debt, the United States included, they risk devaluing their currencies. Gold’s relative value would increase in that scenario.
And if debt levels get too high and the global economy crashes, gold can provide a hedge. As long as the internet and the payment system are working, consumers should be able to access their funds. And if that isn’t the case, users can claim their physical gold, Cozens said.
Cozens said the idea for Glint came to him after watching banks such as Lehman and Northern Rock collapse during the 2008 financial crisis. He began to question the whole idea of money.
“Banks aren’t necessarily a secure place for your money. They lend out more than they have,” he said.
Thomas Frey, a futurist based in Westminster, said some firms have tried to create currencies backed with hard assets, including one example he knows about based on diamonds. His bet, however, is on cryptocurrencies, which he expects will transform the financial system.
They have been unstable and aren’t widely accepted in commerce yet. But big firms from J.P. Morgan to Facebook are coming onboard and a lot of money is being invested in building an infrastructure.
“Gold is complicated,” he said.
Cozens counters that Glint, like cryptocurrencies, has sprung out of the distrust of the existing monetary system. Bitcoin’s developers mimicked the supply of gold to limit that currency’s supply and they reference terms like mining. Why not go for the original?
“Glint is an alternative to the banking payment system and we think it is a more reliable one than crypto,” he said.
Glint is starting out small in Boulder, with six people. But the headcount should grow as it expands to add functions. That includes the ability to send grams of gold as gifts to people and expanding the global currency wallets that the U.S. platform can handle, Cozens said.

 

Gold’s Silver Lining

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Gold’s Silver Lining

Gold and silver have always had an almost symbiotic relationship, and while it would be untrue to say they move in lockstep, what happens to the silver price often indicates the future for that of gold. Gold is going through a long-term rally, but silver has gone through an eight-year bear market since its all-time peak of $50/oz, in 2011. One metric used to track the relationship between these two metals is the price of gold divided by the price of silver – the gold:silver ratio. The price of gold has risen faster than that of silver since the end of May, and we may have seen a peak in the gold:silver ratio late last month at 96:1. The last week of June 2019 marked only the third time in modern monetary history that this closely watched metric has risen above 90:1. Given the symbiosis between gold and silver, any significant rally in silver helps keep the gold price elevated, as the focus on the precious metals complex intensifies.

In the past week silver has moved higher, breaking the $16/oz resistance line for the first time since February this year which, given the relationship between silver and gold, should excite gold investors. With silver lagging during the recent gold rally, gold needs silver to keep buyers on board and maintain interest. Towards the end of last week, US manufacturing numbers forced the 30-year US government bonds to lose value, but gold remained stable and created a new high, with much of the credit being given to silver’s supportive rise.

With the gold/silver ratio this high (see chart), a significant rally in the silver market is overdue and that will help gold to remain elevated. Glint isn’t in the business of using silver as a currency – but we are happy to see such interesting support from gold’s little sister. Choose Glint, buy gold, and protect your wealth today.

Interest in Gold ETFs Spikes

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With the precious metals sector receiving significant attention, gold ETFs have recently been hitting their 52-week highs. Global investors have increased their positions in gold exchange traded funds pushing the year to date flows into all gold focused ETFs into positive territory. ETFs are a good representation of what retail clients are thinking in the gold space being the main vehicles used to allocate their savings to gold, away from physical purchases. Primary drivers of gold demand include global central banks, long-term investors, including those buying gold bars and coins and ETFs like GLD, and industrial users. However, short-term speculators remain important in driving gold prices. From the charts below, we can see that there has been a significant spike in gold flows over the last three months. It is relatively unusual to see the quantity of current inflows that we are seeing in gold, occurring at a time when stocks have been rising as well.

Gold has rallied for the past two months due to continued uncertainties around trade, the USD, Iran and U.S. politics. It is a time when economic reports covering May and June were by and large lower, and even GDP forecasts using Fed-models were slowing down to sub-2% growth.

We believe gold has moved into a new range, and while much of the recent monetary policy shift was priced in very quickly, we believe asset allocation flows will continue to offer near-term support. With a trend towards central-bank de-dollarisation accelerating and ongoing annuity demand from ETF flows, we are certainly in a precious-positive environment, and one which should be supportive of gold pricing and gold equities, particularly as the gold price in many producer currencies looks extremely strong. Notably, the chart below shows the relationship between the nominal share position in the largest ETF, the GLD and the gold price. As we have commented last month, the gold price is substantially higher relative to the size of GLD positions compared to the last few years. We would argue this is a strong positive for the gold price going forward as despite the spikes in retail interest, positions have been much larger before on a strong gold price and should see continued buying and price rises to accompany that.

While many ETFs ‘claim’ to be physically backed by real gold, none has been tested in a crisis scenario.  Investors, most probably have that added risk, many of whom are not even aware of how these products are structured. For those retail clients wanting to take exposure to the gold market, Glint offers assurance in its ability to any individual to access, buy and hold real physical gold across the wealth spectrum at whatever size. Chose Glint and protect your wealth today.

Steak today – dog food tomorrow

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He might be 71, but Steve Forbes, Editor-in-Chief of Forbes (watch a video of him here), still has it. He has published a brilliant open letter to Mark Zuckerberg, the boss of Facebook, on Zuck’s proposed digital currency, Libra. It’s a piece of incisive analysis about Libra that far outstrips anything else we have seen – and is couched in the polished elegance one might expect from a twice-nominated Republican Party candidate for US President.

Forbes says that Libra “could take its place alongside the inventions of coins and paper money many centuries ago. It could replace the US dollar as the global currency”. It’s a masterly device, the Aunt Sally, and never tires – stand something up, only to whack it down. And Forbes knows how to whack with subtlety.

The “fundamental importance” of a currency, says Forbes, is stability in value; most cryptos are “useless as real money” because they go up and down like an amphetamine-fuelled yo-yo. “No one in his right mind would write a contract longer than 24 hours in bitcoin…it’s steak one day and dog food the next.” This surely is the biggest flaw in any invented ‘money’ – the lack of certainty about how much a Bitcoin or a Zuckdollar is actually worth. It’s all very well consigning the value of a crypto to a blockchain, but for most people that’s way beyond simple comprehension and therefore innately suspicious, or should be.

Then Forbes moves onto the fatherly advice stage, taking this young whippersnapper, who is just half Steve’s age, under his wing and giving some free wisdom. Make Libra, he writes, “as good as gold. Backing your new money…with a basket of currencies won’t cut it. In today’s monetary system the values of currencies jump up and down, so you won’t get the stability you need.” And while you are at it, call the currency the ‘Mark’, a name which is “up for grabs”.

It’s a very witty piece, neatly placing the stiletto in the heart of the Libra. Back it with real money – gold – and the Libra would “blow bitcoin out of the water”.

Forbes knows in his heart however that this will never happen because Zuckerberg’s “consultants, like most economists today, will be vociferously opposed to the yellow metal, burdened as they are by ignorance and countless myths and superstitions. This widely shared skepticism will actually be an advantage, as it will keep away well-capitalized imitators.” Of course it will never happen. Back this supremely digital creation, the god of the blockchain universe, with something as old as gold? Phooey.

We are delighted that Zuckerberg is too hip for that. Because it means that Glint – which you can download and try here – can carry on bringing Steve Forbes’ sound advice to the world. Glint means gold; gold means money that is stable, independent, trustworthy, global…all the stuff that Libra claims it will be, but cannot ever become.

Reach for the sky – gold responds to anxieties

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What goes up must come down and that has been true of the gold price so far this week. But how far is up, and how much is down, are impossible to know right now when it comes to gold. There are plenty of price-supportive background noises however.

Gold approached its 25-year high in pounds sterling (1194.87) early in the week and moved to £1128.70 and $1439.21 on 25 June, following strong indications by Jay Powell, chairman of the US Federal Reserve, that he is minded to cut interest rates.

In the US the Federal Reserve is coming under considerable pressure from President Trump to cut rates. Powell said to reporters that “an ounce of prevention is worth more than a pound of cure,” an enigmatic saying that gave everyone to understand that a rate cut is on the cards. Other supportive factors for the gold price naturally include the increasingly belligerent stand-off between the US and Iran, and the on-going trade battles between China and the US.

In sterling terms, gold is rallying in the context of 31 October, the date set by Boris Johnson – expected to be the next leader of the Conservative party and also the successor to Theresa May as British Prime Minister – for the UK to leave the European Union. Johnson has promised the UK will leave, deal or no deal – the hardest line drawn by anyone so far. Everyone – including Johnson – says they don’t want a no-deal Brexit: but the possibility of that actually happening has got everyone jittery, and had helped the gold price to shift into a different gear. It now looks like gold is having a breather, rather like a marathon runner taking the mid-section of a race easier. Whether the marathon runner will speed up again or not is, or course, an open question.

Either way its time to download Glint and start buying, saving, and spending gold.

 

Gold Price Momentum Continues

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The price of gold continued to tear higher, extending beyond recent aggressive price action following last weeks Federal Reserve Meeting. This week has continued is similar vein as the anti-fiat precious metal climbed higher and recorded a new high overnight of 1128.70 and 1439.21 (on the 25th of June 2019) in sterling and US dollar terms respectively. From a technical point of view, the upside momentum in gold has picked up as more individuals are looking to protect themselves against a US recession. In sterling terms, gold is rallying as the pound itself is aiming cautiously to the downside after Boris Johnson, the favoured candidate for being the next UK Prime Minister suggested that Parliament is ready to back a “no-deal” Brexit. Globally, gold has become popular as of late given the United States altercations with Iran and China over independent matters, intensifying fears that this could lead to war down the line. There is no doubt that the short-term price of gold has become exhaustive, but its momentum is well supported by global headlines. By exhaustive we believe that the price of gold has gone up very quickly in a short space of time. For it to continue at the same rate, gold could find it difficult. Therefore, you could get a period where the rate at which it trends higher decreases. Despite this the gold price is still supported by global news.

Does Having Gold Diversify Your Portfolio?

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There is little doubt that across history gold has been considered as the physical embodiment of wealth and status. El Dorado and King Midas were two very famous mythical figures raised by the allure of gold. Throughout history, this yellow metal has created and toppled dynasties over the millennia. For many, Gold has been used as a form of currency for thousands of years and unlike paper or electronic currency, Gold has a finite supply and as a mineral deposit, it is relatively difficult and expensive to extract. As a consequence, gold has been a natural hedge against inflation and has provided investors with an alternative form of currency as paper money has fallen in value. Knowing all of this, what does gold mean for investors and their portfolios?

We did some straight-forward basic comparison analysis, constructing two portfolios. The first allocated equally to equities, bonds, commodities and cash. The second diversified the portfolio by equally allocating to gold. Both strategies were tested from 1993 to date.

Since 1993, we can see that the portfolio that included gold has gained over 160%, whereas the portfolio excluding gold gained 135%. More importantly, it is also clear that the portfolio that held gold also had shallower drawdowns (movement from peak to trough), helping to maintain investment gains.

The importance of the addition of gold to any portfolio, as a diversifier or as ‘portfolio insurance’, is most clearly shown by the correlation of gold against equities. Far too many asset classes, in this insane world of free central bank money printing, have long term positive correlations, ie, both asset classes move up and down in lock step, in varying degrees.

Gold, typically, has more of a negative, or low correlation to equities, especially notable during periods of equity sell-offs. This characteristic is the fundamental basis for demonstrating beyond doubt, the need for any investor or portfolio to include a reasonable weight to gold.

Visit GlintPay’s app and see where you can not only hold physical gold in a secure digital wallet, but also, have the ability to spend it with Glint card at any time.

Download the Glint app and see where you can not only hold physical gold in a secure digital wallet, but also, have the ability to spend it with Glint card at any time.

Inflation makes cash a hot potato for investors

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Award winning financial writer Cherry Reynard writes for Glint on the risks faced by so many of us who hold cash savings. While ready money undoubtedly has its benefits, does holding too much cash mean you’ll get your fingers – and your savings – burnt?

Cash has long stopped being king. Central bank policy since the financial crisis has steadily depressed the interest rates available on cash savings, with the express aim of forcing people to take more risk with their investments. Cash savings are therefore likely to see investors lose money in real terms.

The long-term impact of holding a large savings pot in cash should not be underestimated. UK inflation for December sat at 3%, just down from a six-year high of 3.1% in November. The cost of goods and services has risen 78.7% over the past 20 years.

The top easy access savings account currently pays a rate of 1.31% (source: Savings Champion). Were inflation and interest rates to persist at these levels, someone with £100,000 pot, invested over 30 years, would lose around £40,000 in real terms. While regulators tend to focus on the cost of investments, the cost of cash should not be neglected.

However, this message has not been widely heard by savers. Cash ISAs still make up 77% of all ISA applications, and form the majority of people’s saving pots. People like the reassurance that the actual value of their pot doesn’t bounce around, as it might with a stock market investment, and that they can get hold of it at any time. Most do not consider that they are taking a risk by holding cash.

That said, few would argue for no cash at all. Most financial advisers would recommend having a few months’ expenses held in cash for a rainy day. But is there a place for cash in the rest of a portfolio?

Liquidity is a key selling point for cash: James Calder, head of Fund Research at City Asset Management, tends to hold a 3-5% in cash because the private clients he deals with tend to need cash to fund their lifestyles. Liquidity is also important for taking advantage of new investment opportunities. Calder says: “Cash has fallen out of favour in the last 10 years or so because it delivers a negative real return – people are losing money after inflation. That said, it is incredibly liquid and gives you some ‘dry powder’ in a portfolio, meaning that when you see an opportunity, you can move very quickly without having to sell your other holdings.”

devaluing

Investors can’t stop inflation devaluing their money

While timing the markets is difficult and tends to be done poorly by investors, keeping some of a portfolio in cash gives investors ‘optionality’. Investors can pare back certain holdings when they have moved significantly higher, and reinvest in better value areas. As such, cash is an important source of flexibility within a portfolio.

Ready Money

It can also be a source of diversification, which may improve a portfolio’s risk-adjusted return. James Klempster, ‎head of Investment Management at ‎Momentum Global Investment Management, says that cash has zero correlation to other asset classes. “It isn’t subject to market moves and therefore provides some diversification. It can improve the efficiency of your returns and give a better portfolio outcome.”

This is particularly true in an environment where other low risk alternatives have become very expensive. Government bonds, for example, could lose investors’ money should there be a sharp spike in inflation and interest rate expectations. Investors may decide that they prefer the relative safety of cash to the prospect of losing money in other ‘safe haven’ investments.

The final reason to hold a lot of cash is if an investor is particularly bearish about the global economy. Certainly, there are reasons to worry – an unstable US government, high asset prices, the rise of alternative currencies. Over time, it has tended to be better to remain invested through difficult periods, but some investors may not want to take the risk.

There is a chance that this will change as interest rates rise. Will Hobbs, Barclays Wealth’s head of Investment Strategy, Europe, says that while cash’s role in a portfolio is primarily as insulation in current conditions, this may change: “It does start to get a bit more interesting on a strategic time frame, as central bankers try and wean their patients off the monetary drips and maybe even give us positive real interest rates.”

However, any significant rise in rates still appears to be unlikely. The UK yield curve still implies that rates will be below 2% in 30 years’ time and only 1% in five years’ time. Debt levels among developed markets – particularly the UK and US – remain high, and policymakers are unlikely to risk significantly increasing government debt repayments. As such, investors waiting for any significant change in savings rates could be disappointed.

cash machine

Many UK banks were reluctant to pass on interest rate savings to their customers

At the same time, banks have shown themselves reluctant to pass on rate rises. In November, in the immediate aftermath of the UK rate rise, six of the major savings providers initially defied the calls from Bank of England Governor Mark Carney to pass the rate rise on to savers. At the same time, two of these banks had already hiked costs for mortgage borrowers. Higher interest rates do not necessarily lead to higher savings rates.

Paper dolls

If investors are going to hold cash, they need to do so carefully. If they are using savings accounts, it means targeting the higher paying accounts and be willing to switch regularly or hold cash over a number of accounts. For the time being, high headline rates for cash savings tend to be limited to regular savings accounts or for relatively low sums. As such, they are not a solution for larger sums of money.

They could also consider ‘near-cash’ options. Kempster says: “Investors do need to be aware that they don’t get anything for cash and as such, it’s a drag on the portfolio. They need to get cash to work as hard as possible. If they can bring themselves to take a little more risk, there are some options where there is a decent change of preserving value in real terms – i.e. after inflation.” He gives the example of short duration bonds, which have less sensitivity to the interest rate cycle. He says floating rate notes – where the coupon will move up and down with interest rates – may also be an option.

“Money market funds used to be an option,” says City Asset’s Calder. “But their weaknesses were exposed by the global financial crisis and now they pay next to nothing.” He suggests investors may want to look at some absolute return bond funds. These tend to aim for around 2% above cash with very low risk: investors are taking more risk than with cash but not significantly more, and they should beat inflation.

If investors are looking for a hedge against geopolitical uncertainty, cash is not the only option. It may be worth considering gold, which is also highly liquid but has a higher potential upside. Gold tends to be only lightly correlated with equity and bond markets and has shown a strong run since the start of December, largely on the back of a weakening dollar.

Too often, investors think holding lots of cash provides a safety net. The reality is that cash is risky. It has a place in a portfolio for flexibility and diversification, but there is an argument that investors can achieve that elsewhere – and with greater potential upside.

Cherry Reynard is an award winning financial journalist, who has written for the Financial Times, Forbes, Investors Chronicle, The Telegraph and Money Observer

 

 

Is it time to rotate stocks for gold?

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It is hard to dispute, even to the most ardent bull, that US stocks are anything but severely overvalued. Most analysts have their favourite metric for stock ratios, mine is price/revenues. The legendary investor Warren Buffett likes total market capitalisation/GDP.

One of the simplest and widest used methods is the CAPE (Cyclically Adjusted Price Earnings) but even then, there is a favoured CAPE, the Shiller CAPE, devised by Nobel Laureate American economist, Robert Shiller. It uses the price earnings based on average inflation-adjusted earnings from the previous 10 years.

The average ratio over the last century is around 16 times. At times the CAPE has been over double this, 1929, 2000 and over the last year. Ominous, yet? Even at the high in 2007, before the Great Financial Crash, the CAPE was lower than here. The optimists will remark that earnings will continue to grow and that zero interest rates justify sky-high multiples, but, historically, earnings never grow when unemployment is at cyclical lows with wage inflation biting into profit margins.

If earnings are unlikely to grow and we are double the average CAPE level, you don’t need a Fields medal in Mathematics to understand that US stocks could lose AT LEAST half their value to revert to the mean.

John Hussman’s weekly market comment often comes with a historical quote and the below seems worth repeating.

“There are three principal phases of a bull market: the first is represented by reviving confidence in the future of business; the second is the response of stock prices to the known improvement in corporate earnings, and the third is the period when speculation is rampant – a period when stocks are advanced on hopes and expectations.” -Robert Rhea, 1932

We are sure Robert Rhea would have something to say about the current state of the market, probably turning in his grave. At the top of all manias, when speculation and hope is paramount, you invariably have an event that in hindsight seems poignant. Today, we give you, the long-awaited IPO of the taxi-riding service Uber, with an opening valuation close to $100bn. The fact that Uber has never made a profit, lost almost $2bn last year, and many suggest it may never make any money is currently irrelevant. Maybe, in years to come, people will look back on this with incredulity.

Since the 2009 stock market lows, financial assets have soared, far outstripping real assets. Our good friends at Variant Perception, one of the top macro research companies in the world have just published a report, ‘The Next Generation Of Monetary Policy’ which is a must-read. They acknowledge the failure of QE, the last decade of extraordinary monetary policy that has ‘failed’ in their eyes, to increase the general inflation level. As we wrote about recently, the most obvious effect of QE, has been to produce tremendous wealth inequality which can’t really have been the plan, but it an unfortunate outcome, for the masses. Heads-in-the-sand central bankers who believe they ‘saved’ the system, do not seem to appreciate the extreme perils of soaring debt and budget to GDP ratios. Economics 101, says that above 100% and 5% on those ratios is not a good place to be at all, and most certainly not for the stock market investors.

By decade, it was the 1970s, that saw real assets benefit the most versus their financial counterparts.  It was a similar time of rising debt and deficits, which led to galloping inflation. It is our belief, we look into the same abyss as then.

CRY Index – The TR/CC CRB Excess Return Index is an arithmetic average of commodity futures prices with monthly rebalancing.

While the typical commodity index tends to be too heavily weighted in oil, we can see that generally all real assets and commodities are distinctly cheap in their cycles relative to financial assets.

We have observed an eerie silence in many economist peer groups in recent months. They know full well, that 3.8% unemployment should not be accompanied by a market belief in Federal rate cuts, later in the year. They know that at peak economic activity, the budget deficit to GDP, should not be over 5% and rising. But, they are quiet. For now.

We believe they know as we do, it is not a question of, IF, the stock market crashes, possibly, the largest in history, at a time, when the recognised monetary policy has ‘failed’ but, WHEN?

While oil might be the commodity index heavyweight, gold has always been the king of the commodities. Its place as the asset of last resort in the financial markets as well as a commodity, has seen it historically, be one of the best portfolio diversifiers.

We urge investors, to seriously consider, proper rotation out of equities, especially US equities, into gold, at this time to avoid a potentially catastrophic wealth reduction.

Glint, with not just an ability to hold physical gold, but also to spend it with a Glint card, offers one of the best ways to prepare your portfolio for the changing world before its too late.