The Real Money Show
The Real Money Show - February 27th 2016
and welcome to the real money show the number as always to start investing one eight seven seven eight silver guildhall wealth.com is the website precious metal advisor something you should sign up for the investor kit and always information on the top right corner of the East or make a purchase right from your own computer and information and education and RSP TFS is how to use that and other registered accounts to attain physical gold and silver into those accounts and begin that way. Jeremy, lots of stuff to cover today. So we'll we'll start it off with you. Absolutely. So first of all, it's been a very good month for people investing in their registered accounts. We've seen a lot of people buying physical gold and physical silver within their registered accounts. We want to thank everyone who's participated and gotten involved into all of our new customers. We welcome you aboard and hopefully the information you hear today gets you very excited about the future. One of the things I think we'll start talking about well throughout the the show today, we're going to talk about a few things one hedge funds management fees in the market and how that's how that's played out over the last few years. We also want to talk about silver supply as it relates to some industrial usages. We've talked about them previously on the show, but we want to talk about the effect of those usages going forward and what we're already seeing. And then as well, one of the major fundamentals of gold and silver is the safe haven aspect of it and why that has come to the forefront of the reason why people are getting involved in the market. Before we do that, we saw a very, very interesting segment on CNBC last night in the Asian market, which blew me away. Bill Murphy of Gata was on, which he hasn't been on in years. And the second aspect of why it was so crazy and we're going to put that in this week's precious metal advisor. So, if you want to see this video, all you have to do is sign up for the precious metal advisor will get that video and other interesting articles throughout the week. So for those who don't know, Bill Murphy is the chairman of Gata, which is the gold antitrust action committee. They've been involved in this market since actually just before the 2000s. I think they started in '98 or '99. And the basis of Gata is to expose manipulation in the market. So they have been going after the banks and basically showing how they collude in the markets to help manipulate the price, all essentially being that the reason the market is manipulated is to enforce a strong dollar policy, which has come up recently because Rubin was talking about who was the former treasury secretary about getting rid of cash. All of this is to help create a strong dollar policy. Well, this is what I spoke about last week on the show. Larry Summers, there was the crew of three, Greenspan, Rubin and Summers. And they cooked the books pretty good. Now, Summers is saying, let's get rid of the 500 euro bill, and let's get rid of the 100 dollar bill. All they're doing is trying to confiscate anything that's out there. Yeah, absolutely. Or anything that can do damage to the economy. Well, that whole thing is what's making this so interesting is because those are the type of people that they normally want on CNBC to talk up the markets and basically just pretend like everything is great. And yet you've got Bill Murphy on here saying, well, actually, the central banks are all but out of gold. This trying to keep the gold price down, they're already out of bullets, which is why the price of gold's moved up $200 in the last couple of months. By the way, gold's up something like 15, 17%. Actually, up to date, year to date, 17.06%. Silver's lagging at 9.82% on the year. Right. And it's only February the 25th when we're recording this show today. Yeah, it's one of those things. Obviously, everyone's going to have a concern about cost of doing business. In this case, getting into the market, the rise in price will cover a lot of that. But what was so interesting is the host of the show was really behind him the entire time. He's really has gotten behind what Bill Murphy is saying. And one of the most interesting points is he was saying about that, you know, in the past, we've heard gold is a relic. That it's no longer a viable use to anything. This is what they would normally say on CNBC. And in this case, he's calling central banks an unreliable relic. And people don't trust in central banks. And this is why perhaps we should all be getting in gold. So this is just blowing my mind in terms of a turnaround of what CNBC is saying. That doesn't mean that gold has topped by any stretch. Once they put everyone in the gold pit and your cab driver or Uber driver is saying to invest in gold, it's probably time to get out. The CNBC interviewer is actually out of Singapore. So in Singapore, it's a very, very big gold market. They understand metal in Singapore. They understand the metal in India. They understand, you know, in China. Anywhere in Asia, they really understand why you should hold gold and silver. These are countries that have been around for a long, long time. And they know the value of gold and silver. You know, one of our guests that's always on Gerald Solenti always says about India. You know, the Indians love gold more than they love curry. And I love that line because they do. Speaking, sorry to interrupt, speaking of India, they might be lifting the tariff on gold this weekend. So we could see a huge move. If you're listening to the show on Sunday, we could be looking down the barrel of a very big move come Monday. If they lift those tariffs on gold coming into the country, because that's going to mean demand out of India could spike. We don't know, but that is one thing. And it's always just one thing or another that can push this market. Well, we're almost up $200 today on gold. I mean, that's a pretty big increase. We wonder why silver is lagging a little bit. But everybody, again, it's a question of gold. You can either take it home, you can put some of it in the safety deposit box. But when you're buying silver, you're buying, you know, a thousand ounces, weighs 70 pounds. You know, you want to buy 5,000 ounces, you're going to need a wheelbarrow to pick it up and take it wherever you want to go to. And even Bill Murphy in that interview was basically saying the reason why silver is lagging is because it's at a desperation that they're trying to keep it so low. And this is something you'd hear across the board if you were listening to all of the different precious metal analysts is this idea that if gold were to break over even a low number of 1850, you're going to see so many people get on board that it's going to be very difficult to stop a further rise in that market. So, you know, you've got to keep it trapped in a very low trading range because, God forbid, it goes over 1850 or $22, it's going to be an unstoppable train. So this is an exciting time to get involved. You want to get in before. And sometimes, as Paul, you would say, it's better to be a day early or a month early, maybe even a year early. This is value investing. And if you want to understand how undervalued silver is, for example, we're trading at an 81 to 1 ratio on gold to silver. This is massive. The last time we saw that was actually in 2008 when gold and silver got thrown out with the bathwater in terms of the markets coming down. Now, gold and silver recovered quicker than the stock market and moved up and made incredible gains by 2011. But at the time when that first pullback happened, we reached a ratio of just over 80 to 1. Well, you've got to go back to as much as biblical times when gold to silver ratio was always 16 pieces of silver to one piece of gold. It's always been round about 16 to one ratio. I mean, we've been as high as 85 to one ratio. Right now we're at 80. I mean, 2008 to 2011, we brought it down to about 40 to one ratio. If we go right now from silver trading at $15.20 an ounce, if we go from an 80 to one ratio to a 40 to one ratio, you're looking at $30 silver. If we went to a 16 to one ratio to where it really should be, because in actual fact, all the gold that's ever been mined is still above ground. It's in jewelry, it's in bars, it's in coins, even teeth, it's still above ground. Silver is being used up at such a massive rate. And you've got an interesting article or an interesting thing about silver used in solar. Yeah, but we're not going to talk about it yet. We're going to keep the listeners hanging on until the next segment. But this is, it's big. It's big. But silver has been used up at such a rapid rate. It used to be recycled. Everybody used to think, well, it's in photography. They recycle it. Silver is in everything from cell phones to flat screen TVs. And you know, you're not going to have people picking out little pieces of silver until you get to $100 an ounce. And when it gets to $100 an ounce, it'll be a full time job picking silver out of old cell phones. But silver is in everything that's electrical basically today. It's used in health because silver doesn't conduct germs. I mean, the saying, born with a silver spoon in your mouth was because, you know, when they gave kids medicine or they gave them food, you couldn't contract the germs with a silver spoon as much as you could with a wooden spoon or a copper spoon or something else. So we're great believers. We put our money where our mouth is. I mean, we have our skin in the game with gold and silver. At Guildhall, you know, you can buy gold, silver, platinum, palladium. We have an easter. You can go to Guildhall wealth, click on the right hand corner. You can buy whether you want to buy one ounce bars, one ounce maples, ten ounce bars, 100 ounce bars of silver. Gold, it's the same thing. You can buy gold maples, gold bars, ten ounce bars, kilo bars. You can buy that. You can take it home. The second thing that we offer is our depository, which is safe, secure, allocated and segregated. Well, you're insured for the product. Like when you take product home and you leave it in your house, if that gets stolen, you're not going to get coverage on it. Your insurance policy is definitely not going to pay out. And also you're putting your family in jeopardy for home invasion. You know, if somebody thinks you've got gold and silver in the house, you know, sooner or later someone's going to, you know, come in and steal it from you. So we offer the depository where it's safe, it's secure, it's allocated. We even give you the bar numbers. There is a small fee for doing that. But it's a great way to do it. The other thing is to invest in RSP or a TFSA or if you have a live for REF. Any of those pension plans, you can put gold and silver. We give you the bar numbers. We're the only company within a registered retirement plan that gives you the bar numbers. You can come to the depository and visit your bars. They will take it out of the depository. When you've made an appointment and bring out and you can tick off your bar numbers against what you own. I don't think there is a better way of investing in gold and silver, especially when you know where it is, it's insured. You're insured for, you know, over a million dollars for your product. I mean, even if you're putting in $20,000, $30,000, you are covered for your insurance. The cost of that is one tenth of one percent a month of the value of the metal. See, if you're talking about it's like $2 per, you know, 100 ounce bar give or take. So, you know, do you think silver is going to go up more than 20 cents during the course of the year? Already, we're up 9.82. If you're putting in gold, we're up 17 percent during the course of this year. I think gold is going to really blow out in 19, in 2011. Silver went to $49, May 1st, 2011, and gold was at $1930. I feel there is more upside, gold trading, you know, $1,200 and change, silver, $15 and change. There is more upside than there is downside. So, this is a great time to get in. The people that, you know, invested in their RSP or TFSA, I congratulate you. You did a wonderful job of getting in at this time because I think this market is going to explode. And I, you know, I watch CNBC a lot. And again this morning, you know, they had Fred Bullard, he's with us and Lewis Fed. You know, next week they bring it rolling out Buffett to tell you how wonderful the stock market is. Most people are in the stock market, own mutual funds. The investors in the RSPs have not made too much money. I don't think they've made any money. If you were to bought silver, we've been in this business since 2002. When we started, silver was $3.80 an ounce. Gold was $250 an ounce. If you were to bought 10, 11 years ago, you've still done extremely well. Even though we've come off from a high of $1,900 for gold and a, you know, $49.50 silver, you still have done pretty well if you had bought it $3.80 and $2.50. And I think we will easily take those old highs out. And I think that's an important point to make in terms of where the highs were and how long they were for. Because ultimately you're looking at a market that did have a nice run over a 10 month period in the last 10 years. But if you look at it over the long term, just as any financial advisor would say, you know, it's about the long term investing. And if you bought gold 10 years ago in Canadian dollars, you paid $600. Today you'd spend over $1,700. If you bought gold silver 10 years ago in Canadian dollars, you were paying, you know, $8.00. And today in Canadian dollars, it's over $22.23. So over the long term, it definitely shows that the precious metals have done a great, fantastic job over the last decade, decade and a half. Yes, there was a period during, you know, six month period where you may have been buying it at higher prices than we are today. We'll take a short break, guys. In fact, this conversation, Jeremy, you mentioned before the show starts about hedge funds and other sort of investments like that. I have gotten to the point where Hollywood's gone on board. I'll give you details about that after a short break. The number in the meantime, one, eight, seven, seven, eight silver online to guildhallwealth.com. This is the Real Money Show. Talk Radio, AM640. Real Money Show, talk Radio, AM640, one, eight, seven, seven, eight silver and online to guildhallwealth.com. Jeremy, through this article at you a little earlier during the week, I sent it to you and Darren. And it's interesting. It's from Gawker and the headline is hedge funds have sucked for a decade. And basically what it goes on about, it makes reference to the HBO show Billions with Paul Giamatti and Damian Lewis from Homeland. It's a fantastic show if you haven't seen it. It's really cool. And it's also co-creators Andrew Ross Sorkin, who, if you remember, wrote Too Big to Fail. So he's a financial guy. He writes from New York Times. So it's got some-- These are from CNBC. Right. Right. What I like about it is it shows, you know, the SEC, having guts, which you see right now that they don't. No one's been prosecuted from 2008. No one's going to go after anyone from 2008. So you get a whole distrust of the system. And a show like that just kind of brings back some idealism. Right. He was involved with Newsroom, which kind of brings back this idealism of a media with a conscience. So, you know, I think that's kind of needed. You know, I also noticed we're seeing a lot of Cold War movies coming out. You know, like The Man from Uncle and that Bridges of Spies. It's all about new Cold War, which we're starting to see in happening as well. But what we're talking about here with the hedge funds is that there's almost a myth of hedge funds. You pay out a lot of money so that these brilliant people can make you money. You're a solar brilliant. Exactly. It's up to 40% commission in some cases. And people are happy to put in a couple of million dollars, five million dollars and pay 40% commission because these guys, you know, should be getting returns at 20, 30%. You know, even if they made 15% you pay them 40%, they should be a 9% return. And it doesn't even have to be hedge funds. It can just be mutual funds. I looked at some mutual funds that I own and I realized that I'm paying 2.7% for management fees. Whether or not it goes up or down. And I think, I think as Canadians in the past, we've been very, for lack of a better word, lazy and looking into what our costs are. And I think given the environment today, you only have to go no further than your grocery store to say, "Wait a minute. I'm paying a lot more than I used to for this and that." And you say, "You know what? It's time I look into that portfolio and you start to see, "Wait a minute. I'm paying 2.7%, 3% management fees. And what do you get in response when you question your advisor or the bank about it?" They say, "Well, you know, because you were with us, you're only down 8% or because with us, you're only down 10%." Thank goodness. Because if you didn't go with us and didn't pay those fees, you could be down way more. Look, we're not here promising great returns. We're not investment advisors. All we're talking about is we feel it's important to have a strong foundation in your portfolio of a non-correlated asset that has zero counterparty risk like gold and silver. I said it just before the break. If you bought gold 10 years ago, 10 plus years ago, you would have paid $600 or less Canadian dollars for it. Today, that's worth over 1,700 Canadian if you were buying it or at least 1,600 if you were selling it, which means gold over the last 10, 15 years has done its job. There's been times where you could have bought it at a higher point. That's not the point. The point is if you held gold for the long term, it's done what it's supposed to do. What we're looking at now when we turn to another aspect of this market, which is supply for silver, we spoke about this just before the break, is solar power as an industrial demand has skyrocketed in the last decade. For example, in 2006, solar power accounted for 1.4% of all industrial demand for silver. Any idea, John, how much it would account for today? I'd say 6, 5, maybe. 13%. This just shows one of the fastest growing industries using silver today. Another such industry would be purification, like water purification. Anyone who can look at water today and the pollution that's going in, I just read an article yesterday showing that in, I think, in California or BC, the salmon is filled with antidepressants and things like this because it's in the water supply. So, I think purification, so water purification is another one, batteries are another source, and I think all of the medical usages that we see are going to be stronger going forward. But I think solar power is a massive one to consider. If we only mine a billion ounces a year and out of that, we use it all. Where are we getting the difference? And this isn't to mention also the fact that there's been coin rationing. When we look at what we dealt with even just less than six months ago, we couldn't find a Canadian maple to service our customers with. We couldn't find it, customers had to wait, and no one wants to wait for precious metals. They want complete immediate delivery. No one's going to pay and say, "Well, get it to me when you can." So, we know that there's a lack of supply in the market, and this is so simple. It's so simple to see when you have a low price like this that we see today. You get mining companies can't mine it for profit, so you start getting lower production. We're already seeing that. Production in North America is down something like 20% in the last year. That's just North America. What you're also going to get is people are going to buy more than their fair share. If silver was triple the price right now, you would only be buying one-third of what you could buy. As a result, we're buying a lot more, which is putting more demand, more pressure on the system, and the mining companies aren't supplying it. So, think about oil as if the economy was booming, but for some reason, the oil price was still at $20, $30 a barrel, and so we were running out very rapidly because of that low price. If you look at silver, you were saying just before the break. Three days ago, TriplePundit.com read an article there. I'm looking at it right now says in Morocco on the Sahara, which is almost the size of the U.S. that desert. They just opened the largest solar plant, 500 megawatts of power. If you're a fan of, you know, back to the future, that means something to you, but it's a lot of power. And they're saying this thing is absolutely huge, and it's like you said, it's all silver. It's a massive power plant in Morocco. China is committed to producing enough solar energy to power 100 million homes. Wow. That's a massive amount of silver to be put into solar power for that commitment. Now, let's just think about that for a second. There's 47 million people in the United States on food stamps. Who knows how many are living paycheck to paycheck beyond that? Okay, you could easily double what are on food stamps. So essentially China's telling you one third of the pop, give or take just shy, one third of the American population on solar power. Now, I know they're saying 100 million homes. Okay. That's not the amount of people that are living in those homes. Let's just say it's five people. And now you're talking about 500 million. So you're well over the population of the U.S. That's how big we're talking. This is the type of demand and strain that's going to be on this market. And remember what we said in the first segment. The reason why the price is so low is because if that market gets any whiff of 1850 or higher, it's going to be unstoppable. So we have this opportunity to buy silver while it's still incredibly undervalued. Gold is great for that long-term support of your portfolio. As we talked about the base of your portfolio, the foundation of a portfolio in silver is this incredible opportunity that as Bill Murphy said could be trading as much as $100 within the next few months to years going forward. What an incredible opportunity. And when you're paying out fees for mutual funds or whatnot that are at the verge, whether they're performing or not, you kind of start to say there are there other options. So we're saying if you're listening to this show that this is a great option to consider, you can contact us to find out a lot more about silver. Or if you already know you want to get involved in the market, we can show you the different ways to get involved in the physical market. 18778 silver online to guildhallwealth.com. Paul, one of the more attractive things you mentioned is using your RSP room with TFSA. Well, yeah, your RSP or TFSA or any other type of pension plan that you have. We're not gold bugs or silver bug. We're not running around with Tim Foila in our head and bottled water for the next 12 years and tins a span. All gold and silver does, it's an insurance policy. You need anywhere from 15 to 25% in your portfolio as an insurance policy. You have health insurance, you have life insurance, car insurance, home insurance. Nobody wants to collect on any of those things. So if the stock market does well and gold and silver doesn't, then you should be happy. If the stock market goes in the dumper and gold and silver doubles or triples, you're going to be ecstatic because what you've done is ensured your capital that you've worked hard for all your life. This is why we recommend gold, silver, natural fancy colored diamonds, which we're going to talk about in the next segment. These are investments that stand the test of time. Our show is The Real Money Show and we believe gold and silver is real money. Natural fancy colored diamonds is real money. When it comes, push comes to shove and when these markets who are printing countries that are printing fiat currencies collapse, what is the first thing people go to? They go to hard assets because if they've got their money in hard assets, they can always down the road whether it's three years, five years, ten years down the road, turn it back into cash. And that's the important thing. John, why don't you give out the numbers? People are interested in getting an investment package, whether it's to put into an RSP, whether it's to put into the depository, or even if they want to go directly to our website and buy gold and silver to take home, or gift to anybody. It's as easy as just punching in on your keyboard. 1-877-8-Silver and online to guildhallwealth.com is the number and the address that Paul made reference to. You also have the e-store as we said in the top right corner, which you can do right from the comfort of your own home. It takes no time at all. So coming up after the diamond segment, we're going to talk about one of the fundamentals of the gold market, which is safe haven. What we're seeing today is that there's a lot of uncertainty in the market. Where is that uncertainty and why is that a factor for gold? Is that already become a factor for gold, which we believe it is. So we're going to talk about that upcoming. Just in the next segment, we're going to talk about natural fancy colored diamonds, all of the things that have been happening. One of the biggest things is the exchange rate that we're having to contend with as a Canadian, and I would like to think that was going to stop us from buying natural fancy colored diamonds. Of course, Paul understands that when you see a good diamond, you have to jump at it. It doesn't matter what you have to pay over it, especially when we've seen this type of action at Tender. So I think we're going to get straight to the diamond segment and discuss all of those issues. Again, 1-8-7-7-8 silver is the number to start investing online at guildhallwealth.com. The precious metal advisor, the investor kit, and we'll go to natural fancy colored diamonds next right here on The Real Money Show. Talk Radio, AM640. 1-8-7-7-8 silver online to guildhalldiamonds.com for this segment, because that's where we're going to do. Paul, you mentioned right off the hop. I'm looking at it online right now. You've got a green diamond on here that I haven't seen before. Yeah, this diamond is a very, very special diamond. I've only seen very, very few of this caliber. It's a .26. Now, for the listeners, even listening for the first time, natural fancy colored diamonds are extremely rare. For every 10,000 carats of white diamonds mined, there's going to be one carrot of color. It doesn't mean that it's investment grade. To find, for example, a fancy vivid yellow internally flawless over a carrot, you're going to have to mine about 100,000 carats of white diamonds to come up with that one diamond. When we get into colors like pink, blue, green, they are smaller diamonds, but they are extremely rare because of the color. So, I purchased a couple of diamonds that I basically fell in love with. The one stone is a .26 fancy vivid. Now, there are three grades of diamonds that we sell, fancy, intense, and vivid. That's all to do with the color, the strength of the color. Vivid is the strongest color, the deep color, perfectly saturated all over the stone. This diamond, as well, is a VS2, which means it's very, very slightly included. Now, when we sell colored stones, yellows, we normally try to go for internally flawless or VVS. But when we sell greens, pinks, blues, they always have to be VS. We don't touch Si1 or Si2. Those are diamonds that you can actually see the inclusions with a naked eye. So, the inclusions have to be very slight, and they have to be on the diamond where it really doesn't make too much of a difference. If it's at the back of the diamond, as long as it's not on the table, the top of the diamond, if it's on the side of the diamond, which doesn't show those are important. There's also different types of problems that you can have with a diamond. So, we try to get the best diamond that we can possibly get. There's certain types of inclusions that we really stay away from that don't enhance the diamond. But this diamond is a fancy vivid green VS2. It's a radiant cut. The cut is magnificent. The fire just comes off of the different colors that just come off of this diamond. It's absolutely incredible. Because I've done the photos of the diamonds in the past, we're just starting to have someone else take over that. But I've noticed that this diamond is so eye clean that I remember I took a picture of a diamond where unfortunately there was an inclusion that was really front and center. Whereas this diamond, I've never seen a green diamond of this color strength. It's almost like an emerald. It's so green. It's so deep. It really is. And not only is the color really strong and saturated being a vivid, but the quality of the clarity is immense. And just the positions of it, the fact that you really can't see where those inclusions are at all, just makes it a beautiful diamond to behold. And the thing is, it's exceptionally rare. So it's a little on the price. Well, I don't think it's on a pricey side, but you know, you're looking in the $95,000 range. Now, this is a type of diamond that can easily double in four to five years in value. But let's talk about that for a second, Paul. You don't think it's expensive. No, I don't. You grabbed it. Well, otherwise, I wouldn't have bought it. Right. But what is it that you sit there and say, "Well, okay, I don't care what it's going to cost. I'm just going to take it." Well, first of all, if you were to go out and try to find a vivid green diamond, good luck because there is just none out there. I've probably seen vivid maybe three in the last 10 years. Yeah, I can't remember seeing any vivid. I remember you and I saw that intense green, which was that over a carrot? I can't remember. It was .54. It was .54. It was an intense green. What was the pricing difference between that and this? Now, that was back in June of 2015. We were at the JCK show in Vegas. I loved the stone. I was willing to buy the stone, but not at the price that it was offered. It was offered just twice the price that I thought it would be. In this case, we passed on a half-carat intense, but you did not pass on just over a quarter-carat vivid. Because it's the rarity. I know I'm not going to find another one anywhere like this. I probably won't see one for another five years. I'm looking at a stone like this, whether I sell it or I just put it at the back of the safe. I'm going to make money on this stone. It's like they used to have an ad on the TV. You can pay me now or pay me later. This is what it is. We also have to take the currency into effect that right now we're looking around about 1.38 difference on the dollar. A $100,000 US is $138,000 Canadian. The Canadian economy is not the greatest economy right now in the world. We could easily see... Which one is? I'm kidding. We've got the US is the best house on the worst street right now. But if we look at the Canadian dollar, it could easily be, instead of being a $1.38, it could be a $1.62. I don't see it going back to par. We've got too much debt and not enough revenue coming in to cover this debt. The takers are taking it away from the makers, but that's another story. This stone is $95,000. As I said, if it's a stone that you can put away for four or five years, you're going to double your money very, very quickly. And we were talking about fees in the last segment. There's no fees associated with this when you own this diamond. Beyond potentially having it fully insured, where you're putting it into a piece and having it fully insured, there's no management fees. In fact, there's very little storage fees on this. You're just putting it away. It's not like owning a house or being a landlord where you're running around with a plunger. You're paying all types of land transfer taxes, lawyers' fees. Property taxes. Hoping that your tenant doesn't put his fist through your drywall or screw up anything else. There's a lot of expenses of being a landlord. And then you've got to sell it and then you're going to pay commission again when you sell it. This is something that is very, very easy to own. Easy. It's portable wealth. Put it on your finger. I guess the thing is, is someone would say that, well, if I have a rental home, I can always sell it and it's not going to take me a year to sell real estate. But what you're giving up here is slow and steady growth. And just like you're saying, Paul, where, look, if you sell it this year, okay, great. If it takes three years, okay, even better. That's sort of the position we really want our diamond investors to be in where they've held a diamond. We had a client come in yesterday who's held a vivid yellow for five years, easily doubled their money. When we look at what they paid and what they would sell for, we could comfortably show that they've doubled their money. This was a 1.75, 1.76, vivid yellow or something. And the fact is, is that there were no expenses to that. And whether or not he decides to sell it, even if it takes a few years, it really doesn't matter because it's constantly money in the bank anyway. So that's a bit of a hurdle, that idea of liquidity, that idea that, yes, you may be giving up that instant gratification of, well, if I needed it, I could sell it pretty quick. Versus, yeah, but even if it takes some time to sell it, I'm still going to make money. Not just this diamond, the green you're talking about, but any diamond on the website, Guildhall Diamonds, is that, you know, you got a quick description. It's like, okay, that's what you guys are saying, the picture looks nice, but right there, in a little PDF file, the GIA Grading Report from the Gomology Institute of America, which is basically diamond DNA. That's official. If you doubt you guys click on that, you can read it right there on the website. You know, the GIA is the leader. There's other people out there, other brands that do certification, but they really don't stand up, especially when people are buying white diamonds. You know, they have other brands of classification that are really, you know, GIA may say of white diamond is a G, you know, the other certification says it's an F, and it's not, it's a G. So, you know, that we leave out there, but we don't sell white diamonds, it doesn't matter. But I work on a cost plus basis. Now, you know, I have diamonds that I bought two, three years ago. I can be competitive on those diamonds because the currency difference is right now, 38% from two years ago when I bought it, when it was power. I mean, anybody that bought a diamond took it home has already made 38% in their pocket just on the currency. But, you know, when I buy a diamond, it doesn't necessarily, we're going to sell that diamond in 24 hours. I'm happy whether, you know, whether I sell it in a year, two years, five years. I know when I buy it, it's going up. So, as I said, you can pay me now or pay me later because we're going to, you know, we are up to date as well. When we know through our dealers, throughout partners, through the cutters and polishes we do business with, the price of a diamond, and every year they go up natural fancy color diamonds. So, if I'm buying a diamond for X amount of dollars and a year later it's gone up 15%, next year it goes up 15% or 20%. I can sell that diamond at the original price that I bought it for, but I'm working on a cost plus. So, you know, we're always, we can always be competitive out there, but we only sell the best. So, when, you know, cream rises to the top, we have people calling us all the time that are bought diamonds from our competitors, from other places, and they want to bring the diamond back, but where they purchase the original diamond from, the customer, the company has said, well, you know, we don't buy diamonds, we only sell diamonds. Well, they give them a million different excuses why they won't take it back. When I buy a diamond from my people and I sell it to a client, I know somewhere down the road I'm going to get that diamond back. So, why would I try to sell something that is technically bad, twice over? It doesn't make sense. So, I know eventually someone is going to bring the diamond back. Yes, we're going to sell it for them. Yes, we're going to take a small commission for it. We don't work for nothing, but you're going to make money on a natural fancy color diamond. If you put your money into a GIC, or you put your money into a savings account, or you put your money just in the bank, you're down already because inflation's real inflation's anywhere from four, five, six percent, and you're getting minus one percent in the bank. I think, ultimately, with natural fancy color diamonds as well, is what you get with rarity is equal quality. So, the more rare that diamond is, the more quality it is. In many cases, you know, let's say, except for the rarity of the color. So, you might buy, you know, an SI red, it's still a red. This is the most rare color. So, there's always a bit of a balanced game, but on the whole, this is all what we're doing with Guildhall and our natural fancy color diamond collection is all about quality. And by buying quality, you're getting rarity, which gives you those great returns. Well, you mentioned great returns. Say, going back to this green diamond you have on here, say, I want to get in and make me not to that price. I just want to get my beak wet. Where do I got to enter? Where's the entry level? Well, you could do a one-carat fancy yellow, internally flawless, good proportion. You're probably starting around 14, maybe 15,000, and a diamond like that would get somewhere around six percent a year. Still investment grade. Still investment grade, still better than a GIC. You could come back in five, ten years if you're getting better than that in the bank and say, okay, great, I'm going to move up to an intense, where you might be looking right now to spend 26, 20, 26 to 28, and get something like 12 to 15 percent. So diamonds are great in terms of quality. And then what I love about diamonds is you can really start to think about some longer-term events. Do you want to use this diamond as a legacy? A lot of customers are looking for things that they can pass on to the rest of their family. Well, this is a perfect investment for that. They can't just sell it right away. They're going to have to think about it a little while, but it's going to continue to do its job. So that's a great way. Another thing is thinking about security. Do you want something out of your portfolio that's going to be strongly, very much secure? It's going to be there for the long-term. It's money in the bank. And you can just have that as part of your portfolio. Well, how many people buy a great piece of art? And they buy it and they maybe hold on to it for 30 years, 40 years. Generation is on the wall and all of a sudden they decide to sell it. They put it into auction and that piece of art has appreciated beyond their wildest dreams. And this is the same thing with natural fancy color diamonds. There is no new mines. In actual fact, the Argyle mine is going to be closing in 2018. And they provide 90 percent of the world's pink diamonds, which is only actually one tenth or one percent of their total production. Getting back to pinks, I just purchased a pink. It's going in for an appraisal today. It's one of the rarest diamonds I've seen for a pink. It's a .28. It's a fancy, purplishly pink, but it's internally flawless. And it's a cushion. And this stone we've got for around about $35,000. And I think it's an absolute steal and it will make an incredible, incredible diamond for anybody that's already collecting. Because you do not see internally flawless pinks. They're just not out there. You want to see the collection? You should see the collection start by looking online to guildhalldiamonds.com and then go to the actual store. And make sure you talk to the guys as well. A wonderful investment and companion investment to Silver and Gold will recap the entire show. In the meantime, the numbers are 1-8-7-7-8 Silver and online to guildhallwealth.com and guildhalldiamonds.com to see that collection. More of the Real Money Show coming right up on Talk Radio, AM 640. Real Money Show right here. Talk Radio, AM 640, 1-8-7-7-8 Silver, guildhallwealth.com online. The Precious Metal Advisor, the E-Store, the information, how to use your registered savings plans to start with some physical gold and silver. Let's talk about the U.S. Mint first though, Jeremy. Yeah. What we've seen already this year as of February 15th, year to date, that U.S. Mint sales on Silver are up 14% year over year. This is part of a trend that we've seen over the last few years where demand for physical product is steadily increasing. This is very different than 2008 when people went straight to cash. There were very few people that understood the fundamentals of precious metals. They were more strictly, I've never seen anything like this happen in the market. I want to get out of the market. I'm going to go to cash. What we're seeing now though, part and parcel because of the low price in precious metals and the result of that being that people can buy a lot more than their fair share and because they see that currencies are worthless. Low interest rates, zero interest rates, negative interest rates are not curing the problems of the financial system. As we talked about last week on the show, if zero interest rates worked, we'd be in paradise right now, but we're not. It's not working. You can try to extend and pretend, but you're not getting the economy going. What gets the economy going is people saving money and getting some return on their savings. But we can't do that right now because instead of getting a return on our savings, just by putting it in the bank, we have to take risk. If we don't want to take that risk, we have to have our money in something that we're losing. GIC, we're losing to inflation. Put it into something where if we're lucky, we talked about it in the show, you might be negative 8% right now, but you've paid some management fees. Congratulations. So we see over time that the demand for precious metals continues to rise. The hunger for precious metals in India, in China and Russia are unabated. They continue to purchase. We've noticed that since we've been offering the RSPs, more and more Canadians are more interested in holding physical precious metals than ever before. They do not want the stress of having it in a market that could go to zero. They want to know that there's zero counterparty risk. That means that your product is out of harm's way and should anything happen to the cash system. Should anything happen to the stock market? Your product has zero to do with that. There's no counterparty risk. That's the whole point of having allocated product. It means that a company can't use your product for anything else. That means that once it's been allocated to you, no one else owns it. No one else has control over it or anything to do with that product. It's yours. Personally, I think one of the reasons banks don't like precious metals is because once you take your product out of the bank and put it into physical metal, there's nothing they can do with it. So why would they want to be a part of that? And I understand that. I completely understand it. It's not necessarily the business model. The number to start investing simple 1 8 7 7 8 silver online to guildhallwealth.com. Let's review from what we've done earlier today. So one of the big things we talked about today was solar power and the fact that 10 years ago, solar power as part of the silver usages was 1.4% of industrial usages for silver. Today, it's over 13%. That's a massive increase in one specific area for usages of silver. And we know that silver is used in most technologies. It's in every light switch. It's in every cell phone. It's in every plasma screen TV. These are things that a burgeoning middle class in China and India want. A lot more people there than we've ever had here as part of the middle class. So the demand on the metal is massive. At the same time, you've got a low price, which is starting to affect production. So again, one of the biggest things we talked about today was industrial demand. The fact that it's growing at a major pace and that at some point, the question becomes, the big question, where are we going to get this silver from? Well, you're not going to get it when production is down and mining operations are shutting. So at what point are mining operations going to have to reboot and get up to snuff before they can start producing silver again? Well, if we look at the past of any other mining time and the sectors, we can see they're always slow to react. It takes time to open up a mining operation and get it going. So that was one of the big things we talked about today. So Bill Murphy from Gatter and what his feelings are of where he thinks gold and silver is going to be going. 100%. Biggest thing we talked about at the top of the show was Bill Murphy on CNBC. This was an explosive interview where he talked about the fact that gold could comfortably go to between $3,000 to $5,000. He even talked about the fact on this, on that interview that it doesn't have to be the fact that the stock market goes down. Quantitative easing could start up again and the stock market could rise and gold could rise with it. The whole point is that gold is going to rise to meet the debts and the money supply. And if you keep printing money and your money is becoming more worthless all the time, gold is going to become more expensive all the time. So gold is a great hedge against devaluing currencies. And what we're going to do for the month of March, when you buy a thousand ounces as 10, 100 ounce bars, we're going to give you a 10 ounce bar of silver completely free when you put it in the depository. And when you put it in the depository, that weighs about 70 pound. You're going to get bar numbers. It's going to be segregated, allocated. You can come and visit your medal. So with every purchase of 1,000 ounces of silver, that's 10, 100 ounce bars, you're going to get a 10 ounce bar free. The other thing that we spoke about in the last segment as well was the natural fancy color diamonds, the vivid green, which is a spectacular diamond, and the other diamond, which is a port point to a fancy, purplishly pink, internally flawless pink diamond, incredible, two incredible diamonds that would make a great investment to put away for five, six years, 10 years, and just watch the value of these products, these beautiful, beautiful diamonds increase in value. So speaking of the depository as well, we talked about management fees and how Canadians are becoming more aware of management fees and wanting to see some results for the fact that they're paying that. Now, listen, in the depository, or even in the RSP, when you're storing physical metal, there is an obligation. There is insurance on that product, unlike buying a stock, which is a piece of paper. And again, there is counterparty risk. You're investing in management. You're investing, you know, whether or not that company is going to produce this month or this quarter. Whereas with precious metals, you are buying a hard asset. That's a precious metal. It's going to be stored. It needs to be insured. So there is an obligation there. However, the cost of just over 1% for that obligation pales in comparison in terms of, you know exactly what you've purchased. There's no hidden agenda there. There's no secret to what's going on. You're buying a hard asset and putting it behind it. Because it's product that's there. The only thing that bad can happen, it could drop in price. You still haven't lost any of your metal. You have all your product. There is more upside right now than there is downside in this metal. And speaking of dropping in price, I got an email today because our clients are so good at keeping us up to date. And I got an email today from a client that said, "Hey, look, I just got this." And it was from this analyst who has been so negative on this market the entire time. When Goldman Sachs said that gold was going to go to 1,000, this analyst was saying gold was going to drop to 600. That's how bearish this analyst was. Now, this analyst has come out and said when gold gets to 1,400, sell because it's going to drop in half. This is a negative analyst who's decided that gold is going to 1,400. It's going to get there first. It's going to get to 1,400. Now I'm going to tell you to sell. I mean, I would respect him more if he was an opportunist, where if it got to 1,400 and just as it started to fall, he came out with an article that said it's going to drop. But he's not even opportunistic. He's just a permit bear against this market. In a market that, by the way, the entire time he's been negative, as we said at the top of the show, gold's gone from 600 to 1,600 in the last decade. I think that does a lot more than this analyst could ever say. So again, massive demand, massive industrial demand. We've got a low cost of doing business to support this metal, and we think it's just such a great time to get involved as the prices are extremely low. The interesting thing is, is all these analysts never ever have any skin in the game. You know, when you ever watch any of the shows that you own the stock, does your company own the stock? No, no, no, no. I own gold and silver. I think it's going to go up. I put my money where my mouth is, and I think it's a great, great investment, and especially these prices right now, to me, it's a steal. 1-877-8-Silverguildhallwealth.com, the Precious Metal Advisor, Investigate the E-Store on how to use your registered funds to get some physical gold and silver into your retirement savings, and make some money on it, the Real Money Show. Again, back next week, right here on Talk Radio, AM640.