The Real Money Show
The Real Money Show - October 25th, 2014
and welcome to the real money show. The number to start investing is one eight seven seven eight silver in the real money show dot com broadcasting worldwide and over the web for over six years you're listening to the real money show brought to you by Guildhall wealth management today in the studio we have our president Paul we have Jeremy vice president as well we have Darren our senior analyst we are not or they are not our representatives or financial advisors or planners and past performance of gold silver or natural fancy color diamonds is not indicative of future performance one reminds you next week on the show number first and second second be listening for a special guest Paul Zimniski he is a diamond industry and analyst consultant he will be discussing many interesting topics as it pertains to natural fancy color diamonds including supply and demand among others and finally before we get into it you want to sign up for this this is the Guildhall natural fancy color diamond seminar November 8th that's November 8th of Saturday and it will be the Delta metal veil hotel and conference center 6750 Mississauga road in Mississauga from 11 a.m. to 1 p.m. you'll want to be here this information is going to be intriguing and necessary and you're going to want to have it when you're investing in natural fancy color diamonds again Guildhall diamonds to start registering and investing for that Paul let's talk diamonds John it really is important that people register for this seminar this is going to be an exciting seminar you really need to register to learn a lot about what's happening in these diamond markets especially in the supply and demand the results from the Argo tender came in as of October the 7th and the prices actually went a little silly this year the prices were as up as much as 30 percent because of because of the Asia demand especially out of China and Japan and of course India these prices have gone you know crazy on Argo the Argo mine is going to probably close in 2018 or up to 2020 you have to remember the Argo mine produces 90 percent of all pinks that are mined in the world now their actual total production of pinks is only one tenth of one percent of that total mines production so what is produced out of that mine is very very small and these diamonds are going up like crazy in the studio today I brought you in a couple of diamonds just to look at John I know you always get excited I got to take them home no not these not these this is a beautiful green diamond now green is really really a rare color in a colored diamond that is a VVS tour which again is even harder to get because of the clarity most of the diamonds are SI1 SI2 when you buy a green but this is the most stunning diamond and we have a green diamond on our website as well which is going to be going up this week the diamond is a 0.37 it's a fancy green VS2 this diamond in actual fact is appraised around about $40,000 it's going to be on for $24,000 this is the type of diamond that you can put away for your kids education or for your retirement hold it for 10 15 years and this diamond could easily fetch a hundred thousand dollars in 15 to 20 years time if you can stop looking at it this thing is amazing isn't it stunning look at the colors that are coming up for that time you barely have to tilt your finger at all any direction in the fire and sparkle coming up this thing is unimaginable you're becoming a good sales thank you but again okay but it's a magnificent stone but because of the color green very hard color to find you know natural fancy colored diamonds come in several different colors yellow pinks blues greens oranges purple red is you know the rarest color of all but we've also brought out today a pink and that's an intense pink and that that stone in actual fact is a 0.27 fancy intense VS2 the stones are praised at $80,000 well incredible stone is an argyle pink and that stone you'll be able to pick up for as little as $40,000 and again this is the type of stone that you put away for five 10 15 years you're going to double triple quadruple your money it is a great great great investment the numbers one eight seven seven eight silver and the real money show.com in the studio today with me I have Jeffrey Naaman who is actually the president of cardiac kits that's correct which is a charity that we are sponsoring at Woodbine Racetrack next Wednesday Jeff when didn't you tell us what you do well thank you very much Paul and good evening I'd like to thank all my lovely sponsors and friends here today I run a charity called cardiac kids cardiac kids is a charity for children who are born with congenital heart disease and it's a challenge that we all face and again I'd like to thank my sponsors for that evening who have already educated me a little bit about the diamond business with regards to something they refer to as the four C's and the four C's refer to color clarity the cut of a diamond and a carrot weight of that diamond well for cardiac kids we also have our four C's and the four C's are the following the first one is confusion when you're born with a child who has any kind of defect or any kind of element the first thing is you're confused and you don't know what to do so cardiac kids just try to make that a little bit easier for those families the second C is complications because on a little baby just imagine that some of these surgeons are operating on kids who are three four five six months old and what they have to deal with and how complicated that situation could be the third C is caring because what does everybody need that's so important is you want to make sure that your child's being cared for properly and that's why we go out and do all these fundraising events cardiac kids has been around for 14 years and we've been very fortunate we've raised a little over three million dollars with our focus on first of all the nurses who to me are that fourth line using a sports analogy who do all the dirty work then we have the parents who have to deal with having these children born because remember a congenital heart defect is not something you can cure it's a repair and then the fourth C is compassion because we all need that and I can't thank my friends at Guild Hall of Wealth management enough for sponsoring this event we'll have over 400 people from all kinds of walks and it's also our evening where we give thanks and appreciation to all our wonderful sponsors so we'll have over 100 nurses from the hospital for six children there and it's such a it's so easy access to get the wood buying racetrack there's no reason why you can't get there in the flash it's a great venue it's going to be a wonderful night I live right beside us so I'll be there for sure well the thing is you know it is by invite and we've invited a lot of guests and people the work you know in the field the nurses and the doctors and the people the sponsor during the course of the year but part of the sales of the diamonds and we're going to be raffling off some beautiful necklaces and some pieces and anything that we raise towards this charity a percentage will go towards the charity and we're really excited to be part of this and to help promote this wonderful wonderful cause yeah we created these heart-shaped pendants with natural fancy yellow diamonds in them and we're going to be raffling them off and as Paul mentioned proceeds from the sale of these pendants the ones that aren't going to be raffled off are going to go to cardiac kids and we've actually extended that towards through the holiday season because people really love these pendants we make flower versions floral versions and and the heart-shaped versions have been very popular and any any of these pendants that are sold between now through Christmas are going to go to the charity as well so we're we're doing our best we love working with jeff and um we've learned a lot as well so it's been a great uh great experience to be a part of one eight seven seven eight silver and the real money show dot com to get us back in there i'm starting investing Paul well for people listening for the first time i've been listening to this show over a period you have to realize that natural fancy color diamonds are extremely rare for every ten thousand carats of white diamonds that are mined only one carrot will be a natural fancy color diamond that doesn't mean it's going to be an investment grade to get an investment grade natural fancy color diamond you have to mine almost a hundred thousand carats of white diamonds so these diamonds are extremely rare if you go to our website guildhall diamonds you're going to see an unbelievable selection of internally flawless yellow diamonds over a carrot each diamond we suggest in yellow should be over a carrot for investment um they're internally flawless they start off in the ten thousand dollar range and go up we have fancy intents and vivid we have a wonderful collection of pinks look at the pinks these are the diamonds that tend to double especially our gold pinks every three to four years one eight seven seven eight silver and the real money show dot com jeff tell me how can other people get involved with cardiac kids if they go to our website it's www dot cardiac kids dot ca and i encourage everyone to do so obviously you'll see the guildhall wealth management logo up there as well as one of our wonderful sponsors i'd like to reiterate when jeremy said about the heart shape uh pendants that we're putting up uh actually it's going to be a wood pine racetrack for this charity but we're also taking these pendants all the way up to christmas it's a wonderful wonderful gift they start off at three thousand nine hundred ninety five dollars um up to about fifty five hundred dollars you can you know because the size of the diamond or the color of the diamond will change the price a little bit but a beautiful gift a great way to get started and invest in a natural fancy colored diamonds because once you get the taste of these natural fancy colored diamonds you're gonna want to get into more whether it's a big pendant or a larger ring or something which we call wealth to wear by the way once you're buying one of these investment diamonds they increase in value they're not like white diamonds white diamonds tend not to do anything they're an impulse item whether you get a an engagement ring or you get something for valentine's day or something for christmas it's not an item that really goes up in value in white diamonds natural fangs and color diamonds will have always increased in price for the last 40 years since they've been keeping records they've never ever ever dropped in price they've increased in depressions in recessions in the subprime in real estate collapses and everything that's possibly happened in the last 40 years natural fancy colored diamonds have still increased in value so it's a wonderful opportunity to make an investment make an investment that a part of the portion of this is also going to go to this wonderful charity cardiac kids the numbers one eight seven eight silver and the real money show dot com will take a short break reminder before we take that break though coming up on the first and second of november special guest on the show pause and misskey will be here independent diamond industry and analyst expert and consultant back with more of the real money show one eight seven seven eight silver is the number to start investing and the real money show dot com online pal john have a quick story uh we have a customer it was not a customer it was somebody wanted to sell me back a couple of diamonds that he purchased from someone else uh these diamonds in actual fact did not meet my criteria um he sent me in the gia a's i looked at the gia a's uh if he were to purchase these stones from us i would have been happy to take the diamonds back and happy to resell them because when we buy a natural fancy color diamond we really go out of our way to buy the best of the best now this means the four sees the color the clarity of the cut and the carrot weight but there's a lot more that goes into it we have on board and i'm very proud of my own daughter who is a gia a diamond graduate it's important that you understand somebody that knows about diamond grading we don't buy anything i won't purchase anything from my own collection that i wouldn't be happy to sell and buy back so that's the most important thing every diamond that we sell comes with a gia which is a gemology institute of america that is the certification of the diamond we give you an independent appraisal so you get an idea of what the market is of the price of a diamond uh we give you a money back guarantee for a period of time we're a canadian company we're a canadian business we're a family business that's important you're dealing with people that understand the business i'm a collector first and i'm a businessman second i love natural fancy colored diamonds i've had wonderful returns for myself and i expect to make wonderful returns for my clients one eight seven seven eight silver and the real money show dot com hey daren how are you john how are you pal you know what i'm having a good week it's uh it's a congratulatory week for some clients who bought new diamonds i don't know if the guys already said that but no we didn't say what type of thing to thank people that have brought business to us and i couldn't be more ecstatic for these new clients that have bought these colored diamonds because they're seeing the value and what we're talking about and they understand the concept of owning a hard asset so well done for them and congratulations well when you buy an investment grade diamond you should buy from somewhere that actually sells investment in grade diamonds like guildhall speak to your point well you wouldn't buy a Ferrari with a scratch in debt would you i mean it just doesn't make any sense so if you buy the best of the best you're going to pay maybe a little bit more but you're going to buy something that you're going to be able to resell whether it's five ten fifteen twenty years down the road you want to buy something that's going to get your return not that somebody doesn't want to take back guys let me ask you a question daniel shoot it to you first what are some of the the stumbling blocks if you will that someone who's new to buying natural fancy color diamonds might encounter first off when they first walk in well the biggest issue for us i think for me and i think jeremy should answer this separately but uh for for me it's trust this is an asset they're not familiar with they've never really had any experience with and quite frankly anything they know about jewelry completely is is 100% segregated from what a colored diamond would do for them as an investment as opposed to a piece of jewelry and quite often and it does relate to silver too or gold they look at these as assets that are more worn like jewelry and things of that nature so trust is the biggest thing right off the bat and you know you need to know who your client is so listening opening up your ears to hear what they have to say and what they want to achieve is the most important i can sit here and tell you that with 100% certainty every client that comes in would like to make money but if you don't know why if you don't know how much and if you don't know what it's for uh you don't really have a good idea of exactly how to achieve that and if listen you want to make a million dollars you need to own a pretty sizable diamond but uh for the most part it's establishing trust with the client that's the biggest thing they don't know what the colored diamond market is what a colored diamond is and how it works so that's a long process and that's exactly why people do trust the name guild hall when it comes to colored diamonds. Jeremy I'm going to throw it to you same question for newbies what's the biggest stumbling block other than trust. I think Darren touched upon it I think it's the jewelry paradigm I when i'm talking about people that I encounter outside of the offices of guild hall where the you have a lot of people with experiences that have experience purchasing jewelry and hoping that they bought a piece that will that will uh stand the test of time as it were or there's people that will say well I'm never going to take it off so I really don't care what the value is and to me what's ironic about that is well then why spend over twenty thousand dollars for something that you don't care what it's going to be worth in fifteen twenty years get something out of a cracker jack box um so I think that jewelry paradigm has does affect and that's what's keeping colored diamonds the best kept secret because people need to appreciate just how rare they are and even within that rare pocket of of understanding the high criteria that you want to look for to get to what we call investment grade natural fancy colored diamonds. So I think again that that jewelry aspect that that people think that well white diamonds don't keep their value why would a colored diamond be any different. So when it comes down to really grasping that rarity is a big one that's part of the reason why we're having Paul's and Ninsky on the show because he's an analyst about about the diamond industry in general and we're going to be talking about how many how many diamonds are coming out of the ground what's what's the mining industry like how rare are diamonds how rare are colored diamonds as a as a result and that's going to be happening November 1st and 2nd by the way on the show there that's right and uh it's something that we're going to follow up we do it on the metal side of course as you know John and interviewing a lot of mainstream analysts and some not so mainstream analysts to get their opinion and take on the markets but this is a very important thing to do and ultimately I think it it stands to reason that if I'm going to invest in something I don't know a lot about maybe I don't just want to take the opinion of the people that are trying to offer this investment in your sell to you so this is important too and I think what you're going to find with these interviews and I don't want to have any preconceived notions because I have no idea what they're going to say but I think what you're going to find is that they're going to acknowledge a coming of age for this industry and that things like colored diamonds among other hard assets are becoming mainstream and really the front end of this buying that's being done right now is the very astute aspect of any investment and remember all these bull markets whether it's colored diamonds or precious metals or any other thing they go through various phases and usually that first phase is that the mainstream does not accept it as a legitimate thing I've been to plenty at dinner parties where people have talked to me about oh yeah it's great to have a colored diamond how do you sell it well let me tell you I can sell it for you right and I mean I've been to plenty of different occasions fundraisers where people talk about colored diamonds but they talk about it in a way that makes it seem like it's second best or like well if I didn't have any other choices I might do it well the other problem I have with this is that the fact that people don't pay attention that they're being lied to right to their face I mean when we look at economics 101 the mainstream economics that's occurring that are occurring right now especially post-recession here in 2014 our economics which are twisted and manipulated and often are leading us in the wrong direction because the people at the very top the institutions the federal reserves the central banks the governments they need to promote an image their brand in order to stay in power and that's what they're doing so it doesn't surprise me that colored diamonds and assets like colored diamonds are starting to grow in popularity and it hasn't surprised me that silver and gold have had this tremendous run over the last ten years with barely anybody investing in it I mean if you look at silver and gold four percent or less of the entire global globally managed asset base of investors have actually had exposure to silver gold if you look at colored diamonds it's probably less than one tenth of one percent it's tiny in comparison so to see these people taking a risk and sometimes going out on a limb to try something they've never tried before I think they're becoming extremely pleased at what they're seeing and the value increase and the return on investment that they're getting from colored diamonds 18778 silver on the real money show calm Jeremy what what do investors like about colored diamonds I think one of the big things they like is the fact that they don't have to watch their investments so closely they don't have to have heart publications when it's moving up and down they don't have to deal with that disappointment that a lot of investors have where they're trying to pick the right investment and the right stock for example and and then it's it's getting into the actual collecting there's such an enjoyment and an appreciation that comes out when when clients purchase their first and then a lot of times their second and third diamonds because there are very few investments out there that you can appreciate while you while it's it's increasing in value you know there's art I suppose there there's wine and and certain types of collectibles but oh there's wine this this market is is a very is a small big market I mean when you look at the auctions and seeing diamonds that are six seven carats selling for multiple millions of dollars you start to say okay this this is a place where I'm gonna I'm gonna follow the lead of the of the uber wealthy so I think that's what people are really really enjoying about color diamonds and you wanted to say something well I did I wanted to say I just waited for you to finish because I think to add to that one thing that we have to acknowledge about where the money is going is that people that usually have gained wealth have become knowledgeable about how to invest and how to uh how to put themselves in a position leverage themselves if you will to earn a return so when you see these people wherever they are in the world buying color diamonds at these exorbitant prices far more than we would have ever estimated I think you have to acknowledge that they are very smart people they're very astute and they understand things a lot differently than you and I do and this is a good thing because when you can scale this down to a yellow one carat vivid maybe a smaller pink diamond and get it into the hands of the mainstream investor this is bringing the knowledge to the people and this is why people are making so much money with color diamonds at this point it's kind of cool to be part of a very small specific club right it is I mean it is a club and there's no doubt that there's a membership involved in that club and that's owning your first diamond so when you get to that stage you have to ask the question you have to get the answers and you have to be part of something that's very special and that's why investment grade colored diamonds are wholly different than any other type of diamond in this world one eight seven seven eight silver and the real money show.com the natural fancy color diamond seminar it's going to be happening November 8th and you want to be at this sign up early it is at the Delta Meadowvale Hotel and Conference Center address 6750 Mississauga Road in Mississauga again November 8th from 11 a.m. to 1 p.m. you can go to guildhalldiamonds.com to register we'll talk about precious metals hang on one eight seven seven eight silver and the real money show.com we're going to get into precious metals the guys are here doing jumping jacks it's like working with Rocky Balboa over here. I'm talking about you Jeremy. That was Darren. Oh sure it was he's always sitting. I do looks felt this week though. You do a spell for you. Good word use my friend. You mistook me for chair so that's got to be saying something right. Guys I've been doing some homework yeah I never did it all the way through my school career but now that I'm in mid 40s I figured it was time to get on it. We're calling this the 19 very surprising facts about the messed up state of the US economy. We can go through a few of these Darren you're probably going to answer this one. I have a fact for you. In fact I've called it fact number two the number of part time workers in America America has increased by 54% since the last recession began in 2007. Meanwhile the number of full-time jobs has dropped by more than a million over the same time period. What do you think about that? Well I think that's the easy way to look at it. I mean if you're smart enough to do the research you'll find that this data is actually accurate and the sad thing is that instead of looking at this data from a practical perspective and applying it to investing principles. I'm having a tough time with that word today. We end up looking at the headlines. It's the common mistake we make. We hear the headlines. We hear the job reports great. We hear the numbers are up. We don't think about how they're measured. We don't think about what the reality is in terms of full versus part. And we don't think about the quality of the careers that are being started and what's being lost since 2007 in the nutshell is quality careers. No longer do we look. I heard a conversation today. I'm in chorus radio and I hear the conversation today. Two guys talking about working for GM and the one guy says to the other guy says do you remember 10 years ago when we started at GM do you remember we thought it was going to be a career and the one guy said the other guy said now every day it's like I'm fearful that I'm going to lose my job and that's what's happened. It's the massive change in mentality. So with that change in mentality why shouldn't we have a change in mentality about the way we invest our money. We talked about color diamonds earlier in the show. Now we're talking about gold and silver bullion and physical bullion at that. Not paper, not futures, not options, not getting in the stock market. So those are all fine if you have an educated approach and you're working with somebody you can trust. But this is about owning a few bars of silver. 100 ounce bars maybe owning a few one ounce bars of gold. If you're an investor maybe putting a little bit more money into the market because this is the type of investment over the long term which has performed extremely well. Do we know that in the short term silver and gold have functioned very poorly over the last probably 36 months? Yes. But in 10 years that we've been doing this. In fact silver has averaged over 27% per year gain and that's including the 36 months that we've just gone through a period in which we've consolidated. We've seen pricing pullback from a high and ultimately as I wrote this week in the precious metals advisor it is a contrarian point of view John. There's no doubt about it. The people who take the time and you've researched it yourself who take the time to look at the numbers will learn very quickly that there is a difference between what the headline says and what the reality is. One eight seven seven eight silver and the real money show.com you talked about investing and doing alternative investments smart investments hard assets. Jeremy I mean you don't have kids yet but Darren and I both do this statistic interesting as well. Says due to a lack of decent jobs college graduates still depending on their parents financially two years out of school. How about that one? How about get a job? They're still relying on their career. How about two years after school? Sam got a choice that's becoming the norm now. It's becoming the norm. I'm sorry. I that went over my head a little bit. I didn't realize what you're saying. You're saying that that kids after school are living with their parents after college for two years up to two years if not longer. Yep. Can't afford to be out on their own. Yeah well that makes sense. I see that and being in Toronto you go out you see a lot of kids spending a lot of money and at decent restaurants and you wonder where the hell are they getting all of this from must because they're living. They're living rent free. So yeah I think it's a question of a lack of jobs. I think any personally speaking I think any economy that's going to lose their manufacturing sector and then have a whole bunch of university graduates are going to have a tough time finding jobs for them and I think that's part of the whole consumer culture that we see in North America. So that doesn't really surprise me. I think that the job situation in general is tough. The numbers are skewed very heavily. We were all really happy about the US finding jobs a few months ago and it hasn't done anything for the stock market and when you're when you're not paying attention to those who are dropping off from even looking for jobs you know the future doesn't look exactly bright. It definitely looks bleak and I think that people are starting to think about that in terms of their portfolios in terms of okay what does that mean for my portfolio? Is it inflationary? Is it deflationary? What does this mean when the government's creating all this money but the jobs aren't being created? It's going to take some strife and some turbulence for economies to eventually work themselves out. In the interim what vehicle are you taking to to to do better for yourself? It's so funny I was listening to something on Fox News. This guy was going on about how volatile the markets were, how crazy it was that things were basically on the verge of crashing. He wasn't he wouldn't call it crash just yet but we were three percent away from that or seven percent away from that and he just kept going on and on. The stock market sucks is what the the premise was and eventually they asked him so where would you put your money and he said US Treasuries. Wait a minute I'm supposed to put my money with a country that no one in the world wants to buy their Treasuries except themselves and I should be putting my money into that instead of the stock market which is where all that money their printing is going anyway. It seems quite backwards at least if you're going to buy buy into the Fed printing money just buy that buy into the stock market then and keep riding it. The thing is and Darren mentioned this slightly earlier is fiat currencies do not have a good track record. Gold and silver do have a good track record. Thousands of years worth of a track record against fiat currencies and in the last 10 years gold and silver have done quite well. Right now they're extremely undervalued versus the amount of money creation that's out there but that will revert to a mean that the pendulum will swing. We see it every day people saying you know what I need a little bit of this in my portfolio so we believe that having your hard-earned dollars and your wealth stored in something that has stored value for thousands of years is just a logical way to go. 1-8-7-7-8 silver and the realmoneyshow.com, Darren. Well Jeremy brings up a good point and I'm glad he did because it reminds me of something I like to use when we talk about gold and silver at our seminars and that is the comparison of value over the long term and one little example of that value over the long term can be found in silver. If you look back to the mid 60s probably around 64 65 a gallon of gas in Canada would run at about 30 cents a gallon. Awesome. We hadn't converted to the new measurement system so we're still on gallons and you could buy that with three dimes. You still let it? Yes absolutely. I mean it was easy walk away and 30 cents you got a gallon of gas. Now I fast forward to 2014 and I apply those three dimes to my buying power. What does it secure me today? Back then it bought me a gallon of gas. Not even bubblegum. No that's the only thing that comes to mind if you think about it. You can't even make a public phone call. You can't. You can't put 30 cents in the phone anymore. I mean you got to put more but the reality is if I was to extract the silver out of those three dimes which were still made back then with up to 90% silver in them I could still buy that one gallon of gas today. In fact I could buy more than a gallon of gas. I could buy about just over five dollars worth of gas and the gallon in Canada already now is running us foreign change. So in fact over the last 40 some odd years and then some almost 50 we've managed to have buying power stored in a hard asset like silver and that is through every type of imaginable type of marketplace whether it's been a boom, bust market, whether we've seen the late 80s, early 90s and that's something to be said for the value of silver over the long haul. And we're not financial advisors. We're not advocating either that that people should put all of their money into precious metals. 10 15% is going to be plenty to to create a hedge a hedge for that but I'm going to take your three dimes Darren and raise you Lyndon Johnson who's who his reason for taking silver out of the currency in the first place was because he said that there wasn't enough silver at the time and now there's even less silver above ground than there was then. In fact there's five times more gold above ground than silver. So silver is five times more rare than gold which means essentially supply demand. Silver should be five times the price of gold right now. People are buying as much money as going into silver that's going into gold and silver is 70 times cheaper than than gold right now. You need 70 ounces of silver to buy an ounce of gold give or take. So there's a whole bunch more silver being purchased every day by regular people than there is gold and yet the price is at 17 dollars an ounce. Below what I strongly believe is below the cost of production and mining companies can't continue to make profits at these levels and we talked about I think last week or the week before that one company has shut down production a part of its production because of that. So we have a situation in the market where silver is not only undervalued but a diminishing resource that has the lowest supply than in history and the highest demand in terms of technologies and usages and it's really just a matter of time before that fundamental has to has to be a force to be reckoned with in this market. One eight seven seven eight silver and the real money show.com I take you to point number eight on our list right now Darren. You ready? Yeah I am says according to a new method of calculating poverty devised by the US Census Bureau the state of California and California the big one currently has a poverty rate of 23.4 percent. That is a reality and remember when we're talking about statistics the mistake that is made quite frequently is that people look at a measuring the measuring data and the equation to measure that data as it relates to the economy now if we look back just a few years ago say Clinton era around that time the way we used to measure participation rate in the job sector and the overall participation rate in terms of total employed is a lot different if we applied that same equation to today's market and of course this is so that it can be convenient for the people that it needs to be convenient for if we apply that same equation what you would find right now in the US is that the unemployment rate is actually closer to 20 percent. So seeing this type of statistic in a state like California very large state there's nothing that surprises me about that at all. Jeremy other than melting down three seventies dimes to get the silver how do I get a hold of money? How do I get my hands on silver from field all? So we do it in a couple ways it's always physical assets you can buy direct through our e-commerce store you just go to guildhallwealth.com register for an account and then you can purchase whatever type of bullion you want you can then have it delivered straight to your door it's very very easy once you get up above 500 ounces or of silver or pretty much anything over five thousand dollars worth you should really start to consider storage and we offer that in spades it is a outside the banking system vault we allocate we segregate your bullion we give you title document you can visit your bullion whenever you want it's fully insured audited four times a year doesn't get to look much better than this we have a a seven point system that we're going to show on a report that's going to come out very soon just to show that you know you really want to have all of the check marks when you're going to store your bullion but in terms of getting into the market you can contact us direct just give us a call and we can walk you through your first order and again whether you want to buy that online or just give us a call and we can we can say yeah and Darren always good to have the precious metal advisor on your back pocket too right it's free i mean we bring it out to everybody every week and at least for 12 months you'll get it for free no obligation and certainly it's a tool definitely to be used in establishing your portfolio we'll take a short break the numbers one eight seven seven eight silver and the real money show dot-com and back with more of the real money show the number to start investing you know it one eight seven seven eight silver and online the real money show dot-com dare not want to jump back into our list of the nineteen very surprising facts about the messed up state of the u.s. economy sorry to harp on it guys down there down south but it's a it's a fact it's messed up i take you to point number nine my friend according to the new york times the typical american household quote unquote is now worth 36% less than it was worth a decade ago well that is a true statistic i look at this a time and time again and the fact is that if a decade ago i bought silver i'm in fact 300 percent plus better than i was 10 years ago so in fact i took that loss and i had it in silver i would in fact be actually worth a lot more at this point now that's not suggesting that everybody's a winner uh there are winners and losers in every market but that is a statistic which does shed some light on the type of difficulty that people have had maintaining their wealth likewise in canada the same thing can be said we have had a tremendously difficult time maintaining what we have struggled so hard to build in terms of our portfolio our wealth and it has caused us a tremendous amount of grief and the outcome from that grief is now that many people don't know where to put their money it's not necessarily that they're going to stop doing what they've been doing which is contributing to their regular traditional investments on a yearly basis that's not stopping but there is a big whack of money john on the sidelines right now in fact almost a trillion dollars in canada that's sitting in cash because people are very uncomfortable with what the next step should be and i think they're right to be uncomfortable i think they should be doing their research and they should be looking into alternative options for investment hard assets is one of those areas that should certainly be part of everybody's portfolio in gold and silver are the key ingredients within that portfolio arrangement so when you look at what we've discussed today in terms of color diamonds and and uh uh gold and silver wealth is made up of many facets and these are just one of those facets but i think that that should be part of everybody's portfolio and unfortunately i don't want to see people lose more value when they're investing in things that they shouldn't be investing in and when you look at the us dollar in the last hundred years it's lost over 95 98 percent of its value every year people have to make more money to keep up with that otherwise you'd still be paying 10 15 cents for a coffee the last decade they've they've tripled their monetary base in in a matter of a few months um you know we we talk with frustrated clients who've purchased metal uh in the past at higher prices and they're wondering well when can prices ever move up again and while we don't have a full crystal ball um you know and we don't have access to central bankers private rooms where they're discussing what they're going to be doing what we do know is that this is one big experiment that they've that the Fed itself has created four trillion dollars out of nowhere that nobody's bought that money with and helped push the stock market up while the rest of the economy just doesn't seem to be uh buying into this uh this illusion so i think when people are asking where's the price price headed when is it going to happen i think you've got to look at at black swan events look at the last year and a half look at how many countries are starting to create trade deals where they're going to not use the us dollar um the us dollars in in trouble that way and and no wonder the price has moved up to to give the appearance that it's strong so i think that this could only be uh an event driven market that we don't know where that next big event is going to happen but all you have to do is look at the history of the us dollar these events do happen uh whether it's 87 stock market crash uh whether it's the dot com bubble whether it's um subprime uh whether it's the strong inflation in the 70s you know they were able to quell that with with double interest rate hikes do you know what they would what would happen in canada or the us if rates were got hiked to double digits it would be calamity so we are in an an experimental fishbowl here and it doesn't look like the ending is going to be good so so again we're we're not we're not uh advisors and we don't advocate holding a hundred percent of your portfolio in precious metals but it can certainly be an amazing hedge and the last ten years have already shown that even with three years of the market not doing a whole lot it's still holding value it can't go to zero but currencies can and any fiat currency shows that it can drop to zero so we think it's a great time to buy it especially since it's so undervalued right now and the easiest way to do that is to either just call us direct or go to guildhallwealth.com register on the east door and and just make a purchase what i want to pick up on there as well as german made a um a statement there that sometimes people overlook in terms of their importance and what it means and he said that over the last hundred years the us dollar has lost approximately 90 to 95 percent of its purchasing power and when i hear that i often ask myself how if i was a layman person would i understand what that means and essentially what it means is that if you go back a hundred years ago in terms of its total purchasing power the world over globally the us dollar would buy 90 to 95 percent more than it does now now despite the fact that it's the reserve currency and yes it's a very strong currency at the moment that means that against the basket of currencies it currently is measured up against which is the euro and the yen and the swedish crona and the pound and the canadian dollar against all of those currencies in fact it's not so much that the us dollar is getting stronger it's that some of those other currencies are slightly weaker over the short term so sometimes those fluctuations can be a little bit alarming because we think that it's the strength in the us economy that's building up and believe me the headlines want to tell us that but the reality is it can be that the other currencies it's measured against are actually weakening so when it comes to this and understanding it i mean it's a lot to swallow it's a very complex topic but assets like gold and silver it's the reason why we look at them long-term and not short-term i wouldn't buy silver if i needed to be out of the market by the end of this year i mean this is not a smart thing to do silver and gold are long-term investments they've always been long-term investments and these are the assets that you hold over periods of time in which there is economic turmoil and Jeremy pointed it out these are event driven markets and that's what will take gold and silver much much higher the bottom line of course though is if we're looking at silver which is our favorite is it only has to go into the mid thirty dollar range to to double your money so with that understood take 10 percent of your portfolio put it into silver that type of doubling your money is going to add serious percentage of points to your to your overall gains you know i talked to to someone the other day who has g_i_c_s less than two percent okay so you're signing on to lose money every year because inflation is well above three percent one eight seven seven eight silver and the real money show dot com dare and bounce and write back into the nineteen very surprising facts about the u_s and their messed up economy the state of their economy anyway i take it in number twelve which says subprime loans now make up thirty one percent of all auto loans in america uh... did not have really badly when the housing industry did the same thing it did and it still is most of the debt that the fed is buying remains the toxic debt that stem from the subprime mortgage crisis and that debt doesn't just leave it doesn't get paid off all of a sudden when there's nobody to pay it off it has to float it has to float elsewhere through the balance sheet uh... this is again a process of elimination there are multiple ways to lend and there are lots of people to lend to but the idea of credit and establishing credit has become such a big business in the u_s and the world over really that it's very easy for companies now to acquire some credit and give it out to people who really shouldn't get it so what you're seeing now is a lot of very very shady deals happen in the car industry and not again remember is serving to help pump up the headlines because of course auto buying is one of those big mainstream headlines that we used to tout the healthiness of an economy so we talk about housing we talk about jobs car loans how many cars are being bought another big huge segment in sector so when we see that number being bounced about it is very alarming to see that that much of the industry that's buying is using the subprime purchasing method and again it does only end one way and that's bad and we could see a very very big drop in a short period of time in that one eight seven seven eight silver and the real money show dot com so again german how do we get into this market with you guys quickly uh... you can give us a call uh... you can request an investor kit if you're still new to it and want to understand the fundamentals whether it's uh... the impact of fiat currencies whether it's supply and demand um... there's four major fundamentals that we look at in terms of why we love owning precious metals so you can either request an investor kit you can also sign up to our our newsletter maybe you want to learn uh... get involved and and see the type of articles that we discuss on the show every week and and see the charts that we're discussing you can also just log on to guildhall wealth dot com you can uh... go to the east door and uh... just simply purchase it from your living room and have it delivered straight to you if you're looking for storage we provide that as well um... fully allocated fully segregated uh... it's held in trust there's uh... no counterparty risk it's outside the banking system uh... couldn't be safer couldn't be more secure um... and very liquid very easy to buy and sell your product that way versus you know putting it in a safety deposit box where yet you can go look at it you can go visit your bullion but when it comes time to sell you know thousand ounces ways uh... believe about seventy pounds you gotta you gotta stop what you're doing put that in the car drive it somewhere where you're going to be able to sell it maybe need to get it assayed as well all that time time is money so you could be you could be losing out on some gains along the way so uh... storage costs are very low purchasing bullions very low prices price wise it's a very competitive market we have to maintain that competition uh... competitive pricing and uh... we provide that and you can see it on on the east door you know throw the uh... the show these last two segments anyway dare we talking about the uh... nineteen very surprising facts about the messed up city u_s_ economy i'll give you this one as well it's uh... it's uh... it's not a funny fact it's more of a fun fact that uh... forty million dollars forty million dollars has been spent just on vacations for brocco bomb and his family during his presidency i mean you might as well have fund rises are on the way out right forty million dollars just on vacations that's the truth of the matter and that is the state of the union as they say that's where we are seeing and by extension as it relates to the rest of the market we're still seeing the fat cats get fatter another statistic that you might want to be aware of is the fact that uh... and again let's address this head-on wall street and bay street are still back to giving their bonuses believe me whether you perform or not they're still getting those bonuses and walking away with big fat checks um but here's another really interesting point in two thousand seven the average household in the top five percentile in the u_s_ had sixteen and a half times as much wealth as the average household overall but now in two thousand fourteen the average household in the top five percent has twenty four times as much wealth as the average household overall paul's talk about it at length in discussing that the idea that if i'm uh... a millionaire family and i've got fifty million dollars in net worth and i lose half my portfolio i still got twenty five million it's a lot of money so ultimately we're seeing that you know uh... what we would call ultra net worth families of a hundred million dollars or more they're getting richer and richer and richer on the backs of all of this that's being done because they have a foot uh... in the credit markets they have a foot in the lending markets they have a foot in the venture capitalist markets and the mentality really has shifted you can watch many of shows now and in the old days people were willing to take a risk on an idea that doesn't happen anymore you go establish yourself use your entire family's wealth perhaps get a good idea perhaps not and then we'll see if we want to throw a little bit of money behind it and that's the way it works now but ultimately this is the mainstream media trying to spin this differently and there is totally one of the percent uh... truth to the fact that the rich are getting richer than the poor are getting poorer so you gotta own assets and do the same types of things that the rich are doing one of those things is owning assets like colored diamonds and the other is silver and gold you gotta own those assets and people all around the world are already getting involved in those assets and taking their money away from the third counterparty risk like banks and putting it into places where the banks can't get to it and governments can't get to it and that is owning physical hard assets like gold and silver or natural fancy colored diamonds when you look at charts in terms of the purchasing of bullion in the last couple years you see that it's massive all around the world except in north america north america has bought the low sentiment in precious metals and they've decided it's not for them uh... in many in many respects uh... those that are savvy enough to to see a chart like that and say wait a minute the rest of the world isn't buying what the north america is selling that the emperor has no clothes and that we better get our assets somewhere and our hard-earned wealth somewhere where it's going to be protected to be able to buy precious metals at this low price and take advantage of it the way europeans have taken advantage of it the way all the brick nations have taken advantage of it is something that you really need to look into we highly recommend getting a precious metal investor kit signing up to the precious metal advisor and getting this type of information at your fingertips so that you'll be excited to say you know what it doesn't get to look any better than this precious metals at at very much undervalued low stock markets at a very much overrated high where it's a becomes an obvious logical choice the numbers one eight seven seven and the real money show dot com the time to start investing is right now i want to remind you the next week on the show on the first and second we'll have Paul's and Niskey he's a independent diamond industry analyst and consultant topics at that point next week uh... will be among others diamonds supply and demand including natural fancy colored diamonds and uh... before we wrap i want to mention as well the natural fancy color diamond seminar with guild hall november eighth the place for that will be the delta metal veil hotel and convention center address sixty seven fifty mrs saga road and the time on saturday the eighth will be eleven a.m. to one p.m. register at guildhalldiamonds.com what if you could have a streaming service that added new shows and movies every day three hundred and sixty five days a year tune in on monday and watch traumas like fight night the million dollar heist tuesday watch reality shows like top chef canada and wednesday enjoy comedies like ted and it just keeps going and going every single day no matter when you tune in there's always new entertainment for you to discover stack tv new shows streaming every day Try free, applicable membership required, restrictions apply.