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Marc Faber on how to protect your savings against inflation
Posted on 10 April 2011 with 2 comments from readers
Marc Faber says that he asked an audience of Singapore fund managers last week whether they had more than five per cent of their own savings in gold, and nobody raised their hand. He says this means gold is not in a bubble by any measure.
Dr Faber can certainly smile as he answers these questions as he is being proven right, again and again. Those who take his advice tend to do very well, and those that ignore him do not.
Posted on 10 April 2011
Categories: Banking & Finance, Bond Markets, Global Economics, Gold & Silver, Investment Gurus, Oil & Gas, US Dollar, US Stocks, Video Channel
2 Comments posted by readers:
How do we know that many, a majority, of these wealth managers experienced Marc Faber’s question as impertinent? As a result, they were not going to put their hands up.
How can we be sure that there were not a small number there who do have more than 5% in bullion, but who were simply not prepared to reveal their hand in this matter in such a public auditorium?
Whilst I agree that we are not in a bubble with bullion, and whilst I agree that the response to his question does tell us something, I think we can read too much into the wealth managers’ responses here.
If a majority had put their hands up, we would already be knowing that we were in a bubble or about to enter one even before this conference began. It tells us little or nothing more than what we know already, I suggest, though it does give a nice feel, perhaps.
A very interesting set of numbers about black gold in the HSBC research report [pdf] ‘ENERGY in 2050 – will fuel constraints thwart our growth projections? ‘ dated March 22, 2011. Check out some of those fantasy projections for the growth of bio fuels, etc. And the statements that governments have to act. SURE, ha ha ha … We could send showman Donald Trump over to the Middle East to threaten people. That ought to work GREAT. Is he mad because someone over there wouldn’t pay him for the privilege of putting his name on their building, like people do over here? Will he be the next Ross Perot? He may be trying to help Obama with all the crazy ‘birther’ talk.
At least HSBC realizes that oil will be the first fuel shortage problem. They did mention that additional production from Iraq is critical. I may have beaten them to that one, at least in print, on a whole bunch of web sites. Has anyone noticed how we are starting to see the term ‘peak oil’ discussed more and more? I wonder why?