Investing In Gold... Another Scam?

By
Real Estate Broker/Owner with Daytona Condo Realty, 386-405-4408

Jason Potrzeba posted Buy Gold. The Best Financial Advise I got that I Never Took...

And I remembered an article that I ran into just recently. About Gold - Jon Zolsky bloginvesting in gold… It came by e-mail, so I can’t give you the link to the article. It is written by Jim Gillespie, a commercial Real Estate coach… And this is him, who I quote in this blog post.

In the article they were labeling this gold rush as “the greatest scam in history”.

Empty Bag - jon zolsky blogIn a nutshell, what they were saying was that for every 100 ounces of gold that people think they’re currently holding a claim to, only one ounce of physical gold actually exists”

Which pretty much means that if everyone asks for their gold. 99 out of 100 ounces would not be delivered. And if you are one of those “lucky investors”, all you are is an “unsecured creditor”.

Which in turn means that you might be holding an empty bag… an expensive empty bag…

Listen to a bit over half-hour interview featuring a London Metal Trader veteran and Adrian Douglas of the Gold Anti-Trust Action Committee. Just click on image saying “MP3 Not for Redistribution” on the bottom of  the page on the left side to listen to the interview.

I am not investing in gold, or silver, or in Real Estate in Panama, or Costa Rica. Maybe it is great, but then what I am doing in Real Estate if I know that this is a better investment venue? All I know (just a bit) is real estate, and only in the US. And plan to keep it this way.

Jason, maybe it was a blessing that you did not follow the advice?

·  Image courtesy of Flickr.com under Creative Commons License

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
Real Estate General Information
Groups:
Diary of a Realtor
Out Of The Box!
REALTOR LIFE
Realtors®
Silent Majority
Tags:
scam
jon zolsky
daytona realtor
daytona agent

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the clip to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the truck to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Rainmaker
591,128
William J. Archambault, Jr.
The Real Estate Investment Institute - Houston, TX

Jon,

I use to attend "Real Estate Expo" in Las Vegas every year. A week at Cesar's of real estate exchanging. The second year they loaded a few hundred of us on buses and drove us into the desert. I had $800,000 worth of Austrian Opals with me.They offered to take those Opals at face value for their lots at 10%, I said no.

I said no the next year for the lots at 20%.

I said no the fifth year for the lots at 100% and my Opals at 20%.

I moved to Vegas 5 years later the lots were now listed 4 times higher than I remembered and they demanded all cash!

We can't worry about what we didn't do! All we can do is worry that what we did do doesn't do us!

Bill

May 11, 2010 07:18 PM #1
Rainmaker
343,178
Jenny Kotulak
RE/MAX Real Estate Centre Inc., Brokerage - Oakville, ON
Broker - Oakville Ontario Real Estate

Jon, I'm afraid I put all my investments inito raising my 4 kids.  I don't even want to know how much that would be if I had it in gold or diamonds.

I just hope one of them will look after me in my later years lol.

May 11, 2010 07:32 PM #2
Rainmaker
399,669
Hugh Krone
Weichert Referral Associates - Hamburg, NJ
Realtor, Sussex County NJ

I,m thinking of investing all of my money in a bag of M&M's

May 11, 2010 08:44 PM #3
Ambassador
1,338,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Bill - and what are they now?

 

May 11, 2010 09:37 PM #4
Ambassador
1,338,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Jenny - I am afraid this idea would not work for me. At least it does not look like it now

May 11, 2010 09:38 PM #5
Ambassador
1,338,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Hugh - just try to make it last. I am not eating sweet stuff now, but when I did (not long ago), that stuff did not last at all

May 11, 2010 09:40 PM #6
Rainmaker
323,152
Yolanda Hoversten
Berkshire Hathaway HomeServices Elite Properties - O'Fallon, IL
Broker - O Fallon, IL Real Estate

I filled up the gas tank & bought a $1 lottery ticket yesterday.  I know how that will turn out.

May 11, 2010 11:40 PM #7
Ambassador
1,338,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Yolanda - then you are the only one who knows what is going to happen... unless, of course, you are a pessimist, and think that nothing would happen... but then, why buy a ticket?

May 12, 2010 12:01 AM #8
Ambassador
883,519
Lane Bailey
Century 21 Results Realty - Suwanee, GA
Realtor & Car Guy

I'm wondering if Gold is on the verge of a bubble anyway.  As soon as something seems to be a "no-brainer"... it becomes for those without brains...

May 12, 2010 12:48 AM #9
Rainmaker
449,501
Tim Maitski
Atlanta Communities Real Estate Brokerage - Atlanta, GA
The Agent Who Uses "Watermelon Tough" Sign Posts

I've been following that story.  It is really amazing.  Many are buying Gold ETFs thinking that they are buying real gold that is being stored someplace when in fact they are only buying promises and nothing more.  That's why if you are going to invest in gold and silver, I think you need to buy the real thing, not some kind of paper substitute. Buy it and bury it in your backyard if you have to. 

If everyone wanted their gold in physical form, only one in one hundred would get it.  What do you think that would do to the price? 

How long can our paper currency be a store of value?  Eventually all the fiat currencies will be worth only what the paper is worth.  Think about the recent European Union bailout.  All of these countries that are basically bankrupt chipping in to bail each other out?  The United States which is in deep debt supplying a trillion dollars?  Where does that come from?  It's all funny money.  We print up money with nothing backing it and we pretend that it's real.  If it were that easy, all we would have to do is have the Federal Reserve print up a million dollars for every American and we all wouldn't have to work again.

May 12, 2010 07:21 AM #10
Ambassador
1,338,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Lane - if there is no Gold but just paper, then it is a problem. It is then simply an 'empty' bubble. The empty bag breaks but there is nothing in it... except for mere change

May 12, 2010 02:21 PM #11
Rainmaker
130,685
Aaron Silverman
Bluewater Property Management, LLC and Lowcountry Turnkey Properties, LLC - Charleston, SC
Improving the Real Estate Experience through Educa

There are many methods to make money and earn a living; however, the best way to do it the way you know the most about.  That is why I am sticking with real estate.

Jun 01, 2010 02:05 PM #12
Ambassador
1,338,362
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Selling Daytona paradise for heavenly good prices

Aaron - I agree

However, with your last name, you could try some metal (LOL)

Jun 01, 2010 02:39 PM #13
Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the cloud to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Ambassador
1,338,362

Jon Zolsky, Daytona Beach, FL

Selling Daytona paradise for heavenly good prices
Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the eye to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Additional Information