1 00:00:00,240 --> 00:00:04,919 The idea is that the smart money gets back into goal relatively soon. And 2 00:00:05,120 --> 00:00:09,080 the central banks bought more gold in twenty twenty two that they had in decide 3 00:00:09,199 --> 00:00:13,439 and that's the smart one. And even though they pooh pooh gold on CNBC 4 00:00:13,640 --> 00:00:17,120 and the main financial channels, and they only ex seem to feature a gold 5 00:00:17,160 --> 00:00:20,839 feature on Goldens Down, the truth of the matter is that gold does well 6 00:00:21,039 --> 00:00:24,039 for preserving your well. And I'm going to digress for a minute, but 7 00:00:24,079 --> 00:00:28,000 at a money manager at a major brokerage house, I mean one of the 8 00:00:28,039 --> 00:00:33,479 top three that is now retired, and we had a chat on their crypto 9 00:00:33,600 --> 00:00:39,399 backed gold currency. You're listening to Carrie Let's Financial Survival Network, where you 10 00:00:39,439 --> 00:00:45,280 get valuable information you just can't find anywhere else to thrive in today's trying times. 11 00:00:45,520 --> 00:00:51,039 You need the Financial Survival Network now more than ever. Go to Financial 12 00:00:51,079 --> 00:00:56,640 Survival and Network dot com and get your free newsletter and gift. Financial Survival 13 00:00:56,719 --> 00:01:06,840 Network now more than ever. And welcome you are watching and listening to the 14 00:01:07,079 --> 00:01:11,640 Financial Survival Network. I'm your host, Carrie Lutz. Well, we got 15 00:01:11,640 --> 00:01:18,439 a rare treat. David Morgan is with us now the Morgan Report dot Com. 16 00:01:18,760 --> 00:01:21,920 We were just talking, David. It's been twelve years, and it's 17 00:01:21,920 --> 00:01:26,120 so funny because when we first met, you mentioned that, gee, this 18 00:01:26,239 --> 00:01:29,719 guy sounds great, but he's late to the party. Yeah. Well, 19 00:01:29,719 --> 00:01:33,040 we had met. I think it was in two thousand and ten, eleven, 20 00:01:33,239 --> 00:01:36,599 somewhere in there. And now we peaked in the medals as you know, 21 00:01:36,879 --> 00:01:41,879 Carrie April end of April, early May twenty eleven and silver in septembery 22 00:01:41,920 --> 00:01:45,760 in Gold twenty eleven, and you know, we we were kind of me 23 00:01:46,519 --> 00:01:51,000 and then people in my our genre. Uh, you know, we were 24 00:01:51,120 --> 00:01:55,120 very popular when gold had eleven years up, you know, in a row, 25 00:01:55,599 --> 00:01:59,040 and silver outperformed gold most of those years. We had some off years 26 00:01:59,040 --> 00:02:00,959 in other words, one over the year like gold was, but it did 27 00:02:01,000 --> 00:02:04,920 well, very well. And then you know, when we met, it 28 00:02:05,040 --> 00:02:07,879 would have asked me that we're going to go through this long new formation, 29 00:02:08,000 --> 00:02:12,199 meaning from the top all the way down, down, down down. Fine, 30 00:02:12,240 --> 00:02:15,240 you get the bottom a few years, get all the way back to 31 00:02:15,280 --> 00:02:20,080 what's called around trip or gold's back around the top of two thousand, and 32 00:02:20,159 --> 00:02:23,560 it's going to take till twenty twenty three to do so. I would have 33 00:02:23,680 --> 00:02:25,159 looked at you like get out of the business. You don't know what you're 34 00:02:25,159 --> 00:02:30,400 talking about. But here we are, and the fundamentals for gold is I've 35 00:02:30,400 --> 00:02:35,400 only gotten better. I called the run the gold months ago, and I'll 36 00:02:35,400 --> 00:02:38,520 believe I'll be vindicated. Not that it's about me, it's the message, 37 00:02:38,560 --> 00:02:43,240 not the messenger. But the idea is that the smart money gets back in 38 00:02:43,319 --> 00:02:46,680 the goal relatively soon. And the central banks bought more gold in twenty twenty 39 00:02:46,680 --> 00:02:51,439 two that they had in decade, and that's the smart one. And even 40 00:02:51,479 --> 00:02:54,479 though they poo pood gold on CNBC and the main financial channels, and they 41 00:02:54,520 --> 00:02:59,000 only seem to feature a gold feature when gold is down, the truth of 42 00:02:59,000 --> 00:03:01,919 the matter is that goal does well for preserving your well. And I'm going 43 00:03:02,000 --> 00:03:06,919 to digress for a minute, but at a Mney manager at a major brokerage 44 00:03:06,919 --> 00:03:09,639 house, I mean one of the top three that is now retired, and 45 00:03:09,759 --> 00:03:15,599 we had a chat on their crypto backed gold currency and he said, you 46 00:03:15,639 --> 00:03:21,439 know, all those years I worked at X y Z financial house, you 47 00:03:21,479 --> 00:03:23,479 know I put people in these stocks, in that stock, in the S 48 00:03:23,560 --> 00:03:27,439 and P and everything else, because all I put him in the gold the 49 00:03:27,479 --> 00:03:31,039 whole time. They will be better off now after be fair. That's from 50 00:03:31,120 --> 00:03:36,039 roughly the bottom to now. But if you measure from the bottom, go 51 00:03:36,159 --> 00:03:40,360 now stocks, bonds and gold, gold is outfformed everything. So now as 52 00:03:40,360 --> 00:03:45,680 it outperformed a certain stock mill, but has outperformed the index, gold is 53 00:03:45,719 --> 00:03:50,919 outperformed the S and P five hundred's outperformed the boy. They so back to 54 00:03:51,000 --> 00:03:53,400 you, Kerry, but you know, gold, I just want to go 55 00:03:53,439 --> 00:03:55,919 on a minute more, you know, especially early on he's like, oh, 56 00:03:55,960 --> 00:04:00,240 he's only a gold bug. He doesn't always talking about but they can 57 00:04:00,319 --> 00:04:03,680 stealthily ask the question of one of these radio hosts, especially the mainstream, 58 00:04:03,719 --> 00:04:09,719 that are kind of under educated about precious metals. So if I could give 59 00:04:09,759 --> 00:04:14,759 you an investment they had a compounded annual growth rate of ten percent per year, 60 00:04:15,280 --> 00:04:17,519 would you be interested in it? And of course the host would say 61 00:04:17,600 --> 00:04:20,720 yes. So while the one that's done that's gold, name me another one 62 00:04:20,759 --> 00:04:26,759 that's done a comp how to compound it adual growth rate at ten percent? 63 00:04:26,800 --> 00:04:30,000 They wouldn't be able to come up, So I don't know if you call 64 00:04:30,040 --> 00:04:33,720 it zero edge. Today, the new gold rush is fat, something that 65 00:04:33,800 --> 00:04:42,160 the Americans with the obesity epidemic seemed to be producing in prodigious record amounts. 66 00:04:42,279 --> 00:04:49,199 And their point was that the companies making anti obesity medicines the two biggest right 67 00:04:49,240 --> 00:04:59,040 now Eli Lilly with weggavi or we gov and Novardis with ozempic, and you 68 00:04:59,079 --> 00:05:04,240 know, they their market caps go to the roof. You know, Eli 69 00:05:04,759 --> 00:05:11,800 Lily is trading six times what it was in twenty twenty. So there's always 70 00:05:11,839 --> 00:05:18,600 a gold rush going on somewhere, whether it's AI or EV's or cloud storage, 71 00:05:18,639 --> 00:05:24,319 whatever it might be. But it seems like as far as figuring out 72 00:05:24,319 --> 00:05:30,079 ways to get people thin again by taking a magic pill, seems to really 73 00:05:30,600 --> 00:05:34,240 be the latest craze, doesn't it. It does, And I have to 74 00:05:34,279 --> 00:05:36,720 give you a story. I know this is an open forum, and I'm 75 00:05:36,759 --> 00:05:42,959 grateful for that, Kerry. But years ago I was getting on one of 76 00:05:42,959 --> 00:05:47,839 my many flights and two Scandinavians got on board just after I sat down. 77 00:05:48,480 --> 00:05:50,680 Both were taller than me. I'm a tall man, as you know, 78 00:05:51,439 --> 00:05:57,040 that blonde younger than me, fitness hell, and I was in the middle 79 00:05:57,079 --> 00:06:00,319 seed. One set next to me and the other set across when the aisle 80 00:06:00,959 --> 00:06:03,040 and they're talking, talking, talking, and they had they're going back home 81 00:06:04,000 --> 00:06:09,000 and they had toured in the United States of America and they seeing you know, 82 00:06:09,319 --> 00:06:13,319 Boston, Washington, DC, they did to Florida, made it out 83 00:06:13,360 --> 00:06:16,120 west. I mean, they did the whole, the whole shamol. So 84 00:06:16,279 --> 00:06:19,639 I listened carefully, and then I politely said, you know, I couldn't 85 00:06:19,680 --> 00:06:25,759 help overhearing that you had toured the US of A. And you know, 86 00:06:25,879 --> 00:06:28,240 if you don't mind me asking, I'd like, you know what, it's 87 00:06:28,279 --> 00:06:31,240 the most profound thing that you found out about America? You know? And 88 00:06:31,279 --> 00:06:35,639 of course I'm thinking, you know, maybe the Liberty Bell or the Washington 89 00:06:35,759 --> 00:06:42,879 Monument or you know, the Grand Canyon or whatever. And he looks at 90 00:06:42,920 --> 00:06:48,800 me and he says, all Americans are fat. I remember what I asked. 91 00:06:49,000 --> 00:06:53,399 I asked him, what's the most profound thing you found American? That's 92 00:06:53,439 --> 00:06:57,519 what he answered, All Americans are fat. I wasn't like a top shape, 93 00:06:57,600 --> 00:06:59,879 not that I've stayed in top shape my whole life, but I've stayed 94 00:06:59,879 --> 00:07:04,360 with been reasonable boundaries compared to most of less Americans. You've seen me done, 95 00:07:04,560 --> 00:07:11,120 you know. Yeah, so I kind of sucked in a little gut 96 00:07:11,199 --> 00:07:14,439 that I have. I mean, he said, yeah, you guys don't 97 00:07:14,439 --> 00:07:17,519 even have food in your stores. You know, in my country, everything 98 00:07:17,560 --> 00:07:23,720 goes labeled with the nutritional content of everything that you buy. And in your 99 00:07:24,240 --> 00:07:28,800 country you sell you know, pop cut pop corn chips, and you know, 100 00:07:28,879 --> 00:07:31,399 of course we do. And I didn't know if he's referring to convenience 101 00:07:31,439 --> 00:07:36,279 stores or simple markets. The conversation you go on real long, but it 102 00:07:36,560 --> 00:07:41,120 was just a real wake up call to me. So it goes right back 103 00:07:41,160 --> 00:07:45,920 to what you what you started with about the new gold and Ellen won more 104 00:07:45,959 --> 00:07:49,600 of comment. And that is unfortunately the Americans have not been taught what I 105 00:07:49,800 --> 00:07:54,839 was taught, and that is self responsibility. I mean, almost everybody knows 106 00:07:54,959 --> 00:07:58,879 to eat right or basically how to eat right, and you got to exercise, 107 00:07:58,920 --> 00:08:03,959 and exercise could be a simple as a walking and and that's a that's 108 00:08:03,959 --> 00:08:07,000 your own responsibility. But they're much more apt to do the fast food, 109 00:08:07,279 --> 00:08:11,600 fast fix nature of our society, which is, you know, grab a 110 00:08:11,680 --> 00:08:15,480 pill that will fix B. I don't want to do the work, and 111 00:08:15,560 --> 00:08:20,120 that's unfortunate, this we both know. But yeah, those companies will probably 112 00:08:20,160 --> 00:08:24,199 make a fortune, and especially if it helps people to lose weight, anything 113 00:08:24,360 --> 00:08:31,519 chemically putting your body like that, I always question it. What the side 114 00:08:31,519 --> 00:08:35,960 effects might be, but back to you, you know it's so true. 115 00:08:37,039 --> 00:08:39,399 Hey, at one point, believe it or not, it's fifty pounds heavier 116 00:08:39,519 --> 00:08:45,200 than I am right now. I was fat, obese, bordering on obesity. 117 00:08:45,639 --> 00:08:50,360 I was definitely overweight by any definition. And its miserable and I found 118 00:08:50,399 --> 00:08:56,519 it aging. Really, when you're obese really puts a lot of wear and 119 00:08:56,639 --> 00:09:01,799 tear on your joints, on everything, inflammation. And you know, we 120 00:09:01,919 --> 00:09:05,840 talk about money, and we talk about wealth, and we talk about, 121 00:09:07,360 --> 00:09:09,080 you know, what's going on in the world, but what's going on in 122 00:09:09,159 --> 00:09:13,279 your own life. Are you healthy or not? You know, I got 123 00:09:13,440 --> 00:09:16,279 COVID. I thought I was more healthy than I was. COVID proved to 124 00:09:16,360 --> 00:09:22,080 me that I needed to change my ways. And I have lost another twenty 125 00:09:22,159 --> 00:09:26,679 pounds since then. And you know, I've always exercised. So you know, 126 00:09:26,759 --> 00:09:31,679 we have the pillars of health, we have the pillars of financial health. 127 00:09:31,159 --> 00:09:35,720 The pillars of health are number one healthy, diet, number two, 128 00:09:37,279 --> 00:09:43,360 exercise, number three sleep adequate sleep, number four stress management and they're all 129 00:09:43,519 --> 00:09:50,039 interrelated here. What would you say the pillars of financial health are having a 130 00:09:50,840 --> 00:09:56,480 portion of your wealth in hard assets, in precious metals. What other pillars 131 00:09:56,519 --> 00:10:01,279 are there, David, I will answer that you're fillers of financial health. 132 00:10:01,320 --> 00:10:03,840 But before I go there, I just want to remind everyone that's not a 133 00:10:03,919 --> 00:10:07,720 previous member of the mortgage Report that I've signed off from letter to one and 134 00:10:07,840 --> 00:10:15,200 report one till present with this statement wishing you health above wealth, comma, 135 00:10:15,399 --> 00:10:20,639 wisdom beyond knowledge. So I myself from what I've experienced in my own personal 136 00:10:20,799 --> 00:10:26,639 life, but particularly my family with my dad having a massive car accident being 137 00:10:26,679 --> 00:10:31,600 a quad allegiate last year. It happened his life and really put the context 138 00:10:31,720 --> 00:10:37,320 of money versus health and the perspective I'll never overcome. And because you know, 139 00:10:37,480 --> 00:10:41,159 my dad actually retired very well off due to some investments in back one 140 00:10:41,240 --> 00:10:46,159 that I pretty much put proposed to him in the Southern phone industry, and 141 00:10:46,279 --> 00:10:52,039 he did extremely well in the sou Their phone industry. And yet when he 142 00:10:52,200 --> 00:10:56,240 got paralyzed, I'm sure he would have given up, you know, all 143 00:10:56,320 --> 00:11:01,240 those all that financial gain to be able to walk, right. So, 144 00:11:01,320 --> 00:11:03,120 so I just want to get that out there. So what you said, 145 00:11:03,159 --> 00:11:07,679 you already outlined it. It's it's balance. Nature preaches balance. You too 146 00:11:07,759 --> 00:11:11,559 much, you get fat, too little, you're too skinny. If you 147 00:11:11,639 --> 00:11:15,559 exercise too much, you can lower your telemeres. If you exercise the right 148 00:11:15,600 --> 00:11:18,159 amount, you can keep them long and strong. So there's this balance in 149 00:11:18,279 --> 00:11:22,120 nature of the right amount, you know, the old adage that moderation in 150 00:11:22,200 --> 00:11:26,120 all nags. You know, it's not like you can't ever have that chocolate 151 00:11:26,200 --> 00:11:28,840 cake or that cheesecake or you know, I love cheesecake and I like pie 152 00:11:28,919 --> 00:11:33,440 some pot but I don't eat it very often, you know, but just 153 00:11:33,600 --> 00:11:37,519 mean a cat have it. But these people that order pizza three days a 154 00:11:37,559 --> 00:11:41,279 week, or you know, the bass trained to bat hell. So it's 155 00:11:41,519 --> 00:11:46,000 it's the adage moderation all things. It's on the financial legs. Yeah, 156 00:11:46,120 --> 00:11:50,039 what are the three things that are legacy? Well, gold, land, 157 00:11:52,000 --> 00:11:54,759 and fine art. Now most of us are out of the fine art category 158 00:11:54,879 --> 00:12:00,559 because when we don't really know how to buy it into. It's probably out 159 00:12:00,559 --> 00:12:05,519 of most of us middle class, working class people. But those are the 160 00:12:05,639 --> 00:12:09,399 three of the wealth of the elites. But two of those are accessible to 161 00:12:09,519 --> 00:12:13,480 any of us really, or any of us that can save. Then that 162 00:12:13,759 --> 00:12:18,440 is gold, which basically I've brought into precious metals, and land, which 163 00:12:18,559 --> 00:12:24,480 is unimproved or improved land real estate or commercial real estate, you know, 164 00:12:24,279 --> 00:12:28,879 residential homes, farm in land, any of that classifies his land. And 165 00:12:30,000 --> 00:12:33,039 in art I'll just leave out there. But on a financial portfolio, you 166 00:12:33,159 --> 00:12:37,600 want when I think the late great Harry Brown, it was one of my 167 00:12:37,679 --> 00:12:43,720 mentors and he came on. So all the permanent portfolio and the permanent portfolio, 168 00:12:43,799 --> 00:12:46,960 I don't remember the percentage as folks, so forgive me, but I'll 169 00:12:46,000 --> 00:12:50,200 give you the right idea. So a certain percentage was bonds, a certain 170 00:12:50,240 --> 00:12:52,600 percentage with stocks, a certain percentage of real estate, a certain percentage was 171 00:12:54,279 --> 00:12:58,120 precious metals. And there might have been another one like miscellaneous, like if 172 00:12:58,159 --> 00:13:01,039 you wanted to do private equity or have your own business or whatever. I 173 00:13:01,120 --> 00:13:05,279 don't recall if that was in there. And so he add the percentages and 174 00:13:05,399 --> 00:13:07,559 then what he did on an annual basis, so you're not sitting there stressing 175 00:13:07,720 --> 00:13:11,080 all you know, day, what's the price of goal doing today? And 176 00:13:11,399 --> 00:13:16,279 oh my god, they took the silver market down again, and all this 177 00:13:16,360 --> 00:13:20,440 stuff that many of our followers do. You just casually had a nice you 178 00:13:20,559 --> 00:13:24,480 know, glass of wine or whatever, you know, mid January looking at 179 00:13:24,519 --> 00:13:28,519 portfolio, and you saw the bonds in your portfolio. Instead of being thirty 180 00:13:28,559 --> 00:13:33,480 percent of the portfolio, we're now forty percent. You sold off that amount 181 00:13:33,519 --> 00:13:37,000 until you got the bonds back down to thirty percent. And then if you 182 00:13:37,039 --> 00:13:41,440 saw your precious metals were down from fifteen percent of your portfolio to eight percent, 183 00:13:43,039 --> 00:13:46,039 you put that bond money into the precious metals bring it back up to 184 00:13:46,120 --> 00:13:52,720 fifteen percent. So what you were doing was obviously common sense good money management. 185 00:13:54,320 --> 00:13:58,759 When things got above their cost in other words, yet a profit, 186 00:13:58,919 --> 00:14:03,679 you took the profit, not all of them, and thinks so we're undervalue 187 00:14:03,919 --> 00:14:07,279 allocated money too. So you were selling high and buying low every year. 188 00:14:09,559 --> 00:14:13,039 And it's used to be on the on the mutual fund. So Terry CrOx 189 00:14:13,120 --> 00:14:18,519 and actually had the idea. So all have good credit because Jerry was worked 190 00:14:18,600 --> 00:14:26,279 with Harry and did an excellent job for him, and you could buy them. 191 00:14:26,559 --> 00:14:28,519 Well, I think it's long gone now, but if you go to 192 00:14:30,240 --> 00:14:35,200 office on Amazon or not, but goo google Ferment Portfolio by Harry Brown Browne. 193 00:14:35,039 --> 00:14:39,879 I'm sure there's some used books out there, and I'm not saying you 194 00:14:39,919 --> 00:14:45,000 should do it exactly, but it's a great way to look at the markets. 195 00:14:45,080 --> 00:14:48,399 And I'm not a big bond guy. Never owned a bond in my 196 00:14:48,480 --> 00:14:52,120 life outside of savings bond that we're required to buy at work at one point 197 00:14:52,159 --> 00:14:56,759 in my career. But you know, stocks, I'm not against them. 198 00:14:56,639 --> 00:15:01,759 Real estate, I'm not against high real estate. So it's balanced again. 199 00:15:01,080 --> 00:15:07,080 And I think you have every category so well you should really over diversify or 200 00:15:07,360 --> 00:15:09,919 whatever at certain times and you go back to what I outline of the purer 201 00:15:11,000 --> 00:15:13,279 portfolio, and the medals have been down for so long, and you know, 202 00:15:13,440 --> 00:15:18,440 bonds were the best thing could be in from nineteen eighty to forty years. 203 00:15:20,000 --> 00:15:22,840 They've peaked. I wouldn't touch upon now if you pay me to be 204 00:15:22,960 --> 00:15:24,960 in them, but you know, for forty years it was really one of 205 00:15:24,960 --> 00:15:28,720 the best places to be. So let's say we're in that mindset for those 206 00:15:28,960 --> 00:15:33,159 thirty or forty years, and you would be selling off gains in your bonds 207 00:15:33,240 --> 00:15:39,720 the whole way and putting it into precious metals the last twelve years or so 208 00:15:39,440 --> 00:15:43,159 and others. I mean, stock market goes up and down too, But 209 00:15:43,720 --> 00:15:46,759 I think that's my best answer. I don't get that question often, and 210 00:15:46,200 --> 00:15:50,600 most people wouldn't have an answer like mine because they're not as old as I 211 00:15:50,720 --> 00:15:54,879 am, beasant as I am same here, I've done as many investments as 212 00:15:54,960 --> 00:16:00,799 I have. But that's the answer. There's actually a play I looked it 213 00:16:00,879 --> 00:16:06,279 up while you were talking, called the Lazy Portfolio ETF, and they have 214 00:16:06,440 --> 00:16:11,000 what's called the Harry Brown Permanent Portfolio. Now, obviously there's no real estate 215 00:16:11,080 --> 00:16:15,240 in it, but they could have been rates in there too, right, 216 00:16:15,039 --> 00:16:21,200 But this is strictly a stock based portfolio. So twenty five percent gold, 217 00:16:22,639 --> 00:16:30,440 twenty five percent US large cap stocks, and then fifty percent fixed income, 218 00:16:30,960 --> 00:16:37,240 of which half is TLT and then half is a short term And they said 219 00:16:37,279 --> 00:16:45,799 that it's it's had a net return of about six and a half percent per 220 00:16:45,960 --> 00:16:52,360 year compounded over like twenty five years. But they don't have real estate in 221 00:16:52,440 --> 00:17:00,840 there, obviously, And you know the fact is that ETF really aren't a 222 00:17:00,879 --> 00:17:04,640 good analog for what he was trying to get at because for commodities, they 223 00:17:04,759 --> 00:17:11,000 just put gold in there, and obviously if you had certain commodities, you 224 00:17:11,079 --> 00:17:14,559 know you were going to do better than what gold did because they have done 225 00:17:14,599 --> 00:17:18,400 well over time. Yeah, so yeah, again, I don't remember the 226 00:17:18,519 --> 00:17:22,039 exact same might not have had real estate, and the original one, I 227 00:17:22,160 --> 00:17:23,599 really don't know. I know he was not a big real estate guy. 228 00:17:23,759 --> 00:17:29,400 I mean that's from the other books I've read by him, and also being 229 00:17:29,519 --> 00:17:33,319 lucky enough to spend some one on one time with him later in his life. 230 00:17:33,440 --> 00:17:36,799 I was very honored to be able to see one of my heroes and 231 00:17:37,240 --> 00:17:41,079 you know, have dinner with him and that type of thing. So no, 232 00:17:41,279 --> 00:17:44,799 I get it, But whether you really that shows though, is a 233 00:17:44,920 --> 00:17:48,799 simple strategy like that could give the almost seven percent of compound, aren't they? 234 00:17:49,160 --> 00:17:55,839 And that's beat the inflation rate for quite a while. It's probably a 235 00:17:55,920 --> 00:18:00,279 little less than the inflation rate is right now. But if it's been twenty 236 00:18:00,359 --> 00:18:04,000 five years where we had basically no inflation, we're any of the experts. 237 00:18:04,079 --> 00:18:07,480 I don't agree that true inflection rache as low as the Yeah, right, 238 00:18:08,400 --> 00:18:11,039 we both agree on that. Just to make clarity, Wait a minute, 239 00:18:11,079 --> 00:18:14,240 David, you said you didn't trust your placer, right, Yeah, I 240 00:18:14,319 --> 00:18:18,119 don't. I don't trust much of anything that was for the federal government are 241 00:18:18,200 --> 00:18:22,359 most state governments. But regardless, the idea is sound and I'm glad you 242 00:18:22,480 --> 00:18:26,160 looked it up. Thanks, Kurt. Yeah, so so another old saw 243 00:18:26,680 --> 00:18:30,160 and I knew you knew this when we talked about it before, is that 244 00:18:32,119 --> 00:18:37,799 one ounce should buy a very fine men's suit. One ounce of gold And 245 00:18:37,400 --> 00:18:42,000 in fact, now you know, yeah, you could buy suits Italian super 246 00:18:42,079 --> 00:18:49,960 designers like Kittans for fourteen thousand dollars new, but a good suit really probably 247 00:18:51,000 --> 00:18:55,079 a thousand, maybe fifteen hundred. Get a really good men's suit. You 248 00:18:55,160 --> 00:18:59,640 go to the outlet, probably get it for seven to fifty. So golden 249 00:18:59,720 --> 00:19:06,319 is really pulled ahead of what it used to be as far as buying one 250 00:19:06,400 --> 00:19:10,119 ounce buying a fine men's suit, Well that could be true. I mean, 251 00:19:10,160 --> 00:19:11,799 I don't look at one data point. I'm too you know, studied 252 00:19:11,839 --> 00:19:15,880 as an engineer, you'd want to take a database of several things, like 253 00:19:17,079 --> 00:19:19,119 you know, the Hamburg or index and whatever. I don't know whether our 254 00:19:19,160 --> 00:19:22,160 barney costs. I've never owned one. Maybe they're two thousand. I was 255 00:19:22,200 --> 00:19:26,599 going to say two thousands. Probably about it right, But regardless, the 256 00:19:26,720 --> 00:19:30,720 idea is the same. It preserves your well. And in the suit category, 257 00:19:30,839 --> 00:19:34,200 maybe you'll value I'm not arguing with you. But in the food category 258 00:19:34,240 --> 00:19:37,759 maybe under value. You know, we don't know, but that's I like 259 00:19:37,759 --> 00:19:40,960 to take a broad base. But the suit. Analogy is good because people 260 00:19:41,000 --> 00:19:48,680 can relate to and so again no argument. But I would say what that 261 00:19:48,839 --> 00:19:52,920 gold is very undervalued relative the money because if you look at what's the paper 262 00:19:53,000 --> 00:19:56,400 price of gold is a very easy equation. I put it out when my 263 00:19:56,559 --> 00:20:00,599 first Internet articles is still floating out there and cyberspased somewhere, called the engineering 264 00:20:00,640 --> 00:20:06,079 the price of Gold. Then you take what the Austrians call base money or 265 00:20:06,119 --> 00:20:08,599 true money supply, which is M zero. So that's the amount of paper. 266 00:20:10,079 --> 00:20:11,599 So that's you put that on an numerator. Then you can take the 267 00:20:12,200 --> 00:20:18,440 amount of gold and you divide it. That's the denominator. And if you 268 00:20:18,519 --> 00:20:21,920 do that division problem, you come out with fourteen thousand dollars announces, which 269 00:20:22,000 --> 00:20:26,680 is the high price that you just match. So that's a two thousand now. 270 00:20:26,799 --> 00:20:30,400 So from that metric, it's seven times under value. And the reason 271 00:20:30,559 --> 00:20:33,480 I say that is you go back into history, you'll see where that metric 272 00:20:33,640 --> 00:20:37,799 worked. In other words, as Mike Maloney says, gold catches up and 273 00:20:37,880 --> 00:20:42,160 does a financial accounting for all the bad printing that's gone on for years. 274 00:20:42,240 --> 00:20:45,720 Yeah, I did in nineteen eighty. It can do that same map. 275 00:20:45,839 --> 00:20:51,400 It's really an arithmetic edition. If you do that in nineteen eighty, what 276 00:20:51,559 --> 00:20:56,680 you'll find was that the paper price of gold was four hundred dollars announce. 277 00:20:56,640 --> 00:21:00,039 Then it peaked at eight fifty in the spot mark at January twenty first, 278 00:21:00,160 --> 00:21:07,119 nineteen eighty, which is over double the theoretical true gold price. And we 279 00:21:07,200 --> 00:21:10,440 could have gone back on a gold standard. So that was nine years from 280 00:21:10,480 --> 00:21:14,200 the time Nixon close to the gold window, and you would have been able 281 00:21:14,240 --> 00:21:18,440 to peg the price of the golden let's say eight hundred, and been well 282 00:21:18,559 --> 00:21:23,359 above the requirement for a paper price of gold. You would add twice as 283 00:21:23,519 --> 00:21:27,319 much. You can think of it in two one of you think of it 284 00:21:27,440 --> 00:21:30,079 several ways, mainly say well, we have prices, must goals. We 285 00:21:30,160 --> 00:21:37,759 need to meet our obligations because really four hundred is the paper price of gold 286 00:21:37,799 --> 00:21:41,319 and we're pegging at an eight hundred. Or you could say, you know, 287 00:21:41,400 --> 00:21:44,759 we can inflate a lot more paper until we get into trouble. We 288 00:21:44,839 --> 00:21:49,119 could double the money supply of still cover ourselves in gold. So that didn't 289 00:21:49,200 --> 00:21:53,200 happen. Obviously. Yes, it was a one day event, but gold 290 00:21:53,359 --> 00:21:56,960 hung in there pretty well. I remember selling I was gonna say a lot 291 00:21:57,000 --> 00:22:00,680 of mine. I'd have that much, but that was in the futures market. 292 00:22:00,720 --> 00:22:04,640 I did well, and and I had physical goal of also and I 293 00:22:04,759 --> 00:22:07,440 sold some of that physical around the seven hundred dollar mark. But at that 294 00:22:07,519 --> 00:22:11,400 time wasn't like I had to do it like the day after the peak. 295 00:22:11,920 --> 00:22:15,640 There were months there where it was floating into seven hundred. Silver is a 296 00:22:15,680 --> 00:22:22,559 different story, but silver was claw bared. I think the commodity exchange feared 297 00:22:22,640 --> 00:22:26,920 silver far more than the third because when the hunts really had them by the 298 00:22:27,000 --> 00:22:30,079 you know, add them, basically, they didn't know what to do. 299 00:22:30,200 --> 00:22:36,680 They panic, they hadn't panic. They all the rules crashed it they So 300 00:22:37,480 --> 00:22:41,079 you know, one thing that we've seen, though, is that our sector 301 00:22:41,200 --> 00:22:45,200 that you and I follow, intimately involved in, the precious metals miners, 302 00:22:45,839 --> 00:22:51,880 are in the dumps here. I mean the major is the medium ones, 303 00:22:52,480 --> 00:22:57,400 Okay, they're doing all right, but the others are the juniors are just 304 00:22:59,720 --> 00:23:03,359 they're a world of pain. That's the worst it's been to my knowledge. 305 00:23:03,559 --> 00:23:07,559 I mean, there's a metric you can look at. There's a barren gold 306 00:23:07,680 --> 00:23:10,680 index, which hasn't been around all that long. But if you look at 307 00:23:11,319 --> 00:23:15,680 the discrepancy of the change between the price of the metal and the price of 308 00:23:15,240 --> 00:23:18,960 mining shares. They've never had this big a gap before, which really spells 309 00:23:19,039 --> 00:23:25,519 opportunity. And it's of course disheartening to me because that's basically the majority of 310 00:23:25,599 --> 00:23:27,519 what I do. Of Course, I look out ahead. I looked out 311 00:23:27,559 --> 00:23:32,000 ahead on this green Revolution thing, and will be on an interview later today. 312 00:23:32,000 --> 00:23:34,240 I'll critical metal minerals and I don't know what the guy expects, but 313 00:23:34,440 --> 00:23:37,079 you know me, I mean, and I am independent. I don't work 314 00:23:37,200 --> 00:23:41,319 for publishing house, but regardless, it's a ruse. But anyway, I 315 00:23:41,400 --> 00:23:45,680 digress to come back. Yeah, I'm concerned. You know, there's just 316 00:23:45,920 --> 00:23:51,160 these things just don't add up. Carry Yeah, they certainly don't. So 317 00:23:51,480 --> 00:23:56,839 looking ahead as much as we can, for whatever it's worth, how do 318 00:23:56,920 --> 00:24:00,799 you see the situation unfolding? I mean, I heard about the bricks and 319 00:24:00,920 --> 00:24:07,720 the so called goldback currency, but you got like failing economies trying to do 320 00:24:07,880 --> 00:24:12,160 a synergistic play that somehow the sum of all their currencies is going to be 321 00:24:12,400 --> 00:24:18,880 worth more than the individual currencies themselves. It seems destined to failure. Well, 322 00:24:18,880 --> 00:24:25,839 it's sorry. This having massive problems because the productive capacity of trying at 323 00:24:25,880 --> 00:24:33,240 this point is as too much capacity, there's enough demand. So and they 324 00:24:33,319 --> 00:24:36,960 have a huge depth problems in thirty percent of their cots built on real estate, 325 00:24:37,599 --> 00:24:41,079 and the big real estate that firms are blowing up, and so they're 326 00:24:41,119 --> 00:24:48,440 really in a very very precarious situation. The banking sector hasn't reflected the amount 327 00:24:48,480 --> 00:24:52,319 of pain that's in the real estate sector, but it will. So you 328 00:24:52,400 --> 00:24:56,640 know, if you're going to base your bricks on you know, all these 329 00:24:56,720 --> 00:25:00,480 countries that recently joined at of course, Brazil, Russia, India, China 330 00:25:00,119 --> 00:25:03,960 and South Africa and one of your stalwarts, China, which is the second 331 00:25:04,079 --> 00:25:07,359 largest economy in the world, going down to tubes, how's that going to 332 00:25:07,440 --> 00:25:11,079 work. It's not not going to work. Now. The part that does 333 00:25:11,839 --> 00:25:18,119 work, it's interexchange between their own currencies. So you can trade resilient currency 334 00:25:18,200 --> 00:25:22,279 for Chinese currency, Chinese currency for Russian rubles, Russian rubles for South African 335 00:25:22,400 --> 00:25:26,200 rand, North African rand for you know whatever, pasos, and that's fine, 336 00:25:26,240 --> 00:25:30,240 and that alleviates them having to go through the dollar, which is good 337 00:25:30,319 --> 00:25:37,559 for those countries. The problem is that even though it's a unified currency, 338 00:25:37,079 --> 00:25:41,880 it's just like the euro because they have different cultures, have different work ethics, 339 00:25:41,880 --> 00:25:45,559 they have different holidays, they have different productive capacities. And because of 340 00:25:45,640 --> 00:25:49,960 that, you are let's say, at Greece in the Euro and you're Germany 341 00:25:51,039 --> 00:25:55,160 and the Euro. Who's getting a better deal. Well, yeah, you 342 00:25:55,240 --> 00:25:59,200 can pick about it, but they're not the same. And that's the problem. 343 00:25:59,680 --> 00:26:03,720 So you got problem. Got a country that let's say, uses their 344 00:26:03,759 --> 00:26:11,240 paso to buy your rubles, and the production capacity of the paso is not 345 00:26:11,559 --> 00:26:17,920 the same as the ruble, then how valid is you know? The reason 346 00:26:18,079 --> 00:26:22,680 that the US dollar is the best shirt in the hamper as this oppression is 347 00:26:23,279 --> 00:26:29,880 because all these other countries are inflating faster. We're inflating like like hell, 348 00:26:30,000 --> 00:26:34,680 won't have it. But when you consider what Zibabwe did with their inflation compared 349 00:26:34,759 --> 00:26:40,599 to the dollars, dollars are real key or the lira, you know, 350 00:26:40,839 --> 00:26:45,160 Turkish lira or whatever. So and is that true, David, In every 351 00:26:45,240 --> 00:26:48,440 case, No it's not. But that's the way the index reacts is that 352 00:26:48,559 --> 00:26:55,680 these other currencies are devaluing faster than the dollar, and because of that fact, 353 00:26:56,279 --> 00:27:00,119 the dollar looks better than the rest of them, not because of there 354 00:27:00,240 --> 00:27:04,160 destroying the dollars just destroying at a lower rate. And of course the main 355 00:27:04,279 --> 00:27:07,440 reason, as we all know, all they should be said is because we 356 00:27:07,559 --> 00:27:12,440 do have the luxury of being the reserve currency just being diminished by the bricks. 357 00:27:12,559 --> 00:27:17,720 But the bricks currency taking over, it's not going to happen, at 358 00:27:17,799 --> 00:27:21,880 least not for a long long time in my view. And I'll change my 359 00:27:22,000 --> 00:27:26,359 mind I get better data or something appears that I'd missed. But these dollar 360 00:27:26,799 --> 00:27:33,079 debts are that the dollars are dominated. So if you're an Indonesia or you 361 00:27:33,160 --> 00:27:37,440 know, in each country that has dollar nominated debt, you've got to take 362 00:27:37,519 --> 00:27:44,079 those ruples or those pasos or whatever your currency is converting the dollars to pay 363 00:27:44,200 --> 00:27:47,599 off the dollar debt. Yeah, I pay your dollar debt off with the 364 00:27:47,960 --> 00:27:52,680 ricks currency. Can't be done. Yeah yeah, and yeah, like in 365 00:27:52,759 --> 00:27:56,799 the long run, maybe it'll have some effect. But yeah, we always 366 00:27:56,839 --> 00:28:00,640 say now that it's the dollar is the best looking house in Baltimore, Right, 367 00:28:02,319 --> 00:28:08,279 I like that one. So all right, So Morgan Report dot com 368 00:28:08,960 --> 00:28:15,079 that's where we find you these days. Yeah, I'm going to put out 369 00:28:15,119 --> 00:28:19,000 a special for my expires. I'm going to let them have a free report 370 00:28:19,160 --> 00:28:23,440 basically, the cost of the report is the cost of a one hour consultation. 371 00:28:23,920 --> 00:28:27,240 Anyone that resigns, I'm going to give them a one hour consultation, 372 00:28:27,400 --> 00:28:30,640 one on one with me, not one of my staff. And I do 373 00:28:30,839 --> 00:28:33,440 that for a couple of reasons. One, I want to build that report, 374 00:28:33,559 --> 00:28:37,319 and secondly, I want to make sure to get started right with the 375 00:28:37,480 --> 00:28:41,039 right equities, because you know, everyone would love to get rich in the 376 00:28:41,200 --> 00:28:45,160 juniors, but it's the wrong time of the season to be heavily invested in 377 00:28:45,279 --> 00:28:47,720 the juniors. I want to be in the top tiers, in the mid 378 00:28:47,759 --> 00:28:51,599 tiers, you want to be the junior producers as your more specative for part 379 00:28:51,640 --> 00:28:55,039 of your portfolio. And I want to get everyone started correctly. So I'm 380 00:28:55,039 --> 00:28:56,720 going to make that offer here with them and probably by the end of this 381 00:28:56,880 --> 00:29:00,920 month, probably rather thirty days. Well that's accomplished, then we'll probably go 382 00:29:02,000 --> 00:29:04,920 to the general public and I'll do not quite the same because people are loyal 383 00:29:06,000 --> 00:29:08,519 to me. I'm more loyal to put something along the lines of a half 384 00:29:08,559 --> 00:29:12,240 hour consultation, and you could say a lot. So trying to give back 385 00:29:12,279 --> 00:29:15,400 as much as I can, I still have to keep this business afloat. 386 00:29:15,440 --> 00:29:18,759 There's a lot of people. Yeah, they're liable. Keep the lights on, 387 00:29:19,200 --> 00:29:23,000 not just about me and sure that's it. So thank you for letting 388 00:29:23,000 --> 00:29:26,640 me get that into Curry. Hey my pleasure. Well, hey, you 389 00:29:26,720 --> 00:29:30,119 got a question for David myself? Email me k l at Terry LUTs dot 390 00:29:30,200 --> 00:29:33,920 com. Hey, you'll find a link to david site in the show notes 391 00:29:33,960 --> 00:29:38,880 to this interview on Financial Survival Network dot com. Just click through and you'll 392 00:29:38,920 --> 00:29:42,079 get to them. While you're there, sign up for a free newsletter David 393 00:29:42,440 --> 00:29:45,440 always a pleasure. Thanks so much for coming by. We'll talk to you 394 00:29:45,519 --> 00:29:49,079 getting real soon. Great cry, Thank you, thanks for listening to carry 395 00:29:49,160 --> 00:29:56,319 Lets's Financial Survival Network, your solution to today's trying times. For the latest, 396 00:29:56,400 --> 00:30:02,440 go to Financial Survival Network dot com, financials or vival Network now more 397 00:30:02,519 --> 00:30:11,480 than ever m