Nick Giambruno: We are in the Early Stages of the Largest Bull Market in the History of Precious Metals
Tom welcomes a returning guest Nick Giambruno. Nick is Chief Analyst of The Casey Report and their premium advisory, Crisis Investing.
Nick discusses the meaning of “Hard Assets” and which assets qualify. There are key characteristics that make gold the best money, and other assets like silver and bitcoin share many of those features. Bitcoin fits this definition because it’s scarce, and its supply growth is similar to that of gold, gradually declining.
Measuring value with the dollar is difficult since it continuously loses value. It’s easier to measure value when items are priced relative to a quantity of gold.
Nick argues markets should be allowed to set the relative monetary value of silver to gold instead of governments setting an arbitrary ratio. Today, silver is becoming more of an industrial metal than a monetary one. Silver is more volatile than gold, and he cautions that higher prices can bring higher supply reasonably quickly.
His interest in gold is because fundamentally, its considered money and because it acts protection from the policies of governments. People today do not understand numbers like trillions, and today we are getting into unprecedented dangerous territory.
He expects golds performance over the coming years to match or exceed the percentage returns of previous bull runs.
Time Stamp References:
0:40 – Understanding “Hard Money”
6:20 – Gold in real terms.
8:50 – Gold to Silver historic ratio.
11:00 – Why gold is foremost real money.
12:45 – Hunt Brothers and silver.
16:05 – Silver production and recycling.
16:55 – Silver as an inflation hedge.
17:50 – Biggest PM bull market in history.
21:55 – Wealth Taxes and Negative Interest Rates
24:00 – Diversifying political risk.
Talking Points From This Episode
- “Hard Asset” metals, money, and their key characteristics.
- Measuring value with hard assets.
- Silver in the 1970s and the Hunt Brothers.
- How silver differs from gold.
- Dangers of California’s new “wealth” tax.
Nick Giambruno is Doug Casey’s globetrotting colleague. He’s also the Chief Analyst of Casey Research’s flagship advisory, The Casey Report, and it’s premium “value investing” advisory, Crisis Investing.
Nick Giambruno knows that the best time to buy as Baron Rothschild correctly observed is “when there’s blood in the streets.”
He writes about geopolitics, value investing in crisis markets, the global cannabis market, international banking, second passports, and surviving a financial collapse, among other topics.
Nick’s work helps people make the most of their personal freedom and financial opportunity around the world.
He’s lived in Europe and worked in the Middle East, most recently in Beirut and Dubai, where he covered regional banks and other companies for an investment house.
Nick is a frequent speaker at investment conferences around the world.