There’s an old saying, “Misery made me wiser.” Modern investors have survived the crash in 1974 (-45%), Black Monday in 1987 (-22%), the LCTM crash in 1998 (-19%), the Dot-Com bubble (-31%), Lehman Brothers and the Great Financial Crisis (-53%), the US Debt Downgrade in 2011 (-11%), the China Shock in 2015 (-13%), and just this year, the Dow Jones crashed by 35%, driven by the Coronavirus pandemic.
Some could argue all of these stock market crashes ultimately were great times to buy stocks, and considering the stock market has hit record highs in 2020, they’d have a point. However, the US Dollar has dropped by 80% since 1970, and by 40% since 1985. The dollar has already dropped nearly 10% in 2020. Any nominal gains made in markets are more than offset by the deterioration of the US Dollar. This is not due to market fluctuations, or an act of God, this is a direct result of inflation due to the money creation policies (read counterfeiting) of the Federal Reserve.
Our Founding Fathers tried to protect us from this by making gold and silver coin the only legal tender for the new United States. Article I Section 10 of the Constitution states, “No state shall make any Thing but gold and silver Coin a Tender in Payment of Debts”
Read What Our Founding Fathers Thought About Paper Money
Human history is littered with examples of failed currencies. HERE’S THE LIST….(link to ‘Failed Currencies List’ in Resources) It’s arrogance of the highest order to believe the United States is immune from the same inflationary self-destruction as every other paper currency in the history of mankind. For thousands of years, those holding gold and silver have been protected and have prospered. Do not wait for the next monetary crisis to start protecting your family’s wealth.
