Gold
One of the earliest and most valued metals
known to man. For centuries men everywhere have dreamed of finding gold. Men
have mined it, bartered with it, and even died for it since the beginnings of
civilization. It is virtually indestructible, resists corrosion, blocks 98% of
radioactivity and conducts electricity. Its uses are almost endless and have
just begun to be tapped.
Limited Supply
Today some 90% of the world’s gold is found
in only four countries, South Africa, the former Soviet Union, the United States
and Canada. South Africa has dominated world gold production and accounts for
about 50% of the total world supply. The former Soviet Union accounts for 32%,
the United States for 6%, and Canada for 3%. The rest of the world combined
produces about 9%. The total yield, however, has been incredibly small. Unlike
other such commodities, because of hoarding and stockpiling, each year’s
production is a very small part of the available supply. An estimated 2/3 of all
the gold on earth has already been mined. Only about 88,000 tons have been
extracted from the earth in all of recorded history. All of this could be formed
into one cube 18 yards high. It is this scarcity, along with gold’s beauty,
durability, and compactness that has made gold the ideal standard and store of
value.
World Wide
Liquidity
Perhaps the most amazing feature of gold is its stability as a standard of real
value. Although its value may fluctuate, history proves its buying power tends
to remain the same. Gold has been the most coveted metal in the world and the
single most trusted international medium of exchange for thousands of years.
Trade between countries frequently is based on gold’s value as it is the world’s
most reliable currency. While paper currencies have been devalued, eroded by
inflation, and become virtually worthless, gold has maintained its purchasing
power. Gold has been the established standard for centuries. During times of
inflation, people have turned to gold for both profit and protection.
Proven Hedge
Against Inflation
The primary factors influencing gold prices are anticipated inflation caused by
huge U.S. deficits and the diminishing power of world currencies. As people lose
confidence in a government’s ability to control inflationary pressures, they
turn to gold. While gold prices may fluctuate from day to day in world markets,
the long-term demand for this timeless treasure can be expected to continue. The
current gold market conditions offer profitable opportunities; take advantage of
these opportunities and own gold today.