PHYSICAL GOLD

WEALTH PRESERVATION

OR SPECULATION

DEUS EX MACHINA

100 YEARS OF PAPER MONEY COLLAPSE

US INFLATION 1665 - 2011

THE LAW OF DIMINISHING RETURNS

WORLD DEBT & GDP

THE 7 BERNANKE YEARS

YOU AIN’T SEEN NOTHING YET

CENTRAL BANKS BALANCE SHEETS EXPLODING

DERIVATIVES - A COMING DISASTER?

POTENTIAL CONSEQUENCES• Interest rates & taxes surge• Unemployment surges• Asset prices fall – in real terms• Exchange controls• New political parties & leaders• Pensions & social security collapse• Social unrest - Crime• Geopolitical problems

PROPERTY vs GOLD

THE DESTRUCTION OF PAPER MONEY

Ounces of gold bought for $ 1,000

Investment Year Ounces Gold Price

% change

$1,000 1913 50 $ 20 -99%

$1,000 1971 28 $ 35 -98%

$1,000 1999 4 $ 250 -83%

$1,000 2002 3 $ 300 -80%

$1,000 2013 0.7 $1,400 -

HOW TO INVEST IN GOLD

• Not Wealth Preservation:– Gold / Silver ETFs in banking system– Unallocated or allocated Gold/Silver in bank– COMEX Gold – Futures Gold– Bank safe deposit box– Storing gold at home

• Physical Gold – outside financial system

Matterhorn Asset Management• Wealth preservation

• GoldSwitzerland– Specialises in physical Gold and Silver bullion– Stored outside the banking system– Gold/Silver bars owned directly by investor– Personal access to metals– Ultimate form of wealth preservation

PHYSICAL PRECIOUS METALS

• Annual Gold Production 2,500 ton• Gold: 700 tons traded daily in paper market• 100 x more paper gold than physical • No physical to back up• Do Western Central Banks still have gold?• Bank gold encumbered• Don’t hold gold within banking system

TOO LATE TO JUMP ON THE GOLDWAGON?

GOLD PRICE & QE

NEXT STOP FOR GOLD $4,500 - $5,000?

GOLD WEALTH PRESERVATION OR INSURANCE?

• Value of Paper Money to decline further• Stocks, Bonds, Property down in real terms• Most Governments virtually bankrupt• Financial System extremely fragile• Risk at unprecedented level historically• Preservation of Generational Wealth• Wealth Preservation >50% Gold• Insurance 5% - 25% Gold