I Hate Paper!

[Teach]

Oscar, "The Grouch," may love trash, but I hate paper.

When I was a teen-ager growing up in Boston’s Dorchester-Mattapan section, my friends and I would frequently play “Monopoly.”

How I remember when I served as “banker.’ I would think to myself, “Oh, how I wish this money were real!” Today, I could give “a rat’s ass.” As they said during the Revolutionary War, “Not worth a Continental!” Worthless!

This may seem like a hyperbole but, in my opinion, “Cash is becoming trash.” Fiat currency, as Tony Soprano mighta said, “Fuhgettaboutit!” “Ya wanna sleep with the fishes!”

My friends, it’s all about what the currency can buy. It’s all relative. I can’t believe that my wife and I, “empty nesters,” spend between $150 and $200 a week on groceries. And if you're buying a car or a house, interest rates can only be considered "usurious." Talk about “juice!"

As I continue, in my opinion, interest rates ain’t coming down anytime soon. In fact I d be shocked if the Fed cuts interest rates this year. The numbers just ain’t there.

Today, it's "whatever the traffic will bear.” The “fat cats” are making money, "hand over fist." The “punch bowl” is open. Once you've been there and enjoyed "the sauce," there's no rush to turn off the spigot.

In my last post, I said that I believe we could hit $2500 an ounce of gold by summer, if not before. I still personally believe that scenario will play out. And if matters in the Middle East escalate, i.e., Israel-Iran, who knows, precious metals and oil could rise exponentially.

That is why, as I continue, I believe in gold. As cited, I have "no axe to grind." The World Gold Council doesn't know me from "a hole in the wall." I ain't shillin’ for anybody. Hey, "the shadows are lengthening." I told my kids and i’ll tell you, I believe, in my opinion, you should be considering alternatives to paper.

But, what else, you ask? In addition to precious-metal stocks (I currently own one major and one junior gold-mining company. My stake accounts for about 5% of my liquid assets). I would consider government-issued T-bills and T-bonds. Bitcoin (just halved). Collectables. Real Estate. Antiques. Etc.

I would add, speaking of gold, that both Costco and Walmart sell gold and silver coins. That's certainly an option.

Yes, as for gold, I consider it an "insurance policy," I keep it as an inflation- hedge. I consider it the just in case "parakeet in the mind shaft." An insurance policy against a possible "black swan" event?

In continuing with the "what else" theme, if you own your own house or condo, you may, in a manner of speaking, be “sitting on a gold mine. Your real estate holding could be rising by as much as 10% per year.

Moreover, although I haven’t dabbled in "options" for years, I'm giving it some thought. I'm talking about “call” options on gold stocks with different expirations. You do have to have "the stomach for it." Obviously, you're including of time-element.

What else? As I’ve cited before, "collectables." You gotta know what your doing or you can get “fleeced." I used to know a lot about baseball cards, but my mother threw then all out. "Pieces of cardboard," my mother said. Try telling that to a pristine Mickey Mantle or Walter Payton "rookie card."

In my opinion, just about anything other than paper money. Again, the operative word is "diversification." I personally believe that paper money is like "shoveling against the tide."

In closing, it's been almost 70-years since my friends and I regularly played “Monopoly” Those days are long-gone. Frankly, today, I no longer have dreams that make-believe "Monopoly" money was real. Oh, I’d take the property, i.e. Boardwalk and Park Place. even Mediterranean and Baltic. Anything but "the paper."

Finally, I recently paid the cashier $140 at the grocery store, I handed her seven $20's. In reality, it felt like I were handing her "dollar-bills."

p.s. I suppose I'm being a bit strident when i say: "I hate cash." it's just that I look more favorably on "alternatives," i.e., gold.