NY’s thoughts on recession-proofing with metals
- •My reasoning is simple: when the paper assets take a dive, the hard assets tend to hold their ground, if not appreciate.
- •The Fed's been playing a dangerous game with inflation, and while the market might be chugging along for now, a storm is brewing.
- •I remember telling my grandkids last Thanksgiving that you can't print more gold, and that always stuck with me.
Been a while since I've thrown my two cents in here, but with all the chatter about a potential recession – and let's be honest, it’s not if but when something significant hits – I’ve been thinking a lot about the role of precious metals in my portfolio. As a Wall Street guy, now retired and enjoying the finer things (like not having to deal with midtown traffic anymore), I’ve always been a big believer in tangible assets. My portfolio, hovering around the $3.5 million mark, has a solid 30% in physical gold and silver, both in my IRA and outside of it, a strategy I started really leaning into after 2008.
My reasoning is simple: when the paper assets take a dive, the hard assets tend to hold their ground, if not appreciate. The Fed's been playing a dangerous game with inflation, and while the market might be chugging along for now, a storm is brewing. I remember telling my grandkids last Thanksgiving that you can't print more gold, and that always stuck with me. So, for me, this allocation isn't just about diversification; it's about genuine wealth preservation. It's the ultimate insurance policy against government overreach and economic instability, something I saw firsthand for decades.
I’m curious how other long-term investors here are approaching this. Are you increasing your allocation to precious metals right now, or do you think the current price action is already reflecting too much of the fear? I've been considering adding another 5% to my gold position if we see a dip below early 2023 levels. What are your thoughts on specific metals – gold, silver, platinum? Any preference for physical vs. ETFs in a true recessionary environment?
Frankly, it's nice not to have to answer to a board of directors anymore, and just focus on keeping my own capital safe and sound for the next generation. But hearing from others who share a similar mindset is always valuable. Let’s get some good discussion going here.