20Rejab

What Is The Best Way To Invest RM100,000

2011-11-08T12:50:00.003+08:00

Source:http://www.alantanblog.com/investment/what-is-the-best-way-to-invest-rm100000.html#more-3791

I got a lot of e-mail asking about they have RM100,000 cash and not sure what to do with the money or where to invest the money i,e Unit trust, Stocks, Properties, Gold, Silvers, Starting a new small business etc.

Some of them are very excited as they managed to save up or get a big windfall(bonuses). They wish to increase that number by investing but don’t know how to.

Congratulations!

One of the first step to Financial Freedom is by taking control of your financial life. You cannot depend on others i.e Government to take care of your financial well being.

Personally, I feel instead of asking “where” to invest, focus on the "what", "how long", "does it", "can you", and “who”.

You will get a clearer ideas on how deal with your money after answering the 5 questions below

Ask and answer yourself these 5 questions:

1. What is the Objective and Goal of this Investment?

The plan for Retirement planning and Investment Planning are totally different as every one has an unique Investment risk Profile

2. How long is the investment Horizon before I can cash out the money?

The time horizon for properties generally is much longer than compare to stocks due the limited liquidity.(Unless your properties were is in a hot location)

3. Does it effect with my financial resources?

I am sure you don’t want to put all your money into just one basket of investment vehicle,right? The the next question is Do you have time to learn and monitor all the investments? Assuming to chosen to invest stocks futures using technical and fundamental analysis, can emotionally not attached to it and would not effect your current job and financial resources

4. Can I live with the risk involved?

Investment in stock and stocks futures have a high price movement volatility. Can you stomach the risk involved?

5. Who will managed the Investment?

It’s good to let other to managed the Investment. However this may not be the best choice. Do speak to your financial planner to find out more.

Once you are able to answer the above 5 questions, do invest some time to learn about different investment alternatives. This is a journey as it’s not something you can learn from a few days or months.

The doctor takes more than 4 years of studies before able to prescribe a medicine. What makes you think after a month of studies, you can be expert in a particular investment?

It’s impossible to be successful until you understand the behavior, basic fundamental and what you’re investing in.

There are many financial magazines, books and web sites such as Personal Money, Bloomberg etc, that would gave a good start for understanding the basics of personal finance.

In conclusion, the key is always Educate yourself in investing!

A new level of Frugality

2011-10-08T22:49:00.001+08:00

Source:http://malaysiapersonalfinance.blogspot.com/2011/10/new-level-of-frugality.html
Frugality in Kuala Lumpur has just gone one level deeper. A saving of about $550 monthly, a 2 hours exercise sessions for FREE and an opportunity to explore natures within the city has just been proven recently with just ONE simple ACT ! As everything goes, there is some trade off or 'risk' too ...

Its Cycling To Work !

Mathew was a guy who suffers from a terrible 24.3% inflation in 2009. After he started to follow this blog, he has learned a trick or two to keep things going smoother. Today he is working as a top executive in a public company but situation hasn't changed much. He is still in middle level income group. After his 5 figures income divided by the number of people he has to support, his actual cash-at-hand per person monthly is much less than average personal income ie. $1,500.

Many staffs who worked for Mathew always complains about how tough their lives are and demand a salary increment without extra performance to the company ( while their single income is about $1,500 as well). Mathew thinks it was obvious his staffs weren't educated well enough in personal finance so he decided to role model to show a point - live frugally.

He used to drive about an hour to work, commute about 22 km and then spent about $10+ for parking fee. Now instead of doing all that, now

He cycles to work

After the decision was made, he first bought a huge term insurance to cover this temporary needs. After all, he doesn't want his teaching to his staff to affect his even more important loves to his families.

Once the insurance is approved, he started cycling to work. It wasn't easy. He first followed his driving route. It was dangerous as cars and motorbikes are cruising fast by, ignoring his existence. But the good thing about cycling . . . is that its both a pedestrian and a driver. So very soon he found a much shorter and safer path, only 12.1km instead of driving 22 km away.

It took him about one hour to cycle to work. ( Above 2.5 hours was for walking time ) So practically this doesn't affect any of his schedule at all. As a matter of fact, this improve the stability of his schedule. Even when there is an unexpected traffic jam which would cause a normal 1 hour driving to 2-3 hours, his cycling time remains the same as 1 hour.

Mathew also lost 6-8kgs since then, has a much tougher built body now. He used to pay a lot joining fitness centers etc. but never got the time to actually exercise because he is a workaholic. Now he HAS TO exercise 2 hours a day.

Mathew also started a health diet to eat more veggie and fruits even before this cycling idea. Thanks to this cycling exercise, his cycling route passed by a local market at Chow Kit ( one of the oldest and largest wet market in Kuala Lumpur ), he now manages to buy 5 star fruits for only $1, which fuel his breakfast and lunch.

There are much more indirect benefits he received since he started cycling to work. But as everything goes, there must be some Cons that comes with the Pros. Should one accident happens during his cycling commute, it would most probably cost him his life. While he was well aware of the risk, he took action to insure against that rick and he also find ways to improve his own skills and awareness to maximize his own safety.

There are quite a lot of tips and tricks he has developed since he cycles to work. If you were moved by this article and wanted to try this too . . . be warn ahead, there is some risks involved. Do spend some time to buy me a cup of coffee so I can share with you whatever those tips and tricks are so that you can minimize your risk and maximize your return / saving / investment.

	Driving	Cycling
Time	1 hour	1 hour
Petrol	$10 per day	$0
Parking	$5 - $10 per day	$0

I am just glad living frugally in a city like Kuala Lumpur has just gone one level deeper. With tons of other extra benefits and with only ONE major risk that a person who really cares can mitigate easily with skills and experience.

Have you managed to find any innovative ways to cut your expenditure or increase your saving by 25% !?

2012 Budget highlights

2011-10-07T22:25:00.001+08:00

2011/10/07

KUALA LUMPUR: Following are the highlights of the 2012 Budget tabled by Prime Minister Datuk Seri Najib Razak, who is also Finance Minister, at the Dewan Rakyat today:

* Government will introduce other transformation programmes, culminating in the National Transformation Policy, effective 2011-2020.
* RM232.8 billion allocated to implement all government development plans, focusing on the well-being of the rakyat, with RM181.6 billion for operating expenditure and RM51.2 billion for development expenditure.

* RM13.6 billion allocated to the social sector, including education, training, health, welfare, housing and community development.

* Government will implement a special stimulus package through private financing initiative, through which total projects amounting RM6 billion will be carried out.
* 2012 announced as the year of National Innovation Movement, with a RM100 million allocation to implement several strategic initiatives.

* RM50.2 billion for the education sector, with a development allocation of RM1.9 billion for the Education Ministry to be spent on all types of schools.

* RM1 billion to be provided through a special fund for the construction, improvement and maintenance of schools, particularly to cater to their immediate needs.
* Abolition of RM24.50 and RM33.50 for co-curriculum, internal test papers, Malaysian Schools Sports Council fees and insurance premium involving students in primary and secondary schools respectively, beginning the 2012 school year.

* Financial contributions from companies and individuals to upgrade school facilities to be eligible for tax deductions, to encourage more charitable activities.

* Existing National Agrobusiness Terminal (TEMAN) in Wakaf Che Yeh (Kelantan) and Gopeng (Perak) will be developed as Rural Transformation Centres pilot projects, with four more RTCs to be developed in Kedah, Johor, Sabah and Sarawak.

* Establishment of Professional Services Fund to encourage professionals such as lawyers, doctors and accountants to set up firms in small towns, with BSN providing RM100 million for soft loans with an interest of 4 per cent.

* RM110 million for the implementation of the Rural Mega Leap Programme covering 6,500 hectares in 11 Agropolitan Projects nationwide for the cultivation of commodity and cash crops as well as cage fish culture.

* RM140 million to implement RISDA's new planting and rubber re-planting programmes benefiting 20,000 smallholders.

* RM5 billion proposed to strengthen the development of rural basic infrastructure in a more comprehensive manner.

* RM500 million to continue implementing projects to upgrade basic infrastructure under "Projek Penyelenggaraan Infrastruktur Awam" and "Projek Infrastruktur Asas", providing opportunities for 29,000 Class F contractors registered with the Contractor Service Sector.

* RM50 million to expand rainwater harvesting programme to Sabah.

* RM400 million to upgrade water supply infrastructure in selected Felda areas, besides RM50 million to connect the reticulation system in estates to the main pipes.

* RM150 million to be provided to the Public Transport Development Fund in the SME Bank to enhance bus services for the rural community.

* RM90 million for the provision of basic necessities which includes expanding the clean water supply project as well as income generating programmes for the Orang Asli community.

* Introduction of the New Civil Service Remuneration Scheme (SBPA) to replace the current scheme.

* Improving the salary of civil servants through a single-tier structure with additional increments to enable civil servants to continue receiving annual increments over a longer period.

* Annual increment of civil servants to be increased between RM80 and RM320 according to their grades, beginning 2012. Those who opt for the SBPA will receive an annual increment of between 7 per cent and 13 per cent.

* With the implementation of SBPA, more than 600,000 government pensioners will benefit from a pension adjustment involving an allocation of RM600 million.

* Effective 2013, the government will implement an annual pension increment of 2 per cent without having to wait for any review of the remuneration system or salary adjustments.

* Extension of compulsory retirement age from 58 to 60 years old to optimise civil servants' contribution.

* Additional bonus of half-month salary with a minimum payment of RM500 for civil servants and an assistance of RM500 for government pensioners, to be paid together with December 2011 salary.

* RM120 million to offer 5,000 Masters and 500 doctoral scholarships for eligible civil servants, including teachers.

* The government will offer 20,000 places for diploma teachers to pursue undergraduate studies.

* A special one-off payment of RM3,000 to 4,300 individuals who have completed their contracts with the Department of Special Affairs (JASA) and Social Development Department (KEMAS).

* RM442 million for the development expenditure of the Royal Malaysia Police, including for police housing quarters, purchase of communication and technical equipment as well as upgrading of headquarters, stations and training centres.

* RM500 million to upgrade and maintain army camps and quarters nationwide under the Army Care programme.

* RM50 million for the introduction of a special programme to enable army personnel who retired with less than 21 years of service and are not eligible for pension, to venture into businesses and obtain jobs in the public and private sectors.

* A one-off payment of RM3,000 to each ex-member as well as widows and widowers of special constable and auxiliary police who served in protecting the country during the emergency era.

* Agriculture sector development allocated RM1.1 billion.

* Expansion of the scope of the Commercial Agriculture Fund to include innovative agriculture projects with an allocation of RM300 million.

* The government to continue providing subsidy to households with electricity bill of RM20 per month or less, benefiting 1 million households.

* Over RM1 billion for the 1Malaysia Rakyat's Welfare Programme (KAR1SMA) to assist, among others, poor senior citizens, poor children, disabled people. 500,000 people to benefit from KAR1SMA.

* Opening of 85 more Kedai Rakyat 1Malaysia with an allocation of RM40 million.

* Expansion of the My First Home Scheme with a proposal to increase the limit of house prices from a maximum of RM220,000 to RM400,000. Improved scheme will be available to housebuyers through joint loans of husband and wife beginning January 2012.

* RM443 million to build 8,000 units for sale and 7,000 units for rental under the Program Perumahan Rakyat (PPR).

* RM63 million to rehabilitate 1,270 abandoned houses. Another RM40 million to restore and maintain public and private low-cost housing.

* Establishment of the Special Housing Fund for Fishermen with an allocation of RM300 million.

* Health Ministry allocated RM15 billion for operating expenditure and RM1.8 billion for developing expenditure.

* Kuala Lumpur Hospital to be upgraded to be the country's premier hospital with an allocation of RM300 million, of which RM50 million to be spent for the construction of a new outpatient block.

* Budget taxi owners to be given 100 per cent excise duty and sales tax exemptions for the purchase of new locally-made taxis.

* Abolition of road tax on all individually owned budget taxis.

* Providing assistance of RM3,000 for the disposal of old taxis exceeding 7 years but less than 10 years, and RM1,000 for vehicles of 10 years and above.

* RM320 million to implement various activities involving young people.

* An additional 150 futsal courts to be built with an allocation of RM15 million to achieve the "One Court for One Mukim" target, as well as another RM50 million to build football fields with artificial turfs, equipped with flood lights, at 30 selected locations nationwide.

* From Jan 1, 2012, all senior citizens aged 60 and above to be exempted from paying outpatient registration fee at all government hospitals, health clinics including 1Malaysia clinics as well as government dental clinics. They will also be entitled to a 50 per cent discount on LRT and Monorail
fares.

* One-off cash assistance of RM500 to households with a monthly income of RM3,000 and below to reflect the government's commitment to reducing the impact of the increasing cost of living on the low-income group. RM1.8 billion allocated for this purpose.

* Schooling assistance of RM100 for all primary and secondary students from Year 1 to Form 5 nationwide, as well book voucher worth RM200 to all Malaysian students in public and private local institutions of higher learning, matriculation and Form 6 students.

* Helping intending haj pilgrims to register early for the haj by ring-fencing RM1,300 from Account 2 of EPF contributors for registration purposes.

-- BERNAMA

Read more: 2012 Budget highlights http://www.nst.com.my/nst/articles/2012Budgethighlights/Article/#ixzz1a6d8zfZI

Tambahan bonus setengah bulan gaji untuk penjawat awam

2011-10-07T20:28:00.004+08:00

Source: http://www.bharian.com.my/bharian/articles/Tambahanbonussetengahbulangajiuntukpenjawatawam/Article

2011/10/07

KUALA LUMPUR: Kakitangan kerajaan akan mendapat tambahan bonus setengah bulan gaji manakala pesara kerajaan akan menerima bayaran bantuan RM500.

Perkara ini diumumkan Perdana Menteri, Datuk Seri Najib Razak, dalam pembentangan Belanjawan 2012 di Dewan Rakyat sebentar tadi.

Life after graduation: Girl friend and the First Car

2011-10-07T16:22:00.000+08:00

Source:http://kclau.com/wealth-management/life-after-graduation/

This is a personal story shared by a reader. Let’s call him Alex.

I graduated in 2000 and get a job at IT Support in an international Australian branch university. The salary of RM1650 (not net pay) was barely enough. My dad so called “help me” to buy a brand new Kancil 850. First month it was free and second month I have to pay for it. All I wanted that time was a 2nd-hand car or I don’t mind at all to use public transport.
If I use public transport, it would take me two buses before I actually reached at home. Office hour finished at 5pm and arrived at home around 7.30pm. The place was like the end of Miri Town (about 45min from town).
The monthly instalment was RM587 for 5 years. Plus fuel consumption would cost me around RM250/RM300. I filled RM30/RM40 tank and can use it for 4days before refuelling again. Owning a car has teach me how to DIY almost all the basic car maintenance from changing Engine Oil to changing Air Filter. I managed to spend around RM1K or RM2K to make the car beautiful (ICE and body-kits). My determination to get a Japanese rim was too strong that I saved RM300 every month to get it. At last I ordered a 2nd hand Japanese rim for RM1800 complete with tires. I even skip my lunch for few times in a month and even “tapau” food (packed food) from home.
At the same time I was paying credits card that I don’t use. Why?? My GF used it for her NOKIA 6680. I pay for it for the name of love. My mistake!! It accumulated to RM3.8K because my GF never pay the minimum amount required. Luckily she got her scholarship to pay for it but again my useless money handling took over. I never fully settled it and only pay half of the total amount. And I keep using it for online purchase such as plane tickets and so on.
I occasionally paid my “PTPTipu” study loan. Sometimes RM200, sometimes RM50 and most of the time none! And I never received any letter or payment acknowledgment from PTPTN that time. I assumed they had lost the students’ list names.
One thing I did right was to pay myself first (RM300/RM200) once I received my salary.

Notes from KCLau:

As normal young graduates, getting a car had become more of a necessity if you are living in Malaysia. Public transport is available but it is many times more troublesome if you had to travel quite a distance to your work place.

I do agree with most people that car as a necessity, we as Malaysians are forced to spend a big chunk of our income on owing a car that makes it seems like a luxury item.

For the case of Alex above, he had to spend RM900 out of RM1650, which is more than 50% of his gross pay. This is without considering the extra he spent on beautifying his Kancil with accessories. The sad news is that Kancil is like the smallest car and also the cheapest new car one can get in Malaysia. Some foreigner said that it looks more like a toy car, which we can’t deny about it.

Since you can’t do much to change the car price, what you can do is to reduce the spending on cars based on the budget you can afford.

What do you think about this story? What does it remind you of? What do you think Alex can do to improve his financial standing? Write something in the comment section below.

Here is the Part II of Alex’s story:

I left the company after 3 years plus to join new IT company to implement new project in Sarawak. The basic pay was actually smaller from previous one but i get do OT regularly due to project implementations. That include on call duty at night and weekend. I also entitled to claim milleage to do site visit and maintenances. Roughly i earned about RM2600-RM2800 per month. I still continued to pay my car installments(5 years loan tenure) but i hardly spent money on car modification anymore. I saved a lot on fuel consumption because the office is nearer to my house and milleage claims.
I finally settled my credit card installment about a year after i joined the company. The card actually expired but i didnt bother to renew it. Then i started to pay my study loan regularly. Instead of paying minimum of RM192, i paid RM200. I dont changed my handphone to latest one in the market. Instead i repaired my own handphone;updating firmware and hard reset. I used it untill it died or cost of repair more expensive than the phone itself.
Instead of buying expensive phone, i look for “ordinary” CSL handphone. It served me well untill i forgot to take it out when i am doing my laundry. I rushed to buy RM110 Nokia phone when it happen. I promised myself to upgrade later when the time is right.
Fast forward my story, i changed another job to an International company almost two years after that. I thanked GOD for HIS blessings. Then i started to buy and read financial planning books. It was KC LAU’s book(cant remember the name though) then followed by others.
Early this year, i bought a landed property RM230K(property in Miri is expensive compare to other place in Sarawak). My 850 kancil still with me minus the installments. I am still living with my dad(my mum passed away last year) ,brother and little sister. I planned to rent out my house when it completed next year and keep staying with my dad. Our family house is double storey terrace house.
I already bought an investment linked insusrance for myself. On top of it i also used my EPF account 2 to buy some unit trusts. I was lucky to have cousin working with bank industry. Now i am trying to save 50% of my salary every month instead of 10%.
My principle is easy “if you cant afford to buy things cash, you cant afford to buy that thing at all”. Example, i saved some money for two months to buy my FIRST laptop(RM2K), though i am IT guy i never owned a laptop. My advise is buy AMD based laptop instead of INTEL. It will save you around 20% of the price.
Recently i purchased a second hand DSLR to pursuit my interest in photography. I owned a Canon EOS 350(film) when i was in university but i have to sell it because i cant afford to pay for the films(i shoot a lot but only handful of photos useable). I hope my photography skills will help me to pay for some bills later.
The best is to get a good cheap second hand DLSR and try it. If you dont like it, you can always sell it. Instead of buying an expensive DSLR but later you found out that you prefer “auto” settings or compact digital camera. Some good place to look for cheap second hand DSLR are lowyat.net and free trade zone photograph

9 things you didn’t know about the life of Steve Jobs

2011-10-07T13:49:00.000+08:00

Source:http://news.yahoo.com/blogs/technology-blog/8-things-didn-t-know-life-steve-jobs-172130955.html
For all of his years in the spotlight at the helm of Apple, Steve Jobs in many ways remains an inscrutable figure — even in his death. Fiercely private, Jobs concealed most specifics about his personal life, from his curious family life to the details of his battle with pancreatic cancer — a disease that ultimately claimed him on Wednesday, at the age of 56.

While the CEO and co-founder of Apple steered most interviews away from the public fascination with his private life, there's plenty we know about Jobs the person, beyond the Mac and the iPhone. If anything, the obscure details of his interior life paint a subtler, more nuanced portrait of how one of the finest technology minds of our time grew into the dynamo that we remember him as today.

1. Early life and childhood
Jobs was born in San Francisco on February 24, 1955. He was adopted shortly after his birth and reared near Mountain View, California by a couple named Clara and Paul Jobs. His adoptive father — a term that Jobs openly objected to — was a machinist for a laser company and his mother worked as an accountant.

Later in life, Jobs discovered the identities of his estranged parents. His birth mother, Joanne Simpson, was a graduate student at the time and later a speech pathologist; his biological father, Abdulfattah John Jandali, was a Syrian Muslim who left the country at age 18 and reportedly now serves as the vice president of a Reno, Nevada casino. While Jobs reconnected with Simpson in later years, he and his biological father remained estranged.

Reed College

2. College dropout
The lead mind behind the most successful company on the planet never graduated from college, in fact, he didn't even get close. After graduating from high school in Cupertino, California — a town now synonymous with 1 Infinite Loop, Apple's headquarters — Jobs enrolled in Reed College in 1972. Jobs stayed at Reed (a liberal arts university in Portland, Oregon) for only one semester, dropping out quickly due to the financial burden the private school's steep tuition placed on his parents.

In his famous 2005 commencement speech to Stanford University, Jobs said of his time at Reed: "It wasn't all romantic. I didn't have a dorm room, so I slept on the floor in friends' rooms, I returned coke bottles for the 5 cent deposits to buy food with, and I would walk the seven miles across town every Sunday night to get one good meal a week at the Hare Krishna temple."

Breakout for the Atari

3. Fibbed to his Apple co-founder about a job at Atari
Jobs is well known for his innovations in personal computing, mobile tech, and software, but he also helped create one of the best known video games of all-time. In 1975, Jobs was tapped by Atarito work on the Pong-like game Breakout.

He was reportedly offered $750 for his development work, with the possibility of an extra $100 for each chip eliminated from the game's final design. Jobs recruited Steve Wozniak (later one of Apple's other founders) to help him with the challenge. Wozniak managed to whittle the prototype's design down so much that Atari paid out a $5,000 bonus — but Jobs kept the bonus for himself, and paid his unsuspecting friend only $375, according to Wozniak's own autobiography.

4. The wife he leaves behind
Like the rest of his family life, Jobs kept his marriage out of the public eye. Thinking back on his legacy conjures images of him commanding the stage in his trademark black turtleneck and jeans, and those solo moments are his most iconic. But at home in Palo Alto, Jobs was raising a family with his wife, Laurene, an entrepreneur who attended the University of Pennsylvania's prestigious Wharton business school and later received her MBA at Stanford, where she first met her future husband.

For all of his single-minded dedication to the company he built from the ground up, Jobs actuallyskipped a meeting to take Laurene on their first date: "I was in the parking lot with the key in the car, and I thought to myself, 'If this is my last night on earth, would I rather spend it at a business meeting or with this woman?' I ran across the parking lot, asked her if she'd have dinner with me. She said yes, we walked into town and we've been together ever since."

In 1991, Jobs and Powell were married in the Ahwahnee Hotel at Yosemite National Park, and the marriage was officiated by Kobin Chino, a Zen Buddhist monk.

5. His sister is a famous author
Later in his life, Jobs crossed paths with his biological sister while seeking the identity of his birth parents. His sister, Mona Simpson (born Mona Jandali), is the well-known author of Anywhere But Here — a story about a mother and daughter that was later adapted into a film starring Natalie Portman and Susan Sarandon.

After reuniting, Jobs and Simpson developed a close relationship. Of his sister, he told a New York Times interviewer: "We're family. She's one of my best friends in the world. I call her and talk to her every couple of days.'' Anywhere But Here is dedicated to "my brother Steve."

Joan Baez

6. Celebrity romances
In The Second Coming of Steve Jobs, an unauthorized biography, a friend from Reed reveals that Jobs had a brief fling with folk singer Joan Baez. Baez confirmed the the two were close "briefly," though her romantic connection with Bob Dylan is much better known (Dylan was the Apple icon's favorite musician). The biography also notes that Jobs went out with actress Diane Keaton briefly.

7. His first daughter
When he was 23, Jobs and his high school girlfriend Chris Ann Brennan conceived a daughter, Lisa Brennan Jobs. She was born in 1978, just as Apple began picking up steam in the tech world. He and Brennan never married, and Jobs reportedly denied paternity for some time, going as far as stating that he was sterile in court documents. He went on to father three more children with Laurene Powell. After later mending their relationship, Jobs paid for his first daughter's education at Harvard. She graduated in 2000 and now works as a magazine writer.

8. Alternative lifestyle
In a few interviews, Jobs hinted at his early experience with the psychedelic drug LSD. Of Microsoft founder Bill Gates, Jobs said: "I wish him the best, I really do. I just think he and Microsoft are a bit narrow. He'd be a broader guy if he had dropped acid once or gone off to an ashram when he was younger."

The connection has enough weight that Albert Hofmann, the Swiss scientist who first synthesized (and took) LSD, appealed to Jobs for funding for research about the drug's therapeutic use.

In a book interview, Jobs called his experience with the drug "one of the two or three most important things I have done in my life." As Jobs himself has suggested, LSD may have contributed to the "think different" approach that still puts Apple's designs a head above the competition.

Jobs will forever be a visionary, and his personal life also reflects the forward-thinking, alternative approach that vaulted Apple to success. During a trip to India, Jobs visited a well-known ashram and returned to the U.S. as a Zen Buddhist.

Jobs was also a pescetarian who didn't consume most animal products, and didn't eat meat other than fish. A strong believer in Eastern medicine, he sought to treat his own cancer through alternative approaches and specialized diets before reluctantly seeking his first surgery for a cancerous tumor in 2004.

9. His fortune
As the CEO of the world's most valuable brand, Jobs pulled in a comically low annual salary of just $1. While the gesture isn't unheard of in the corporate world — Google's Larry Page, Sergey Brin, and Eric Schmidt all pocketed the same 100 penny salary annually — Jobs has kept his salary at $1 since 1997, the year he became Apple's lead executive. Of his salary, Jobs joked in 2007: "I get 50 cents a year for showing up, and the other 50 cents is based on my performance."

In early 2011, Jobs owned 5.5 million shares of Apple. After his death, Apple shares were valued at $377.64 — a roughly 43-fold growth in valuation over the last 10 years that shows no signs of slowing down.

He may only have taken in a single dollar per year, but Jobs leaves behind a vast fortune. The largest chunk of that wealth is the roughly $7 billion from the sale of Pixar to Disney in 2006. In 2011, with an estimated net worth of $8.3 billion, he was the 110th richest person in the world, according toForbes. If Jobs hadn't sold his shares upon leaving Apple in 1985 (before returning to the company in 1996), he would be the world's fifth richest individual.

While there's no word yet on plans for his estate, Jobs leaves behind three children from his marriage to Laurene Jobs (Reed, Erin, and Eve), as well as his first daughter, Lisa Brennan-Jobs.

KLCI

2011-09-22T23:53:00.003+08:00

KLCI falls to lowest level since Aug 2010

2011-09-22T23:12:00.000+08:00

KLCI falls to lowest level since Aug 2010Written by Surin Murugiah of theedgemalaysia.com Thursday, 22 September 2011 17:44KUALA LUMPUR: The FBM KLCI fell 2.2% on Thursday, Sept 22 to its lowest level since August 19, 2010 in line with global markets spooked by the grim economic outlook for the US economy and slowing manufacturing output in China.The FBM KLCI lost 31.23 points to 1,387.81 as the broader market turned negative with losers pummeling gainers by 802 to 85, while 162 counters traded unchanged.Volume was 874.11 million shares valued at RM1.71 billion.Among the major decliners, Dutch Lady and Hong Leong Bank fell 62 sen each to RM18.88 and RM9.98, Petronas Dagangan 52 sen to RM16.40, Nestle and Genting 50 sen each to RM49 and RM8.80, MSM 43 sen to RM4.54, Parkson 40 sen to RM5.10, Aeon 38 sen to RM6.90 and Shell 33 sen to RM9.45.Petronas Chemicals was the most actively traded counter with 28 million shares done. The stock fell 27 sen to RM5.54.Other actives included Axiata, AirAsia, MRCB, UEM Land, Dialog, Genting and Timecom.Among the gainers, Proton added 26 sen to RM2.88, Aeon Credit 15 sen to RM4.70, Kawan Food 11.5 sen to 99.5 sen, Maypak 10 sen to 32 sen, UMS nine sen to RM1.64, while Ewein and Lafarge Malayan Cement added seven sen each to 88 sen and RM6.80.At the regional markets, Hong Kong’s Hang Seng tumbled 4.85% to 17,911.95, Taiwan’s Taiex lost 3.06% to 7,305.50, South Korea’s Kospi fell 2.90% to 1,800.55, the Shanghai Composite Index down 2.78% to 2,443.06, Singapore’s Straits Times Index lost 2.55% to 2,750.53 and Japan’s Nikkei 225 shed 2.07% to 8,560.26.Source:http://www.theedgemalaysia.com/business/193337-klci-falls-to-lowest-level-since-aug-2010.html

KLCI : 22 Sept 2011

2011-09-22T23:03:00.000+08:00

Best Procrastination Tip Ever

2011-09-10T08:11:00.000+08:00

Source:http://zenhabits.net/tada/Post written by Leo Babauta.Your first thought as you look at this article will be, “I’ll read this later.”But don’t. Let the urge to switch to a new task pass. Read this now.It’ll take you two minutes. It’ll save you countless hours.I’ve written the book on ending procrastination, but I’ve since come up with a very simple technique for beating everyone’s favorite nemesis. It is incredibly easy, but as with anything, it takes a little practice.Try it now:Identify the most important thing you have to do today.Decide to do just the first little part of it — just the first minute, or even 30 seconds of it. Getting started is the only thing in the world that matters.Clear away distractions. Turn everything off. Close all programs. There should just be you, and your task.Sit there, and focus on getting started. Not doing the whole task, just starting.Pay attention to your mind, as it starts to have urges to switch to another task. You will have urges to check email or Facebook or Twitter or your favorite website. You will want to play a game or make a call or do another task. Notice these urges.But don’t move. Notice the urges, but sit still, and let them pass. Urges build up in intensity, then pass, like a wave. Let each one pass.Notice also your mind trying to justify not doing the task. Also let these self-rationalizing thoughts pass.Now just take one small action to get started. As tiny a step as possible.Get started, and the rest will flow.

minimalist FAQs

2011-08-25T04:27:00.001+08:00

Source:http://mnmlist.com/minimalist-faqs/

Some frequently asked questions (FAQs) about minimalism and living the minimalist life, for those new to the concept.

Q: Why be a minimalist?

A: It’s a way to escape the excesses of the world around us — the excesses of consumerism, material possessions, clutter, having too much to do, too much debt, too many distractions, too much noise. But too little meaning. Minimalism is a way of eschewing the non-essential in order to focus on what’s truly important, what gives our lives meaning, what gives us joy and value.

Q: Isn’t minimalism boring or too sparse, with nothing in your life?

A: This is a misconception about minimalism — that it’s necessarily monk-like, empty, boring, sterile. Not at all. Well, it can be, if you go in that direction, but I don’t advocate that flavor of minimalism. Instead, we are clearing away all but the most essential things — to make room for that which gives us the most joy. Clear away the distractions so we can create something incredible. Clear away all the obligations so we can spend time with loved ones. Clear away the noise so we can concentrate on inner peace, on spirituality (if we wish), on our thinking. As a result, there is more happiness, peace, and joy, because we’ve made room for these things.

Q: What is minimalist living?

A: It’s simply getting rid of things you do not use or need, leaving an uncluttered, simple environment and an uncluttered, simple life. It’s living without an obsession with material things or an obsession with doing everything and doing too much. It’s using simple tools, having a simple wardrobe, carrying little and living lightly.

Q: What are the benefits of minimalism?

A: There are many. It’s lower in stress. It’s less expensive and less debt. It’s less cleaning and maintaining. It’s more enjoyable. There’s more room for creating, for loved ones, for peace, for doing the things that give you joy. There’s more time for getting healthy. It’s more sustainable. It’s easier to organize. These are only the start.

Q: What does the schedule of a minimalist look like?

A: There’s no single answer to this question, but a minimalist would probably focus on doing less, on having a less cluttered schedule, but what’s on his or her schedule would be important. A minimalist might not actually keep a schedule or calendar, at one extreme, if he didn’t have much to do each day — he might instead live and work moment-by-moment, or just decide each morning to focus on one or two important things.

A minimalist would also save a lot of time because of having less clutter and fewer possessions. That means less time cleaning and maintaining, and less time searching for things. A minimalist who clears away distractions and single-tasks would also waste less time with those distractions and in switching back and forth between tasks (multi-tasking).

In general, all this results in more time for relaxing, for hobbies, for creating, for doing fun things.

Q: What rules do I need to follow to become minimalist?

A: There are no set rules. There’s no one way. What I suggest for living minimally isn’t what someone else would recommend, nor is it how you would live your minimalist life. In general, however, you want to live simply without too many unnecessary possessions, distractions, clutter, or waste. You want to live frugally, debt-free, sustainably, naturally.

Q: Do you need to be vegan or vegetarian to be minimalist?

A: No. While I believe the vegan/vegetarian lifestyle is consistent with minimalism, you can eat simply as an omnivore as well. Again, there’s no one way. A minimalist would try to eat naturally, without too much processing, and not eat too much food (such as the ridiculous portions at most restaurants these days).

Q: I believe in simplifying, but why should I be so frugal — what wrong with a few REALLY nice things?

A: Frugality is simply a way of not spending on unnecessary things — sticking to the essentials. Is there anything wrong with a few really nice things? Not necessarily. If you need to buy something, it’s usually better to go for quality, rather than cheap, because it’s better made and will last longer. Minimalism is about quality over quantity.

However … it’s always good to examine whether it’s good to have an attachment to material things. This isn’t something I’ve completely succeeded with — I love my Mac, for example — but it’s something I’ve been working on. I am much less attached to possessions than I was just a few years ago, and I recommend that everyone examine their relationship with physical things, with products, and see if it’s really what they want.

Q: What about finding minimalism in America — where you need to have a car and a job?

A: This whole site is about finding minimalism within the American culture and society — as well as other industrialized nations — not on some remote desert island. The complexities and social expectations of the United States (and other industrialized countries) is exactly why minimalism is needed. All the advice I give on this site (and Zen Habits) is aimed at people in these modern societies.

Sure, I live on Guam, which is a tropical island, but what most people don’t realize is that Guam is in most respects just like the U.S. (and is a part of it) — we have the same technology, same restaurants (from McDonalds, Burger King, Taco Bell, Pizza Hut, TGI Fridays, Lone Star, Chilis, Hooters, etc), same malls and stores (including Home Depot, Kmart, Macys, et al), same kind of jobs, same reliance on cars, same health problems. We are online just as much as everyone else. We have busy schedules and need jobs and cars just as much as anyone in the U.S.

I face the same problems. Most people on Guam lead extremely complicated, cluttered lives and have the same attachment to their cars, jobs and possessions as everyone else in the U.S. I’ve just decided not to be a part of that, to the extent I can. And it is possible, not only here on Guam but anywhere in the world — you just need to make a conscious decision to change your life.

Do you need to be as minimalist as me, or someone living in the wilderness? Not at all. It’s not about that. It’s about finding simplicity and finding what’s important to you, and making choices, rather than adopting the consumerist mindset that most people have.

Q: Aren’t you being contradictory by claiming to be a minimalist and owning a Mac, or a house, or having six kids?

A: Again, there’s no one way. Everyone must find his own path, and mine is different than what someone else would consider minimalist. Also, I have never claimed to be perfect – I’m striving for minimalism, but I always have room for improvement. I have things that are inconsistent with minimalism, or at least by the definition of others. I’m working on it.

I should say a word or two about having six kids and minimalism. Having six children is inconsistent with my message of simplifying, frugality, downsizing, being green.

I don’t have a defense – but I do have an explanation for the inconsistency. I had my kids before (and during) my change in philosophy. In fact, my philosophy is evolving even now, so I can’t claim to have believed in the things I believe in now, for a very long time. Many things I believe in are only recent developments.

As an example – only recently, I made the decision to transition back into veganism (I was vegan once, but have been lacto-ovo veggie for over a year). But I own a pair of leather sandals – do I throw them out? Wouldn’t that be wasteful? Is it better to be wasteful but consistent with my beliefs? It’s hard to say.

However, I have decided it would be most unethical for me to throw out my children, just because I now believe in downsizing. It was a tough decision, but I’m sticking by it.

As a result of my simplifying, I am able to enjoy my time with my children, and I have to admit, they are the best thing to happen to me. I don’t regret having them one bit, even if they are inconsistent with my philosophy of downsizing.

On the good side, I believe that even with six kids, being vegan, buying less stuff, being energy conscious, owning only one car and rarely driving it, walking more for transportation – I actually use fewer resources than the average person in developed countries (and far less than the avg American) – this is according to online carbon footprint calculators. It’s not a justification for having six kids, but just a note that things aren’t as bad as they could be.

Q: Why don’t you have a comment button or comments on this site?

A: I purposely didn’t include comments on this site for a couple of reasons:

1. I already manage several other blogs, and get a ton of comments at Zen Habits, and having to manage another blog’s comments is too much for me. I just don’t have the time, and if I had to do it, I couldn’t do this blog.

2. I love dialog with readers — it’s what makes blogging such a joy — but commenting isn’t the only way. I encourage you to reply to me about any of these posts via Twitter or on your blog. The dialog then will be less local and more widespread.

3. I like the idea of keeping things simple on a blog about minimalism.

Q: How is mnmlist.com different than Zen Habits?

A: Well, Zen Habits is about simplicity, and mnmlist.com is about minimalism — can’t you see the difference?

Seriously, though, there will be a different focus here than at Zen Habits, which covers a wide range of topics besides simplicity, including productivity, changing habits, health & fitness, family, finances, happiness, and yes, simplicity.

This blog will focus pretty much exclusively on minimalism, a passion of mine. Not all Zen Habits readers are incredibly interested in minimalism, so I’m breaking off this blog for those who are.

Info Bank Persatuan: Had tambahan sher baru RM20k

2011-08-24T03:08:00.001+08:00

Source:http://www.carigold.com/portal/forums/showthread.php?t=146876&page=144

Antara info2 yang boleh buat pedoman:-

1. Dividen asalnya diputuskan Dlm mesyuarat perwakilan 7.5% tp bila masuk kelulusan skm hanya diluluskan 6.5%.

2. dividen walaupun dibayar setiap tahun Dlm bulan julai-September tidak bermaksud dividen dpt tempoh lebih setahun. Hanya permulaan jadi ahli saja rasa lama tp klu tiap2 tahun dpt di bln julai-September x ke jadi sama 12 bln jugak.

3.Bank Persatuan bukan x leh glamor cam bank2 lain tp kena balance dgn capabiliti yg ada.klu ikut sejarah bank Persatuan naik on their own susah senang dengan ahli-ahli yang faham hala tuju Demi kemajuan bank.

4.kaji balik sejarah bank yg sealiran dgn bank Persatuan, mereka pun Ada zaman kekurangan. Tp bank Persatuan boleh dikatakan pertumbuhan sejajar.

5.Jumlah pelaburan yg baru rm20k tu boleh ditambah selepas 25/8/11 x kira jumlah pelaburan sebelum ni. Cntoh sebelum ni Ada syer rm5k tp pas ni leh tmbah lagi rm20k so pelaburan jadi rm25k.

Ok tu je setakat ni.Wassalam

Bayaran Dividen Tahun 2010 Bank Persatuan =6.5%

2011-08-24T02:58:00.003+08:00

Source:http://www.bankpstn.com.my/cms/sub.do?a=2&b=69
23 Ogos 2011 14:40 PM

Perhatian Kepada Anggota-Anggota Bank Persatuan
Bayaran Dividen 2010

Kepada anggota-anggota individu (perseorangan) Bank Persatuan yang menpunyai syer keanggotaan sehinnga tempoh berakhir pada 31 Disember 2010, bayaran dividen tahun 2010 yang telah diluluskan oleh Suruhanjaya Koperasi Malaysia sebanyak 6.50% adalah akan dibayar secara tunai di kaunter cawangan Bank Persatuan mulai pada 25 Ogos hingga 26 September 2011.
Bayaran dividen melebihi RM5,000.00 adalah akan dibayar secara cek.
Terima Kasih

Setiausaha Bank Persatuan

KPF dijangka agih dividen 2010 sebanyak 14 peratus

2011-06-12T03:53:00.001+08:00

Source:http://www.bharian.com.my/bharian/articles/KPFdijangkaagihdividen2010sebanyak14peratus/Article
KOPERASI Permodalan Felda Malaysia Bhd (KPF), dijangka mengagih dividen untuk 2010 melebihi jumlah dividen sebanyak 14 peratus pada tahun sebelumnya.

Pengerusinya Datuk Dzukifli Abd Wahab, berkata unjuran itu selaras dengan misi KPF untuk memaksimumkan pulangan pelaburan ahli dan meningkatkan nilai pelaburan dalam syarikat FELDA.
“KPF menyasarkan jumlah agihan dividen antara 12 peratus dan 16 peratus setiap tahun,” katanya selepas pertemuan dengan Suruhanjaya Koperasi Malaysia di Kuala Lumpur, baru-baru ini.
Beliau berkata, dalam tempoh 10 tahun, KPF berupaya mengekalkan sasaran itu dengan jumlah agihan tertinggi dicatatkan pada 2007, iaitu 16.5 peratus.

Bagi 2010, jumlah keuntungan bersih KPF mencatatkan sedikit penurunan kepada RM256 juta berbanding RM328.72 juta pada tahun sebelumnya.

Ditubuhkan pada Julai 1981, KPF berperanan sebagai pusat simpanan dan pelaburan anggota FELDA dan memberi peluang secara adil kepada warga FELDA untuk turut serta memiliki ekuiti dalam syarikat kumpulan itu.

Objektif penubuhan koperasi ini adalah untuk menggiat dan menggalakkan penyimpanan wang oleh anggota FELDA serta menyediakan kemudahan simpanan dan aktiviti pelaburan yang diuruskan secara profesional.
KPF mencatatkan jumlah pelaburan sebanyak RM2.26 bilion sepanjang 2010, peningkatan sebanyak 12.94 peratus berbanding tempoh yang sama pada 2009 iaitu RM2 bilion.

Dzukifli berkata, pertumbuhan itu disebabkan oleh peningkatan aktiviti pembiayaan sebanyak 177.04 peratus dan penambahan simpanan dalam Amanah Raya Bhd sebanyak 138.75 peratus berbanding tahun sebelumnya.

“Pelaburan terbesar adalah di dalam segmen sekuriti pasaran (RM526.42 juta) dan deposit dan simpanan (RM437.94 juta),” kata beliau.

Dzulkifli berkata, KPF kini mengintai peluang pelaburan di rantau Asia dan mengadakan lawatan ke Myanmar baru-baru ini bagi tujuan itu.

“Bagaimanapun, keutamaan KPF masih kepada pelaburan dalam negara,” katanya.

Jumlah pelaburan hartanah KPF pada akhir 2010 sebanyak RM240.08 juta, pertumbuhan sebanyak 1.92 peratus berbanding RM235.55 juta yang dicatakan pada tahun sebelumnya.

“Penjualan ruang pejabat dan perniagaan di Solaris Dutamas, Blok D5, di Jalan Duta sudah mencatatkan keuntungan sebanyak RM4.54 juta dan sehingga akhir tahun lepas, hanya lima unit yang masih belum terjual,” kata Dzukifli.

Antara pelaburan hartanah terbaru yang diteroka KPF ialah pajakan bangunan Hotel Dar Um Hane di Mekah, Arab Saudi.

Dzukifli berkata, melalui pajakan ini, sebahagian daripada hotel yang mula beroperasi pada Februari 2011 itu akan disewakan kepada Felda Travel, manakala sebahagian lagi kepada agensi-agensi Umrah dan haji yang lain. – BERNAMA

Do This For 10 (Easy) Minutes And Improve Your Entire Day

2011-06-09T16:06:00.001+08:00

Source:http://www.pickthebrain.com/blog/do-this-for-10-easy-minutes-and-improve-your-entire-day/
Our bodies weren’t designed for our modern lifestyle.

We were never meant to sit behind desks for half our waking hours, nor were we intended to spend more time in a car than on our feet.

Most of us don’t get enough fresh air, sunshine and exercise and it’s having a profound impact on our confidence, energy levels and health.

Worse, it’s a self perpetuating problem. The less you move, the less energy you have to get going. Even if you know from experience that a bit of exercise will make you feel immeasurably better, you probably have a difficult time managing that first step.

If you can find a way to incorporate as little as 10 minutes of active movement into your morning routine, you’ll find your days will run smoother and be less stressful. Plus, you’ll have more energy and a more positive mood.

Keep in mind, this can be as simple as taking a 10 minute walk or doing a short yoga or stretching routine. Just getting up and moving for 10 minutes can:

● Increase blood flow throughout your body, including to your brain.

● Release your body from any aches and pains you might have incurred during the night while sleeping.

● Reduce stress levels.

● Increase energy levels.

● Rev up your metabolism

If possible, it’s best to get this exercise. But even if you can’t, you’ll still reap the benefits. Here are some easy ideas for getting more movement into your morning routine. There is bound to be one that you’ll enjoy and can work into your day:

● Walk or bike to work.

● Take your dog for a short walk

● Walk or bike with your children to school.

● Take a short jog around the neighborhood.

● Turn on some music and dance!

● Yoga

● Other stretching exercises

● Jumping jacks

● Sit ups and push ups

● Some moderately heavy housework such as mopping and sweeping.

● A quick swim

● Pulling weeds

● Shoveling snow

● Going up and down the stairs

The idea isn’t to get a full body workout (although that’s certainly an option if you have the time!), it’s to start your day off right by getting your blood flowing and loosening up your muscles and joints.

Unfortunately, there are no shortcuts when building a bridge between your old broken habits and your new ones; you’ll have to make it a point to do it every day until it becomes a normal part of your routine. You can help things along by:

● Choosing activities you genuinely enjoy. If you hate running, it will be far more difficult to stick with it than if you picked something you enjoy more, such as simple calisthenics.

● Try enlisting your spouse, roommates, children or friends to do it alongside you. It’s harder to cheat (or skip) when you know your walking buddy or yoga partner is waiting for you.

● Keep things as simple as possible. Your gym might have a wonderful pool, but if it’s inconvenient for you to use first thing in the morning, you’ll have difficulty developing a habit.

● Focus on how much better you feel. Keep a journal and note the many improvements in your life. Don’t feel as though only the big victories are worth noting. Even something as simple as having less stress and hostility while driving will make your life better in the long run.

Just 10 minutes of movement every morning is enough to help you gain energy, increase confidence, be more positive, manage stress and feel better physically. Once you get into the habit of incorporating movement into your morning routine, you’ll find the positive effects snowball and it will be easier to make good choices about eating, exercising and taking care of yourself in general.

Don’t put off getting started, this is something you can do tomorrow and start reaping the rewards right away.

Tip Bisnis-Puan Ainon

2011-06-07T05:49:00.006+08:00

Berniaga adalah berkawan. (Business is friends.) Semakin banyak kawan, semakin mudah kita berniaga. Semakin besar bisnes kita, semakin banyak kawan kita. Apabila berbual-bual dengan sesiapa sahaja,bercerita tentang hal yang baik-baik sahaja, khususnya berita2 baik. Berita baik menyebabkan orang mempunyai persepsi positif tentang karekter kita.Dengan itu mereka suka mahu berjumpa kita lagi-Pn Ainon Mohd.

Tip bisnes: Jangan cuba menjual kepada kaum keluarga ataupun sahabat sendiri. Ia adalah kesilapan bisnes yang serius kerana sebenarnya dengan melakukan itu kita telah menyalahgunakan hubungan baik yang ada. Tidak ada orang yang suka berasa dirinya terpaksa membeli barang yang dia tidak mahu beli. Lain kali mereka takut mahu berjumpa kita lagi.-Puan Ainon Mohd.

AinMaisarah Novelis :Yang tidak baik itu kita boleh bawa masuk mesyuarat. Dalam mesyuarat kita tidak mahu dengar yang baik-baik sahaja, kita mahu tahu bahagian mana yang perlu dibaiki, kita mahu selesaikan masalah. Puan, ini saya kongsikan apa yang saya dengar dari Tuan Pengurus AinMaisarah.

Tn Aizuddinur Zakaria bertanya: "Apakah perkara utama yang ada pada peniaga Cina dan tidak ada pada peniaga Melayu?" -- Yang tidak ada, adalah discourse bisnes dalam perbualan keluarga middle-class Melayu. Disebabkan middle-class Cina adalah golongan kelas peniaga dan usahawan, perbualan keluarga Cina adalah skrip bisnes. Disebabkan cerdik pandai Melayu hidup makan gaji, perbualan keluarga middle-class Melayu berputar-putar pada skrip kehidupan makan gaji.-Pn Ainon Mohd.

Tip bisnes: Orang Cina mempunyai daya beli yang tinggi kerana ekonomi mereka lebih tinggi. Peniaga Cina sudah lama menjadi pakar menjual kpd pembeli Melayu. Demi mengembangkan bisnes kita, peniaga2 Melayu perlu belajar dengan lebih serius bagaimana mahu menjual kepada pembeli Cina. Foto menunjukkan penulis PTS, Pn. Fatimah Rodhiah, mempromosi karya beliau kepada kanak2 Cina di pesta ReadMalaysia-Pn Ainon Mohd.

Tip kejayaan bisnes: Ilmu bisnes yang paling penting adalah ilmu bagaimana menjadikan duit kita beranak-pihak, yakni mengganda-lipatkan duit yang sedikit sehingga semakin hari semakin banyak. Dari RM1, menjadi RM2, menjadi RM20. Dari RM1k menjadi RM2k. Kalau kita tidak mempunyai ilmu ini, akibatnya duit modal yang ada akan semakin susut dan akhirnya bisnes kita hidup segan mati tak mahu. Ilmu melipatgandakan duit hanya dapat dipelajari dari orang2 bisnes yang sudah melakukannya.-Pn Ainon Mohd.

8 Ways To Stop Feeling Indifferent

2011-06-05T23:05:00.001+08:00

Source:http://www.pickthebrain.com/blog/8-ways-to-stop-feeling-indifferent/
Have you ever fallen to sleep at night wondering if you’ve made any difference to the world around you?
Have you ever risen in the morning wondering if you even matter at all?
The key to living a happy, healthy, productive life full of vigor and confidence is feeling purpose, passion and genuine joy for the way you spend your days. Without purpose, passion is merely a silent suggestion.
Yet when you know your actions truly make a difference, joy and productivity follow as naturally as sunset after sunrise.

Use any of these 8 ideas to evaporate your indifference once and for all.

1) Travel. Few things can fuel your inner fire like discovering fresh people, adventure, and experience. The sights, scents and sounds of a new spot on the map can help you see your old world with fresh eyes. Whether you’re heading to a new spot within your old city limits or swapping hemispheres for six months of backpacking, feeling lost can be one of the best ways to find yourself again.

2) Teach. By passing your knowledge to another, you will not only illuminate the possibilities for another’s life, you will crystalize some of the skills that make you unique. Teaching another will help you to nurture a deeper sense of self and a more powerful sense of purpose overall. Explain, demonstrate, inspire. Be the teacher you always wished you had and you will move closer to the person you have always wanted to be.

3) Create. Make something beautiful where there was nothing before and you might feel a purity of passion you never expected. Whatever your art – painting, poetry or even polka, producing tangible evidence of your individuality will help you discover your true self.

4) Connect. An internal sense of belonging is a core human need that must be nurtured and should never be ignored. Because everyone shares this essential need, you can have complete confidence that the people in your life are looking to connect. No one wants to feel isolated or lonely – the key lies in discovering your common intersections and celebrating your collective interests.

5) Help. It is easier to tap into your purpose when you are genuinely helping others in need. This isn’t hard, and you don’t have to wait to get started. Improving the world an inch or two at a time is as easy as stepping outside yourself and getting started today. Keep your eyes open for anyone with less than you, or anyone who might benefit from your benevolence.

6) Ask. Who knows you better than your closest friends; the people who have seen you during both your highs and lows, and listened to your same stories over and over again? Don’t take their word as gospel, but do ask what they think your special power or true purpose might be. Chances are, you’ll be surprised by what they say.

7) Read. Perhaps you can’t go continent hopping, but you can conquer space and time by turning the pages of any good book. Literature opens your ears to the language of life and opens your heart to your inner whispers. Make time to read, then reflect on what you read, and you may find yourself with a deeper connection to the life you truly want to live.

8) Write. If you really want to know what makes you tick, start writing. I’ve been a professional ghostwriter for a couple of years, and I still marvel each day at the many things I didn’t know I thought. Writing forces you to organize your ideas and bring your emotions to the surface. Spend a day with nothing but a fresh notebook and plenty of ink – you might just stumble onto a powerful passion you didn’t know you had.
If your life has little purpose, then you are only living a little life. Find what drives you, then step on the gas and speed toward the life you’ve always wanted.

6 Reasons You Need To Be Touched

2011-06-05T22:51:00.002+08:00

Source:http://www.pickthebrain.com/blog/6-reasons-you-need-to-be-touched/
Do you ever feel like you’re living in a bubble, surrounded by people but never touched?
We live in such a busy, crowded world, yet it’s so easy for many of us to go days, even weeks or months without touching or being touched by others.
While you might not notice the effects of not being touched right away, it can negatively affect your mood, your confidence and your health. We are only beginning to understand the holistic way our bodies work and the relationship between our emotional well being and our physical health.

Here are 6 reasons why you need to be touched on a regular basis.

1. Feel connected to others. We are social beings, and although we all fall in different places on the introversion – extroversion scale, we all need to have that sense of connection to other members of our tribe. While some of that connection can come from having conversations with others, touch also plays an important role in human communication.

2. Reduce anxiety. Simply touching another person can make us feel more secure and less anxious. It can make us feel grounded and safe and not so all alone. It’s not just children who could use a warm, reassuring hug to make things a little better, so if you’re feeling like a bundle of nerves, go ahead and ask for a hug.

3. Bonding. Touch is one of the ways romantic partners bond with each other and parents bond with their children. When partners and families get busy and let touch go out the window, they’ll often find that they don’t feel as close and relationships suffer. Regular touch is one of the ways that we continually renew our bonds with those we love.

4. Lowers your blood pressure. Studies have shown that those that get regular touch often have lower blood pressure than those that don’t. Even having a pet can have beneficial effects! Touch can also slow the heart rate and help speed recovery times from illness and surgery.

5. Improve your outlook. It’s harder to get into a pessimistic funk when you feel the confidence of being connected to others. Touch can make people feel more optimistic and positive and less cynical and suspicious. A positive, trusting attitude towards others can reduce tension in our daily lives and improve our relationships.

6. Give us the sensory input that we crave. Scientists are just discovering how truly important it is to exercise all our physical senses for proper brain and emotional development. All the various kinds of touch from butterfly kisses to deep tissue massage send our brains the physical inputs it needs to make sense of the world. So, along with touching other people and pets, make time to explore different textures and touch sensations such as letting cool sand run through your fingers or taking a warm relaxing bath.
Don’t let yourself get too busy that you starve yourself of touch. It’s important for your physical, mental and emotional well being to touch others and let others touch you.

The Power of Words

2011-06-04T09:41:00.001+08:00

Source:http://www.beinspired-blog.com/the-power-of-words-by-sean-m-kelly/
There is no doubt that words move us. They take our mind on a journey, weaving a web of imagery and emotion which is totally unique to each of us. Why is it unique? Because the meanings and emotions we have learnt to associate with particular words and phrases is also unique for each of us (to the most part anyway). Yet what is language and words? They are just sounds and syllabels which we have given meaning to. For example if you don’t speak Chinese the Chinese script doesent mean anything to you. Yet if you do speak Chinese it will mean something to you. So in and of itself words do not have any meaning except the meaning we choose to give it or have unconsciously learnt.

Some would also say however that words and languages have an energy and that sometimes we resonate with that energy, for better or worse. One of the oldest languages is Sanskrit. This is used a lot for mantras in meditation and chanting because it is said that the sound energy of certain words when resonated with help connect us with a higher vibration, one where we are connected to a universal consciousness, that is usually referred to as “God”.

Personally I think we’re connected at some level all the time as we’re all part of a great ocean of divinity, a collective consciousness. However a lot of the time we live our lives in the ups and downs of our individual “minds” , which is a great servant but not such a good master. It’s when we go beyond the mind and become the observer of it so to speak, that we realise just how much it has been our master – we’re afraid of so many things – especially that there isent “enough” – everything is perceived to be in short supply so we go filling our caves with as much “stuff” as we can in case it ever runs out! Yet when we go beyond our mind we align ourselves with our Spirit which by nature is abundant, infinite, loving, peaceful, blissful, creative, immortal (at least I hope it is!!!) and so on.

To experience more of these beautiful qualities all we need to do is make a habit of being still every day. It’s really great to start your day by being still even if only for a few minutes.

This morning I didnt have as much time as usual and there was a part of me that was resisting being still, so I tricked my mind and said “well I’ll just sit for 3 minutes then, I definetly have 3 minutes I can use“. And so I did. Of course invariably you sit for longer as it feels so wonderful once you surrender, let go and enjoy.

Now how has it affected my day? Well here I am writing about it and I still continue to “feel” the peacefulness of those few moments spent being still.

Find some words that resonate beautifully with you, words like love, peace, prosperity, bliss, kindness, calm, abundance, spirit, “om”, “namaste”, “om namah shivaya” or whatever. Sit for a few minutes, at least three and keep saying that word to yourself. Let it take you beyond the mind. Let it take you to a place where you are experiencing the meaning of the word … Peace …. Peace … Peace …

Allow it to fill your body with peace and allow it to go beyond your body until you realise your true nature which is loving, beautiful and peaceful. It will also remind you that you have unique and wonderful talents and gifts which will help you on your life’s purpose(s). Appreciate the magnificence that you are.

Have an amazing day!

Sean

Bank Rakyat Dapat Kelulusan Tambah Modal Syer Kepada 3 Bilion

2011-05-31T15:06:00.001+08:00

4 APRIL 2011 - BERNAMA

KUALA LUMPUR, 2 April (Bernama) -- Bank Kerjasama Rakyat Malaysia Berhad (Bank Rakyat) telah diberikan kebenaran oleh Bank Negara Malaysia pada bulan lepas untuk menambahkan modal syernya sebanyak satu bilion lagi kepada tiga bilion.

Keutamaan untuk melanggan syer-syer baru adalah kepada koperasi-koperasi dan juga ahli-ahli Bank Rakyat, kata Menteri Perdagangan Dalam Negeri, Koperasi dan Kepenggunaan Datuk Seri Ismail Sabri Yaakob pada sidang akhbar selepas merasmikan Mesyuarat Agung Bank Rakyat.

Beliau menjangkakan perkara seperti pengagihan kepada yang berminat melanggan syer tersebut akan dapat diputuskan oleh Lembaga Pengarah Bank Rakyat pada Mei.

Beliau berkata senarai menunggu untuk melanggan syer tersebut, adalah panjang dan nilai permintaan melebihi RM1 bilion, sambil menjelaskan bukan ahli mewakili 40 peratus dari yang berada dalam senarai menunggu itu.

Apa yang jelas, menurut beliau, ialah tidak semestinya semua yang memohon akan mendapat syer dan tidak semestinya yang dapat syer akan mendapat dalam jumlah yang mereka pohon.

Beliau berkata permintaan untuk syer Bank Rakyat adalah kerana prestasinya yang memberansangkan, di mana ia telah berjaya mengekalkan pembayaran dividen tahunan sebanyak 15 peratus sejak 1999.

Terdahulu, semasa berucap merasmikan Mesyuarat Tahunan Bank Rakyat, beliau mengingatkan Bank rakyat supaya tidak lupa tentang sumbangan Kerajaan yang pernah memberikan suntikan dana apabila Bank Rakyat hampir muflis satu ketika dahulu.

Katanya deposit lebih RM30 bilion dalam Bank Rakyat sekarang datang dari Kerajaan, agensi kerajaan dan syarikat berkaitan kerajaan.

Sementara itu, Pengerusi Bank Rakyat Tan Sri Dr Syed Jalaludin Syed Salim berkata Bank Rakyat merancang membuka tujuh lagi rangkaian Ar-Rahnu X'Change dan menyeru koperasi-koperasi mengambil peluang membangunkan perniagaan pajak gadai Islam itu bersama Bank Rakyat.

Ini selaras dengan sasaran pengeluaran pinjaman melalui rangkaian tersebut kepada RM200 juta dalam tahun ini, kata Dr Syed Jalaludin.

Setakat ini, katanya Bank Rakyat telah berkongsi kepakaran menerusi perniagaan francais Ar-Rahnu X'Change dengan 17 koperasi yang mencatatkan pengeluaran pinjaman RM121.702 juta hingga Disember 2010.

Mengenai sokongan Bank Rakyat kepada koperasi, beliau berkata sehingga akhir bulan Februari tahun ini, Bank Rakyat telah menyalurkan pinjaman RM1.027 bilion kepada koperasi iaitu sebanyak RM943.48 juta dalam bentuk modal kerja, RM57.62 juta untuk perniagaan Ar-Rahnu, dan selebihnya untuk membeli hartanah, pembinaan dan pengangkutan.

-- BERNAMA

Hukum beli emas secara ansuran,hutang dan Trade-in

2011-05-30T19:10:00.001+08:00

Source:http://www.zaharuddin.net/hal-ehwal-riba/286-hukum-beli-emas-secara-ansuran-a-trade-in.html
Saturday, 10 February 2007 00:18

Hukum Beli Emas Ansuran & Trade 'In'

a- Ustaz, saya ada mendengar bahawa barangan emas tidak boleh di beli secara ansuran, adakah ia benar dan mengapa? Untuk makluman, jual beli emas secara tangguh ini amat berleluasa terutamanya di Kelantan.

b- Pohon penjelasan ustaz juga berkenaan cara menukar emas lama dengan yang baru, yang dikenali sebagai "trade in" yang selalu di lakukan oleh kaum wanita di Malaysia.

- ingin selamat di akhirat-

Jawapan :

a. Jawapan Emas di Jual Beli Secara Ansuran.

Semua ulama empat mazhab mengharamkan jual beli barangan emas secara ansuran dan hutang.

Bagaimanapun, terdapat pandangan yang mengatakan ia bukan lagi di anggap emas kerana telah dibentuk, bagaimanapun semua empat mazhab menolak hujah ini kerana gelkang, cincin, rantai emas itu, walaupun telah di bentuk ia masih lagi emas dan tidak akan terkeluar dari sifat emasnya. Ia juga adalah pendapat sahabat seperti Ibn Umar, Udabah bin Somit dan disokong oleh pelbagai ulama kontemporari seperti Prof. Dr Muhydin Qurah al-Daghi, Prof Dr Ahmad al-Kurdi, Prof Dr Ali Salus. Prof. Dr Mohd Said Ramadhan Al-Buti dan ramai lagi.

Rujuk pandangan mazhab empat dalam Al-Mabsut 14/4 ; Al-Bayan wa at-Tahsil 6/444 ; At-Tamhid 2/246 ; Al-Umm , 2/32 ; Takmilah al-Majmu' oleh As-Subky . 10/83 ; Mughni al-Muhtaj , 2/25 ; al-Mughni oleh Ibn Quddamah , 6/60 )

Ibn Abd al-Barr dlm Istizkar menyatakan telah berlaku ijma' (sepakat) mengatakan bahawa emas dengan emas seperti dalam bentuk ‘at-tibr' (serbuk) dan apa jua bentuk emas tersebut, hukumnya tetap tidak harus berlaku sebarang tafadhul (tambahan dari mana-mana pihak yang berurusniaga), demikian juga perak. Justeru tidak harus membelinya secara ansuran dan hutang.

Khatib As-Syarbini dalam Mughni al-Muhtaj (2/25) mengatakan bahawa hasil pembuatan atau tukangan emas hingga menjadi barang kemas berbentuk itu tidak memberi sebarang kesan kepada hukum emas yang asal.

Bagaimanapun terdapat satu pendapat minorti ulama yang mengatakan bahawa emas tulen apabila ia telah di bentuk sehingga menjadi rantai, gelang dan cincin. Ia telah menjadi sil'ah (barangan dagangan seperti kereta kerana terdapat proses pembentukan dan pembuatan) dan tidak lagi dianggap sebagai emas biasa, justeru hukumnya juga berubah.

Pandangan minority ini di katakan adalah pandangan Ia adalah pendapat Mu'awiyah (Rujuk riwayat ini dalam Al-Muwatta oleh Imam Malik dlm kitab Buyu' no 2541; An-Nasaie 7/279 ; Al-Bayhaqi 5/280, tapi Abu Darda telah menegur Mu'awiyyah kerana pandangannya bersalahan dengan nas hadith dan kemudian mengadu ke Sayyidina Umar, dan Umar juga mengharamkan), Ibn Taymiah dan Ibn Qayyim (Rujuk I'lam al-Muwaqqi'ien, 2/141 utk pendapat Ibn Qayyim dan rujuk kitabnya Tafsir ayat Asykalat utk pendapat Ibn Taymiah 2/632 tapi jika dirujuk Majmu' al-fatawa kita akan dapati Ibn Taymiah bersama pendapat jumhur pula). Hasilnya menurut kumpulan ini adalah Harus untuk menjual dan membelinya secara hutang dan ansuran kerana ia telah jadi sil'ah (barang dagangan).

Ia disokong Prof Dr Mahmud ‘Akkam dari Syria dan disetujui oleh As-Syeikh Prof Dr Yusof al-Qaradhawi (kerana "umum al-balwa" - Perkara maksiat yang kurang mudarat tetapi terlampau meluas dan sukar untuk di halang).

Mereka semua menyokong apa yang disebut oleh Ibn Rusyd al-Maliki ( w 595 H) berkata (Rujuk Bidayatul Mujtahid 2/103) yang mengatakan bahawa: "perhiasan emas dan perak sudah terkeluar dari katergori emas tulen (yang tertakluk kepada hukum tukaran emas dalam Islam), justeru harus menjual dan membelinya walaupun secara tangguh.

Ibn Mufleh al-Hanbali (w 763 H) pula berkata (rujuk al-Mubdi' 4/149) : Sesungguhnya ia telah keluar dari sifat asal dengan sebab sun'ah (pembuatan dan pertukangan).

Dalil-dalil jumhur dari pelbagai hadith, boleh rujuk di dalam kitab Az-ziyadah Wa atharuha fi al-Mu'awadah al-Maliah oleh Dr Abd Raouf Bin Muhd Al-Kamali (tesis PhD di Univ Imam dengan tahap Mumtaz, 2/558)

Kesimpulan dan pandangan terpilih : Maka hukum barang kemas adalah sama dalam hal ini, kerana ia tetap emas pada pandangan majoriti, lalu setiap pembelian dan penjualan yang dibayar menggunakan duit (maka Kesatuan Fiqh Sedunia telah memutuskan bahawa matawang kertas adalah ‘nuqud istilahiah' yang sama hukum hakamnya dengan emas, maka jual beli barang kemas dengan wang adalah nuqud dengan emas, maka wajib taqabud boleh tafadhul kerana tidak sama jenis.

b- Jawapan Bagi ‘Trade in' Emas Lama Dengan Emas Baru.

Jelas menurut perbahasan hukum bahawa ‘trade in' emas lama dengan yang baru atau barang kemas emas lama dengan yang baru mestilah mengikut hukum yang dibincangkan di atas, iaitu menurut majoriti ulama setiap barang kemas tetap dianggap emas dan bukan sil'ah, maka bila seseorang ingin menukarnya dengan barang kemas baru emas yang lain. Ia mesti punyai dua syarat tanpa khilaf (Boleh rujuk pelbagai kitab antaranya al-muamalat al-Maliah al-Mu'asiroh oleh Prof Dr Ali Salus, hlm 180 ; Al-Buyu' al-Sya'iah oleh Dr Tawfiq al-Buti dan lain-lain), iaitu :

i) Mutamathilan - mesti sama berat timbangannya. Manakala standard emas tersebut (‘Iyar) 20 atau 21 atau 24 tidak memberikan sebarang kesan. Ia adalah berdasarkan hadith yang menyebut tentang tamar khaibar (yang kurang elok atau buruk) yang ditukar dengan tamar Janib (yang elok) yang mana ianya mesti menuruti syarat sama berat walaupun berbeza kualiti. Hadith ini riawayat al-Bukhari dalam kitab al-Buyu', no 4553. Jika tidak Riba Al-Fadl akan berlaku.

ii) Mesti 'Taqabud fil hal aw fil majlis' ( diserah dan terima dalam satu masa) - kerana ia adalah tertakluk kepada hukum sarf (tukaran matawang dengan matawang), maka tidak dibenarkan untuk menangguh masa serahan. Justeru, mestilah kita menyerahkan emas lama, dan kemudian penjual menyerahkan emas baru yang sama berat pada ketika itu juga. Jika tidak, Riba Nasiah akan berlaku.

Mungkin ada yang akan bertanya, jadi kalau kita ingin melakukan 'trade in' dengan emas baru yang lebih mahal harganya?? Bagaimana kita nak bayar tambahan harga itu?

Jawabnya : Ia sama dengan kes dalam hadith Tamar Khaibar dan Janib tadi. Jawapan yang diberi oleh Rasulullah SAW adalah : "Juallah dengan sempurna , ambillah harganya dan kemudian belilah semula dengan duit kamu tadi"

JELAS, CARANYA : MESTILAH SESEORANG YANG INGIN MELAKUKAN 'TRADE IN'. MENJUAL TERLEBIH DULU KEPADA PEKEDAI EMAS ITU, LALU IA MESTILAH MENGAMBIL DUIT HARGA RANTAI LAMA ITU, CTH HARGA SEUTAS RANTAI EMAS LAMA KITA RM 2000 DAN BERATNYA 200 GRAM, APABILA KITA INGIN TRADE IN DENGAN RANTAI BERHARGA RM2500, MAKA KITA MESTI JUAL DULU, LEPAS KITA PEGANG DUIT RM2000, BARULAH KITA PILIH RANTAI BARU DAN KEMUDIAN TAMBAH DGN RM 500, KEMUDIAN PEMBELI MEMBAYAR KEPADA PEKEDAI LALU MENGAMBIL RANTAI BARU ITU.

Kemungkinan jika transaksi seumpama ini di buat di Malaysia, ia akan kelihatan pelik. Bagaimanapun itulah cara yang selamat dari Riba.

Ust Zaharuddin Abd Rahman

www.zaharuddin.net

Impian dan Hutang

2011-05-30T16:09:00.004+08:00

Semua orang ada impian dan cita-cita kan. Apakah impian dan cita-cita anda. Impian saya hendak menjadi seorang `JUTAWAN TANPA HUTANG. Semua orang ada hutang kan.Walaupun ia adalah hutang baik atau hutang jahat,sikit atau banyak,ia tetap hutang.
Hutang inilah selalu membuatkan diri saya tidak senang duduk dan tidak tenang.
Benarlah seperti yang pernah dikatakan oleh Baginda Rasulullah dulu.

Sabda Rasulullah s.a.w yang maksudnya:” Berhati-hatilah kamu dalam berhutang, sesungguhnya hutang itu mendatangkan kerisauan di malam hari dan menyebabkan kehinaan di siang hari.”

[Riwayat al-Baihaqi ]

PG
30 May 2011

Jalan menuju JUTAWAN

2011-05-30T15:08:00.005+08:00

Ada 2 jalan untuk kita mendaki `Gunung Jutawan`: Jalan jauh dan jalan pintas/dekat.

Untuk permulaan mari kita bicarakan tentang `Jalan Jauh`.
`Jalan jauh` ini ialah jalan yang paling selamat dan mudah.
Kita boleh menjadi jutawan dengan melabur seminima RM1/hari.

Bagaimana pelaburan RM1/hari dapat menjadi RM1,000,000 (RM1 Juta)

RM1/hari Interest 3% ...untuk menjadi RM1 Juta perlukan masa 147 tahun

RM1/hari Interest 5% .. untuk menjadi RM1 Juta perlukan masa 100 tahun

RM1/hari Interest 10% ..untuk menjadi RM1 Juta perlukan masa 56 tahun

RM1/hari Interest 15% ..untuk menjadi RM1 Juta perlukan masa 40 tahun

RM1/hari Interest 20% ..untuk menjadi RM1 Juta perlukan masa 32 tahun

Apa akan jadi jika kita menyimpan RM1/hari dari hari pertama kita lahir sehingga usia kita 66 tahun

1.Simpan bawah bantal..0%...selepas 66 tahun ,jumlah terkumpul= rm24,000
2.Labur di saving account...3%...selepas 66 tahun ,jumlah terkumpul=rm77,000
3.Labur di Tabung Haji..5%...selepas 66 tahun ,jumlah terkumpul=rm193,000
4.Labur di ASB atau saham amanah 8% selepas 66 tahun ,jumlah terkumpul=rm1,000,000
5.Labur di tempat 10%...selepas 66 tahun ,jumlah terkumpul=rm2.7 Juta
6.Labur di tempat 15%..silver/gold/bisnis selepas 66 tahun ,jumlah terkumpul=rm50Juta
7.Labur di tempat 20%...bisnin/saham/emas/perak selepas 66 tahun ,jumlah terkumpul=rm1 Bil

Yang penting mulai dari saat ini kita perlu ada tabiat menyimpan dan melabur.
Semoga diharap tulisan ini dapat membuka minda kita.

PG
30 May 2011

Top 10 Silver Producing Countries

2011-05-30T00:01:00.002+08:00

Source:http://www.tiptoptens.com/2011/05/19/top-10-silver-producing-countries/

Posted by Urva on May 19, 2011
This post consists of top silver producing countries. World production of silver is a kind of super giant puzzle that we must rebuild their eyes closed. The average growth of the production of silver in the world was 1.5% per annum for more than century. Now the world production of silver is increase by 10 millions ounces.

Following are the list of top ten silver productions with 10th Argentina and 1st Mexico.

10. Argentina:

Argentina has jumped 55% in silver output in 2009 to 15.5% million ounces over the previous year. It produces 20.6 million of ounces silver. Only one mine at this time is in production and producing revenues. The pirquitas mine in Argentina.
9. Russia:

It produces 36.8 million of ounces silver. Russia‘s biggest silver producing regions are the Krasnoyarsk territory, Bashkortostan, Chelyabinsk region, Orenburg region Primorye territory. Over the past Russia was produce 60% silver. Now it produce 90% silver.
8. Poland:

The production of silver is 37.7 million in Poland. The production of silver increases in 2011 compared with their average production from 1998 to 2006 is 14.4%. The situation of Poland is close because a majority of the production is handled by a single mine.
7. United state:

The United state is the major producers of the production silver in the world. In United State, silver produce 1,200 metric tons silver. 35% of the silver it used. The 65% is imported from Mexico, Canada, Peru and Chile.
6. Bolivia:

The production of silver in Bolivia is 41.0 million. San Cristobal is the top silver mine in Bolivia producing some 620,000 tons of the silver. San Cristobal mine is the third largest producers in the world.
5. Chile:

The productions of silver in Bolivia and in Chile are same. It also produces 41.0 million of ounces silver. It is very old silver production country and remains among the fifth number.
4. Australia:

Its production is 59.9 million ounces. It has the largest share of the world’s economic silver resources. Australia’s silver production ranks after Mexico, Peru and the china. About 25% its mine output is refined to silver metal and sent to Japan.
3. China:

The production of silver in china is 99.2 million ounces. It supplies 29,000 tons silver to the world. The domestic price of China’s silver market is higher than international market price. The demand of silver in china is high.
2. Peru:

Mexico and Peru are the two pillars of silver production in the world. It produces 116.1 million ounces silver in Peru. In silver output, companies were more active and produce more than the last year. It exports about $479 million silver compared with $281 million in 2005.
1. Mexico:

In the last 500 years, Mexico silver industry provided one-third of the world In Mexico, the production of silver is 128.6 million ounces. It has two of the top silver miners, industries Penoles and Grupo which together produce 66% silver. It is the pillar of world production of silver.

Gold 25-05-2011

2011-05-25T23:30:00.001+08:00

Silver 25-05-2011

2011-05-25T23:29:00.001+08:00

Wealth Is What You Save, Not What You Spend

2011-05-16T21:16:00.001+08:00

Source:http://financiallyfit.yahoo.com/finance/article-112550-9317-5-what-millionaires-have-in-common
Want to be a millionaire? Don't overspend and use debt wisely.

We all may not be millionaires but there are plenty of financial and life-planning secrets we can learn from the well-heeled.

Most people know that wealth in the U.S. is in the hands of a small percentage of the total population. And, today, most of those folks with a net worth of $1 million or more have earned it themselves.

They're mostly entrepreneurs who create everything from high-speed networks to garbage haulers. They dig ditches and build houses and grow corn and make jewelry. They deal stamps or coins or artwork and control pests and cut lawns. They also cure people and give them new teeth. Others will defend their neighbors or even feed them.

And they're not big spenders. In fact, most of those with big bucks live well under their means -- think about Warren Buffett still living in that modest Omaha home -- and they put their money instead toward investments that help them stockpile more wealth.

"Wealth is what you accumulate, not what you spend," according to Thomas Stanley and William Danko, the authors of the seminal tome on America's wealthy "The Millionaire Next Door," first published in 1996.

"It is seldom luck or inheritance or advanced degrees or even intelligence that enables people to amass fortunes," the authors wrote. "Wealth is more often the result of a lifestyle of hard work, perseverance, planning, and, most of all, self discipline."

Wealth is defined in many ways, though it's generally determined as the value of everything you own minus debts. But there's a difference between marketable assets -- things you own that could be liquidated rather quickly, like stocks, bonds, real estate -- and possessions like cars, clothing and household items that you use regularly and aren't likely to sell.

Income alone does not make one rich. It helps, of course, to build wealth, but the financially independent look to their salaries as a means to an end, which is that pile of cash.

"The wealthy don't spend their wealth on discretionary purchases," said Pam Danziger, founder of Unity Marketing, a consumer market-research firm specializing in luxury goods and experiences. "They get rich by maximizing the value of their investments."

That doesn't mean they don't pay big bucks for pretty shoes or outfits, but that most choose those items carefully and shop for value and quality. "They truly evaluate the purchase as an investment, not an expense," Danziger said.

What they do though is diversify those investments, which gives them more flexibility to ride out difficult times. "The wealthiest clients have very, very diversified portfolios that go way beyond just stocks and bonds into hedge funds, currencies, commodities and emerging markets," said Leslie Lassiter, managing director of the JPMorgan Private Wealth Management.

"There are many, many mutual funds out there that will allow you to get exposure to those types of asset classes," Lassiter said.

Among the biggest differences between those flush with cash and those wishing they were is in how they pay for things. Millionaires tend to use cash for most of their purchases, including cars, homes and boats.

For the average wage earner, of course, that's not always an option but it still holds this lesson: Don't look to debt to fund your lifestyle.

Most wealthy people use debt for investment purposes and are careful not to over-leverage themselves. "A prudent use of debt is an appropriate thing for anyone," Lassiter said.

They also plan very well and spend a lot of time at it. Many are compulsive savers and investors who often say the journey to riches was far more fun than the reaching the goal.

And they're patient, willing to invest in the long term and wait it out. "They stick with their investments and are more likely to have a financial plan," said Sanjiv Mirchandani, president of National Financial, a subsidiary of Fidelity Investments.

Many take the long-term approach to investing because they're working at being financial independent. When they retire, for example, many will know exactly how much they need to live on, to give away and to leave as a legacy.

"The best ones really understand how much liquidity they need to cover their expenses and make sure they have that much cash on hand," Lassiter said. "That's something the average person should do as well."

At the same time, she said most are very careful about leveraging debt. "The wealthy tend to balance between the two," she said.

Recommendations for accumulating wealth:

Live below your means: People with high incomes who spend all that money are not rich; they're just stupid.

Plan: That means plan for today, tomorrow and 30 years after retirement. Take time doing it too and spend time monitoring it every day. Use budgets and stick to them.

Diversify: As Lassiter said, look for mutual funds that allow you exposure to asset classes that aren't related to each other.

Reduce use of credit and turn to cash: It's easier, of course, for a prosperous person to pay for a house in cash than it might be for most folks, but credit-card debt for luxury purchases or extravagant vacations will never pave a road to riches.

Have access to cash: While the rich keep much of their wealth invested, they can get cash when they need it. "Have some kind of line of credit available, like a HELOC (home-equity line of credit) that you never use," Lassiter said. "It's a safety valve." She suggests a year's worth of cash to cover expenses; Danziger thinks three years worth is a better bet.

Spread cash around: When the wealthy pulled money out of the equities markets two and three years ago, they opened a bevy of bank accounts, all guaranteed up to $250,000 of deposits by the Federal Deposit Insurance Corp.

Bring your children into the mix, and remember the importance of estate planning: The affluent can go to great lengths to teach their children about money and how to manage it -- something every family should do. Though talking about money with children consistently ranks as one of the most dreaded conversations, it's important that your heirs know where all the bank accounts and safe-deposit boxes are -- even that their names are on them, too -- who the attorney is, where the will and trusts are filed.

8 Steps to Get Your Financial Life in Order

2011-05-16T21:12:00.001+08:00

Source:http://financiallyfit.yahoo.com/finance/article-112321-8882-5-8-steps-to-get-your-financial-life-in-order
Do you have "frugal fatigue?" You're not alone. Pinching pennies becomes exhausting, year after year. You dream of breaking free and buying everything in sight.

But tiresome as budgets are, consumers haven't quit them yet. You threw some money around in December, when credit card use bumped up for the first time since the 2008 financial collapse. Then remorse set in. Consumers slashed their credit-card spending in January by 6.4 percent at an annualized rate, the Federal Reserve reported this week.

That fits with what the National Foundation for Credit Counseling is seeing on the ground. In a recent NFCC survey, two-thirds of consumers said that they're sick of having to question every dollar they spend, but have no choice. Incomes are virtually flat, employers aren't calling the long-term jobless back to work, and the cost of critical purchases such as health insurance and gasoline are leaping up. Only 5 percent of the people questioned said that they couldn't stand to keep living under fiscal restraint, and intended to spend more. About 8 percent said they didn't need to be particularly frugal. They hadn't cut spending and were doing fine.

The rest -- about 20 percent of the consumers -- overcame their frugality stress in the old fashioned way: they changed their lifestyles so they could live comfortably within the incomes they had. They found this new life so positive that they said they'd never go back, reports Gail Cunningham, a spokesperson for NFCC.

If you're sure that your financial troubles are temporary, it pays to pinch the pennies until the dollars start rolling back in. But the story is different if you see little hope of raising your income by enough to make your current expenses each to cover. Emotionally, making big changes is hard to do. But the faster you reinvent your life, the more money you'll have in your pocket and the sooner you'll be able to save again.

Your two largest expenses are probably your home and your consumer debt (plus health insurance, if you're not on a company plan). Your first step is to quit adding to debt -- put your credit cards on deep freeze and pay bills with cash or a debit card. Then follow these steps:

1. If you live in an apartment, check comparable rents in your neighborhood.

They've dropped in many parts of the country. If you find that you're paying more than the market requires, show your landlord proof and ask for a rent reduction. If the answer is no, move.

2. If you own a home and it's salable, sell.

Put any net gain into savings and investments, and find an apartment to rent. You'll be saving the high cost of maintaining a house, as well as tax and insurance bills.

Don't hold onto a house because you think you "need" the mortgage interest deduction. Financially, you're far better off without it. As an example, say that you're paying $1,000 in interest, in the 25 percent tax bracket. The taxpayers cover $250, leaving $750 as your net cost. Now imagine that you have no mortgage and $1,000 in income. You'll pay $250 in taxes, leaving you with $750 in your checking account. Losing the mortgage gives you more money to spend.

3. Restructure your credit card debt.

Move some of it to a new card with a zero-rate promotional offer. Don't use that card for purchases right away. Instead, concentrate on repaying this debt within the promotional period. You might also move debt from a high-rate card to one that's charging a lower rate.

4. Start a debt-repayment avalanche.

Get the latest bill for each of your credit cards, to see which one is charging you the highest rate (some cards have two rates, one higher than the other). Pay the minimum on the lower-rate cards and put all the rest of the money toward knocking off the high-rate debt. When that card is clean, move on to the next one.

Some people prefer to start by repaying the card with the smallest debt, even if its interest rate is low, for the pure pleasure of eliminating an annoying bill. Do whatever works. But you'll get the most bang for the buck by tackling the high-rate card first.

5. If you have savings, put all but a token amount against credit card debt.

Keep only $500 or $1,000 for unforeseen expenses. Consumers often don't realize the enormous return on investment they get from cleaning up their credit cards. For example, say that you're paying interest at a rate of 18 percent. Every payment you make against that debt gives you a guaranteed 18 percent return on your money. If you're paying a penalty interest rate of 24 percent, every payment equals a 24 percent investment gain. Where else could you get a yield like that, and totally safe?

6. If you have money in a 401(k) retirement plan and your job is safe, consider borrowing against it.

In theory, I consider these plans inviolable -- never to be touched. In practice, it makes sense to use them if they can help you rightsize your life. The transaction will look like this:

You'll borrow from the plan at 1 to 3 percentage points over the bank prime rate, which is currently 3.25 percent. So the loan might cost you 5.25 percent. You'll repay credit card debt at 18.25 percent, for a 13 percent gain. Typically, you'll have to repay the 401(k) loan over five years, with the payments deducted from your paycheck automatically. The interest you pay goes right back into your account, so you're paying t to yourself.

There are two financial downsides. First, you're repaying the loan with after-tax dollars. When you eventually take money out of the 401(k), those dollars are taxed again. But you're probably still ahead, thanks to the savings on your credit card bills. Second, you'll lose any appreciation that would have accrued to the money you borrowed. You can minimize this risk, however, by arranging to borrow against only the bond portion of your plan, leaving the stock portion exposed to any gains.

If you leave your job, and part of the loan is still outstanding, you'll have to repay it right away, in full. If you can't, the remaining loan will be treated as a withdrawal. You'll own income taxes on the money and a 10 percent penalty if you're younger than 59 1/2. So this loan is for someone who is pretty sure that his or her job is safe.

7. If you're one of the lucky 78 percent of homeowners who have equity, you could -- potentially -- pay off your credit card debt with a new home equity loan.

But the argument isn't as compelling as it is for loans against 401(k)s. Ideally, you're aiming for a paid-up home when you retire. That will cut your cost of living, give you access to a reverse mortgage for extra cash, and provide money needed for long-term care. A home equity loan might make that impossible.

8. If you don't have health insurance, any major illness could put you into bankruptcy.

Try for a high-deductible policy, or see if you (or your kids) qualify for Medicaid or the children's program, Schip. If insurance companies won't take you because of a medical condition, try for a place in the high-risk pools set up by the new health reform act. We're a long way from equal access to medical care, let alone care at an affordable price. But if you cut other expenses, you just might be able to afford good health.

5 Ways to Retire Before Age 40

2011-05-16T21:02:00.001+08:00

Source:http://finance.yahoo.com/focus-retirement/article/110197/5-ways-to-retire-before-age-40?mod=fidelity-startingout&cat=fidelity_2010_starting_out
Voluntary early retirement before the age of forty is not typical. Leaving work behind as early as possible to focus on other aspects of life is a popular goal, but most people will not achieve it.

In order to retire in your forties and still have the funds you need to finance all that you'd like to do, you need to create the right environment to foster extraordinary results with your money. Don't count on winning the lottery or selling the company you built in your basement to Google.

Those who leave the workforce before age forty compose a small percentage of the working population, just as Olympic-level swimmers are a small percentage of everyone who competes in the sport. To achieve in the Olympic Games you need to take several extreme actions. To retire early, you will have to do the same. These tips may help you generate enough money to retire before age forty.

Ignore what other people think. You'll need the right mindset. As you make choices that could lead you to extreme early retirement, you may face resistance from family and friends. The decisions you will need to make are often directly opposed with others' expectations. Find like-minded individuals whose advice and encouragement will help move you in the right direction.

Save as much as possible as soon as possible. This is the first of your unpopular decisions. You will need to sacrifice your spending at the beginning of your career in order to have a better chance of living the way you want when you want, with financial freedom, for a longer amount of time. To you, frugality should be elevated to an art form. Your friends may call you cheap, but you won't care because you are focused on your goal without distraction.

Earn as much as possible as quickly as possible. With more income, you can keep more money in high-yield savings accounts and investments. Those funds will be ready for your early retirement. While it's the amount you save that matters, you can significantly extend those savings by earning more. Work more hours or take an additional job or two. Olympic athletes train and practice constantly and this is the same intensity you need to achieve an early retirement.

Avoid fees while investing. While this concept is one part of saving as much as possible, it deserves its own mention. Most investments underperform index funds and you'll pay higher fees for those lackluster results. While some investments do beat the market, you won't know which investments will skyrocket until it's too late. Invest in index funds and make sure you have a sensible mix of asset classes that present a good chance of protecting you from down markets when you need the money you've invested.

Consider a new definition of retirement. You may still want to work in retirement to earn additional money, particularly if you can do work you enjoy. Consider a part-time job or even a full-time job with a non-profit organization aligned with your interests and values. Leaving the corporate world to work for an organization you care about can be exhilarating and you will enjoy the work. Extreme early retirement is an achievement most people will not accomplish, even if you put forth a good effort. Leaving the workforce behind before the age of forty is an extraordinary accomplishment and it requires dedication, intensity, and a willingness to live differently.

Luke Landes writes for Consumerism Commentary, where he encourages discussions about money and consumer issues. Consumerism Commentary regularly tracks and reviews the best online savings accounts and other financial products and other financial products.

Does 'good' debt really exist?

2011-05-10T20:07:00.002+08:00

Source:http://www.creditcards.com/credit-card-news/does-good-debt-still-exist-1264.php?aid=52aae854
Does "good" debt exist anymore? Financial experts differ, but many say that in today's economy, it's time to reconsider how we look at some common types of debt.

Traditional thinking separates debt into "good" and "bad." Mortgages and student loans have been considered good debt because they have fairly low interest rates and hold the promise of a substantial long-term payoff. Auto loans and credit card debt usually rate a bad debt label.
Does 'good' debt still exist?

But with unemployment hovering around 9 percent, housing prices falling nationwide and the average cost for a four-year private education soaring to an average of just more than $37,000 a year, according to the College Board, does good debt really exist anymore?

Noted personal finance author David Bach says no. The recession, he says, taught us that "all debt is bad if you can't pay it off."
"With many Americans today, almost 30 to 50 percent of their paycheck is going just to interest payments," says Bach, whose latest book is "Debt Free For Life." "Often it's more than that. There's been a real awakening that debt is bad."

Others say good debt still exists, that buying a house is still a sound investment over the long haul, and borrowing for a college education is a good risk -- if you keep borrowing down and study for a profession that can pay it off.

Here are some ways the debate shakes out:
Cars and credit cards
In terms of bad debt, financial experts agree that a large amount of auto loan debt is hard to justify. If you have to have a car to get a job, then get a cheap car, but borrow as little as possible. Borrowing money at high interest to pay for a depreciating asset just doesn't make financial sense, they say. But there is more debate on credit card debt.

Jordan Goodman, author of "Master Your Debt," warns against it. "If you're paying 18 or 25 or 29 percent, it's hard to imagine what you'd invest in that would pay you more than 29 percent reliably," he says. "And, of course, it's not (tax) deductible."

But Lita Epstein, author of "The Complete Idiot's Guide to Improving Your Credit Score," says credit card debt isn't all bad if it helps you establish a solid credit history that will help you with big purchases later: "Generally, you get your best credit score when you use 10 to 20 percent of your credit limit," she says. "That shows any creditor who's considering you that you know how to manage your credit wisely, you know how to pay your bills on time and you're not going to get yourself in over your head."

Robert Pagliarini, president of Pacifica Wealth Advisors in Los Angeles, says credit card debt is good if it will make you money. Period. He gave an example of buying a piano on credit so that you may give piano lessons.

"Why wait four years to save up and buy the piano, when you can buy it on credit now and make some money? This is what businesses do. They borrow money ... so they can invest it into research, into assets so they can make more money. That's what individuals need to do."

Student loans: Good debt or bad debt?
Student loans are good debt, even as costs escalate, if you can expect to make a salary when you graduate that will allow you to pay off the debt within a few years, says Carol Roth, business strategist and author of "The Entrepreneur Equation." In today's economy, that may mean only taking on the debt only if you are entering a high-paying field or finding a less expensive college that will make the math work, she says.

You also have to consider that a college education pays off in other ways, she says. "There's a value to having an education, to learn and to be a well-rounded person but only you can assign what that value is, based on your own circumstances."

Personal finance columnist and author Liz Weston says there's a rough dividing line between good student loan debt and bad: "Don't borrow more than you can make in the first year of your career," she says.

Pagliarini says student loans are still a good bet financially, even in a time of high unemployment.

"The research shows that the more education you get, the more you're going to make long term," he says.

He notes the national unemployment rate is an average and doesn't fully illustrate the difference in unemployment among different education levels. "When you look at the people with bachelor's degrees and above, that number just about drops in half." In fact, Bureau of Labor Statistics numbers for February 2011 show unemployment rates for people with a high school diploma and no college to be 9.5 percent; it's 4.3 percent for people with bachelor's degrees and above.

Goodman says he agrees that on average people with college educations make more than people without. But the risk for making that choice has gotten too high, he says.

"People are taking on huge debt and, in the case of student loans, they're not forgivable even in bankruptcy. The two debts you can't get rid of are taxes and student loans."

That debt burden is exactly what concerns Thomas Alexander, Finance Department chair at Northwood University in Midland, Mich. He says paying for a college education with student loans is no longer a good risk unless you're entering high-paying fields, such as medicine, engineering or accounting.

"If someone is getting a degree in sociology or history -- the chances of landing anything that would give them a high return is pretty small," he says.

He says college is not for everyone and the better payoff may be skipping college and going into a trade.

"If you take a student who does not go to college and becomes a plumber or electrician -- those guys are going to make more money than 75 percent of the college graduates, but we've made the feeling in this country that that is beneath them."

Mortgages vs. renting
Goodman says taking on a mortgage is not a way to build wealth as it has been in the past.

"Home prices are falling -- probably will continue to fall -- and 25 percent of the population is underwater (the house is worth less than the amount of the loan). Home deductions [for interest] are overrated. You get a deduction at your tax bracket, so if your tax bracket is 25 percent, you're still paying 75 cents on the dollar. If you're not being bailed out by home-price appreciation, this may not be a good deal."

Roth says it's all about the math. She gives an example of buying a $275,000 home purchased with 25 percent down and taking out a 30-year mortgage at 4.5 percent. It will cost you $68,750 today to buy that home (that's the 25 percent down), and you will pay out more than $376,000 over 30 years. Even if the home doesn't appreciate in value, you will have an asset worth $275,000 at the end of 30 years. Rent at $1,500 a month over 30 years would be $540,000 and that would be without inevitable rent increases. There would also be no asset at the end.

That makes the beginnings of a case for why a mortgage is a good idea over the long haul, she says. "But you also have to ask yourself some questions," she says, "such as what are you doing with the difference in money you spend on the mortgage (only $1,045 vs. $1,500 in rent)? That money may also be able to be invested. Do you have property taxes? That creates more costs. Do you have assessments? How much is maintenance on your home? Is homeowner's insurance more than renter's insurance?"

Answering those questions will help you make up your own mind about what qualifies as good debt.

Regardless of where financial experts stand on what's good debt and bad debt, all agree working to pay it off as quickly as possible is a good idea.

"One thing that never backfires is paying down your debt," Bach says. "It is the safest, simplest investment you can make."

7 Lasting Money Lessons From Mom

2011-05-10T20:02:00.002+08:00

Source:http://www.foxbusiness.com/personal-finance/2011/05/05/7-lasting-money-lessons-mom/
Mom taught you to tie your shoes, say"please" and "thank you," and never pick up hitchhikers. What else did she do? She acted as your first teacher of personal finance. Here are the most-lasting lessons people learned from their mothers about the right and wrong way to use money and credit.

1. Money Equals Effort: Waste Neither.

"My mom gave me the single best piece of financial advice I ever received," says Corona, Calif.-based motivational speaker Barry Mahar. "She said, 'Before you buy anything, think of how long and how hard you'd have to work to earn that much money.' It's amazing how many things I've thought I needed turned out to be a lot less necessary when stacked up against the hours of work it would take to own them."

2. Don't Wait to Save.

Blogger Emmie Scott from Richmond, Va.,cites her mother's instruction in socking cash away as pivotal to her positive net worth. "She helped me open a savings account when I was about 8 years old, so I could start getting in the habit of putting money aside."

At 23, Scott has two high-interest savings accounts, maxed out her 401(k) and will soon open a Roth IRA. "I'm so grateful to her for taking the time to set me on a smart financial path and get me interested in what happens to my money." Today she features financial tips --based on her mom's counsel and her own research -- for young adults on her blog, Are Toe Rings Professional Attire?

3. The Sky's the Limit.

Atlanta-based financial planner KarenLee became a self-made millionaire by the age of 37 and credits her wealth toher mom, a high school economics teacher.

Besides teaching Lee to invest her savings, shop from the clearance rack and cook inexpensive food, she instilled the unerring belief that economic aspirations are not just limitless, but achievable. "She told me and my sister that we could do anything in life and to become independent financially. No glass ceilings here!"

4. A Good Budget Keeps You Out of Debt.

The woman is the accountant in many homes, and so are often coaches of the craft. Such is the case for Michelle Morton, an organizing consultant living in Raleigh, N.C. Not only did her mother teach her how to create a budget, but she uses the very same plan tothis day.

"I wanted to learn how to save and payoff some debt when I was in my early 20s and didn't know how to do it all, so she sat down with me and showed me how to budget," says Morton, who notes that the lesson also included essential banking skills. "She taught me how to balance my checkbook to the penny!"

5. You're Never Too Young to Spend Smartly.

Sarah Finch, a Chicago corporate trainer, cites the early education she got from her mom (Lynn Finch, author of the family finance book,"No-Cash Allowance") for her own financial aptitude and resilience. "She began teaching me money lessons when I was 5," says Finch. "I was given responsibility for real expenses as I grew older -- school supplies,lunches, clothes, etc."

Finch believes that the skills her mom gave her have been instrumental in keeping her out of financial trouble, even in down times or unexpected unemployment. "I will be using this same approach with my 3-year-old daughter as she grows up as well," says Finch.

6. Stop Whining -- Get to Work!

Self-reliance is paramount. That's what Andi Wrenn, a financial counselor from Boston, says she gleaned from her mom. Though they were poor, her mother neither complained nor went on government assistance, even though she probably qualified. "She showed us by example thatif you didn't have enough income to pay the bills, you go out and do something about it," says Wrenn. She soon began earning, too, taking on babysitting jobs and newspaper routes. As a high school student, Wrenn pitched in for household bills.

"It was so valuable to me to learn to be responsible for myself. By the time I left to attend college, I was prepared financially to enter the world as an adult," says Wrenn.

7. There is a cut-off point.

And what happens when cash is plentiful? According to Judy Woodward Bates, the Birmingham, Ala., founder ofBargainomics.com, a smart mom stops the gravy train. It's how she learned real independence.

"My parents spoiled me," admits Bates."But when I married at the age of 17, she and my dad refused to pay for my college and told me and my husband, Larry, that we were on our own." While Bates feels confident that her mom would have helped out in a crisis, "she let me know that the free ride was over and that, regardless of how young I was, I was an official adult and responsible for my own spending habits at that point."

If you're free from debt, your bank account is brimming, and you can overcome financial adversity with aplomb, you may have mom to thank. Be sure to do so -- it's good manners, after all.

Who can challenge my WILL

2011-05-10T11:34:00.002+08:00

Source:http://malaysiapersonalfinance.blogspot.com/2009/06/who-can-challenge-my-will-and-what-i.html
Writting a Will conceptually makes a person to think about how to allocate his wealth. It is also commonly thought that a Will can speed up the process of handling down the estates faster. Malpf actually teaches that Will is NOT the ONLY, NOR the Best solution in this regard. However, writting a Will is still one of the Easiest ways on this regard due to vast availability of market service providers and the direct implication of Will. ie. you don't need to take a class to learn what a Will is for.

Also because it is easy to understand, many people may have some miss-conceptions on it too. Some may think once you have a Will, your estates are Guaranteed to be distributed in the way you planned for. At least that is what the estate planners market talk about. But in real life after you are dead, your 'plan' can still be challenged! Below shares a couple of common scenarios when a Will can be challenged with high success rate;

1. If your family members have reasons to believe that you didn't have a clear mind (sound mind) or were forced (pressure or duress) into making a Will, they can appeal to disqualify your Will. Family members include those who are beneficiary and those who are not. So if you are setting up a Will in a hospital, it is best you get your doctor to be one of the Witness who can later certify your sanity at the time the Will is made.

2. If you didn't allocate anything to your dependents especially spouse, single daugher, retard or ill child to take care of their daily living needs, your Will can be challenged. If you intend NOT to give ANYTHING, specify clearly your reasons in your Will. The reasons will be used by the judge to determine if the challenges will be accepted as a court case. There is NO simple full proof Reasons for this arrangement, you may need to prepare proof and get a proper lawyer to draft using sensitive terms but the challengers can still find better lawyers to find loop holes in your reasoning. If you can have an apparent reason, that is good. Else just allocate Simple Living Needs to them. Challenging un-adequote is harder than leaving nothing to them.

Other than challenging your Will, one can also raise a dispute by claiming your Will is NOT the latest Will. Since each New Will Voids all Old Wills, authentication checks will be performed upon the so called 'New' Will.

A will written by under age 18 automatically invalid the Will.

If the witness did not actually see the Will being signed, invalid! (attestation clause)

Challenges will NOT void your Will automatically. When someone raises an issue on your Will, the judge will need to consider it. So your Will may still get executed eventually anyway but it is almost certain that the process will be delay.

My left over for my Legacy ...

Write your own WILL for free

2011-05-10T11:23:00.002+08:00

Source:http://malaysiapersonalfinance.blogspot.com/2009/06/write-your-own-will-for-free.html
You can write your own will. All you need is 2 witnesses. It will be as legitimate as any 'standard Wills' created by professionals. But if you think your will may be challenged, you should consult a real lawyer whose focus is on wills business, preferably also your 'real' friend.

Witnesses DO NOT need to see the content. Just get them to sign their parts, seal the envelop in front of them and thanks them.

Safe keep your will and only share with those need-to-know bases. Usually the Executor and/or the Beneficiary. Whoever they are, they are the ones who know . . . when you die.

There are many more tips and tricks but the relevancy really depends on your own specific situation. Consult wills experts to skip all the convoluted knowledge and convenient yourself. That is what the RM100-RM300 you pay for.

LAST WILL AND TESTAMENT

of

____________________________________

(Full Names and Surname)

____________________________________

( NRIC / Police Number / Army ID )

____________________________________

____________________________________

(Address)

1. Declaration

I hereby declare that this is my last will and testament and that I hereby revoke, cancel and annul all wills and codicils previously made by me either jointly or severally. I declare that I am of legal age to make this will and of sound mind and that this last will and testament expresses my wishes without undue influence or duress.

2. Family Details

I am married to _____________________________ hereinafter referred to as my spouse.

I have the following children:

Name: ______________________ Date of Birth _________

Name: ______________________ Date of Birth _________

Name: ______________________ Date of Birth _________

3. Appointment of Executors

3.1. I hereby nominate, constitute and appoint _________________________ as Executor or if this Executor is unable or unwilling to serve then I appoint _______________________ as alternate Executor.

3.2. I hereby give and grant the Executor all powers and authority as are required or allowed in law, and especially that of assumption.

3.3. I hereby direct that my Executors shall not be required to furnish security and shall serve without any bond.

3.4. Pending the distribution of my estate my Executors shall have authority to carry on any business, venture or partnership in which I may have any interest at the time of my death.

3.5. My Executors shall have full and absolute power in his/her discretion to sell all or any assets of my estate, whether by public auction or private sale and shall be entitled to let any property in my estate on such terms and conditions as may be acceptable to my beneficiaries.

3.6. My Executors shall have authority to borrow money for any purpose connected with the liquidation and administration of my estate and to that end may encumber any of the assets of my estate.

4. Guardian

4.1. Failing the survival of my spouse as natural guardian I appoint _____________________ or failing him / her I appoint ______________________ to be the legal Guardian of my minor children named:

__________________________

__________________________

__________________________

until such time as they attain the age of _____________ years.

4.2. I direct that my nominated Guardian shall not be required to furnish security for acting in that capacity.

5. Beneficiary

I bequeath the whole of my estate, property and effects, whether movable or immovable, wheresoever situated and of whatsoever nature to my spouse ________________________.

6. Alternate Beneficiaries

6.1. Should my spouse not survive me by thirty (30) days I direct that the whole of my estate, property and effects, whether movable or immovable, wheresoever situated and of whatsoever nature be divided amongst my children named in 2. above in equal shares.

6.2. Should my said spouse and I and my children all die simultaneously or within thirty (30) days of each other as a result of the same accident or calamity, then and in that event, I direct that the whole of my estate, property and effects, whether movable or immovable, wheresoever situated and of whatsoever nature shall devolve as follows:

__________________________________________________________

__________________________________________________________

__________________________________________________________

7. Special Requests

I direct that on my death my remains shall be cremated and all cremation expenses shall be paid out of my estate.

OR

I direct that on my death my remains shall be buried at _______________________ and all funeral expenses shall be paid out of my estate.

8. General

8.1. Words signifying one gender shall include the others and words signifying the singular shall include the plural and vice versa where appropriate.

8.2. Should any provision of this will be judged by an appropriate court of law as invalid it shall not affect any of the remaining provisions whatsoever.

IN WITNESS WHEREOF I hereby set my hand on this _________________ day of _________________20_____ at _______________________________________ in the presence of the undersigned witnesses.

SIGNED: _______________________________

WITNESSES

As witnesses we declare that we are of sound mind and of legal age to witness a will and that to the best of our knowledge ____________________ is of legal age to make a will, appears to be of sound mind and signed this will willingly and free of undue influence or duress. We declare that he / she signed this will in our presence as we signed as witnesses in the presence of each other, all being present at the same time. Under penalty of perjury we declare these statements to be true and correct on this ________________ day of _________________ 20 __ at ________________________________.

Witness 1.

Name: ______________________

Address: ________________________________________

Signature: ________________________

Witness 2.

Name:______________________

Address: ________________________________________

Signature: ________________________

Overspending: 4 Lies That Lead to Debt Problems

2011-05-09T19:21:00.002+08:00

Understanding financial concepts like credit and budgets is critical to long-term success with money. But equally important, it seems, is recognizing (and controlling) the impulses that lead you to buy things you don't need.

People with debt problems tend to share a common costly trait: they have unrealistic expectations for how material things will make their life better. That is the chief finding of a new study, Materialism, Transformation Expectations, and Spending: Implications for Credit Use by Marsha Richins and Myron Watkins, marketing professors at the University of Missouri.

The authors found that people who wind up deep in debt often got there because they expected "unreasonable degrees of change in their lives from their purchases." The authors also concluded "these beliefs are fallacious for the most part, but nonetheless can be powerful motivators for people to spend."

Studies like this complicate what has become a global quest to raise personal financial literacy through programs in schools and communities and at work. We need to do more than simply lay out the nuts and bolts of saving and investing. We also must examine the psychology of why we buy all the stuff we buy. It's not a bad idea to ponder your own behavior in this regard.

The study identifies four types of unrealistic expectations common to overspenders. These expectations are much less evident in folks who do not have debt problems. Here, then, are four lies that people tell themselves when buying things they don't need:

• It'll make me a better person: Many overspenders believe a purchase will literally change them into a better person. One woman in the study was certain that cosmetic dental surgery would improve her looks and quickly render her more confident and successful.

• People will like me more: Overspenders may believe that a purchase will make it easier for them to connect with others. One woman in the study wanted to buy a house so that she could entertain and be more social, and thus find more friends.

• I'll be more fun: Some believe that a purchase will make them more fun and fulfilled. A man in the study wanted a mountain bike because then, he figured, he'd become more adventuresome and interesting.

• It'll make me more effective: The typical overspender believes that a purchase will make them better at a certain pursuit. Several in the study said that a new car would make them more independent and self-reliant.

See the pattern? Heavy users of credit have a greater tendency to believe that the product makes the person. Which, of course, is backwards. A cyclist may need a new bike; a new bike does not make a cyclist. You can't buy personal transformation in a store.

Sure, whiter teeth may give you a confidence boost and a new house might make you more social — for a while. But it won't last if that's not who you really are. It's far more likely that the guy with the new bike will never take it out of his garage than turn it into a passion.

You know people like that, right? They have tons of unused stuff in the attic, and they may still be paying for much of it. The more you believe that happiness is for sale the more likely you are to end up with debts you cannot repay.

Source:http://finance.yahoo.com/banking-budgeting/article/112643/lies-lead-debt-problems?mod=bb-budgeting

Gold 24-04-2011

2011-04-24T00:15:00.001+08:00

Source:http://www.publicgold.com.my

Silver 24-04-2011

2011-04-24T00:12:00.001+08:00

Source:http://www.publicgold.com.my

Your Hidden Fuel

2011-04-23T13:33:00.000+08:00

Source:http://www.anthonyfernando.com/2011/04/21/your-hidden-fuel/
by anthony on April 21, 2011

Many people think of dissatisfaction as a negative emotion that should be suppressed or denied, but in actual fact dissatisfaction is one of the most important ingredients for success.

Time For Change

What most people don’t realize is that dissatisfaction is a powerful form of fuel that has been the driving force behind many of the world’s greatest achievements.

You see, in order to be dissatisfied, you must want something.

And if you can identify what it is that you want and then stoke the fuel of your dissatisfaction, at some point it will ignite and propel you to take action.

Here’s an example that illustrates how this works in the real world.

Yani was a concierge in a large city hotel. He always did his best to help hotel guests and tried to maintain a positive attitude, however, deep down Yani was dissatisfied with his job and career prospects.

Whenever Yani became aware of his dissatisfaction, he tried to suppress it. He told himself not to have a negative attitude and to just accept his lot in life.

However, one night after dealing with a particularly rude and arrogant guest, Yani knew he had to face facts – he was dissatisfied and it was time to do something about it.

He analyzed his dissatisfaction and after a considerable amount of thought, Yani realized that what he really wanted was to pursue his interest in computers and technology, but he had no idea how to go about making such a major life change.

He knew he could not just quit because he had bills to pay, but over time Yani’s dissatisfaction continued to grow and like fuel to a fire, it increased his desire to make a change.

When Yani came across an advertisement in a newspaper for adult night classes in computer programming, the fuel of his dissatisfaction ignited and propelled him into action. He rearranged his hotel shifts and immediately enrolled in the course.

Two years later, Yani walked through the lobby of the hotel with a laptop bag across his shoulder. The computer consulting company he now worked for was holding a conference in the hotel function centre.

The hotel hadn’t changed, but Yani had. Fueled by his dissatisfaction, he had taken action and had succeeded in changing his circumstances and the direction of his life.

“Dissatisfaction is man’s driving force.”
- W. Clement Stone

So the next time you feel dissatisfied about something in your life, instead of dismissing or denying your dissatisfaction, recognize it for what it truly is – a hidden fuel that can spur you on to achievement and success.

Remember that if you are dissatisfied, then you must want something. Spend the time to clarify what it is that you want, and utilize your dissatisfaction to propel yourself into action and make your dreams a reality.

Until next time,

Dare to Dream!
Anthony

Silver Projected To Hit $90 Before The End of 2011 - GoldCoinBlogger

2011-04-23T05:35:00.001+08:00

Elizabeth Kraus

While Paul Ryan’s proposal will do nothing to reduce health care cost but do the opposite, where individuals will have to carry a heavier burden, is not a “path to prosperity”, as the Ryan plan was titled. To summon up the words of the dean of progressive social policy, FDR who was asked his opinion of the platform of the American liberty League in 1935, which like the Ryan’s cabal, aimed to dismantle the New Deal under the guise of preserving individual rights and free enterprise, he told reporters, “say you shall love God and then forget your neighbor. For people who want to keep themselves free from starvation, keep a roof over their heads, lead decent lives, have proper educational standards, those are the concerns of the government.” Those are still the concerns of the government today, and to say we can’t afford them is an affront to the working people who built America today.But where ideals today lead us? Already a substantial percentage of the American people are feeling quite stressed, and they know, we are heading for some really difficult economic times– all the while looking to the government for personal bail outs. However, while this economy has millions of Americans feeling depressed, it is not the appropriate response, nor will it solve anything. Rather, once we understand just how bad our economic problems are, we should feel empowered, because then, we can start focusing on real solutions. And somebody really needs to start focusing on solutions because panic is starting to abound as already many top corporate insiders are selling off stock like there is no tomorrow. The biggest bond fund in the world, PIMCO, has been getting rid of all of their U.S. Treasuries. When Wall Street big shots starts freaking out you know that the hour is late. And, it certainly doesn’t help that the Middle East is in a state of chaos and that the Japanese economy is falling apart as a result of the recent disasters. So, in these uncertain times is where critics of investing in gold and silver really drive home … to own gold or silver to really save you, you might ask, is it really worth it? According to the Regal Assets analyst PIMCO is just another addition to the many who have been ditching U.S. Treasuries. “China has been unloading billions of dollars in U.S. Treasuries and will continue to unload as the dollar depletes in value” Regal Assets stated this morning in an interview.

In this economy, a lot of people have questions about silver and gold. As investors are turning to real “global currencies” such as gold, silver and oil, the answer suggests that paper currencies are not only becoming worthless, but rampant inflation is on the horizon, that says to analysts, gold and silver is the only safe haven…predicting that silver prices will reach as high as $100 in 2011 and $250 by 2015.

So, if one asks, is it worth it? Why is China buying like crazy! China’s silver consumption already accounts for 70% of the global total of industrial use, and its middle class isn’t even close to reaching its spending potential. But, China’s impact on the market isn’t the only thing catching the attention of silver analysts. As the global economy expands its size and reach… as technology advances… and as more ways to buy silver become available… as silver supplies have dwindled… more factors began affecting the price of silver more exclusively – for better or worse, which makes silver quickly gaining serious value in many highly profitable industries. Although it’s a less active and lower-volume market than gold, which means that purchases, even by individual investors, can make an impact on prices, 100 silvers buyers purchasing the same amount of metal as 100 gold buyers will have a bigger impact on the market. Think how much prices can spike when millions of Chinese investors flood the market with bids to purchase silver. Now, combine that with the global return of industrial silver demand.

Martin Hutchinson of Money Morning believes both silver and gold will continue climbing into 2011 and beyond. If enough investor momentum gains – and if China’s push for individual silver investment intensifies – he believes silver could peak past $100 in 2011. But that’s just the beginning. Silver could top out at $250 oz. in the next five years, as global mine production crawls in the face of increasing consumer and industrial demand. That’s an increase of more than 1,150% over current prices. Bear in mind that silver prices have been moving as fast if not faster than gold. So those who want to invest in silver better pull the trigger soon, or be prepared to watch from the sidelines as silver’s price explodes upward.

Matt Turner at Mitsubishi said this week, “one ounce of silver briefly rose above 40 of today’s US dollars per ounce in 1864, when the American Civil War neared its climax. In nominal dollars, the Hunt brothers’ multi-billion-dollar corner only saw it more highly priced on 5 trading days in January 1980. And while US investors waiting to buy silver are also still waiting for it to record a new intra-day high, it’s already broken new ground against the British pound and for most of the Eurozone, too.”

The cause? Gold investors have long tried to explain how metals are “telling us” something. “First warning” of the looming financial crisis, said Marc Faber in his Gloom, Boom & Doom Report of September ’07, was when “the price of gold more than doubled in nominal terms and against the Dow Jones Industrial Average [because of] ultra-expansionary US monetary policies with artificially low interest rates.” In which case, and with global interest rates further below zero today after inflation than at any time since 1980, what in the hell is silver telling us now?
“TIPS pay a lower rate of interest than regular Treasuries,” explained Bloomberg News when the yield offered by 5-year Treasury Inflation Protected Securities briefly dipped below zero (and $20 silver broke a 28-year high) back in March 2008. [That’s] because their principal rises in tandem with a version of the consumer price index which includes food and energy prices. Rising demand for TIPS [which pushes up prices and so pushes down the nominal yield] indicates investors expect the inflation adjustment to make up the difference.”

What great expectations TIPS buyers must have of Uncle Sam’s “inflation adjustment” today! They’re buying 5-year index-linked bonds with a nominal yield of minus 0.6%, anticipating a full 2.8% per year fillip from Washington when compared with the annual yield now offered by conventional 5-year bonds. And what greater hopes still must the new rush of silver investment hold…rejecting TIPS in favor of metal, and breaking silver’s tight connection with both gold prices and TIPS yields. The point that broke silver higher – was right when Fed chairman Bernanke vowed to begin QE2 in summer last year. That a fast-growing nugget of the world’s private wealth is fearful of the result is clear. That silver looks a turbo-charged play is clearer still.

There’s no bull market like a silver bull market, in short – just ask the Hunt brothers ahead of their bankruptcy, eight years after their corner blew up with the big inflation-fueled 1970s’ bull market. Double-digit Fed interest rates popped the bubble back then (plus a good dose of anti-speculative action by regulators and the exchanges, otherwise known as “saving the system” of course. It was sparked in turn by the Hunt brothers’ own naked greed, otherwise known to them as “inflation protection”). The most recent time silver got hot, however, it took oil at $150 and then the Lehman Brothers’ collapse to do to GDP growth and commodity prices what central bankers wouldn’t dare. Because raising interest rates to double digits to kill a “speculative frenzy” wasn’t politically possible. Silver’s and gold’s Bull Run on inflation. Which is worth bearing in mind whether you’re quitting, holding, ignoring or looking to buy gold or silver today. Did anyone imagine gold at $1492.40 or silver at $42.40? Well there you are!

Source: http://goldcoinblogger.com/silver-projected-to-hit-90-before-the-end-of-2011/#more-2955

S&P forecasts gold prices will remain high in ‘next year or so' - Mineweb

2011-04-16T10:16:00.000+08:00

Standard & Poor's expects gold prices to remain high in the next year because of economic challenges in Europe, increasing global inflation and potential economic fallout from the Japanese earthquake.

Author: Dorothy Kosich

RENO, NV -

In an industry economic and ratings outlook released Tuesday, Standard & Poor's forecast that most U.S. and Canadian metals and mining companies will improve their operating performance in the first half of this year, "reflecting a rise in average prices and strengthened end-market demand."

S&P Primary Credit Analyst Marie Shmaruk and Senior Economist Beth Ann Bovino also noted that prices of the yellow metal--in response to global political uncertainties and fears of inflation--have remained high, averaging nearly $1,400 per ounce, year to date. "We expect gold prices to remain high in the next year or so because of economic challenges in Europe, increasing global inflation, and a potential economic fallout resulting from the earthquake in Japan," they forecast.

Meanwhile, the analysts observed that 60 U.S. and Canadian metals and mining sector companies have positive or stable rating outlooks.

"In our view, these companies would be able to withstand a period of weaker-than-expected market conditions, similar to what occurred at the end of 2010, without significant credit deterioration, and a resumption of slow steady growth could potentially result in higher ratings for some companies," they said.

"For those with negative ratings outlooks or on CreditWatch with negative implications, we're generally concerned about whether market conditions will be strong enough to support the ratings."

Since S&P published its last industry outlook in January, one company, James River Coal, has been upgraded by the analysts while no mining and metals company has been downgraded.

Shmaruk and Bovino observed that the global demand for metallurgical coal is strong, while the steam coal business still has not recovered to pre-recession levels. "However, most metallurgical coal operations are enjoying high pricing and a strong export market."

"Still, the regulatory costs of the EPA's clean air and water rules and increased scrutiny of underground mining in the U.S. remain key risks," they cautioned.

Meanwhile accelerating coal mining merger and acquisition activity has affected overall credit quality, and the analysts expect consolidation to continue because of cost pressures and the need for companies to diversify and expand their operations.

Favorable base metals prices continue

In their analysis, Shmaruk and Bovino noted, "Copper prices are robust, averaging more than $4.30 per pound thus far in 2011 compared with $3.40 for all of 2010."

"With strong demand from China and slowly improving demand outside of China, along with relatively constrained supply, we expect prices to stay high enough to support producers' current ratings."

Meanwhile, the analysts also observed that aluminum prices are continuing to strengthen with prices above $1.15 per pound compared with an average of 99-cents per pound for all of 2010.

"However, still-high London Metal Exchange (LME) inventories could spur declining prices, especially if substantial supply comes to market," they said. "We believe most of the LME inventories are backing financial transactions and are not readily available."

The analysts suggested overall liquidity for most metals and mining companies remains adequate.

"Most metals and mining companies have sufficient liquidity to withstand the volatility inherent in these businesses. Over the next year or so, if the economy continues to improve as we expect it will, most companies are likely to use some of this liquidity to fund increases in working capital to accommodate higher business volumes, prices and costs."

"Many companies are also expanding their capital programs, restarting projects deferred during the recession, and investing to improve their costs structures," S&P noted. "We expect that most industry participants should generate sufficient cash flow to fund most of their capital spending and still have borrowing capability to accommodate working-capital growth."

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page67?oid=125017&sn=Detail&pid=102055

Gold finds support in China & India - Mineweb

2011-04-16T10:12:00.002+08:00

Investors in both India and China are becoming increasingly wary of inflation and are buying gold items to hedge inflation risk.

Author: Shivom Seth

MUMBAI -

Interest in gold from individual investors, particularly in India and China has risen significantly in the last few years.

Metals consultancy GFMS Ltd noted in its Gold Survey 2011, that investors across the globe accounted for 19% of the world's 166,600 tonnes of gold last year.
But questions remain about exactly how such investment will play out given the massive uncertainties at work in the world economy.
Part of the reason for this is continued concern about the global economy and, in particular the massive debt burden being borne by the US, Japan and Europe.

On Wednesday, April 13, the US dollar index was up 0.14% after President Barack Obama outlined an ambitious budget plan calling for $4 trillion in cuts over 12 years.

Gold kept rising tentatively in the international market, and rose further in India on Thursday morning but, analysts maintain that gold will look to Friday's inflation readings out of the US and China for further direction.

Traders added that China is set to implement a prudent monetary policy ranging from rate hikes to higher reserve requirements. Given that China could tighten its money supply, the next week would be a testing time for gold, analysts have said.

China story

On April 5, China's central bank raised interest rates for the fourth time since October 2010, indicating the Asian major's urgent need to control rising inflation.

Bullion analyst in a brokerage firm in Mumbai, Shailendra Shah said that a new report is expected from China soon, which will indicate the inflation rate in March, industrial output and first quarter economic growth figures.

``This will let us know how Beijing will continue with its policy measures and will also give us an indication of the way ahead for the price of gold,'' he said.
A Vaidya, analyst with broking firm Religare Securities told Mineweb that in January 2010, China had recorded an inflation rate of around 1.5%. Some 12 months later, the scenario had changed drastically, with the rate of Chinese inflation climbing to 4.9%.

``The Chinese government has tried to curb the inflation via several measures. One has to understand how this is affecting the movement of gold on the international bourses,'' said Vaidya.

He noted that China's largest bank had started a physically-backed gold savings account in December 2010, aided by the World Gold Council. Account openings have reportedly surpassed 1 million, with more than 12 tonnes of gold having being stored on behalf of investors.

That interest for gold is high in China was also supported by a UBS AG report, that noted purchases by China had increased to 200 tonnes in the first two months of 2011. The nation imported more than 300 tonnes last year.

ICBC, the world's largest bank by market value, sold about 7 tonnes of physical gold in January 2011, which was nearly half the 15 tonnes of bullion sold in the whole of 2010.

Zhou Ming, deputy head of ICBC's precious metals department was quoted as saying that China's largest bank had sold nearly 250,000 ounces of physical gold in January 2011, which was equivalent of 50% of all the bullion ICBC sold last year.

``This is a clear indication that Chinese investors have a voracious appetite for gold. Even the World Gold Council has estimated that China's gold demand could double in 10 years as more investors embrace the precious metal,'' Vaidya added.

India story

That is not to say that India is lagging behind. India's consumption of gold may well climb to rival that of China, said analysts.

Though global demand rose by 11% to 2,017 tonnes last year, the GFMS has noted that interest from Western consumers was mainly confined to wedding rings.

"The vast majority of demand for jewellery is coming from India and East Asia. If you exclude India from the figures, the increase in demand last year was only 2%, and most of that came from China,'' the GFMS official said.

The jewellery sector has shown the strongest recovery in 2010, with annual demand surging to 299 tonnes, which is 17% higher than in 2009. Indian jewellery demand rose 69% during the year to 746 tonnes, while China's jewellery demand reached a new annual record of 400 tonnes.

India and China represent 40% of world consumption.

Paul Walker, chief executive officer of GFMS reportedly said that in India, a huge amount of demand is a cultural and social imperative. In China, on the other hand, the imperative around weddings is not that strong, he said.

India's total demand exceeded China's by 383.5 tonnes last year, narrowing from 496.5 tonnes in 2001, the GMFS data has shown. The report has also noted a growing shift toward physical gold by small investors, all of which will ensure that investment in the precious metal will be more solid in the coming months and less prone to short-term selloffs.

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page33?oid=125070&sn=Detail&pid=102055

Economic crisis could push gold price to $1,600, warns report

2011-04-16T10:10:00.001+08:00

Gold is the most widely traded precious metal, the price has rallied 27% in the past year. Photograph Chris Collins/Corbis

Gold prices could top $1,600 per troy ounce before the end of 2011 as the fragility of the global economic recovery, fears about inflation and turmoil in the middle east and north Africa drive prices higher.

The price of gold has rallied strongly this year, hitting a new record of $1,476.37 an ounce this week, driven on by concerns over inflation, a weak dollar and the shaky economic recovery.

In its Gold Survey 2011, metals consultancy GFMS said there was growing evidence that buyers may drive prices still higher this year. "There is a higher starting point for each successive investor-led rally in the price. Thus, assuming investment demand will at some point take off again this year, there remains good scope for new highs in the price to be recorded," the consultancy said.

GFMS's prediction comes after a record increase in production of gold last year. The amount of gold going onto the market reached 2,689 tonnes in 2010 as more was mined in Australia, China, Argentina, the US and Burkina Faso.

But the increase was met by soaring demand. Investment in physical bars rose 66% and jewellery demand rose 11% despite rising prices.

"The prospects for gold prices this year remain bright," GFMS executive chairman Philip Klapwijk said. "Investors continue to be concerned about the outlook for inflation, with governments in general showing little appetite to tighten monetary policy significantly."

Gold is the most widely traded precious metal. The price has rallied 27% in the past year and has risen on an annual basis for nine consecutive years.

The price weakened earlier this year but has since rallied. Investment demand for gold fell in 2010 but was still "comfortably" the second highest on record, GFMS reported.

Philip Newman of GFMS said prices were being underpinned by strong demand in India and China as well as by western investors buying into stock-exchange traded funds (ETFs), which offer exposure to the gold market without the necessity of buying the product itself.

In April over 2,142 tonnes of gold were represented by investments in ETFs, up from 1,222 tonnes at the end of 2008. Newman said investors were looking to gold as inflationary fears mounted and the fragility of the economic recovery put governments off from implementing sharp rises in interest rates in the short term.

Global demand for bars of gold was 880 tonnes last year, with India and China accounting for more than half of that. India is also the world's biggest market for gold jewellery.

"We expect investment in gold this year to be supported by the probable spreading of the government debt crisis from Europe to the United States and Japan, especially in light of the huge budget deficits the latter two countries will record in 2011 and the lack of concrete measures they are taking to rein these in," says the report.

But Newman said there was still a long way to go before gold hits the highs seen in 1980 when the price hit $880 an ounce – the equivalent of $2,248 today – driven by a recession, a spike in oil prices and the Soviet invasion of Afghanistan.

Source: http://www.guardian.co.uk/business/2011/apr/13/gold-price-record-high

Gold Prices Pop; Silver at 31-Year High

2011-04-16T10:07:00.001+08:00

By Alix Steel

NEW YORK (TheStreet ) -- Gold prices popped higher Thursday as investors opted for gold over stocks on disappointing jobs data and mixed earnings in the U.S.

Gold for June delivery added $16.80 to settle at $1,472.40 an ounce at the Comex division of the New York Mercantile Exchange. The gold price has traded as high as $1,475.20 while the spot gold price was rising more than $14, according to Kitco's gold index.

Silver prices jumped more than $1, currently trading at $41.69 an ounce, and are eyeing the $42 level as its next conquering point.

Gold and silver skyrocketed Thursday as investors bought gold instead of stocks after U.S. initial jobless claims rose by an unexpected 27,000 last week to 412,000 -- past the critical 400,000 mark. The jobs environment had been slowly improving so the number, along with stronger world-wide inflation and anxiety over earnings, led investors back into precious metals.

George Gero, senior vice president at RBC Capital Markets, says that the gold/silver ratio now around 35 and dollar gyrations are keeping metals in rally mode. "Higher short term rates in ECB and elsewhere have not deterred investors, Goldman Sachs thinking crude may be fully priced now also not deterred investors ... so silver and gold are now possible joint performers with ... support at $1,425 for gold [and] $40 for silver."

Gold almost touched its record intra-day high of $1,478 an ounce. When it does, the move will most likely bring even more technical traders back into the market -- the "hot" money that is typically responsible for big price swings -- making the next target for gold at $1,500 an ounce.

Silver is traded in a smaller market and subject to even more speculative buying. Since September of 2010 on QE2 rumors, silver has risen 110%, but its recent climb has many experts wondering if the "poor man's gold" is overbought.

The "safe haven bids or monetary related bids that floated to silver heavily during February and March, if that froth comes out you could have a reversion to a better mien," says Jon Nadler, senior analyst at Kitco.com. Nadler thinks silver should be between $25-$30.

Nadler argues that the U.S. commitment to tackling its budget deficit, underscored by President Obama's speech Wednesday, will support the U.S. dollar and weigh on commodities. The U.S. dollar index, however, was down 0.33% to $74.71 on the rough jobs data.

But for Friday the story will really be about inflation. Producer prices in the U.S. rose 0.7% in March, weaker than expected, while the core reading came in slightly hotter at 0.3%. Inflation in March is supposed to rise to 2.6% and a higher reading Friday could trigger another gold rally as investors bet the Federal Reserve won't raise rates fast enough to fight rising prices.

Gold is typically favored during times of inflation, despite the fact that gold and CPI prices are only negatively correlated 12% of the time, according to data from the S&P. The idea is that inflation makes paper money worth less and gold more valuable.

At the end of 1949 through the first month of 1950, gold rallied 9.5% while inflation hit 10%. From 1974 through 1980, gold rallied 334% as inflation climbed to 14%. Gold is up more than 33% since the beginning of 2010, when inflation talk ramped up.

Gold has been shrugging off rate hikes, the only anecdote to inflation, but Nadler thinks it will take a while for tighter monetary policies to hurt the market. "It's a process. You have to look at how [these] measures take affect going into the second half of this year." Nadler thinks starting in 2012 central banks will raise rates consistently and aggressively.

Also paving the road for higher gold and silver prices Thursday is general market uncertainty. Investors seem to be hesitant after a solid earnings report. JPMorgan(JPM_) originally led markets higher Wednesday but the positive news couldn't sustain the rally. Investors are even more cautious on Google(GOOG_) and Bank of America(BAC_), reporting Thursday and Friday, respectively. In Europe, there are further worries that Greece might need to restructure its debt making gold more attractive as a safe haven asset.

Gold mining stocks, a risky but potentially profitable way to buy gold, were popping. Kinross Gold(KGC_) was adding 0.77% to $15.65 while Goldcorp(GG_) was up 2.36% at $53.98.

Other gold stocks, Agnico-Eagle(AEN_) and Eldorado Gold(EGO_) were trading at $65.71 and $17.84, respectively.

NovaGold(NG_) is up 2.72% to $13.21 after the company announced the results of its preliminary economic assessment for its Ambler property, which contains 28.9 tons of indicated and inferred resources of copper and zinc. Jim Cramer also mentioned this stock positively on Mad Money Wednesday .

Coeur D'Alene Mines(CDE_) was tanking more than 7% on a report that Bolivia will seek to expropriate mines, previously sold by other governments. This move would affect Coeur's San Bartolome silver mine which produced 6.7 million ounces of silver in 2010.

When asked to comment, spokesman for the company, Tony Ebersole, said that the property rights were not "the subject of expropriation. We operate in a mine where title already belongs to the State and backed by Supreme Decree." Ebersole said that production was operating as usual. Worse case scenario, Coeur has political risk insurance policies that covers expropriation.

Source: http://www.thestreet.com/story/11082786/3/gold-silver-prices-pop-as-stocks-sag.html

The reason silver has been rising faster than gold - Mineweb

2011-04-16T10:05:00.000+08:00

Analysis of the different advance which has occurred in the silver price vis-à-vis gold in the past few months where the former has substantially outperformed the latter.

Author: Julian Phillips

Silver is breaking new records at around $40 and gold is touching new highs of close to $1,460. Looking back, over the past few years we have seen gold rise from around $312 to $1,460 a rise of 4.68 times and silver from around $6 to $40 a rise of 6.67 times.

But this does not give a clear picture, so we went back over the last year and what did we see? Since early 2009, gold has moved from $900 to $1,460, a respectable 62%. Over the same period silver has moved from $10 to nearly $40 a remarkable 400%. Why the difference in relative performance?

Both metals have moved as money. Gold and silver Exchange Traded Funds have attracted massive investments in the developed world where trust in the monetary system is far higher than it is in the emerging world. But it was the underlying gold and silver that attracted investors. Waning confidence in the value of paper currencies gave way to demand for precious metals as a store of value retainers for investors.

Gold and silver have substantial differences as value retainers which help us to identify why the two metals have differed so much in performance.

· Gold is and has always been the ‘senior' monetary metal held by Central Banks as money until 1971 and after that as a valuable reserve asset in the vaults of central banks.

· Silver was rejected as money and as a reserve asset by the mid-fifties, despite it being treated as money throughout the ages before that.

· Both gold and silver have been attacked as money through ‘official' sales from the seventies until last year. But gold was sold to undermine the reality that it is money. Silver was sold out from reserves almost completely by central banks discarding it as money, completely.

· Apart from a brief period when Egypt was at its height and supplies of silver less than those of gold, gold has always been in far shorter supply than silver and considered far more valuable than silver.

· Silver in the past few decades has been seen as a commodity, mined mainly as a by-product of base metal mining, with only 30% mined in a pure silver mine.

· Most silver is consumed whereas gold is not, which will continue to be the case until less expensive substitutes are found. This will only happen at far higher prices still.

GOLD AS AN INVESTMENT

Gold has always been the precious metal of choice for wealthy individuals, institutions and central banks. It has never been abandoned as such. Even when "Official" selling was at its peak, central banks sold only what they thought was sufficient to add credibility to the paper currency they were pushing to the centre of the system, first to add credibility to the dollar then after 1999 to the euro. With those tasks completed, Central Banks are now either holders or buyers of gold.

The amount sold in most cases was around 20%, but in the case of the uninspired then-Chancellor Brown of the U.K.'s case, half of Britain's reserves were sold. The largest holders of gold sold none or only small amounts. So while it was underpriced and we believe still is, did not see its price ‘crushed' completely.

The path back to investment acceptance is a slow one and a long one with most of the journey still to come. We believe that we are on the brink of major changes in price levels in 2011 and beyond.

SILVER AS AN INVESTMENT

Silver had not really been an investment metal until 2004 and not a significant one until 2009.

It was a commodity metal in so short a supply that the Hunt brothers of Texas felt they could corner the market. In 1979, they took the silver price from its high of $8 an ounce [it had doubled since it stood at $4 an ounce in the mid- 1970s' already] to $50 an ounce by the early 1980's. It then fell all the way back to $5 an ounce thereafter as the Hunt Brothers found they were unable to sell the silver until prices had fallen back to those levels where they stayed until October 2003. Until 2009, it was relegated to the sidelines as an investment metal.

It started to regain popularity as an investment metal because it began to be considered as "poor man's gold" as the gold price rose out of reach of the poorer investment classes.

For instance, in India until its middle classes began to grow substantially, 70% of all gold bought was bought by the agricultural sector, whose income was directly related to the quality of the monsoon rains. When profits were good, they found their way into property and into gold, As the price rose, the quantity of gold available to such people fell. Then $1,500 bought five ounces of gold, but with gold at $1,460, it only buys just over 1 ounce of gold.

In India, precious metals are used in commercial transactions so the divisibility of silver relative to gold was far greater and more flexible. It also remained affordable in larger quantities. After all, now one ounce of gold buys 36.5 ounces of silver. So, silver remains affordable far lower down the economic ladder than gold does. It therefore can attract a far wider market than gold does currently at retail levels. Bearing in mind that precious metals are attracting a huge and growing market in the emerging parts of the world, the demand, as a wealth protector, at the retail end of the market is expanding rapidly.

CATCH-UP

It would therefore be wrong to still categorize silver as a monetary metal. Its day will come, but not until its price is much higher and not until paper currencies have lost considerably more credibility than at present.

The most difficult part of silver's rise as a wealth protector has been from October 2004 to October 2008, from when its price moved from $5 an ounce to a peak of over $20 an ounce then to fall back to than less $10 an ounce before taking off on its current path. The fall coincided with the onset of the ‘credit-crunch.

All the while, demand from the photographic sector has waned. More importantly, the uses of silver have morphed from discretionary demand to a need. Even in a downturn, the demand for silver will remain strong as its uses are considered vital now.

So as a non-monetary, more volatile precious metal, its future then was far cloudier than now. The transition from those days to ‘poor man's gold was its re-birth as an investment metal. While we believe it has now returned as such to stay, it still has a lot of catching up to do. By catching up we mean that it still has to return to the concept fully, that it is a lower category investment metal respected from institutions [eventually by central banks] as well as the retail end of the market.

Gold is already at that point. This does not mean that the gold price has reached a ceiling of any kind. It does mean that the gold price will rise relative to the value of currencies from now on with its metallic qualities being far in the background. Silver is still a long way off from that point.

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page103855?oid=124983&sn=Detail&pid=102055

5 Step Plan To Financial Freedom & Making A Ton of Money

2011-04-14T16:55:00.000+08:00

Source:http://money.gather.com/viewArticle.action?articleId=281474978010554&nav=Groupspace
If there is a common goal of successful people I met is this: they want to become wealthy or they are already wealthy. Wealth is something you can create if you know how.

Here’s how:

1. Decide what you want – This is the starting point to wealth building. If you do know what you want you will know what steps to make in order to achieve this goal. Have clear goals, not just say I want more money say instead I want $50,000 dollars income by 2011, be specific, have deadlines and create your wealth map starting from that.

2. You need to understand your strengths and weakness, your likes and dislikes – If you are good at buying properties, you can become a real estate investor, if you are good at teaching, you can have your own school. Whatever you do, it’s easier to achieve wealth if you do what you are good at and what you really like.

3. Create your wealth plan starting from your strengths and passion – It’s not surprise that Martha Stewart, Bill Gates, Warren Buffett, and Oprah are so successful. They have talent in what they do plus they are passionate. So Talent + Passion + Product or service people want to buy = Speed Wealth Building. Find your talents, your passion and find if people are willing to give you money in exchange of that, you will be on the right track.

4. Break down your goal to mini-realistic goals – Rome wasn’t built in one day, so do wealth. Focus on understanding your ultimate goals and breaking them in small but realistic steps that will put you one step further to success.

5. Write your plan on paper and put in a place you can see it every day – You need to remind yourself of your goal every single day if you want to succeed. If you are consistent and persist you are going to become successful sooner or later.

If you find useful this article and you are serious about solving your money worries for good I recommend you read this blog article here click here.

It’s a short article and I know it will help you understand money so easily you will say “aha!” and understand that making a lot of money is within the reach of everyone, no matter were you are you can make alot of money.

Saham Bank Rakyat dibuka semula

2011-04-13T10:05:00.001+08:00

Source:http://beritasemasa.com/peluang-pelaburan-bank-rakyat
Selepas bertahun-tahun lamanya menunggu,Bank Kerjasama Rakyat Malaysia Bhd. (Bank Rakyat) dibenarkan menaikkan modal berbayarnya sebanyak RM1 bilion lagi, sekali gus memberikan khabar gembira kepada lebih 800,000 ahlinya yang lama menunggu untuk menambah pelaburan mereka.

Berikut di bawah adalah kenyataan akhbar mengenai pengumuman tersebut.

KUALA LUMPUR 2 April – Bank Kerjasama Rakyat Malaysia Bhd. (Bank Rakyat) dibenarkan menaikkan modal berbayarnya sebanyak RM1 bilion lagi, sekali gus memberikan khabar gembira kepada lebih 800,000 ahlinya yang lama menunggu untuk menambah pelaburan mereka.

Bank koperasi Islam itu, pada bulan lepas memperoleh kelulusan Bank Negara Malaysia (BNM) untuk meningkatkan modal berbayar kepada RM3 bilion, kata Menteri Perdagangan Dalam Negeri, Koperasi dan Kepenggunaan, Datuk Seri Ismail Sabri Yaakob.

Ismail Sabri berkata, dengan kebenaran itu, Bank Rakyat akan membuka peluang pelaburan kepada orang ramai terutamanya ahli untuk membeli saham pegangan dalam bank berkenaan mulai bulan depan.

”Peluang pelaburan ini bukan diberikan kepada semua orang tetapi sebaliknya diutamakan kepada koperasi-koperasi dan ahli-ahli setia Bank Rakyat,” katanya selepas Perasmian Mesyuarat Agung Tahunan Bank Rakyat, di sini hari ini.

Kalau nak diikutkan senarai menunggu yang hampir 50,000 orang, rasanya sekejap je habis.Itupun berkemungkinan tidak semua dari senarai menunggu tu boleh dapat beli.Ada yang tunggu dekat 7-8 tahun, mesti yang itu bank rakyat dahulukan.Nama pun senarai menunggu.Bagi mereka yang memang dah jadi ahli, mungkin ada peluang yang cerah la untuk menambahkan lagi saham masing-masing dalam bank rakyat.

Nilai senarai menunggu sahaja dah hampir RM 1 bilion.Jadi, berkemungkinan hanya dalam 40% sahaja dalam senarai menunggu yang dapat beli.Ramai yang “beratur” nak jadi ahli bank rakyat ni, bukan sebab apa, tapi sebab kemampuan mereka membayar dividen 15% setiap tahun, dari tahun 1999 lagi.Lebih banyak dari pelaburan ASB!

Bayangkanlah kalau ada yang simpan RM 50,000, setiap tahun dividen yang dapat berjumlah RM 7500! Banyak tu.Macam-macam boleh buat.Boleh buat bayar road tax kereta, boleh buat pelaburan emas, dan banyak lagi. Itu belum lagi yang simpan sampai RM 100k pulak.Kesimpulannya, melabur dalam bank rakyat ini, memang bagus.Cuma peluang untuk beli itu samada dapat atau tidak, itu yang menjadi isunya.

Apa pendapat anda mengenai peluang melabur dalam bank rakyat ini?

PIKOM 2011

2011-04-12T19:48:00.000+08:00

Minggu Saham Amanah Malaysia 2011

2011-04-12T17:35:00.001+08:00

Minggu Saham Amanah Malaysia (MSAM) 2011, organised by Permodalan Nasional Berhad (PNB) will be held at Stadium Indera Mulia Ipoh, Perak from 20 April to 26 April 2011

Can silver be money again just like gold? - Mineweb

2011-04-12T16:21:00.000+08:00

In the past silver was an important constituent of coinage worldwide and thus had a similar monetary status to gold. Could this be the case again

Author: Julian Phillips

BENONI -

We have always referred to silver as the ‘long shadow' of gold because its price moves with gold's. When the gold price rises, silver rises more. When the gold price falls, silver falls further, but they move in sync. Why?

Silver saw a huge drop in demand as the photographic industry moved to digital. But then, new uses for silver in the medical field and in electronics developed and look as though they will eventually dwarf the peak photographic demand. But by moving as though riveted to the gold price, the silver price is not reflecting the movements one associates with a simple industrial commodity.

THE MOVE AWAY FROM MONEY

"Official" silver selling by Russia, India and China appears to have (or is about to) come to a halt after many decades of selling the metal stockpiled as coinage that had ceased to be used as such. In this it has a common denominator with gold, in that central bankers are no longer selling these assets. But silver is not in demand by central banks, whereas their demand for gold is heavy and persistent. Will silver be treated as an important reserve asset again?

Since the full use of precious metals as coinage fell away in the first half of the last century, the disparity between the face value of money and its silver value parted ways dramatically. Governments and their central banks wanted an insignificant, inherent value for the coins, so that the face value, determined through government actions on the monetary front, would be the only value they had. Practical considerations require that there is a coinage element to money. Governments have used this ‘fiat' system of money because of the advantage of being able to control the monetary system alone. It was accompanied by the breaking away from the real international values that precious metals will always have. Nowhere has the split between ‘measure of value' and ‘means of exchange' been more significant than in coinage. The central banks also gained full control the money supply, without fear of a judgment via a soaring gold price.

When gold and silver were money, [in 1933 for instance] governments believed that an expansion of the money supply was sorely needed for the world to climb out of the depression. At that time, the only way to accomplish that was to increase the value of gold [silver followed] allowing for more dollars to be issued. To clarify, the dollar was devalued in terms of gold not the other way around. Gold was a cumbersome item at that time, because of the vast amounts of gold not held by the central bank. Hence the confiscation! Once the U.S. central bank had acquired sufficient volumes of gold and then devalued the dollar, the banking system was awash with dollars. Mr. Ben Bernanke has used a similar tactic to expand the U.S. [and global] money supply to fend off deflation. Because gold and silver cannot be released and captured at will, central banks found that their use as a ‘means of exchange' was just too cumbersome.

Of course, the change to paper notes and to alloy coins destroyed the ability of money to be a measure of value. The value of money is now solely dependent on the citizens' trust in their government and central bankers.

We are not referring to inflationary aspects or to exchange rates here, but the extent of trust and faith in that money. Yes, exchange rates hopefully [provided there is no manipulation of exchange rates - which there is] will reflect falling values.

Real inflation [lower buying power of money not a number measured by government tools] will always be allowed by governments, despite central bank commitments to price stability.

The key to a healthy economy is that the man at ground level be able to sustain his way of life with the income he receives. If oil prices and food prices rise, he needs more income to sustain his way of life.

Real inflation or deflation not only relate to growth but the change in the money supply Any attempts to disguise inflation or money supply changes will work only temporarily until the economic realities of the economy shine through [such as now with low housing prices, high unemployment and seeming ‘stagflation']. The governments of the world like to imply ‘price stability' through the management of money supply but tools such as quantitative easing distort that in the attempt to use money supply to invigorate the economy. Simply put, they use inflating money supply to defeat deflation.

The disadvantage of gold and silver coinage is that their worth will always rise above their face value. If governments increase the money supply beyond growth, they would thus be giving citizens a protection against the debauching of money. This undermines central bank control of the economy and financial systems.

So not surprisingly, we see no sign of silver being treated as money by central banks anywhere. But at a retail level, silver is being bought increasingly as a ‘measure of value', protecting the individual's wealth as paper currencies are unable to do at the moment.

THE HISTORY AND PRESENT OF SILVER AS MONEY

In the past, silver has been used as coinage. Until the middle of the last century, most countries used silver in coins. Well before the U.S.A. and the I.M.F. cut the link between money and gold, silver was replaced with alloys in coinage. Take a look at the small change in your pocket and you will see silver lookalikes. The human view of money is still that coins should look valuable, even if we are fooled by the alloy lookalikes. And that's the point. Will we as gullible humans believe that the money in our pocket has value?

We have to qualify the answer to that question by saying subject to economic conditions, yes. When you have nothing, bartering with anything for something is the simplest of monetary systems. When you are in the mainstream economically and economic growth is good, we are inclined to accept mainstream money in any form governments want us to. It makes trading easy. Take a look back at the years from 1985 until 2007 and you see a developed world growing steadily, happily and confidently. Money was trusted in any form it took because the system benefitted everybody. It's only when the person you are dealing with refuses to accept it as money that it then fails. Far from being global, like gold and silver have been throughout history, national money is valuable only locally, where it is legislated as the only acceptable means of exchange.

Imagine if I turned up at a shop and handed over a few hundred Dongs [from Vietnam] or a few trillion Zimbabwean dollars, [Aah, that's no longer money even in Zimbabwe], what would your shopkeeper say? It is this parochial nature of fiat money that will be its eventual downfall. Once the Yuan is a global reserve currency from a growing country with a massive presence, we will be able to choose between the Yuan and the U.S. dollar. Then what?

Take a silver eagle and offer it to a Chinese person--he will accept it readily. Even while the South African Rand is only useable in South Africa, the South African gold 1 ounce Krugerrand is exchangeable anywhere [at a price of $1,420 not its face value of 14.70 U.S. cents.

Silver, throughout history has been accepted as money anywhere in the world. While central banks and governments refuse to allow its use as money inside their economies, they have not taken away from its value as a currency. Silver remains a form of unrecognized money even in the hands of people who have not used is as money for many generations.

Even today, when the fiat money systems are decaying, a trickle of people are protecting their wealth by selling their paper money for solid silver and gold. We are at the start of a trend that is inexorable. Even central banks have started buying gold and have ceased selling it. The trickle will become a flow. But silver is not yet in the same category as gold, as money [yet] in ‘official circles'. It will have to follow the path blazed by gold, but not until gold is seen to be visibly used in the global money systems, will silver stage a comeback. Even then, it will always be a junior partner to gold. After all, its price is so low and the quantities available for this role so small, that it is too far away from being as practical a measure of value as gold is now. But imagine if it was priced at $200 an ounce, then its credibility as money would be legitimate. If one could have a ration of one ounce of gold to 50 ounces of silver, then investors would be comfortable treating silver as money.

But in the private and institutional domain, silver is already a protector of wealth. This should be the focal point of its use. The investing world, in regarding both silver and gold as a protector of wealth, can no longer be ignored. It is a fact through its performance all over the world. So can governments harness this present reality? Will they? We are of the opinion that they won't until they have to!

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page32?oid=124734&sn=Detail&pid=102055

Will Silver become money like Gold again? - SilverSeek

2011-04-12T16:19:00.001+08:00

By: Julian D. W. Phillips, Gold/Silver Forecaster - Global Watch

We have always referred to silver as the ‘long shadow’ of gold because its price moves with gold’s. When the gold price rises, silver rises more. When the gold price falls, silver falls further, but they move in sync. Why?

Silver saw a huge drop in demand as the photographic industry moved to digital. But then, new uses for silver in the medical field and in electronics developed and look as though they will eventually dwarf the peak photographic demand. But by moving as though riveted to the gold price, the silver price is not reflecting the movements one associates with a simple industrial commodity.

The move away from money

“Official” silver selling by Russia, India and China appears to have (or is about to) come to a halt after many decades of selling the metal stockpiled as coinage that had ceased to be used as such. In this it has a common denominator with gold, in that central bankers are no longer selling these assets. But silver is not in demand by central banks, whereas their demand for gold is heavy and persistent. Will silver be treated as an important reserve asset again?

Since the full use of precious metals as coinage fell away in the first half of the last century, the disparity between the face value of money and its silver value parted ways dramatically. Governments and their central banks wanted an insignificant, inherent value for the coins, so that the face value, determined through government actions on the monetary front, would be the only value they had. Practical considerations require that there is a coinage element to money. Governments have used this ‘fiat’ system of money because of the advantage of being able to control the monetary system alone. It was accompanied by the breaking away from the real international values that precious metals will always have. Nowhere has the split between ‘measure of value’ and ‘means of exchange’ been more significant than in coinage. The central banks also gained full control the money supply, without fear of a judgment via a soaring gold price.

When gold and silver were money, [in 1933 for instance] governments believed that an expansion of the money supply was sorely needed for the world to climb out of the depression. At that time, the only way to accomplish that was to increase the value of gold [silver followed] allowing for more dollars to be issued. To clarify, the dollar was devalued in terms of gold not the other way around. Gold was a cumbersome item at that time, because of the vast amounts of gold not held by the central bank. Hence the confiscation! Once the U.S. central bank had acquired sufficient volumes of gold and then devalued the dollar, the banking system was awash with dollars. Mr. Ben Bernanke has used a similar tactic to expand the U.S. [and global] money supply to fend off deflation. Because gold and silver cannot be released and captured at will, central banks found that their use as a ‘means of exchange’ was just too cumbersome.

Of course, the change to paper notes and to alloy coins destroyed the ability of money to be a measure of value. The value of money is now solely dependent on the citizens’ trust in their government and central bankers.

We are not referring to inflationary aspects or to exchange rates here, but the extent of trust and faith in that money. Yes, exchange rates hopefully [provided there is no manipulation of exchange rates – which there is] will reflect falling values.

Real inflation [lower buying power of money not a number measured by government tools] will always be allowed by governments, despite central bank commitments to price stability.

The key to a healthy economy is that the man at ground level be able to sustain his way of life with the income he receives. If oil prices and food prices rise, he needs more income to sustain his way of life.

Real inflation or deflation not only relate to growth but the change in the money supply Any attempts to disguise inflation or money supply changes will work only temporarily until the economic realities of the economy shine through [such as now with low housing prices, high unemployment and seeming ‘stagflation’]. The governments of the world like to imply ‘price stability’ through the management of money supply but tools such as quantitative easing distort that in the attempt to use money supply to invigorate the economy. Simply put, they use inflating money supply to defeat deflation.

The disadvantage of gold and silver coinage is that their worth will always rise above their face value. If governments increase the money supply beyond growth, they would thus be giving citizens a protection against the debauching of money. This undermines central bank control of the economy and financial systems.

So not surprisingly, we see no sign of silver being treated as money by central banks anywhere. But at a retail level, silver is being bought increasingly as a ‘measure of value’, protecting the individual’s wealth as paper currencies are unable to do at the moment.

The history and present of silver as money

In the past, silver has been used as coinage. Until the middle of the last century, most countries used silver in coins. Well before the U.S.A. and the I.M.F. cut the link between money and gold, silver was replaced with alloys in coinage. Take a look at the small change in your pocket and you will see a silver lookalikes. The human view of money is still that coins should look valuable, even if we are fooled by the alloy lookalikes. And that’s the point. Will we as gullible humans believe that the money in our pocket has value?

We have to qualify the answer to that question by saying subject to economic conditions, yes. When you have nothing, bartering with anything for something is the simplest of monetary systems. When you are in the mainstream economically and economic growth is good, we are inclined to accept mainstream money in any form governments want us to. It makes trading easy. Take a look back at the years from 1985 until 2007 and you see a developed world growing steadily, happily and confidently. Money was trusted in any form it took because the system benefitted everybody. It’s only when the person you are dealing with refuses to accept it as money that it then fails. Far from being global, like gold and silver have been throughout history, national money is valuable only locally, where it is legislated as the only acceptable means of exchange.

Imagine if I turned up at a shop and handed over a few hundred Dongs [from Vietnam] or a few trillion Zimbabwean dollars, [Aah, that’s no longer money even in Zimbabwe], what would your shopkeeper say? It is this parochial nature of fiat money that will be its eventual downfall. Once the Yuan is a global reserve currency from a growing country with a massive presence, we will be able to choose between the Yuan and the U.S. dollar. Then what?

Take a silver eagle and offer it to a Chinese person--he will accept it readily. Even while the South African Rand is only useable in South Africa, the South African gold 1 ounce Krugerrand is exchangeable anywhere [at a price of $1,420 not its face value of 14.70 U.S. cents [1/10,000 times face value]].

Silver, throughout history has been accepted as money anywhere in the world. While central banks and governments refuse to allow its use as money inside their economies, they have not taken away from its value as a currency. Silver remains a form of unrecognized money even in the hands of people who have not used is as money for many generations.

Even today, when the fiat money systems are decaying, a trickle of people are protecting their wealth by selling their paper money for solid silver and gold. We are at the start of a trend that is inexorable. Even central banks have started buying gold and have ceased selling it. The trickle will become a flow. But silver is not yet in the same category as gold, as money [yet] in ‘official circles’. It will have to follow the path blazed by gold, but not until gold is seen to be visibly used in the global money systems, will silver stage a comeback. Even then, it will always be a junior partner to gold. After all, its price is so low and the quantities available for this role so small, that it is too far away from being as practical a measure of value as gold is now. But imagine if it was priced at $200 an ounce, then its credibility as money would be legitimate. If one could have a ration of one ounce of gold to 50 ounces of silver, then investors would be comfortable treating silver as money.

But in the private and institutional domain, silver is already a protector of wealth. This should be the focal point of its use. The investing world, in regarding both silver and gold as a protector of wealth, can no longer be ignored. It is a fact through its performance all over the world. So can governments harness this present reality? Will they? We are of the opinion that they won’t until they have to!

Source: http://news.silverseek.com/SilverSeek/1302310800.php

Why Silver Will Go UP for Years to Come! - Mineweb

2011-04-12T16:12:00.000+08:00

(Floods of paper money!)
Silver Stock Report

1. No nation on earth is using silver as a circulating medium of exchange. The State of Utah is leading the way by making it legal tender.

2. All nations on earth are using paper for money, which is about as wise as building houses out of straw. The amount of paper money is uncountable, and is constantly soaring to new highs. The USA stopped reporting the amounts of money in the banks back in 2006, and the banks in 2008 started depositing a lot of their bailout money with the Fed banks, making it even harder to track. All of that marks the beginning of hyperinflation, which appears to be starting now.

3. The Federal annual deficit, which is how much they spent more than they took in, is $1.66 trillion, or $830 billion for the first half of fiscal 2011. Does that count QEII? What was not counted in that? How reliable are the figures? If the figures are wrong, are the real figures likely to be bigger or smaller, and by how much?

http://tinyurl.com/3ozdljx (April 7th news item)

4. The silver market remains tiny. "World investment rose by an impressive 40 percent last year to 279.3 million troy ounces (Moz), resulting in a net flow into silver of $5.6 billion, almost doubling 2009’s figure." How reliable are the figures?

http://www.silverinstitute.org/pr07apr2011.php (April 7th news item)

Recap: New US Debt: $830 billion in 6 months.
Recap: New Silver buying: $5.6 billion, all year.

Essay assignment, compare and contrast those two numbers.

Which one is bigger? Which one is smaller?

What is likely to change?
What is likely to stay the same?

If the US government spends new paper money that it does not have, is that inflationary? Will that make the new dollars tend to go down in value? If so, by how much?

Are silver prices likely to go up, as new money buys silver to protect itself? In your opinion, much new money will be likely to buy silver next year? How much do you think the silver price will continue to be driven up, in the next year, by such buying?

Is the US government likely to suddenly balance the budget by next year, or will the spending like a drunken sailor be likely to continue?

If you convince your friends to buy silver, are they more likely to thank you, or not, as certain trends and fundamentals continue?

I strongly advise you to take possession of real gold and silver, at anywhere near today's prices, while you still can. The fundamentals indicate rising prices for decades to come, and a major price spike can happen at any time.

Source: http://news.silverseek.com/GoldIsMoney/1302242460.php

Gaji 2011

2011-04-01T15:47:00.000+08:00

Sprott says silver will keep outshining gold

2011-03-11T10:54:00.000+08:00

By Euan Rocha and Pav Jordan

TORONTO | Tue Mar 8, 2011 3:53pm EST

TORONTO (Reuters) - Silver is likely to keep outperforming gold thanks to strong dollar flows, though both are still good investments compared with copper and other base metals, according to Eric Sprott, the hedge-fund manager and Canadian investment guru.

"I watch where the money goes and the money's going into silver. There's as much money going into silver as into gold in dollar terms," said Sprott in an interview with Reuters.

Sprott, who heads Toronto-based hedge-fund Sprott Asset Management, said it is important to note that silver available to buy is relatively scarce in terms of value, and that bodes well for further gains.

"There is 75 times more dollars worth of gold to buy than silver, but the money's going in one to one," says Sprott, while speaking on the sidelines of an investor event held in conjunction with the annual PDAC mining convention in Toronto.

Silver stocks in COMEX warehouses are near their lowest since April 2006, when the metal traded at $5 an ounce. Demand for silver coins has also picked up, especially in the United States, where it was at record levels early this year.

"My biggest thing is silver -- I think silver is going to go up a lot here. Gold's right in there, but not as good as silver," said Sprott, following a presentation to hundreds of investors in a resplendent ballroom at Toronto's Royal York Hotel.

Gold and silver -- traditionally viewed as a safe store of value in turbulent times -- have soared on inflation concerns, political turmoil in the Middle East and North Africa, an uneven U.S. economic recovery and the European sovereign debt crisis.

Gold touched an all-time high of $1,444.40 on Monday, while silver hit a 31-year high of $36.70 an ounce, after rating agency Moody's downgraded Greece's debt and violence flared anew in Libya.

"I have a little website that sells gold and silver maple leafs, and we sell about four times more silver than gold in dollars (terms)," said Sprott, who had earlier in the day addressed a room full of miners and investors and others at the PDAC convention.

The PDAC event is the world's largest gathering of people tied to the mining industry, and this year's event is expected to attract more than 22,000. The mood among delegates is exuberant, thanks to record or near-record prices that both precious and base metals are commanding.

BASE METALS RISKY

While bullish on precious metals, Sprott is wary of base metals - copper, nickel and zinc - as their fortunes are too closely tied to the fate of the broader economy.

"I agree with the prices of precious metals. I'm not as much of a bull on base metals," said Sprott. "I still worry about the financial system, it's massively over-levered and will still come undone."

Sprott's views on base metals mirror those of another of Canada's most influential money managers, Donald Coxe, who expresses similar doubts about the strength of the economy due to surging food and fuel prices.

"I'm not as economically optimistic as the average guy, so I don't go to base metals," said Sprott, a gold bug, who has built a reputation for bucking market trends.

"We have oil and food prices rising like crazy ... It's almost hyper-inflationary," said Sprott, who advises investors to put money in "real things" where demand is virtually inelastic.

"I'm very optimistic about gold and silver," said Sprott. "And real things like potash, uranium, oil, stuff that is absolutely essential."

(Editing by Frank McGurty)

What a gold:silver ratio below 40:1 tells you - mineweb

2011-03-11T10:53:00.000+08:00

The last time the gold:silver ratio stood below this level was in February 1998 just after silver rallied 33% in 5 weeks, much is the same in the current situation but, investment demand is much higher.
Author: Rhona O'Connell

LONDON -

The last time the gold:silver ratio stood below 40:1 was in February 1998, just after silver had staged a 33% rally in five weeks, while gold had gained just 4% over the same period (which commenced at the start of the year). The contraction in the ratio over the period was from 48.4:1 to 38.1:1.

This time, some thirteen years on, the gold:silver price ratio is trading at between 39:1 and 40:1 and a similar contraction has taken exactly the same length of time. This time however, gold and silver are trading at over $1,440 and $36, while back in 1998 they were at $300 and just over $7.

So where are the similarities and the differences between then and now?

This time the silver price has bounded up as a result of a sustained belief (whether right or wrong) in gold's upside on the back of prevailing geopolitical and inflationary concerns. Both gold and silver are already in sustained bull markets, while in 1998 the change in ratio marked the start of a shift in sentiment, albeit one that was buffeted by subsequent external events.

Silver investment can often exceed that of gold for more than one reason: a) the history of silver's higher volatility over gold, prompting professional activity with a view to gearing up on returns; b) silver's lower unit price, which attracts some smaller-scale investors who want exposure to precious metals because of inflationary fears in particular and who don't necessarily have enough wealth to invest in the yellow metal to any meaningful level; c) in the United States in particular, silver has a long-standing investment tradition. This is because of the period when the dollar was on the gold standard and private individuals were prevented from holding gold, so they used silver as a substitute.

Twelve years ago; professional attitudes were probably the driver.

At the start of 1998, gold was starting to stage a recovery after a long period of uncertainty, characterised by intermittent announcements of large-scale central bank sales that unsettled market sentiment; this was augmented by increasingly heavy mine hedging and these two fundamental elements, combined with anti-inflationary fiscal policy, had kept gold prices under some pressure.

What was different about the start of 1998 was the putative formation of the European Monetary Union, which gave the markets a degree of comfort and reduced the expectation of official sector sales. (This, of course, was latterly to be stymied by the announcement in May 1999 by HM Treasury in the UK of the proposed disposal of up to 40% of UK gold holdings; sentiment then changed substantially as a result of the institution of the first Central Bank Gold Agreement in September 1999). Investors started to return to gold and silver was a natural beneficiary of the change in sentiment.

The differences between now and then. Nothing, in terms of industrial demand

Over those five weeks in early 1998 the net long speculative silver position on COMEX rose from 8,813t to 9,500t, a gain of almost 700 tonnes or 8%. This time around the shift has been from a net long of 6,710t to 8,780t, a gain of 2,070t or 31%. but from a much lower base.

Interestingly enough, silver fabrication demand in 1988 was just over 26,000t; in 2010 it was very close to the same level, suggesting that the market itself is not much deeper than it was in the late 1980s. In fact, on the basis of LBMA clearing figures, the December 2010 daily average clearing rate was just below 100M ounces, less than one-third of the clearing numbers for end-1997.

The structure of the demand side has changed with industrial demand fluctuating, but photography and jewellery+silverware falling substantially. Coin demand, by contrast, has been growing steadily.

... but plenty in terms of investment

Sustained retail demand has helped the rise in silver's price in recent months, reflecting the continued awareness at the retail level of the "affordability" of silver by comparison with gold. This has been particularly marked in the Far East, where silver bars have scarce and commanding high premia, while India and the Middle East have also been strong buyers.

The ratio; a life of its own and an important indicator

As a result the ratio has to some extent taken on a life of its own and been traded as an outright entity in the bullion markets. Now at 13 year lows it is not in uncharted territory, but is certainly oversold.

While the markets remain bullish about the outlook for gold on the back of sustained inflationary and geopolitical fears, silver is likely to continue to attract attention. The outright price may make silver unattractive for fresh bull positions, but technically-driven and momentum trades may yet see prices higher if the political situation is not resolved with a minimum of further trauma. Silver has frequently been the leader among the two "precious metals" because of its lower unit price and higher volatility; the ratio can therefore be regarded as a similar leading indicator. In fact it is probably one of the most significant indicators in terms of precious metals market sentiment and, so, when it comes to looking for guidance, the chart should be watched closely for signs of reversal. Even stabilisation would be significant; a bounce might well trigger stops.

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page33?oid=122284&sn=Detail&pid=33

The money's going into silver; gold good also, but wary on base metals - Sprott

2011-03-11T10:52:00.000+08:00

Speaking at a PDAC reception, Eric Sprott expressed confidence in gold and in particular on silver, but is wary on base metals due to doubts on the broader economy.
Author: Euan Rocha and Pav Jordan

TORONTO (Reuters) -

Silver is likely to keep outperforming gold thanks to strong dollar flows, though both are still good investments compared with copper and other base metals, according to Eric Sprott, the hedge-fund manager and Canadian investment guru.

"I watch where the money goes and the money's going into silver. There's as much money going into silver as into gold in dollar terms," said Sprott in an interview with Reuters.

Sprott, who heads Toronto-based hedge-fund Sprott Asset Management, said it is important to note that silver available to buy is relatively scarce in terms of value, and that bodes well for further gains.

"There is 75 times more dollars worth of gold to buy than silver, but the money's going in one to one," says Sprott, while speaking on the sidelines of an investor event held in conjunction with the annual PDAC mining convention in Toronto.

Silver stocks in COMEX warehouses are near their lowest since April 2006, when the metal traded at $5 an ounce. Demand for silver coins has also picked up, especially in the United States, where it was at record levels early this year.

"My biggest thing is silver -- I think silver is going to go up a lot here. Gold's right in there, but not as good as silver," said Sprott, following a presentation to hundreds of investors in a resplendent ballroom at Toronto's Royal York Hotel.

Gold and silver -- traditionally viewed as a safe store of value in turbulent times -- have soared on inflation concerns, political turmoil in the Middle East and North Africa, an uneven U.S. economic recovery and the European sovereign debt crisis.

Gold touched an all-time high of $1,444.40 on Monday, while silver hit a 31-year high of $36.70 an ounce, after rating agency Moody's downgraded Greece's debt and violence flared anew in Libya.

"I have a little website that sells gold and silver maple leafs, and we sell about four times more silver than gold in dollars (terms)," said Sprott, who had earlier in the day addressed a room full of miners and investors and others at the PDAC convention.

The PDAC event is the world's largest gathering of people tied to the mining industry, and this year's event is expected to attract more than 22,000. The mood among delegates is exuberant, thanks to record or near-record prices that both precious and base metals are commanding.

BASE METALS RISKY

While bullish on precious metals, Sprott is wary of base metals - copper, nickel and zinc - as their fortunes are too closely tied to the fate of the broader economy.

"I agree with the prices of precious metals. I'm not as much of a bull on base metals," said Sprott. "I still worry about the financial system, it's massively over-levered and will still come undone."

Sprott's views on base metals mirror those of another of Canada's most influential money managers, Donald Coxe, who expresses similar doubts about the strength of the economy due to surging food and fuel prices.

"I'm not as economically optimistic as the average guy, so I don't go to base metals," said Sprott, a gold bug, who has built a reputation for bucking market trends.

"We have oil and food prices rising like crazy ... It's almost hyper-inflationary," said Sprott, who advises investors to put money in "real things" where demand is virtually inelastic.

"I'm very optimistic about gold and silver," said Sprott. "And real things like potash, uranium, oil, stuff that is absolutely essential."

(Editing by Frank McGurty)

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page32?oid=122363&sn=Detail&pid=102055

Metals-Energy Update: Silver soars to $35, gold rebounds, Oil spikes

2011-03-11T10:51:00.000+08:00

Published on: March 06, 2011 at 17:25

By Devi Gopalakrishnan, Commodity Online Info Service
Gold prices boosted by safe haven appeal rebounded to $1428 levels but still short of the record 1440 set on March 2 while silver prices soared to $35 an ounce on mounting unrest in Libya. Middle East and North African tensions continue to impact commodities especially crude oil which has seen a surge of 6.7% in New York this week.

U.S. Commodity Futures Trading Commission (CFTC) informs that net long positions in U.S. gold futures contracts held by speculators rose nearly 10% last week as bullion prices rose by 2.5 percent.

Precious Metals
US Gold futures reorded 1.4% growth thanks to tension in Libya that gave a boost to safe haven appeal of gold. Bullion hit a record high of $1,440.10 an ounce on March 2, recording its fifth consecutive weekly gain on fears that Libya's rising unrest may spread across the Arab world.

Gold may gain in New York as turmoil in Libya and concern inflation will accelerate boost demand for an alternative investment.
Gold futures for April delivery rose $12.20, or 0.9 percent, to settle at $1,428.60 an ounce on the Comex in New York. The metal rose 1.4 percent this week.

Silver futures for May delivery jumped $1, or 2.9 percent, to $35.327. Earlier, the price reached $35.405, the highest since March 1980. In that year, the metal reached a record $50.35. This week, silver gained 7.3 percent, the sixth straight increase.

Palladium futures for June delivery fell $5, or 0.6 percent, to $809.80 an ounce on the New York Mercantile Exchange. The price, up 2.8 percent this week. Platinum futures for April delivery rose $4.90, or 0.3 percent, to $1,837.90 an ounce. The metal up 1.9 percent this week.

In Indian market, MCX April Gold Futures opened the week at 20971 and rose 0.60% to 21098 after hitting a high of 21190 while June contract rose 0.29% to 21398 per 10 gms after hitting a high of 21470. MCX Silver March opened this week at Rs.50423 and ended higher by 0.98% to Rs 50740 after hitting a high of 52925.

Crude Oil
Crude oil surged this week on concern unrest in Libya will spread to other North African and Middle East energy exporters, curbing shipments. Oil prices may rise further next week as civil unrest in the region fuels concerns of prolonged supply disruption.

Crude oil for April delivery increased $2.51 to $104.42 a barrel on the New York Mercantile Exchange. The contract rose 6.7 percent this week.
Brent crude for April settlement rose $1.18, or 1 percent, to end the session at $115.97 a barrel on the London-based ICE Futures Europe exchange. The contract gained 3.4 percent this week, the sixth straight weekly increase.

Brent may advance past $119 a barrel as prices continually surge above ranges and moving averages, according to technical analysis by Glen Ward, head of retail derivatives at London Capital Group Holdings Plc. (LCG).

At MCX, Crude oil March contract rose from Rs.4485 to Rs.4731, up by 5.36% after hitting a high of 4739 whereas the April contract gained 4.84 per cent to Rs.4806 after hitting a high of 4813.

Base Metals
Copper prices at London Metal Exchange gained 1.5% this week as tensions mounted in Libya and Middle East causing fears that rising crude oil prices will stoke inflation and curb growth. At LME, three-month copper fell to $9,895 on Friday after a recent record high fo $10,190 per tonne.

Copper is well supported by global economic recovery signals and estimates of growing Chinese demand. Copper demand in China may grow by 7 percent this year on strong economic growth, according to Jiangxi Copper Co. Demand for copper is surging as the nation plans to build more homes, autos and appliances and upgrade power-grid networks. Copper touched a record $10,190 a ton last month after surging 30 percent in 2010 as the global economy recovered from the worst recession since World War II.

Futures on the Comex in New York gained as much as 0.5 percent to $4.5120 a pound, before trading at $4.5105. May- delivery copper on the Shanghai Futures Exchange rose 0.8 percent to end at 74,720 yuan ($11,378) a ton.

Lead in London gained 0.5 percent to $2,629.75 a ton, nickel rose 0.4 percent to $28,975 a ton and tin added 0.3 percent to $31,755 a ton. Aluminum was little changed at $2,615 a ton, and zinc was little changed at $2,511.25 a ton.75 levels, June contract prices rose marginally from Rs.452.50 per Kg to Rs.453.10 after hitting a high of 458.75.

Natural Gas
Natural gas for next-day delivery in New York declined to the lowest price in three months as scheduled gas shipment to the region’s residential users tumbled 17 percent.

Prices at the Transco-Z6 hub, which delivers gas to the New York City region, dropped 13 percent as gas delivery to households in New York state fell to 3.01 million dekatherms (about 2.93 billion cubic feet), down from yesterday’s 3.62, according to Bloomberg data.

Transco-Z6 prices declined to $4.3999 per million British thermal units on the Intercontinental Exchange, the lowest levels since Nov. 24. Gas at the Tetco-M3 hub, which also transports gas to the New York area, slid 3.2 percent to $3.9806.

Scheduled gas shipments for residential use in the U.S. declined 11 percent to 32.6 million dekatherms, the lowest level since Nov. 16, according to the Bloomberg data. Temperatures will be above normal in the U.S. East and Midwest through March 8, according to Commodity Weather Group LLC in Bethesda, Maryland.

In India at MCX, Natural gas March contract closed lower by 4.13 % to Rs.171.50, April contract prices declined from Rs.187.90 per Kg to Rs.177.50, down by 5.80 per cent.

Major Headlines
Commexes turnover has crossed Rs 100 trillion mark till Feb 15: FMC
The Forward Markets Commission (FMC) on Wednesday said the turnover at the commodity futures market crossed Rs 100 trillion-mark till February 15 of the current fiscal, buoyed by futures trading in bullion and energy items. The turnover stood at Rs 66.24 lakh crore in the same period last year.

Gold gains 1 percent, silver jumps on oil rally, Libya
Gold rose above $1,430 an ounce on Friday, while silver surged 3 percent to 31-year highs, as soaring oil prices fueled by widening clashes in Libya prompted investors to pile into safe havens.

Rapid growth of BRIC strengthened trade ties with low-income nations: IMF
The rapid economic growth of the BRIC — Brazil, Russia, India and China — has helped create the global commodity boom and strengthened its trade ties with low-income countries, the International Monetary Fund said.
Source: http://www.commodityonline.com/news/Metals-Energy-Update-Silver-soars-to-$35-gold-rebounds-Oil-spikes-36981-3-1.html

As Silver Prices Rise, Silver Volatility will Grow - Silver Seek

2011-03-11T10:45:00.000+08:00

It does not seem uncommon to log online or turn on a TV and see silver head higher. Save for a few weeks in January, the trend toward higher prices has been in effect since August, when most people were still thinking silver at $20 was overvalued. At $33, it’s still a bargain.

For a moment, it would be important to discuss market theory and market thinking. Realize that investors are subject to what the market believes their silver to be worth, and in many ways, the market can be unforgiving.

Even John Maynard Keynes understood that, “the markets can stay irrational longer than you can stay solvent,” a message to anyone that is playing in a game with six billion other people, many who may not ever value the same things you do to the same degree.

Volatility Ahead

If you haven’t realized by now, there is plenty of retail money making its way into the silver market. While this is not necessarily a bad thing, it is money that is made up mostly with inexperienced investors. There’s nothing wrong with inexperience, except that we have to play in the same market they do.

Keep in mind that as silver heads higher, percentage moves are sure to stay the same on a day to day basis—which for silver could mean 3-5% every day of the week—but prices moves are going to be far greater in terms of dollars. Those points are elementary and obvious, but realize that these changes in price will greatly affect the mindset of your average investor.

That is, $1.50 up days are going to appear on the charts as a record breakout—and to that same end, $1.50 down days are going to look like the trend has broken, and the world is ending. Both are insanely normal percentage movements for silver, but we’ve breached a new psychological level where investors must consider that they’re gaining or losing one dollar per ounce on a routine basis.

Does this greatly affect the futures of the metals markets? Probably not, but realize that we say “probably.” Of course, there’s no way to know, but there is plenty of room for additional volatility when investors from 2000 start realizing that the daily change in silver affects their gain or loss by 20%. Imagine being up 450% one day then 430% the next. That’s a wild ride!

Current Events and Markets

The current political climate around the world is sure to only compound the psychological market movers. Keep in mind that with each passing day, the world is overthrowing bad governments and hoping to replace them with good ones – all the while millions are starving, and central bankers continue to print, making the price of everything rise.

These are turbulent times, and turbulent markets should be anticipated. Continue on as if silver were $10 because when we look back years from now, $33 will look even cheaper.

Source: http://news.silverseek.com/SilverSeek/1299097045.php

Gold and silver: The states' new currency?

2011-03-11T10:44:00.000+08:00

States aren't allowed to coin money. They can issue gold and silver, though, and some are talking about actually doing it.

By Ralph Benko, Guest blogger / March 2, 2011

Why are so many state legislators beginning to call for issuance of a form of gold money? The Constitution prohibits states from coining money but allows them to make “gold and silver Coin a Tender in Payment of Debts.” By prohibiting everything except “gold and silver Coin” the Constitution clearly considers gold and silver coinage to be legitimate, no matter who issues it. States haven’t issued currency in any form for more than a hundred years. So why now? Disgust is probably the answer. Various state legislators are disgusted by the federal government’s promiscuous dollar-printing. Accordingly, legislators in a dozen states are contemplating legislation to issue gold or silver-based currencies, including Utah, South Carolina, Virginia and New Hampshire. The transcript of the debates in the original Constitutional Convention shows that the attitude of the Founders toward paper money was one of contempt. One delegate, Roger Sherman, called for the insertion of an absolute prohibition against states issuing their own paper money. Sherman’s argument prevailed, as the Founder’s decided that the states would not possess the power to “emit bills of credit, nor make any thing but gold and silver coin a tender in payment of debts” making these prohibitions absolute… As for the federal government, the earliest drafts of the Constitution included language permitting the federal government to issue unbacked paper money. But this language would not survive the final draft. Many of the Founders objected strongly to this power. The objections were summed up by delegate Oliver Ellsworth, who sought to “shut and bar the door against paper money.” “Paper money can in no case be necessary,” Ellsworth argued, “The power [to issue it] may do harm, never good.” Since most of the Founders agreed, the federal government was also denied the power to issue non-convertible paper money. The federal government mostly operated within these constraints – the main exception being the Civil War, when saving the Union took precedence over all other considerations. But for most of American history, dollars have been convertible into gold or silver. It is a 20th century innovation to have non-convertible currency. In 1932, FDR denied US citizens the right to convert their dollars into gold by US citizens. Then, in 1971, Richard Nixon denied foreign central banks the right to convert their dollars into gold. On August 15, 1971, Nixon declared: I have directed Secretary Connally to suspend temporarily the convertibility of the dollar into gold… Now, what is this action – which is very technical – what does it mean for you? Let me lay to rest the bugaboo of what is called “devaluation.”

If you want to buy a foreign car or take a trip abroad, market conditions may cause your dollar to buy slightly less. But if you are among the overwhelming majority of Americans who buy American-made products in America, your dollar will be worth just as much tomorrow as it is today. (Emphasis supplied.) President Nixon called the suspension “temporary,” but it has been anything but temporary…and the dollar has suffered as a result. The dollar today is worth less than a quarter was worth in 1971. And yet, Washington has been curiously unresponsive to the suffering brought by Nixon’s failed promise. Why? Because Washington, itself, has been a primary beneficiary of monetary depreciation. The federal government spent $15 billion from 1789-1900. Not $15 billion a year. $15 billion cumulatively. Uncle Sam will spend $10 billion per day in 2011. The federal government spends more every two days than it did altogether for more than America’s first century. Although these sums are not adjusted for inflation, they give a correct impression of the magnitude of the change from what our Founders set forth and our early statesmen delivered. How does Washington get its hands on so much money? Three ways. Taxation, borrowing and printing dollars. The third mechanism is usually the easiest road…at least for a while. Almost no one complains about printing dollars because almost no one feels the resulting consequences directly or immediately. The power to print money at whim is wrong. It is toxic to our personal and national wellbeing. And it is unconstitutional. No wonder that legislators in twelve states are considering issuing their own gold-based currencies. By doing so, these states are challenging the federal abuse of an unconstitutional power – challenging the issuance of unhinged paper money.

Federal officials should take these state initiatives as a cue. Federal officials have sworn to preserve, protect and defend the Constitution of the United States. Let them take their oath seriously and restore the convertibility of dollars to gold.

Source: http://www.csmonitor.com/Business/The-Daily-Reckoning/2011/0302/Gold-and-silver-The-states-new-currency

INVESTING IN SILVER INSTEAD OF TOILET PAPER CURRENCIES - Richard Daughty

2011-03-11T10:31:00.000+08:00

I was intrigued by an essay titled “What You Need to Know About Buying Silver Today”‘ which came as the result of Jeff Clark, of Big Gold, being interviewed by The Daily Crux.

Of course, Mr. Clark knows all the reasons to buy silver, and deftly ticks them off, one after another, as I would do if they ever asked me, instead of everyone always rudely shouting at me, “Hey! You can’t come in here!” and “Don’t eat that!” and, “Stop yelling at me to buy gold, silver and oil stocks as protection against the suicidal lunacy of the Federal Reserve creating so much money!”

Mr. Clark never actually gets to the point of hysterical raving that people should buy, buy, buy silver, silver, silver, and calling people idiots – idiots! – if they are not buying silver, which is convenient for me because that is exactly what I do. Idiot! You’re an idiot if you are not buying silver! See?

Anyway, The Daily Crux asks the Big Question On Everyone’s Lips (BQOEL), which is, “Just how high do you think silver could go?”

I was hoping that he would, as I would, immediately launch into “attack mode” and say, “What kind of stupid question is that to ask? The whole thing depends on the purchasing power of the dollar, which is literally headed towards zero because of the constant, massive, unbelievable over-creation of dollars by the evil Federal Reserve, which would mean that the price of an ounce of silver would be, literally, infinity dollars! That’s how high silver will go, you moron, as will the prices of everything go to infinity, when the dollar has zero purchasing power left, and is, finally, like all fiat currencies, worth Exactly Freaking Zero (EFZ)!”

I could mention Zimbabwe because Zimbabwe is a very recent example, of the thousands and thousands of fiat currencies through history that have gone to zero value because of over-creation, of a currency that went to zero value because of its over-creation.

As a case in point, and in a particularly pointed-yet-distasteful way as befits the whole subject of currency destruction, massive inflation, bankruptcy and ruination, I remember a photo of a sign posted in a Zimbabwe toilet, advising users as to what could be properly be used as toilet paper in this particular crapper.

It read, “No cardboard. No cloth. No Zim notes.” How disgusting! Money that is not even usable as toilet paper!

So, the question for today’s Mogambo Pop Quiz (MPQ) is, “What is the price of an ounce of silver, priced in Zimbabwe dollars?”

Well, since the Zimbabwe dollar is not officially worth zero, the MPQ is an easy one: The price, in Zim notes, is, literally, infinity!

This means that one ounce of silver – one lousy ounce of silver! – now costs more than all the Zimbabwe dollars ever printed! Ever!

And, more horrifically and closer to home, since the American dollar is on the same sorry path, the fate of the US dollar will be that of the Zimbabwe dollar, making silver a screaming bargain, and if you are not buying it, then you are an idiot!

At this point, I would usually degenerate into a Patented Mogambo Brand (PMB) of raw, in-your-face aggression on how the American dollar is a Big Piece Of Crap (BPOC) because of the Federal Reserve creating so staggeringly many of them, or a rant about how we Americans are a big bunch of idiots, or how the ultimate price of one ounce of silver is, like Zimbabwe, more than all the American dollars ever printed, making silver, at less than $35 an ounce, such a screaming bargain that to not buy silver is to proclaim yourself an idiot.

Mr. Clark, sensing my underlying motive, appeals to our greed! “Good choice!” I say!

He says, “Many people don’t realize this, but silver rose 3,646% in the 1970s, from its November ’71 low to its January 1980 high. If you were to apply the same percentage rise to our current bull market, silver would climb another 500% from here, and the price would hit $160 an ounce.” Wow!

Of course, all of these fabulous gains in silver presume a dollar with a relatively consistent buying power, which ain’t going to happen, and instead the dollar will continue to fall in purchasing power and thus everything will become more and more expensive, all the time more and more expensive, all because the despicable Federal Reserve is continuing to create So Freaking Much Money (SFMM).

But you won’t care! Your buying gold, silver and oil stocks all along the way, as the evil Federal Reserve kept creating so much money, will have made you rich, rich, rich! And so what is a horror of life-or-death misery for others is of no consequence to you, and you just say to yourself, “Whee! That investing stuff was easy!”
Source: http://news.silverseek.com/SilverSeek/1299373321.php

Physical Silver Shortage - Really? - Financial Sense - Alex Stanczyk

2011-03-11T10:30:00.000+08:00

North American Viewpoint is Limited

Editor's note: This article was originally sent via Dave Morgan, author of the Silver Investor newsletter, who will also be on Jim's Financial Sense Newshour, Friday 11th, 2011.

The story about Silver being physically unavailable is reaching thunderous levels of rhetoric. Numerous analysts and commentators are crying, "There is no more physical Silver!!" Be careful about allowing your emotions to get the better of you in terms of your investment decisions. It has always been greed and fear that drives people to buy and sell anything. When there is much greed, it is likely that a particular investment may be due for a pullback. I am not suggesting that Silver is not a good investment. The long term fundamental facts of the Silver market are undeniable. I am saying that those who are invested in physical Silver (including me) will tend to want to believe the story that there is no physical Silver available for investment, because it means my investment will go well, and I was a smart investor after all.

The thing to keep in mind is that these views are usually expressed by analysts and commentators in North America and are often based on limited information from a regional perspective versus a global one. The supply demand equation in Silver is in fact a global one, so to assume that North American supply and demand equals global supply and demand may be a big mistake. Can you find a single analyst from Europe saying there is no physical Silver available? Do you see Chinese investors complaining that they can't get any Silver? China's imports of Silver have skyrocketed year over year without a single peep about difficulty getting it. Please bear in mind that being loud does not equal being correct.

The North American viewpoint is frequently accompanied by statistics drawn from COMEX and COMEX physical inventories. These stats are often used as the foundation of the viewpoint and proof that there is no physical Silver available to satisfy investor demand. The problem with taking this perspective is that COMEX settlements in physical Silver are a small fraction of the total global trade in physical Silver. Therefore, it's not a good indicator of global availability of physical Silver, because there isn't really incentive to maintain large stocks of physical for COMEX delivery. COMEX clearly states that settlement of futures can be done in cash versus the underlying physical asset. Do you really think COMEX is concerned about a physical default? According to their very own rules, they cannot default since they can settle in cash. This is the fact of the matter regardless of the importance that some analysts place on physical COMEX inventory. In the London Gold Pool of the mid 60s, the demand for physical settlement grew so intense that planeloads of Gold were being airlifted to London to satisfy demand. The London market actually closed for several weeks at one point because the demand could not be met, yet Gold still traded in Switzerland during this time. This reflects the fact that anything will continue to trade if there is demand regardless if the trading is occurring on the "loudest" market. To assume that COMEX will ever be a true indicator of the actual physical trade in Silver may be a big mistake.

Much of the commentary I read continually points to sourcing through bullion banks and 'tightness' when doing so. I am surprised that no one has caught onto the point that the bullion banks have a good deal of potentially conflicting interest here. They participate in the paper markets to a great degree and are in some cases the largest short sellers in paper while at the same time custodians of metal for some of the reported largest physical holders. One thing that has always caught my attention is that I have yet to see a single firm that goes directly to the largest refineries in the world complaining about ability to access physical Silver. Yes, the bullion banks go directly to the refineries, but is it possible they stand to gain on the market activity associated with possible delays and claims that they can't get metal? If the Royal Canadian Mint says their bullion banks are having a hard time sourcing metal, is it possible those bullion banks have an interest in having a hard time sourcing metal? Does it count if the retail outlets who source their small bars and rounds are all complaining about lack of product if it's due to fabrication limits in the North American market? Do the fabricators in North America also go through these same bullion banks? In a recent interview with David Franklin regarding Sprott's new physical Silver trust, he mentioned that a good portion of the Silver they had delivered came from overseas. Is this a coincidence, or does the tightness being reported have to do with regional availability or an incentive to profit by someone in the supply chain doing the delivering?

This idea that there is no physical Silver for investment is actually similar in character to the argument that we cannot have a Gold standard because there is not enough Gold. To be frank, that is ridiculous. The view I take is that of course there is enough Gold. The problem is that most people cannot wrap their mind around what price per ounce Gold would have to be to achieve an actual Gold backing, because that price per ounce is so much higher than it is right now (think on the order of $6000+ per ounce if you are talking American Dollars). Point being, if you wanted to buy 5 million ounces of Silver from me at $40 per ounce, do not think for a moment that it could not be sourced in the wink of an eye (or at least within a reasonable time frame if the eye-winking doesn’t actually conjure up the 5 million ounces).

Perhaps someday we will indeed reach the point where there is no more physical Silver for investment because of such amazing demand over supply and the fact that as we use Silver in industrial applications, it is used up and not economical to recover. That day however, is not today.

Source: http://www.financialsense.com/contributors/alex-stanczyk

The Bubble With A Silver Lining - Ryan Jordan

2011-03-11T10:29:00.001+08:00

FINANCIAL SENSE

With silver up roughly 100% in six months, many professional traders may find themselves wondering when to short the white metal. After all, nothing shoots straight up forever, right? Even as a silver fan, I get a little nervous looking at the price action, and wonder the same thing: is silver due for a major pullback? When this seasonal period of strength is over, might silver do what it did in 2008 or 2006 and make a very sharp 30% or 50% drop?

I ask myself this question, always respecting the need to play devil’s advocate with my own mind. But, then I ask myself other questions. Such as: have any of the structural problems facing the developed world’s economies been solved? My answer is no. Has the average person put even 5% of their money in physical silver? No. Are savers being compensated for inflation risks, or is the Fed raising rates? Both no. From these answers, it is safe to say that the silver bull is far from over. The silver price rise (at least so far) is not about industrial demand. It is about people making a start toward redefining the nature of money, wealth, and savings. This redefinition- believe it or not- has only just begun.
What Part of “Its Over” Don’t You Understand?

Much has changed in the world since 2008, the last time there was a serious pullback in silver. For one, savers have been stiffed with zero percent interest rates on their savings for over 2 years even as those same savers watch the price of many other items move up close to something like 10% a year (gas, health care, & education costs, to name three). Government paper or even equities are not the best inflation hedge. Two, many are coming to realize that we are not experiencing a “typical” recovery because we may have finally reached debt saturation in the developed world. We are not going back to the old normal. Three, since 2008 new holding companies in silver have appeared which give everyone with an online brokerage account unprecedented access to the white metal. Fourth, increasing evidence out of China shows that after having dumped millions of ounces onto the world market for years, the Chinese are changing course and buying silver hand over fist. (This development alone deserves an entire book, by the way.)

Finally, I am struck by how much online discussion there is about naked short selling or other kinds of paper shenanigans at bullion banks. There are now several lawsuits over the pricing of silver, for example. At least at the margins, people are questioning accepted price discovery mechanisms in silver and taking delivery. Many other people understand that floating exchange rates are not synonymous with a free market in gold and silver- an important point. Just as with any number of efforts to cap precious metals prices over the last several centuries (the most recent one being the London Gold Pool- which was overrun first in 1968, replaced with a two tier system, and finally ended in 1971) current attempts to cap the price of gold and silver will end in failure. Put another way, many banks or warehouses in the precious metals industry are susceptible to bank runs- which is how I view the end of the London Gold Pool and official convertibility in the early ‘70s. Understandably, bankers who defend or attempt to maintain certain price capping arrangements will do everything in their power to ignore the problem, or to pretend that what is happening isn’t real. Small, retail investors should not be fooled, however, and should continue to take delivery of metal. I might add that bank runs are not the end of the world. Painful, yes, and we all have some tough reality ahead of us. But apocalyptic? Well, only if you are a banker.
Silver and Deflation: Not What You Think

Which brings me to another difference between early 2008 and today: the number of online discussions focusing on economic collapse, on “the end of civilization,” or other fears of a dystopian future. This is an example of Bob Prechter’s “social mood” turning dark as we enter the great downsizing of the West. I am not so sure that the world is going to end in December of 2012, or that all of the nightmare scenarios presented online will come to pass. However, it is worth pointing out that if our global economy moves in reverse, back to the less-levered environment of even fifty years ago, let alone one-hundred years ago, then the exchange value of gold and silver will skyrocket (likely right along with other, select tangible assets). In the nineteenth century, for example, a gold coin could buy a few acres worth of land. It was not that long ago (early 20th century) that the value of the world’s silver coin would have equaled at least 10% of the global monetary base. In today’s terms, that would put the value of silver at between 500 and 1,000 dollars an ounce, since most people estimate the global monetary base to be in excess of 10 trillion dollars. Even if other assets deflate, you will probably find physical silver increasing its relative purchasing power for other assets- regardless of the currency in use.

I am sure that many, many people will find themselves unprepared for some of the difficulties ahead. I am also positive that many Americans will continue to experience conversion moments where they view their once unrealistic expectations regarding economic growth as incorrect. Americans will embrace some variant of austerity in their own lives, and they will reject aspects of the leveraged casino, infinite-credit-economy that we all have lived with for the past several decades. This rejection of debt could not be more bullish for precious metals- which are money after all, not mere commodities. And in the next liquidity squeeze- sometimes referred to as deflation- the monetary metals will not go down. I hope people were paying attention to the price action of gold and silver last spring during the “fat finger” event- both metals finally achieved the safe haven status denied them in the fall of 2008. The fact that gold and silver have risen so far so fast in this “recovery” is likely setting the stage for an even larger, more dramatic move, when we find ourselves racing down the other side of Bubble Mountain.
Silver, Inc.

Many silver commentators have correctly pointed out that silver could behave like a hot internet stock in the next few years, putting its amazing price performance in the last bull market (1940-1980) to shame. That would be quite something if true, since silver went up 100 times in the mid-20th century. And yet the claim that silver might be able to move up 10 times from here (without the world ending) certainly seems possible given the wide ranging access investors have to silver through brokerage accounts. In addition to the fact that large parts of the world (like Russia and China) can now take part in the silver bull- unlike thirty years- it is also far easier for Americans and Europeans to invest in silver today than three decades ago. In the 1970s in the U.S., for example, investing in silver involved the relatively cumbersome process of tracking down silver certificates, or buying coins or bullion. Not so today. Now, all you need is an internet connection and you can buy silver online- either with holding companies like Sprott Physical Silver Trust, or with entities like GoldMoney.com. Although there is no substitute for physical silver for all sorts of reasons, these types of holding companies are taking silver off exchanges. They are not paper silver. The increase in this kind of exposure to silver for average investors means that a price rise in the market cap of Silver, Inc. could easily move from the roughly 35 billion dollars today toward the 200-500 billion market capitalization of an Apple, Google, or Exxon Mobile.

As far as the silver market being primed for a further pullback beyond today’s action (March 10), I have to remind you (once again) about the behavior of silver from 1977 to 1980. This was the last time the silver rocket made an appearance in the sky above Wall Street. During those three years, the price moved from about $4.50 to $49, with no pullbacks greater than 15-20%. And these pullbacks were extremely brief in duration. Of course for anyone who was only in diapers in the late 1970s (or not even born), you may want to think about the Nasdaq bubble between roughly 1995 and 2000. How easy would it have been to short that market, or to find pullbacks? Not very. While investing in silver is not for the feint of heart, and should not be attempted with leverage, if you have yet to buy any physical silver you may be getting a discount this week or next. I think this financial system has one great bubble left in it, a bubble with a silver lining.

Source: http://www.financialsense.com/contributors/ryan-jordan/the-bubble-with-a-silver-lining

What's been driving the silver price?

2011-03-11T10:26:00.001+08:00

Silver has been outperforming gold in recent months as fundamentals have been positive, not only from a monetary viewpoint but also from an industrial one.
Author: Julian Phillips

BENONI (Silverforecaster.com) -

The Silver Price is hitting new recent highs over $36.50 today in a more vigorous performance than even gold. Many in the developed world precious metal markets are amazed at the performance of silver and see this continuing, whereas others feel it is running away with itself. The "backwardation" in silver [when ‘spot' - or immediate delivery prices are higher than for future delivery] has stressed just how much immediate demand there is for silver and clearly a physical shortage of the metal has arisen.

There are two apparently conflicting pictures of the role of silver. The industrial side of silver demand, currently thriving and the investment side, which is also thriving and should continue to do so.

INDUSTRIAL FUNDAMENTALS EXCELLENT

Overall the fundamental outlook has favored large price rises in the metal. After the use of silver in photography was heavily lessened by the advent of digital photography, many thought that that was the end of silver, but its price continued to rise when gold rose and fall when gold fell. Then came many revolutionary uses for silver in the medical field and the electronics field where demand is growing rapidly. Today, industrial uses account for 44% of worldwide silver consumption.

Still, silver has largely continued to be mined as a by-product of base metal mining with little need for solely silver mining alone, until now. Today, we find that the number of silver mines is growing fast as the metal can cost only around $4 per ounce to produce. At a current price of $36 this makes it a dream metal to mine. But it will take some time for silver mining to catch up to growing demand, a few years at least. While there are huge supplies of silver still untouched [whereas replacing the gold mined is getting an increasingly more difficult task] we do see the flow of silver supplies growing fast in the future. Eventually this will slow the rise in the price of silver to the pace of gold price rises. And yes, we may see a rapidly growing supply of silver from scrap or re-cycling sources in time, which may slow down demand in addition to rising supplies. But again, this will take some years still after which we will see a change in silver's price patterns.

Meanwhile, demand growth from not only the developed world, but from the emerging world should continue to outweigh such new sources of supply. The last year has been an eye-opener in the silver market as we watched China turn from a net exporter of silver to a net importer. China had gross exports of 1,575 tonnes of silver last year, down 58% from a year earlier. China's gross imports of silver increased 15% to 5,159 tonnes in 2010. In 2005, China was a net exporter of nearly 3,000 tonnes of silver. Last year, in 2010, China was a net importer of more than 3,500 tonnes of silver. Incredibly, Chinese net imports of silver surged four fold in just one year from 2009 to 2010. We fully expect this growth of demand from that source to continue in 2011 and possible for the next decade.
Demand for silver in China has risen sharply in recent months and years. Growing middle classes and savers in China, India and other Asian countries have been turning to "poor man's gold" and using silver as a store of value. Gold has risen above its historical nominal high in local currency terms internationally and silver is seen by many as a cheaper alternative.

OFFICIAL SELLING

For decades we saw ‘Official selling' of silver as three governments sold off their stockpiles of silver [that had once been the coinage of the land]. The three countries were India, China and Russia. Today there is a negligible amount of silver sold by these three previously large suppliers. Such a withdrawal of large supply lines has ensured demand outweighs supply. There is little likelihood of these suppliers re-appearing.

INVESTMENT DEMAND

- With that in mind investment demand has come in as a new source of demand. The main vehicle through which silver is bought for investment in the developed world is the Silver Trust (NYSE: SLV) which now holds 10,794.79 tonnes [347,063,746.900] ounces currently.

- While COMEX is not a physical market for silver [only 5% of the deals done there involve the movement of actual silver], the gradual drain of COMEX silver inventories seen in recent months continues and COMEX silver inventories are at 4 year lows. Total dealer inventory is now 1,311.35 tonnes [42.16 million ounces] and total customer inventory is now at 1,887.40 tonnes [60.68 million ounces], giving a combined total of 3,198.97 tonnes [102.847 million ounces].

- To an Asian investor with a limited amount of savings, silver is proving a more than credible alternative to gold. The price of silver has, this century, followed that of gold. It falls further and rises higher than the gold price, but goes up when gold does and falls when gold does. We believe it will continue doing so for the foreseeable future.

SILVER AS A MONETARY ASSET

Silver has been money since man's history began. History shows that it has always been linked to gold as coinage. Until 1946 even in the U.K., silver was used as coinage. The use of silver as money has now been withdrawn globally. It was from the stockpiles of old coins that the bulk of "Official" silver sales have only just been completed. It may well be that the monetary authorities of the world have no intention of using silver as money in the future. That does not detract from silver being used as an ideal retainer of wealth. Silver and gold will always be universally accepted as ‘giving a sense of stability of the money system' [quote from Alan Greenspan this week]. That's why it is being accumulated as an investment now. A look at the darkening future of the current monetary system reinforces the thought that these two metals will protect one's wealth.

We don't believe that central banks will go back into the silver market again, because they will not see silver as they see gold, as the ultimate form of money. It will remain such in an individual's mind as well. We feel that its price will continue to confirm that. We emphasize that in the cases of both gold and silver, a monetary role for them is not required to maintain the current high prices. [If monetary authorities called the sky green, it won't go green - at the end of the day gold and silver will always act the same way as money]

SILVER MOVING WITH GOLD

The silver price continues to move with the price of gold, not because they have the same demand and supply fundamentals or there is the same quantity of the metal available, but because investors and users perceive that the silver and gold prices reflect the state of the current global monetary system. Such co-ordinated movements are saying that both metals are not being priced themselves. They are both pricing the monetary system and its prospects, as they have done for millennia. The huge growth of the investment side of the two metals is confirmatory evidence of this.

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page32?oid=122489&sn=Detail&pid=102055

Silver's Amazing Price Rise

2011-03-11T10:23:00.000+08:00

The Silver Price continues to hit new 3-decade highs. Why...?

The PRICE OF SILVER is hitting new 31-year highs at $36.55 today in a more vigorous performance than even gold, writes Julian Phillips at the Gold Forecaster.

Many professionals in the Western world's precious metal markets feel amazed at the performance of silver, but see it continuing, too. Whereas others feel the Silver Price is running away with itself.

The current "backwardation" in silver – where 'spot' or immediate delivery prices are higher than for future delivery – has stressed just how much immediate demand there is for physical Silver Bullion. Clearly a physical shortage of the metal has arisen. Why?

There are two apparently conflicting roles for silver today. The industrial side of silver demand, currently thriving, is different to Silver Investment demand, which is also thriving and should continue to do so.

Overall, the fundamental outlook has favored large price rises in the metal. After the use of silver in photography was heavily lessened by the advent of digital photography, many thought that that was the end of silver, but its price continued to rise when gold rose and fall when gold fell. Then came many revolutionary uses for silver in the medical field and the electronic field where demand is growing rapidly. Today, industrial uses account for 44% of worldwide silver consumption.

Still, it continues to be mined as a by-product of base metal mining with little need for solely silver mining alone, until now. Today, we find that the number of silver miners is growing fast as the metal costs only around $4 per ounce to produce. At a current price of $36 this makes it a dream metal to mine. But it will take some time for silver mining to catch up to growing demand, a few years at least. While there are huge supplies of silver still untouched (whereas replacing the gold mined is getting an increasingly more difficult task) we do see the flow of silver supplies growing fast in the future. Eventually this will slow the rise in the price of silver to the pace of Gold Price rises. And yes, we may see a rapidly growing supply of silver from scrap or re-cycling sources in time, which may slow down demand in addition to rising supplies. But again, this will take some years still after which we will see a change in silver's price patterns.

Meanwhile, demand growth from not only the developed world, but from the emerging world should continue to outweigh such new sources of supply. The last year has been an eye-opener in the silver market as we watched China turn from a net exporter of silver to a net importer. China had gross exports of 1,575 tonnes of silver last year, down 58% from a year earlier. China's gross imports of silver increased 15% to 5,159 tonnes in 2010. In 2005, China was a net exporter of nearly 3,000 tonnes of silver. Last year, in 2010, China was a net importer of more than 3,500 tonnes of silver. Incredibly, Chinese net imports of silver surged four fold in just one year from 2009 to 2010. We fully expect this growth of demand from that source to continue in 2011 and possible for the next decade.

Demand for silver in China has risen sharply in recent months and years. Growing middle classes and savers in China, India and other Asian countries have been turning to "poor man's gold" and using silver as a store of value. Gold has risen above its historical nominal high in local currency terms internationally and silver is seen by many as a cheaper alternative.

For decades we saw 'Official selling' of silver as three governments sold off their stockpiles of silver (that had once been the coinage of the land). The three countries were India, China and Russia. Today there is a negligible amount of silver sold by these three previously large suppliers. Such a withdrawal of large supply lines has ensured demand outweighs supply. There is little likelihood of these suppliers re-appearing.

With that in mind investment demand has come in as a new source of demand. The main vehicle through which silver is bought for investment in the developed world is the Silver SLV Trust, which now holds 10,794.79 tonnes of Silver Bullion in trust to back its shareholders stock. While New York's Comex derivatives market is not a physical market for silver (only 5% of the deals done there ever involve the movement of Silver Bars), the gradual drain of Comex silver inventories seen in recent months continues, leaving them at 4 year lows. Total dealer inventory is now 1,311.35 tonnes, and total customer inventory is now at 1,887.40 tonnes, giving a combined total of 3,198.97 tonnes.

To an Asian investor with a limited amount of savings, Silver Investment is proving a more than credible alternative to gold. The price of silver has, this century, followed that of gold. It falls further and rises higher than the Gold Price, but goes up when gold does and falls when gold does. We believe it will continue doing so for the foreseeable future.

Longer-term, silver has been money since man's history began. History shows that it has always been linked to gold as coinage. Until 1946 even in the UK, silver was used as coinage. The use of silver as money has now been withdrawn globally. It was from the stockpiles of old coins that the bulk of "Official" silver sales have only just been completed. It may well be that the monetary authorities of the world have no intention of using silver as money in the future. That does not detract from silver being used as an ideal retainer of wealth. Silver and gold will always be universally accepted as 'giving a sense of stability of the money system' (quote from Alan Greenspan this week). That's why it is being accumulated as an investment now. A look at the darkening future of the current monetary system reinforces the thought that these two metals will protect one's wealth.

We don't believe that central banks will go back into the silver market again, because they will not see silver as they see gold, as the ultimate form of money. It will remain such in an individual's mind as well. After all, silver is also US $5 Silver Certificate universally accepted as a lesser value money. We feel that its price will continue to confirm that. We emphasize that in the cases of both gold and silver, a monetary role for them is not required to maintain the current high prices. (If monetary authorities called the sky green, it won't go green – at the end of the day gold and silver will always act the same way as money.)

The Silver Price continues to move with the price of gold, not because they have the same demand and supply fundamentals or there is the same quantity of the metal available, but because investors and users perceive that the silver and Gold Prices reflect the state of the current global monetary system. Such coordinated movements are saying that both metals are not being priced themselves. They are both pricing the monetary system and its prospects, as they have done for millennia. The huge growth of the investment side of the two metals is confirmatory evidence of this.

Source: http://goldnews.bullionvault.com/silver_price_030920115

Dividen Bank Rakyat 15%

2011-02-25T04:09:00.001+08:00

Source:http://utusan.com.my/utusan/info.asp?y=2011&dt=0225&pub=Utusan_Malaysia&sec=Ekonomi&pg=ek_01.htm
KUALA LUMPUR 24 Feb. - Buat tahun ke-12, Bank Kerjasama Rakyat Malaysia Bhd. (Bank Rakyat) mengumumkan pembayaran dividen sebanyak 15 peratus bagi tahun kewangan berakhir 31 Disember 2010.

Dividen itu membabitkan pembayaran sejumlah RM294.9 juta yang akan mula dibayar kepada anggotanya mulai esok.

Menteri Perdagangan Dalam Negari, Koperasi dan Kepenggunaan (KPDNKK), Datuk Seri Ismail Sabri Yaakob berkata, agihan dividen yang konsisten oleh bank itu hasil keuntungan sebelum cukai dan zakat Bank Rakyat sebanyak RM1.72 bilion.
Ia merupakan kenaikan sebanyak 10.8 peratus atau RM167.1 juta berbanding RM1.55 bilion pada 2009.

Pertambahan keuntungan itu dipacu oleh pertumbuhan pembiayaan terutama pembiayaan peribadi dan pendapatan berasaskan yuran serta kenaikan deposit.

''Bank Rakyat turut merekodkan keuntungan bersih sebanyak RM1.34 bilion berbanding RM1.13 bilion pada tahun sebelumnya,'' katanya pada sidang akhbar bagi pengumuman prestasi Bank Rakyat di sini hari ini.

Sementara itu, Pengarah Urusannya, Datuk Kamaruzaman Che Mat berkata, bank itu masih mengekalkan pemberian dividen sebanyak 15 peratus meskipun keuntungan meningkat.

''Kita akan membawa keuntungan yang diperoleh untuk menjana pendapatan pada masa depan,'' tambah beliau.

Kamaruzaman berkata, untuk tahun ini, bank itu mengunjurkan peningkatan pendapatan meningkat sebanyak 10 peratus, lebih rendah berbanding tahun-tahun sebelumnya.

Beliau menyifatkan pertumbuhan 10 peratus itu adalah kadar yang selesa bagi Bank Rakyat selepas mengalami pertumbuhan besar pada 2010.

''Unjuran yang dibuat itu adalah normal, tanpa ada sebarang ekstra dan kita jangkakan prestasi masih kekal kukuh sekiranya kadar faedah stabil,'' ujarnya.

Beliau berkata, pada tahun ini Bank Rakyat berhasrat untuk menambah lapan lagi cawangan sedia ada yang berjumlah 127 buah dengan membabitkan pelaburan sebanyak RM1 juta setiap sebuah.

Bank Rakyat juga merekodkan kenaikan pendapatan kasar sebanyak 24.3 peratus kepada RM4.70 bilion manakala pendapatan bersih selepas agihan keuntungan kepada pendeposit sebanyak RM3.05 bilion berbanding RM2.61 bilion tahun sebelumnya.

Pendapatan sumber pembiaya melonjak kepada RM4.04 bilion, yang mana 92 peratus atau RM3.71 bilion disumbangkan oleh perbankan pelanggan dan bakinya sejumlah RM323.9 juta melalui perbankan komersial.

Pendapatan berasaskan yuran juga bertambah sebanyak RM92.3 juta.

Jumlah aset meningkat sebanyak 22.3 peratus atau RM11.27 bilion kepada RM61.91 bilion berbanding RM50.64 bilion pada tempoh sebelumnya.

Jumlah deposit Bank Rakyat naik kepada RM52.49 bilion bagi tahun lalu dan kedudukan kecairan kekal kukuh pada kadar 27.3 peratus berbanding 25.2 pada 2009.

Dana pemegang saham Bank Rakyat juga meningkat kepada RM5.95 juta dengan bilangan anggota seramai 758,356 orang.
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Silver Shortage!?! - Cris Sheridan - Financial Sense

2011-02-11T09:21:00.000+08:00

If you're familiar with this site, you'd know that we've been long time advocates of precious metals. However, when clients begin to call in asking to sell their conservative holdings in order to buy as much silver as they can get their hands on, one has to wonder why the sudden alarm? Well, recently, rumors have been afloat all over the internet about a potential silver shortage, especially in 100 oz bars. Often when such sensational news stories like this go viral it's good to do a little digging and see how much truth there is to it before going into panic mode, liquidating your entire portfolio, and buying your weight in silver bars.

I spoke to Kathryn Derbes, CEO of KDerbes Precious Metals LLC, and asked her whether this was just hype or an actual cause for alarm. According to her, there weren't any current shortages in the silver market to speak of except for secondary-market specialty bars, specifically Engelhards, that haven't been manufactured since the late 1980s. Unfortunately, this small overlooked detail may have been the only source of all the news that's currently going around.

Also, Kathy related that dealers who bought 100 oz silver bars near the peak earlier this year would naturally be stuck with high-priced inventories that they'd be reluctant to sell and take a loss on—holding out, of course, until prices rise back to where they could make a profit. Thus, the apperance of a shortage may just be due to the unwillingess of dealers to sell at currently supressed prices unless they can make up for it with higher premiums.

All in all, whether or not this is the beginning stage of an actual silver shortage or just the natural course of doing business, time will tell. Fortunately, if you'd like to hear more about the current state of the silver market and what's really going on, Kathy will also be speaking on Jim's show tomorrow for a special interview regarding this very topic.

Sourcehttp://www.financialsense.com/contributors/cris-sheridan/silver-shortage

A Simple Shake Could Set Silver Free - Dr. Jeffrey Lewis - Silver Seek

2011-02-11T09:20:00.001+08:00

There is no more silver! Really, there isn’t any left.

There is a danger lurking in the shadows of the COMEX silver market. Prices are (generally) rising, but the supply of silver is falling, and it’s falling quickly. Why, you ask? Unfortunately, there has been confusion in the paper and physical metals market…as if silver investors hadn’t already noticed.

Silent Market in Control

With the rise in silver prices came new speculative interest from bankers, average investors, and even the next-door neighbor. The problem is very simple: the supply of silver for the investing class is imaginary—a product of the banking system and fractional reserve silver.

In order to supply investment demand, investment banks (JP Morgan and others) have been selling off paper silver in droves, hedging their bets on the futures market, and hoping that no one ever bothers to take delivery. It has become evident, especially in this most recent move toward $30, that the price of silver and the supply of silver are no longer related.

What we have now is a market where the real, physical silver is flying out of the COMEX (since few seeking to buy real silver are interested in certificates or exchange-traded funds), and the tangible stocks are replaced with paper silver.

What happens when the market realizes that the well is tapped, there is no remaining silver, and that the positions most hold are diluted to a point that they hold only a small percentage of what they believe they hold?

Future Surge in Silver Prices

It has become commonplace for analysts, investors and others to forecast higher and higher silver prices. These analysts, investors, and analysts are 99% wrong.

Most of them are playing the fool’s game, buying and selling paper silver to accumulate paper. The remainder sees opportunity for silver that brings silver prices higher, and they’re wrong as well.

Silver prices are not technically rising, but they’re becoming realistic. The current pricing structure is dependent on a supply of silver that does not exist. When this realization comes to life, silver prices will rise, but in truth, prices have already exploded.

Those trading the COMEX are paying $25-30 for the CHANCE at taking delivery of an ounce. If we put the current, real supply of silver at 10% the open interest, then prices are already $250 per ounce.

How Disconnects Happen

In a previous article, we discussed the divergence and growing crevices in the silver market. Prices from the COMEX trickle to the NYSE where the SLV ETF is traded, which then trickles back to the futures market, and then to the average investor, who through his or her own market action, sends that information down to the retail coin shop. Thus, the physical markets on the local level are selling silver based on a price that flows from a crooked market. Is it any wonder demand is high, and supply (individual investors are the only ones who can actually prove ownership) is shrinking? I think not.

Source: http://news.silverseek.com/SilverSeek/1296169564.php

Chinese Silver Buying Just Beginning - Dr. Jeffrey Lewis - Silver Seek

2011-02-11T09:06:00.000+08:00

Just a few decades ago, China the Giant was barely a mortal. It produced most of what it consumed, and the corporate mega-producers installed during the darkest days of Asian freedom and democracy produced all the commodities the country might need within its own borders.

One such commodity was the one we all love: silver. In fact, China produced so much that it couldn’t use all of it, nor was it interested in holding onto the metal. The country was a net exporter until four years ago, when at the height of the most recent credit bubble, net imports materialized. Today, China consumes more silver than it ever has in history.

It’s not that China isn’t still producing silver—it is, but it’s consuming and hoarding more of it. Through 2010, net imports increased some 15%, while exports fell by nearly 60%. Such a fast swap from exporter to importer means additional strain on the silver markets. From 2009 to 2010, total net imports surged three hundred percent in just one year.

Demographic Complexity

Of the more than one billion people who live in China, most live at or near poverty, while only recently a select few have been moving to middle class. While the number of people advancing through society in raw percentage terms is declining, the number of people who are achieving greater purchasing power is exploding in nominal terms.

If, for example, only 5% of the Chinese population were to rise to the ranks of “middle class,” it would be the equivalent of one out of five Americans doing the same. Such an increase is mild, to say the least, but it commands even more from an already limited silver market. Imagine what happens when many millions or even billions of newly middle-class Chinese demand cell phones, personal computers or other electronic devices. Each contains silver, and each is a hot commodity in the developing world.

Rising Middle Classes

As has been covered previously, not all of the new demand is purely consumption. As gold continues its rise, silver is slowly becoming the new “poor man’s gold,” a trend that appears not only in the developing world, but in the developed world as well. In fact, it is becoming increasingly common for jewelry to contain diluted gold to reach consumer-level price points. What are jewelers using for such dilution? Silver.

Asian societies, governments, and populations have always had respect for gold and silver that is perhaps unmatched by any other geographic region. For centuries and for many millennia, gold and silver were used exclusively for trade, as a currency and store of value. Even through modern times, gold and silver are appreciated for their beauty and significance of wealth.

It would be wise to expect that any net increase in tangible wealth in the Asian markets will be met with nearly equal shifts in the consumption or savings of precious metals. Timing is of the essence here. With both India and China expected to achieve nearly double-digit growth rates, many millions more people are soon to join the growing class of silver stackers.

Source: http://news.silverseek.com/SilverSeek/1296784269.php

The Rarest Earth - Theodore Butler - Silverseek

2011-02-11T09:04:00.000+08:00

Those who keep up with business news will have no doubt read about the recent developments in the category of minerals known as rare earth elements (REE’s). These are minerals that are vital to modern industrial applications, ranging from lasers, batteries, alternative energy, and superconductors to all sorts of important high-tech applications. There are 17 minerals classified as REE’s with exotic names like scandium, yttrium, lanthanum, cerium, and praseodymium. Don’t worry, this is not a technical discussion and this will probably be the only time I write about rare earth elements.

Actually, these minerals are not all that rare, in the strictest sense of the word. Many are quite abundant in the earth’s crust. What makes them rare is that they are generally not concentrated in ore bodies offering economically feasible extraction. The first rare earth mineral was discovered around 1800, in a village in Sweden named Ytterby, and several REE’s are named after that village. Up until about 1950, most rare earth production came from India and Brazil. In the 50’s, South Africa was a big producer, then California took the lead from 1960 through the 1980’s. Then, China came to be the dominant producer by far, and currently produces 97% of world production.

Due to booming world demand, production has strained to keep pace. This was recently exacerbated by China’s new export restrictions, due to falling ore reserves and environmental concerns. This sent the price of rare earth elements soaring by hundreds of percent, prompting a world-wide effort to ramp up production. However, you just don’t flip a light switch and begin new mine production. It can take years to develop a mine and begin production. In the meantime, industrial consumers must compete for available supplies by bidding up the price. This is the essence of the law of supply and demand.

Since I’m not a REE expert why am I writing about them? The answer has to do with silver. Silver shares many characteristics with the rare earth elements and there is a lot to learn from them in our analysis of silver. In fact, the purpose of this article is to make the case that silver is the rarest of all the rare earth elements.

One of the common characteristics between silver and the rare earth elements is that many REE’s are mined in conjunction with other minerals, the same as silver with its by-product mining profile. Mining for both tends to concentrate on the easiest to exploit properties first. Consequently, the remaining properties tend to be lower-grade and more expensive and difficult to develop. Both silver and REE’s have seen the emergence of China as the chief producer of each. (In the case of silver, the production reliance includes the processing of scrap material not mined in that country.) Silver production from China is nowhere near 97% of world production, as it is in the rare earth elements, but it still is significant. Environmental issues and restrictions inhibit the production of both silver and the REE’s. And with both, higher prices don’t automatically guarantee immediate new production. For instance, last year on an 80% increase in silver price, the mine production of Peru (the world’s largest miner) declined 7% or 12 million ounces. That’s a million silver ounces less per month than from a year earlier. Recently, the price of REE’s skyrocketed, due to China’s sharply curtailed exports. Should any major silver producing country sharply restrict the export of silver, the price would soar.

In most industrial applications, there is a small, but necessary amount of silver and rare earths used which is resistant to substitution. The chemical properties of silver and rare earth elements are usually unique in the specialized industrial applications which mandate their use. Generally, the consumption of silver and rare earth elements is price-inelastic, meaning sharply increasing prices of each do little to discourage consumption, due to the lack of substitutes. As was seen recently in the rare earth elements, the industrial users panicked when the supply was curtailed. This will also happen in silver, as I have long predicted.

Where do I get off with the statement that silver is the rarest earth element of them all? This point is the easiest of all to make and should prompt you to rush out to buy silver immediately. What separates silver from the REE’s is the one stark factor which is unique to only silver. You can actually buy and hold silver in its purest elemental form, unlike other rare earth elements. Try calling some dealer to invest in pure yttrium, or promethium or gadolinium. And if by some miracle you can find someone to buy from, try to imagine how you could possibly sell or determine a fair price?

The thing that separates silver from all other REE’s is that you can invest in it directly. Sure, you can buy stocks in companies that mine silver or REE’s, but only silver has the dual role of basic investment asset and industrial material. That’s what makes silver the rarest of the rare. What separates silver from any other natural resource is thousands of years of primal attraction, held by man as a form of wealth, and simultaneously a vital and strategic industrial material necessary to modern life. It’s just not practical for the average investor to buy a pound of a rare earth, a barrel of oil, or a bushel of corn for investment purposes. I suppose a case can be made about investing in platinum or palladium, both important industrial metals, but there has never been any evidence of a world-wide rush to buy these metals as there has been in silver. Buying or selling an ounce or a pound of actual silver is as easy as falling off a log. The United States Mint sells Silver Eagles by the millions of ounces every month. And while many invest in gold, it doesn’t have that investment asset and industrial material dual role unique to silver. That’s what makes silver so rare.

The amazing thing is how few of the world’s potential investors appreciate the uniqueness of silver’s rare dual role. The ease of investing in silver is taken for granted by the world. Just a few decades ago, silver was in common coinage. This explains why people have difficulty comprehending how such a formerly abundant material could be considered rare today. How many people know that world silver stockpiles are down 90% since 1940? That’s precisely what creates the investment opportunity of a lifetime – seeing something before the crowd.

It seems preposterous that a material like silver, which the common man carried in his pocket for bus fare or a newspaper could somehow transform itself into a rare material about to enter into a profound shortage. That shortage is virtually guaranteed by silver’s unique dual role. The coming rush into silver by investors seeking profits and industrial users looking to stockpile a vital manufacturing component makes a shortage almost certain. There is no way production can ramp up nearly as quickly as the combined force of investment and user demand.

For all intents and purposes, silver has been the best investment over the past decade. Those investors who studied the facts objectively and bought silver, have reaped multiples of their original investment. Silver will likely be the best investment of the next decade as well. Those who study the facts and act on them by buying silver will be generously rewarded. There is no way anyone can turn the clock back to single digit silver. Those days are long gone. But in some ways, the more exciting time lies ahead.

Ten years ago, it was difficult to convince people to buy silver. The stock market was flying high and real estate was just entering a major bull market. Crude oil was sliding towards $20/barrel and most commodities were flat. Silver was under $5, gold under $300, and the term rare earth was mostly unknown. Anyone investing in natural resources needed to have their heads examined. Even though silver was in a deficit consumption pattern, there was little interest in buying it as an investment.

Today, things are different. Natural resources are more widely appreciated, in light of burgeoning world populations and the growth in living standards. Now it is a question of which natural resource will experience the next supply and demand crunch, rather than will there be any crunches.

In the last decade, silver rose due to the cumulative effect of a 60 year deficit and the start of net investment demand. This decade, it will be investment demand driving silver higher, along with the end of the short selling manipulation. This termination appears underway. Thanks to great price performance, more investors will be drawn to silver. Thanks to the Internet, a great manipulative force that restricted the price cannot last much longer. While it may be hard to achieve the 7-fold increase in price from the extreme lows of ten years ago, the gains will still be spectacular and should come quickly. At some point the buying momentum will overwhelm those shorts trying to hold back the tide. The big shorts look tired of the manipulation and appear ready to stand aside on the next big rally.

How many neighbors and friends and relatives and fellow citizens do you know that have made a serious investment in silver? I doubt you can discover one in a hundred, or one in a thousand. Despite the impressive price gains over the past 5 or 10 years, silver is still vastly under-owned and under-appreciated. The investment flows into silver, compared to any other investment class, have been tiny. However, the amount of real silver available for investment is so small that the small investment flows to date have been sufficient to power silver higher. As more investors become aware of the silver story, the money coming into silver will only increase, propelling the price to levels once thought impossible. Importantly, the money flowing into silver appears to be for physical buying and not margin. Bubbles only occur when people are so enamored of an investment that they recklessly borrow to buy as much as possible. We’re a very long way from that in silver. That’s yet to come.

There are now $2 trillion in assets in hedge funds (the pre-financial crisis levels). This is hot money that comes into any promising investment theme in a flash. It is big money, always on the prowl for a good investment idea. To my knowledge, there has been no rush yet into silver by the hedge fund sector. Remarkably, silver recorded an 80% gain last year and a 170% gain over the past two years with no visible participation from the biggest and hungriest investors of all. There is no doubt in my mind that before the silver price saga is finished, the hedge funds will have come into silver in a big way. If silver can climb 80% and 170% without them, what can it climb with them knocking down the doors to get in? The silver story is just getting out. Please take the time to study the facts and act before the big surge.

Source:http://news.silverseek.com/SilverSeek/1297276845.php

Buying Silver While It’s Still Relatively Cheap - SilverSeek

2011-02-11T08:59:00.000+08:00

Richard Daughty, The Mogambo Guru

James Cook of InvestmentRarities.com reminds us, in his “Market Update” newsletter, that the silver inventory held above ground totals 1.4 billion ounces, and that annual industrial use of silver is 900 million ounces, so that a year and half’s worth of silver exists, “although a third of it is destined for industrial consumption,” which has been increasing its use of silver by 18% in 2010.

And it surely will be used in industrial consumption, because as Mr. Cook says, “it’s hard to fathom all the bullish aspects credited to silver. You have a rare metal used in so many important industrial applications as to be termed miraculous,” so much so that “the billions of ounces mined over 2,000 years are gone forever.”

In fact, I am considering raising money to launch a Discovery Channel special, which will be a revealing new documentary that blows the lid off the explosive situation in silver, beginning with how things would have been worse a long time ago if the Neanderthals had invented electrical generation and a distribution network, both silver-consuming, 100,000 years ago.

And ditto those Renaissance hotshots who everybody thinks are so hot, but couldn’t even come up with a good cell-phone, or how Thomas Edison can invent a light bulb and the phonograph, but not take the logical next step of inventing the CD and CD player, which would have produced much better sound quality than those stupid, scratchy, tinny wax cylinders of his.

Now, as interesting as all this is, it is not enough to enthrall us because we have such short attention spans, but as soon as we say, “Bah! Show me how to make money on it!” and reach for the remote control with which to change channels, our ears prick up in sudden rapt attention when he says, “The disappearance of this hoard should have sent the price to much higher levels. It didn’t.”

This seemed so odd that Theodore Butler went to “track down the reason” and, as I understand it, discovered the gigantic short futures position in silver, and all of that slimy, illegal rigging of the silver futures markets, and by extension, all the rigged markets, and all of it made possible only because the foul Federal Reserve created the excess money to finance it all! Hahahaha!

Of course, rigged markets are nothing new, and again our interest wanes, and soon we are beginning to think of pizza, and our stomachs gurgle, “BurrRRRrrRRrrRRp!”

This was unfortunate, because while we were distracted, we almost missed the whole point, which is making a lot of money without working. And on that subject, the aforementioned Theodore Butler writes that JP Morgan, apparently the biggest naked short-seller of silver futures and thus the biggest price suppressor, looks like it has decided to get out of the business of depressing the price of silver by creating and selling so much “paper silver” futures out of thin air, and has unexpectedly “covered roughly 4,000 contracts in the past month and 8,000 contracts in the last two months, the equivalent of 40 million ounces” of silver.

Familiar with the explosive results of suppressed prices that stop being suppressed, I am beside myself in Greedy Mogambo Glee (GMG) in anticipation of silver shooting to the moon, and I am humming the tune “We’re in the money! We’re in the money! We got a lot of what it takes to get along!”

Mr. Butler, who is much more professional than I, calmly and cautiously opines that “This holds profoundly bullish implications for the future of silver prices,” which may have something to do with the fact that covering a naked short position when the price of silver is rising means taking a loss, and, “In the history of the silver manipulation going back to 1983, never has the big concentrated silver short ever covered shorts on rising silver prices.”

I am always impressed with the use of the word “never,” probably because of that time when I was young and full of hormones, when I asked Debra Sue, the hottest girl in the tenth grade and who knew it, too, to go out with me, but she pretended not to hear me, but who told her friend Jessica, who told her friend Mary, who told her boyfriend Bob, who was my friend, who told me that Debra Sue said she would never – never! – go out with me because she thinks I am “icky.”

Sure enough, she never did go out with me! Or even acknowledge my existence, for that matter, except to once say to me, in the hallway outside of the chemistry lab, “Get out of my way, creep!”

That girls think I was creepy is not interesting, not surprising to anybody, but probably the most interesting fact about silver is that it is “used in tiny amounts in its multitude of applications. This makes much of its usage insensitive to price.”

If you are not sure what being “insensitive to price” means, imagine that you are the CEO of a company manufacturing Mogambo Hair-Growing Machines (MHGM) under license from Mogambo Interstellar Enterprises (MIE).

In the course of production, you use one ten-thousandth of a cent of silver per unit, meaning that you use 10 cents worth of silver a day to make a full day’s run of 100,000 units, most of which are defective because my design is bad and I insist that you use the cheapest and shoddiest of materials and labor so as to keep profit margins high enough to make the most money on the front-end before people find out what a worthless rip-off my stupid hair-growing machine really is, and people stop buying the damned things because word gets around that they don’t work.

In my defense, the business plan looked good on paper, but my lack of ethics as the price of greed is neither here nor there, and the point is that you are “insensitive to price” if the price of silver doubles to 20 cents a day. “Ho-hum,” you would say, unconcerned about such a trifle.

And you don’t care if the price triples to 30 cents a day, either, as would be evidenced by another bored “ho-hum” were you even told of this trifling news.

Ditto if the price quadruples to 40 cents a day, or quintuples to 50 cents a day.

And you don’t even care if the price of silver goes up by a thousand-fold to cost you $100 per day, even though there will plenty of people who will care if the price of silver is $29,000 an ounce!

And now with China, a third of the world’s population is going to want electrical and electronic things that all must have silver in them, insensitive to price as those things are, the upper end on the price of silver is so hard to imagine that I don’t even try, and I just buy it now while the price is still ludicrously low.

Whee! This investing stuff is easy!

Source:http://news.silverseek.com/SilverSeek/1297148400.php

Silver to outperform gold in 2011 - Eric Sprott - PDF Print E-mail Mineweb

2011-02-11T08:56:00.001+08:00

Eric Sprott believes that silver is likely to be the investment of the decade and could easily get to $50 per ounce by the end of the 2011
Author: Marc Davis
Posted: Tuesday , 08 Feb 2011

VANCOUVER B.C. (WWW.BNWNEWS.CA ) -

Silver promises to become the next big buzzword among investors in 2011 and beyond, according to one of the investment industry's most prescient and successful experts on precious metals.

Eric Sprott is the founder of the Toronto-based investment firm, Sprott Asset Management LP. His renowned hedge fund, Sprott Hedge Fund LP, is heavily weighted in precious metals and has generated an estimated 23% annualized return over the past decade. Other similarly oriented funds under his stewardship have also been stellar performers in recent years.

He's now so bullish on silver that he launched the $575 million Sprott Physical Silver Trust in November of last year as he believes that: "Silver will be the investment of the decade."

"I think that silver could easily get to $50 this year," he tells BNWnews.ca.

This all bodes especially well for publicly traded companies that are already mining silver, he says. Likewise for ones that are developing primary silver deposits or gold deposits with plenty of silver as a byproduct.

"If the price of silver continues to go up, silver stocks are going to perform even better," Sprott adds.

Meanwhile, Sprott says the big catalyst for surging silver prices in the coming years will be exponentially increasing investment demand, which is already beginning to overwhelm existing silver supplies. The mining industry only produces around 800 tonnes of silver per annum. This is a relatively inelastic supply, regardless of silver prices, he adds.

As household investors are becoming increasingly jittery about the debasement of the U.S. dollar and other major currencies, they are loading up in record numbers on silver bars, coins and silver-denominated exchange traded funds, Sprott says.

However, there's also a quantum shift in investment demand taking place among big players in the precious metals market, including India (which is aiming to increase its imports by about 77 million ounces per annum), and of course China.

"China's net imports of silver were 112 million ounces last year. In 2005, they were net exporters of 100 million ounces," he says.

"That's a 200 million ounce shift in an 800 million ounce annual market that seldom ever grows because production hardly ever goes up. So where's it all going to come from? We don't know."

In fact, silver promises to outshine gold over the coming years, Sprott says. "Silver is the poor man's gold. Gold has had a great run for the past 11 years. But I absolutely believe that silver will outperform gold this year. Currently, there's more investment dollars going into silver than into gold."

Such a game-changing scenario should recalibrate the gold to silver pricing ratio in silver's favor, thereby eventually restoring it to its traditional level of about 16 to 1, he says. "It's the easiest call of all time."

"Silver as a currency always traded in a ratio of around 16 to 1 compared to gold, when it was a currency in the U.S. and the U.K. The current ratio is 48 to 1. If we go back to a 16 to 1 ratio, the implied price for silver would be $85.62 (per ounce)." he adds.

"On that basis, if gold goes to $1,600, then that would value silver at $100. And we certainly think that gold is going to $1,600. In fact, I'm willing to bet that this ratio will overshoot on the downside. It might even get to 10 to one."

The only reason why silver is still trading at a 48 to 1 ratio to bullion's spot price is that its price is being "manipulated" by big banks, Sprott says. That's because they don't want precious metals to become a popular alternative currency to Fiat money (currencies that are not backed by hard assets).

"Then there's also a huge short position out there on silver," he adds.

But time is on silver's side, he says, as the sovereignty debt crisis deepens in Europe and a continued policy of qquantitative easing in the U.S. continues to undermine the value of the greenback.

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page103855?oid=120073&sn=Detail&pid=102055

Dividen Tabung Haji 2010= 5.5%

2011-01-29T22:24:00.001+08:00

Source:http://www.bharian.com.my/bharian/articles/BonusTabungHaji5_5peratus/Article
2011/01/28
KUALA LUMPUR: Lembaga Tabung Haji Malaysia hari ini mengumumkan pembayaran bonus 5.5 peratus bagi 2010 berjumlah RM1.33 bilion.

Pengerusinya, Tan Sri Abi Musa Asa'ari Mohamed Nor, berkata peningkatan pembayaran bonus 24 peratus itu adalah berikutan prestasi kewangan yang lebih baik Tabung Haji pada tahun lalu.
"Kadar bonus pendeposit Tabung Haji adalah kompetitif memandangkan profil pelaburan Tabung Haji adalah terhad kepada pelaburan berlandaskan Syariah
sahaja.

"Namun begitu, Tabung Haji masih berkemampuan memberikan tambahan 0.5
peratus daripada kadar bonus 2009 sebanyak 5.0 peratus," katanya semasa
mengumumkan bonus pendeposit Tabung Haji 2010.

Beliau berkata, Tabung Haji masih menawarkan pulangan yang lebih baik jika dibandingkan dengan kadar pulangan daripada akaun tetap perbankan Islam.

Sumber-sumber utama pendapatan Tabung Haji bagi 2010 adalah daripada
pelaburan ekuiti, yang telah menyumbang sebanyak 65 peratus, di mana 19 peratus
adalah pendapatan dividen dan 46 peratus adalah keuntungan urusniaga saham.

Penyumbang kedua terbesar adalah dari pelaburan sekuriti hutang terutamanya
bon Islam, yang telah menyumbang sebanyak 10 peratus.

Abi Musa berkata, keuntungan selepas zakat Tabung Haji bagi tahun 2010 juga
telah menunjukkan kadar pertumbuhan yang baik dengan perkembangan 34 peratus
berbanding 2009.

"Tabung Haji memperuntukkan pembayaran zakat perniagaan RM41 juta bagi 2010
berbanding dengan pembayaran zakat berjumlah RM39 juta pada 2009," katanya.

Beliau berkata, baki dari keuntungan 2010 selepas pembayaran bonus pendeposit, iaitu sebanyak RM164 juta akan dimasukkan ke dalam rizab Tabung Haji.

Dengan sejumlah RM153 juta yang telah dibawa ke hadapan pada tahun 2010,
jumlah rizab terkumpul Tabung Haji bagi tahun tersebut adalah sebanyak RM317
juta.

"Dalam keadaan ekonomi yang mula menunjukkan kesan-kesan pemulihan,
pengukuhan rizab perlu diberi keutamaan bagi mengelak faktor ketidaktentuan
luaran yang sentiasa akan mendatangkan kesan kepada institusi pelaburan seperti
Tabung Haji," kata Abi Musa.
Sementara itu, mengulas mengenai pembayaran bonus pendeposit Tabung Haji,
Pengarah Urusan Bank Islam Malaysia Bhd Datuk Seri Zukri Samat berkata ia
membuktikan bahawa Tabung Haji merupakan salah sebuah syarikat pelaburan
berkaitan kerajaan (GLIC) yang berjaya merangka formula pelaburan yang berkesan.

"Walau pun dalam keadaan ekonomi yang masih mencabar, Tabung Haji berjaya
mencatat pendapatan melebihi RM2 bilion bagi tahun kewangan 2010.

"Pembayaran bonus yang kompetitif setiap tahun oleh Tabung Haji menjadikannya satu organisasi yang berdaya saing," katanya. - BERNAMA

Silver IS The New Gold - Ryan Jordan - Financial Sense

2011-01-27T09:46:00.001+08:00

Source: http://www.financialsense.com/contributors/ryan-jordan-silver-is-the-new-gold

A Popular Delusion Called Cheap, Industrial Silver

From the beginning of the financial crisis in 2008, contrarian investors began murmuring about getting into gold and short term Treasuries. It was almost a mantra: gold and Treasuries… gold and Treasuries. Something missing? There certainly was from the perspective of the silver bugs. But the conventional wisdom, among goldbugs at least, was that silver was a mere “industrial metal” that would easily drop in a weak economy. And those who referred to silver as an “industrial metal” seemed to be backed up by the COMEX exchange in 2008, where the price of silver was basically cut in half, from twenty dollars to below ten. This takedown may have seemed justified at the time because the super rich were not loading up on bulky thousand ounce bars of silver, but smaller, more portable, easily stored amounts of gold. Silver was left out, ignored, shunned, and that seemed to be just the way the market worked.

I remember thinking in the fall of 2008 that part of this push into gold and Treasuries really was motivated by memories of what people did between 1929 and 1932. You see, the last time we had a Depression “gold and Treasuries” was the common sense move to protect assets. Silver in 1930? Silver was practically a base metal, it was in the coinage you used to buy a hot dog. Remember that at the depths of the Depression the mine supply of silver was nearly 5 TIMES the domestic US demand for both industry and coinage!! Things were so bad for silver that western Senators demanded that the U.S. prop up the silver price after it dropped to under 50 cents an ounce! Needless to say, few Americans in the last Depression thought of silver as the go-to monetary metal to protect wealth against a shattered banking system.

Fast forward 45 years and the view of silver as an abundant, cheap industrial metal would be further reinforced in the aftermath of Silver Thursday in 1980. This is because the price spike in the mid to late 1970s was not coming from industrial demand- that peaked about six years earlier, in 1974. Rather the price surge was coming from the Hunt Brothers’ Corner on the COMEX: in other words, investment demand. All that was needed was for the COMEX to change the rules on the Hunts- a kind of capital control against the longs- and the price collapsed. As the price collapsed over 60% in the 1980s (with the help of government dishoarding), and as mine supply increased, once again the perception continued that silver was some sort of easily extractable, base metal. Gold was the money of the bankers- “he who has the gold makes the rules” was the tried and true saying. Silver? A distant second as far as those trying to insure their assets were concerned.

Suffice to say, most people in the investment world have been conditioned to believe that a silver shortage is impossible, in addition to being fixated on gold as the only insurance you need for your portfolio. This is the power of recent history, of the language that is used to describe silver (its industrial), and a view that is still encouraged by some gold dealers. While I haven’t done a poll, I would bet many in the gold industry assume that a genuine silver shortage for industrial purposes is highly unlikely. This perception is largely reinforced by the major world market maker in the white metal, the COMEX division of the New York Mercantile Exchange.
COMEX and thin ice on the Hudson

In my mind, the COMEX is simply a warehouse and storage center for silver. A large warehouse, yes, but a warehouse that is, frankly, living off of its former glory: once the exchange legitimately had access to hundreds of millions silver ounces that could be sold, but now it likely has less than 50 million ounces for sale (this data is almost a year old), or about 1.5 billion dollars. And given the lack of government stockpiles, and how little new mine supply goes into bullion, this 50 million ounces is in many ways irreplaceable. (I will address jewelry and silverware stockpiles below). To further show how small this 50 million silver ounces number is, the COMEX has less silver for sale than is stored by a well-known gold and silver closed-end fund, the Central Fund of Canada (the COMEX also has much less silver than the SLV ETF, but I realize many question what this ETF actually has under its direct control.) So why does the COMEX have such sway in the silver market? Because the COMEX enables big players to buy on paper, with big leverage- I guess what they call “liquidity” in the world of finance. On any given day the COMEX trades millions and millions of these paper “ounces” of silver. The vast majority of these contracts are not settled in physical silver- it is impossible to do so! But the volume of money passing through and over this silver warehouse is what makes the COMEX the alpha dog, the leader of the pack in terms of setting the world price in silver.

But in this era of uncertainty regarding our financial system, the paper leveraged nature of the COMEX leads many to question its viability as the world market maker in silver. Because at the end of the day, the paper game played on the COMEX demonstrates how floating exchange rates allow for the irresponsible mispricing of important strategic and industrial assets like silver (but the list could be included to other commodities.) Worse, there is a motive for banks in league with the Federal Reserve to use as many of their Federal Reserve Notes to play the short side of the paper game, even though these banks know full well they could not deliver on what they are selling short. But banks likely play this game to maintain the image that the fiat dollar is doing just fine: large price moves higher in gold and silver are a warning light regarding the end of the fiat dollar. However, the lower the silver price is kept by large banks and their naked short positions, the more silver is consumed in spite of a tightening physical market. The silver paper market, in other words, is completely and totally disconnected from the realities of supply and demand on the ground.

The casino-like quality of this paper market is related to the fallacy that you can just print more and more money and not have incredible shortages erupt in goods that cannot be printed. We are already seeing shortages for real things in places like Tunisia- we all have to wonder how long before these kinds of shortages come to the western world. But the FED is convinced that it can solve the employment problem with cheap money, and will continue to pretend the looming inflation problem does not exist. And the FED is not only showing disregard for poor people whose budgets are easily consumed by food increases. The callous attitude of the Federal Reserve System also extends toward the holders of capital- epitomized with the zero percent interest rate policy. This attitude is an expression of the fallacy that the holders of capital will always be relied upon to invest capital into risk taking ventures such as mines or other productive enterprises. This is a very dangerous, stupid assumption. What if those holders of capital feel abused by the banking elite and government authorities and refuse to take the risks necessary to provide the resources needed for the American economic model of growth at all costs? And what if those holders of capital decide to put their money into something unprintable- like silver? So, in my mind, the COMEX is one more, very important symbol of an unsustainable economic and monetary model. The implications of the COMEX running out of silver, or trying to institute capital controls when it fears a run on silver, could not be more bullish for the holders of the white metal.

For now, though, the COMEX price is generally honored by dealers. Yes, there are premiums for small amounts of silver, but there are not yet significant premiums for larger bars of silver. There are hundreds of thousands of major bullion dealers who aren’t big enough to rock the boat of COMEX pricing- at least not yet. But what happens if the silver inventory at the COMEX keeps dropping- irreplaceable inventory as far as I’m concerned- and all the leveraged paper players try to convert their paper into silver. If there are eighty more paper contracts settled in paper for every one settled in bullion, you get the idea what will happen when the other 79 try to rush into a silver market where the silver does not exist. In other words, the COMEX is susceptible to a bank run.

This is an important point: the silver market does not need any new “investors” for the price to go higher- it simply requires people holding paper silver (which is plentiful) to try to convert it into physical (which is scarce).

Although the physical scramble could occur by the populace who do not deal with the COMEX, at this point it is much more likely to be initiated at an institution such as the COMEX. When capital controls are put into place at the exchange to end the delivery of silver bullion to investors, there will be hundreds of billions of dollars trying to land on a pile of silver outside the exchange in the single billions of dollars. At some point, some of the estimated 20 billion ounces of jewelry and silverware may come into the market, but likely only at much higher prices. Think about it- how much does women’s silver jewelry cost when compared to its scrap value? In other words, silver prices will have to launch significantly higher before this jewelry comes out of hiding. And then, I predict, the Silver Users Association will make sure that it gets first dibs on what is being scrapped, leaving investors in the cold. Quite possibly, silver in coin and bullion will never be as plentiful as gold coin and bullion, even though some people still claim that there is some large overhang of silver which could make the amount of silver bullion equal to that of gold.
The trend is your friend

As a final point of fact, the above ground stockpile of silver- around 22 to 25 billion ounces and mostly jewelry and silverware at this point- has not changed much over the last half century. (Mind you, at the moment less than 1 billion are silver coins or bullion.) However, the above ground stockpile of gold has grown substantially from under 1 billion to nearly 7 billion ounces over the same time frame. Beside the fact that the above ground ratio of all silver to gold is less than 4 to 1 (and not 50: 1 as currently expressed in the price), the trend in physical gold and silver is clearly toward parity, or at least something close to it. And yet here we are with silver having recently “corrected” in price to a mere $27.50 an ounce, while gold is $1350. Silver- which could one day get awfully close to the price of gold- remains very much a screaming buy.

When Will Silver Prices Explode?-Jason Hommel-SilverSeek

2011-01-17T01:49:00.001+08:00

Posted 30 August, 2010
(ANYTIME!)
Silver Stock Report

Many analysts and investors try to guess when silver prices will explode. They make these guesses based on the charts, or even by the fundamentals like I do. I pointed out the fundamental supply and demand numbers in my last article, "1% of 1%".

The Tiny Silver Market attracts 1% of 1%, or $1 out of every $10,000 in the US Banking system, each year.

By the time 1% of paper money tries to buy silver in one year, there will be 100 times as much investor buying of silver as today, which will be about $180 billion trying to buy only 750 million ounces of annual world production, which implies a silver price of about $240/oz., or perhaps higher.

1% of 1% August 23rd, 2010 (The Silver Market is tiny, tiny, tiny!)

That article led Al Korelin and Steve Carr to call me up for a 13-minute radio interview on the Korelin Economics Report. See here:

http://kereport.com/weekendshow/weekendbt-aug2810-seg1.html

Please listen to that radio segment; it's very powerful information.

The silver fundamentals are so great, and the silver market is so small, that at any time, the silver price can double, up from about $18-19/oz. now, to about $40/oz.

How can silver prices double at any time?

Because there are over 1000 individual billionaires in the world, and each one of them could cause silver prices to double overnight by attempting to exchange over valued assets for undervalued silver. How can any analyst predict when any one of 1000 people may decide to act? And it is impossible, IMPOSSIBLE, to tell in advance, when a single buyer will try to buy silver in such quantities and urgency that it would move up the price by up to 100% over a few days. Unless you know such a billionaire personally, and unless he or she tells you, in advance, of his trading moves, which wealthy people don't usually do.

For example: The current silver market is dominated by industrial demand, with very little investor demand, for a total of about $10 billion of new silver per year. Most of industrial demand is price inflexible, since the amount of silver used is a very little cost compared to the final item. We might assume that some, but not all, of current demand might wait or delay purchases due to higher prices, but also, higher silver prices might attract additional investor demand, as investors these days are more attracted to rising price trends than they are to excellent fundamental reasons to buy. Also, higher prices may cause panic stockpiling by other industrial users who might wish to lock in lower prices, or secure enough supply in a tight market. Therefore, an additional $1 billion of new buying, over the course of a year, could cause the silver price to move up by much more than 10%. But if a billion dollars tried to buy silver within a month's time, then that impact, if looked at as if it were to be annualized, that would look like another $12 billion was trying to enter the market, and thus, the silver price might move up by more than 100% in a month!

Here's another way to look at what $1 billion of silver buying within a month would do to silver. Currently, we have about $1.9 billion per year of investment demand buying 100 million oz. of silver, which works out to $158 million in a month. $1 billion buying silver within a month would be 6.3 times more than the current silver investment demand.

Therefore, it is impossible to know exactly when silver prices will explode. And there's really no need, is there? All we really need to know, is that silver prices are highly explosive, which is great if you own silver!

Well, I suppose there is another way to tell if, or when, silver prices will explode. If you gave me the personal email addresses of all 1000 billionaires in the world, and if I sent them all my article from August 23rd, you could easily bet that the silver price would be likely to double within a week. But it's not likely that I'll get that email list.

Oddly, the silver price has gained about $1/oz. since my last article on the 23rd, which is when this latest rally began.

1% of 1% August 23rd, 2010

http://tinyurl.com/252xx5o

Bloomberg wrote: " Silver has outperformed the yellow metal since Aug. 23, gaining 6 percent compared with gold's 1.4 percent gain, as investors bought the white metal because of its relative cheapness to gold."

Really wealthy people are kind of funny. For them, it's often about status, or power, not wealth anymore. Well then, they should know that if they are in the top 1000 of wealthy families, they have an opportunity to enter the top 100, if only they buy silver. And if they are in the top 100, then they can likely enter the top 10, if only they buy silver. And if they are in the top ten, well, they might just be able to buy a few nations, if only they buy silver, before other billionaires do.

They should know that buying silver first is not like a race, it IS a race!

But there are many thousands of funds, retirement funds, each managing billions, and any one of them could decide to buy silver in an attempt to gain increased performance for their portfolios, too!.

The point is that reaching people, and teaching people the fundamentals of silver is potentially a very productive thing for silver prices.

In case this email is actually forwarded to any of the world's billionaires, I suggest that they read my prior article specifically for them:

How to Get Into Silver, for Billionaires February 27, 2008

=====

So, how else can you reach people? The Silver Circle Movie!

Please Support the Silver Circle Movie! They need to raise, within the next week, $4000 to cast actors.

Here's their online pitch, it's very funny:

Silver Circle - Animated Dystopian Film Needs Funding for Talent
http://kck.st/cgDktF

=====

I have a few ironic insights about people and wisdom.

To be wise, you have to have a very long attention span.

To market wisdom, you have to express it as if people have very short attention spans. Headlines, urls, titles, names and signs must catch a person's attention in less than 1 second. And you have to have a 5 second pitch, a 10 second pitch, and a 20 sec., 1 min pitch, 5 min pitch, 10 min. speech, 30 min speech, 1 hour speech, etc. Even wise people will ignore many things, so you have to work hard to catch people's attention quickly!

To want to teach wisdom, you have to be unselfish; but you have to put it forth in such a way that wisdom is attractive to people who are totally selfish. Even wise people recognize that people who act in their self interest create a rational free market economy.

To become wise, you have to constantly think, discern, and learn. But most people rarely think deeply, they mostly just remember slogans. Even college kids earn A's merely by regurgitating the definitions of the theories of the day; no real thinking is required. Ok, then, here it is:

SILVER PRICES WILL EXPLODE!

SILVER PRICES WILL GO UP!

SILVER INVESTORS WILL MAKE FORTUNES!

SILVER IS LIKELY TO INCREASE BY A FACTOR OF 100 TIMES GREATER!

SILVER PRICES CAN GO UP BY 10,000%!

The Federal Reserve seems to understand these rules, and makes expert use of them.

The Fed is a master marketer. They own the media, or their partners do, and they give a constant bombardment of headlines favorable to the dollar and the Fed.

The Fed appeals to people's greed, they even actively bribe judges to win court cases.

Payoffs for Judges, Prosecutors Is Legal by Statute
http://americanfreepress.net/html/payoffs_for_judges_232.html

When judges are bribed, it becomes impossible for them to present rational arguments for their decisions. That happened to me, I saw it in action in 2003-2004. http://bibleprophesy.org/squaw.htm

The Federal Reserve markets through propaganda and slogans; no real analysis is ever presented for a strong dollar. For over ten years, the Fed and their media whores have warned of the risks of deflation--and yet, all the while, M3 has increased from $5 trillion to $15 trillion, and silver has increased from $5 to over $15/oz., which is 200% inflation over a decade, but all we hear of is the constant danger of deflation.

The Fed LIES!

Meanwhile, the banks who were bailed out last year are still keeping a huge reserve of cash on deposit with the Fed, so it's not counted in M3 stats, that are no longer being published by the Fed, so there is a double secret plan to hide the inflation, and furthermore, the Federal Budget gap, or deficit, is $1.5 trillion, which must be printed, which is 10% annual inflation right there!

The Fed relies on the fact that people don't actively think nor remember the Fed's deceptive cry about deflation, nor do people remember the facts of the actual horrendous inflation over the last decade, or even in the last year.

So just remember one thing.

Silver prices can double overnight, at anytime, and it's totally impossible to predict when it will happen. And yet, at some unexpected day out of the blue, silver prices will likely double, and nobody will understand why, except me, and you.

Because we know that the silver market is just way too small, and prices just way too low.
=====

I strongly advise you to take possession of real gold and silver, at anywhere near today's price, while you still can. The fundamentals indicate rising prices for decades to come.

Source: http://news.silverseek.com/GoldIsMoney/1283182340.php

In India, silver tops the charts - Shivom Seth - Mineweb

2011-01-17T01:14:00.001+08:00

Though the price of silver has scaled to dizzying heights, investment demand in India is at the helm of the price fever. As the country celebrates the Ganesh festival, silver ornaments and coins fly off the rack.

Author: Shivom Seth

Posted: Monday , 13 Sep 2010

MUMBAI - -

It could not have come at a better time. Silver prices jumped by 0.30% in the futures market in Mumbai on September 13, as speculators enlarged their positions given the pick up in demand in the spot market. Silver prices have been steadily gaining over the past week on fresh demand from jewellery and gift manufacturers.

Over the past five weeks, the metal has outpaced gold, logging in a gain of around 14%. According to analysts, the metal's spurt above $20 is the first ever since early 2008.

The white metal continued its north-bound journey for the seventh straight trading day, following sustained industrial demand. The ensuing Ganesh festival has also helped buoy sales,'' said Lalubhai Zavereemal Toda, a Mumbai-based silver trader and diamond exporter.

Though the metal is generally used in the photo and electronic industries and also in jewellery making, it has a specific significance in India during festival times. The second-half of the year is when the festive season starts to roll, and many Indians buy gold and silver coins, utensils and gift items to usher in the festivities. Though the price rise in the case of gold has been phenomenal during the last couple of months, most traders insist that it has not dampened sales. ``Demand for gold and silver coins and ornaments perks in the second-half of the year,'' said Shailesh Siddique, an analyst with ABN AMRO, a banking institution. ``The surge in the price of precious metals including gold and silver reflects the buoyancy of the Indian economy. Gross domestic product (GDP) for the current fiscal is expected to touch 9%,'' he added.

He went on to say that a lot of interest has been seen in silver in recent days after gold started rising; ``Silver was cheaper. Its price has gone up faster. The gold to silver price ratio is currently pegged at 65.06; it was 67 just two months ago. Prices in the international market are also moving up on safe-haven buying and weak macro economic data.''

Agency newswires reported that silver has outperformed the yellow metal since August 23, gaining 6% as compared with gold's 1.4% gain, as investors bought the white metal due to its relative cheapness.

In Mumbai, demand for silver has improved substantially as jewellers and manufacturers of gift articles have turned active buyers to meet the requirement for the on-going Ganesh festival, when India's favourite elephant-headed God graces most Indian homes for around 10 days. This year, the remover of obstacles, as the benign deity is called, will stay an additional two-days.

"I am surprised at the latent demand for silver and gold, both in the form of jewellery and as an investment,'' said Ashoke Moitra, an investment banker. ``There is enormous liquidity despite inflation, which is fuelling demand for cars and jewellery. This trend will continue all through the year and with the Indian marriage season coming up as well, we anticipate demand for the precious metals to remain robust throughout 2010,'' he added.

The wedding season in India, the world's largest gold consumer, runs from November to December and from late March through early May. Market analysts said a slight dip in precious metals during the monsoon, encouraged stockists and jewellery fabricators to enlarge their positions to accommodate the festival season demand.

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page32?oid=111161&sn=Detail

Investors slowly warming to silver's potential - David Levenstein - Mineweb

2011-01-17T01:07:00.001+08:00

The metal has managed to hold above the $18.50 level which was previously a key resistance level and continues to flirt with $20 an ounce

Author: David Levenstein

Posted: Thursday , 09 Sep 2010

JOHANNESBURG -

The price of silver has been extremely robust as it flirts with the $20/oz level. The price is now up more than 14% since its previous low of $17.50/oz and one important thing to note is that it has managed to hold above the former key resistance level of $18.50/oz.

As there have not been any major changes regarding the fundamentals on silver that would account for this move, I believe that investors are slowly realizing the potential in silver and that the grey metal is much undervalued and supplies are getting tighter. What was of particular interest last week was that the price of silver moved higher despite the fact that the large bullion banks increased their net short position obviously in an attempt to suppress the price once again. And, on more than one occasion, when the price of gold slipped marginally, silver prices continued their upward move.

While industrial demand for silver is increasing, so is monetary demand. More and more investors are turning to silver as a way to protect the purchasing power of their savings. Like gold, silver has been proven to be an effective way of protecting your wealth. However, unlike gold, silver is hardly ever quoted in the main stream media. But, as the prices begin to move upwards, no doubt it will be noticed and more and more investors will take advantage of the current low prices. Silver bullion bars and silver bullion coins such as the silver Eagles manufactured by the U.S. Mint have become hugely popular with investors. So too are silver rounds which are practically the same as the silver coins except they are not classified as legal tender.

In addition, new investment vehicles such as silver exchange traded funds (ETFs) have taken several million ounces of silver out of the marketplace. While there is a lot of controversy going on at the moment about the actual physical holdings of some of these silver ETF's there is no doubt that they are having some effect on the supply and demand dynamics.

While demand for silver is increasing around the world, supplies are actually declining. Traditionally, there have only been three sources for silver. These include the output from mining companies, the sales from recycling, and government sales. In recent years though, sales from government stockpiles have shrunk to almost nothing as governments have depleted their stockpiles, and there has not been any major new silver discoveries in years.

As the current global currency crisis continues, investors will diversify into hard assets including precious metals such as gold and silver. But, silver has probably the highest potential for profit out of all the precious metals. It is for this reason that the metal should become part of your investment portfolio.

TECHNICAL ANALYSIS
The action in silver prices has been very positive. The price has punched through the key resistance level of $18.50/oz and has traded upwards to test the $20/oz level. This is the highest the price has been May of this year. While a short-term correction is possible, I believe that silver prices will remain in a positive bias.

About the author

David Levenstein is a leading expert on investing in precious metals .He brings over 30 years experience in futures, equities, forex and bullion.

Source: http://www.mineweb.com/mineweb/view/mineweb/en/page103855?oid=111036&sn=Detail&pid=32

Silver Investors Get a Gold Star-LYNEKA LITTLE-abc News/Money

2011-01-17T00:48:00.000+08:00

Is Silver the New Gold? The Rise of Precious Metals

By LYNEKA LITTLE

Sept. 28, 2010

With stocks in the dumps and government deficits spiraling, Americans are increasingly turning their attention to precious metals like silver, which has doubled in price since the recession hit in 2008.

Silver hit a 30-year high of $21.47 an ounce Monday, up from under $9 when the financial crisis began, rising 35 percent so far this year.

The high price of gold -- the metal has also more than doubled in price over the past two years -- has sent investors scrambling for cheaper silver as a way to protect their assets. Silver has gained 21 percent in price versus gold this year.

"Some people are worried about the currency debasement and have done some research about the fundamentals of silver and fundamentals of gold and silver looks like a better deal," says David Morgan of The Morgan Report.

Silver's rise can also be traced to its industrial uses in everything from jewelry, mobile phone components to batteries.

Source: http://abcnews.go.com/Business/gold-now-silver-long-silver-price-surge/story?id=11739548

Silver heading for supply deficit – Morgan-Liezel Hill-MiningWeekly

2011-01-16T23:13:00.001+08:00

By: Liezel Hill

28th September 2010

TORONTO (miningweekly.com) - Silver is likely heading for a supply deficit in the next decade or so, as demand growth gets a boost from new industrial uses for the metal, as well as increased investor interest, analyst and founder of Silver-Investor.com David Morgan said this weekend.

"I am more bullish over the next ten years than I was over the previous ten years [for silver]," he said in a Sunday presentation at the Cambridge House resource investment conference in Toronto.

Silver prices have touched 30-year highs in recent weeks, and reached $21,60/oz on Monday.

The market for the metal was in a supply deficit from the 1990s until about 2006, but moved into a surplus in the last few years. The VM Group/Fortis Bank report on the metal published in June forecast a 7 200 t surplus for 2010.

Even just based on the outlook for increased industrial demand in ten years' time, that would work out to a deficit, Morgan said.

"I am suggesting highly that we are going to go into a deficit again," he stated.

"If you look at the industrial side only you are going to be in a deficit, and if you add any kind of industrial demand on top of that it gets even more bullish."

Morgan commented that the precious metal is being used more and more in food and water purification, solar technology applications, nanotechnology, textile production, radio frequency identification, medical uses and many others.

Silver and gold prices generally track in the same direction - the historical correlation is about 85% - but silver is more volatile, moving further up and down on a percentage basis than gold.

Silver is also a much smaller market than gold, Morgan commented.

"Remember, a four dollar price move in gold would buy the entire silver market."

Much of the world's silver supply is produced as a byproduct from base-metal and other mines.

Source: http://www.miningweekly.com/article/silver-heading-for-supply-deficit-morgan-2010-09-28