Survival prepping means being prepared for anything. This includes everything from the essentials, like food and water, to protecting your wealth. Financial preparedness is an important aspect of any SHTF plan, and diversifying your portfolio with gold and silver is a good place to start. If you are unfamiliar with or on the fence about investing in precious metals, here are 4 reasons why you should consider incorporating gold and silver into your survival preps.
In times of economic uncertainty, you want to be sure that you remain financially secure. Gold and silver can help protect against weakening currencies, such as the US dollar, and can act as a hedge against the prospect of high inflation. Precious metals are viable means for wealth protection and have long been considered a safe-haven investment, especially during times of geopolitical crises.
Domestic and international crises can put serious strain on an unstable economy and wreak havoc on a country’s banking system. As consumer confidence in the banking system fails, faith in paper assets dwindles and consumer demand shifts to tangible investments, such as gold and silver.
Gold and silver are both an excellent store of value. This means they can be saved for long periods of time and still retain purchasing power when retrieved at a later date. This is an important facet of gold and silver when deciding if they are right for your SHTF plan.
The strong value of gold and silver also allows them to be used as an intermediary of exchange. In disaster situations, bartering for goods may be required. You want to be equipped with assets that store value and can be easily traded. Furthermore, gold and silver coins and bars are divisible, fungible and easily transportable, making them the ideal asset to own in an emergency.
When it comes to survival preparedness, there is one appealing advantage to storing gold and silver: you hold what you own. Your investment is in your hands, and you are in complete control at all times. In an emergency situation, you have the freedom to access your secure cache of tangible assets and use it accordingly.
Tangibility is especially important when access to electronic funds and investments is impeded. Both metals have the potential to store a significant amount of value in a small surface area, which allows these precious metals to be a reliable use of exchange for goods and services in an emergency situation.
No matter what your investment strategy is, it is always important to consider diversification. Holding gold and silver provides an easy entry into the commodities market and can help expand a well-rounded financial plan. Diversification in general helps reduce overall volatility of your portfolio and limits your exposure to risk. If you don’t already hold gold and silver, consider diversifying about 10 to15 % of your assets into the precious metals.
If you are interested in incorporating gold and silver into your SHTF plan, we recommend low premium options such as junk 90% silver coins, silver bullion bars, and gold bullion bars, as well as US Mint bullion products, like the American Silver Eagle and American Gold Eagle coins. Read more about it here at the Upstate Coins website.
Katie Rau is a precious metals trader, industry analyst and contributing writer for Upstate Coin & Gold.