Get The Facts About Precious Metal Stocks At Precious-Metal.org

December 2, 2009 - Some investors have bought precious metal stocks to counter the draining effect that our current recession has had on traditional investments like, stocks, bonds, cash accounts, and real estate.

These investors should carefully investigate any precious metal stock offering before vesting assets, because there may be substantial risk involved that is kept “hush-hush” and swept under the table by most in the market.

There are many exchange traded funds (ETFs) and stocks that are supposedly based on physical precious metals, but many of the companies who issue these promissory notes may not actually own the physical gold necessary to fulfill their obligations in a national financial emergency.

Precious metal stocks could most likely drop to a value of ZERO if government or independent audits find discrepancies between the number of a company’s gold shares and the amount of physical gold that the company shares. If gold shareholders discover that his or her shares are not really backed by precious metals, then it could already be too late to liquidate those “assets.”

Audits should be conducted on gold and silver stock issuing companies immediately, according to many gold market watchdogs. It is widely believed that substantial deficits could exist between the paper gold claims of a company and their physical gold.

Market analysts have admonished investors to take physical delivery of their precious metals and to store them privately or in a nearby safety deposit box, because liquidity and volatile fluctuations are much less of an issue when you control your investment.

If you have noticed that there are a wide range of gold investments and derivatives, contact Precious-Metal.org directly for the facts and to find out which type of gold investment is right for you. 

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Danny Burns

Senior Staff Writer - Precious-Metal.org