muses of the moment

August 11, 2012

Third party vaults

Filed under: Gold and Silver Investing — totallygroovygirlfriday @ 1:15 pm

Totallygroovygirl has been meaning to share a little personal story for a while…..

As groovygirl has mentioned, she has been taking this year to move around the way she invests in physical gold and silver to eliminate almost all 3rd parties between her and her investments in preparation for 2015-2017.

Although she still has some physical metal in third party hands, it is now a small percentage of her overall investments. She understands the risks of that small percentage.

One such move happened recently. She moved some physical metal from one private vault to another. And also used the process to actually view and count the physical metal. One reason she did this: the storage fees for the private vault were paid to a third party, not directly to the private vault. She had a count, serial number, etc, all the paperwork in her name from the private vault company, but still she felt uncomfortable paying a third party. Sometimes that means your physical metal is in a large holding vault in the name of the third party, not you.

And what happened when she had an opportunity to view her 2008 purchase? She was sent 2011 metal. That means, indeed it is a third party holding vault and there is indeed an extra link between her and her investment. Now she pays direct.

Private vaults are an option for a percentage of your investments. Just make sure it is in your name and you are paying the private vault directly. Regardless of any piece of paper you have with serial numbers, counts on it.

When there is still physical metal available for delivery, this situation is not an issue. But we are fast approaching the time when this will be an issue. And how much physical metal is really in the system (vs. paper metal) will come to light, when it is too late to make these changes to your private vault holdings. So, do it now.

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12 Comments »

  1. Dear GG,

    I came across your website from doing some research on Mr.Armstrong’s WEC. I am hoping to attend the conference this September. But I have a question for you. Would you think it’s worth it for someone with minimal trading/investing experience to attend his conference?

    Thanks!
    A guy from the internet

    Comment by A guy from the internet — August 11, 2012 @ 3:48 pm

  2. Quite interesting. Wish I had that problem of where I should store my gold. One day…

    Smart move GG.

    Any other prepping (non-financial) that you are doing?

    Comment by MikePhila — August 11, 2012 @ 9:24 pm

  3. A Guy,

    gg usually bases the monetary value of a conference by how much money she thinks that knowledge will make her in profit. Enough profit to pay for the conference? When? Martin will share his computer model forecasts. Do you have enough capital to use that data to profit enough to pay for the cost of the conference? If not, don’t go and read every writing (going back as far as possible) on Martin’s website, instead. Usually you will need to read them twice. I

    f so, go and and have fun.

    There is alot of free information/discussions/videos/forums/newsletters on the internet on finances. GG does not attend as many conferences/seminars as she used to.

    gg

    Comment by totallygroovygirlfriday — August 12, 2012 @ 10:25 am

  4. Mike,

    Groovygirl spends alot of time in meditation and rest and relaxation. This is part of the paradigm shift. Grounding oneself is by far the most important prepping that one can do. When one is grounded it is much easier to prioritize what prepping one needs to do for their personal situation and obtain the energy to take action. When time and resources are limited, a grounded perspective will get you much farther than listening to anyone else or just taking action randomly.

    gg

    Comment by totallygroovygirlfriday — August 12, 2012 @ 10:31 am

  5. gg,

    When you store precious metals in a private vault, do you also purchase insurance for the contents stored? If so, is there a way to insure the property and still maintain privacy?

    Thanks,
    sw

    Comment by sw — August 12, 2012 @ 12:35 pm

  6. Dear GG,

    Thanks for your input! Glad I found your blog. Love reading it.

    A guy from the internet

    Comment by A guy from the internet — August 12, 2012 @ 1:40 pm

  7. SW,

    There is no way to purchase insurance and maintain privacy. So it is an either/or situation. Some vaults can set you up with insurance or you can add it to your home-owners policy, depending on the type of policy. If you have your metal investments under your business umbrella, you may purchase insurance through the business.

    gg

    Comment by totallygroovygirlfriday — August 12, 2012 @ 3:10 pm

  8. GG,

    This has probably been addressed this before, but what is the difference in safety between a paid vault and a safe deposit box at a regional back with respectable ratings from Weiss Ratings? What keeps the mere second part vault from “pooling” (or even lending for shorting) material like your third party vault?

    -Lemming

    Comment by Lemming — August 13, 2012 @ 1:33 pm

  9. Sorry–forgot to check the notify box.

    Comment by Lemming — August 13, 2012 @ 1:33 pm

  10. gg would never store metal at a bank. Paid private vaults, paid directly, have better insurance capability and direct paperwork if you need to address any legal issues. Nothing is perfect, it is a question of better.

    In addition, never put all your investments in one place: in one bank, in one vault, in one country (if possible).

    gg

    Comment by totallygroovygirlfriday — August 13, 2012 @ 1:55 pm

  11. gg, you’re one of the absolute best around! each post of yours brings an enlightening joy to my day. one request though: any chance you can post more about gardening—what you’re growing, methods, tips, tricks, recipes (jams, canning methods, tinctures, etc.)? I know you’re a busy girl but thought I’d throw this out there….thank you for all you do!!!

    Comment by soleirolia — August 14, 2012 @ 12:41 am

  12. Soleirolla,

    Oh, if groovygirl had the time, she would have a totallygroovygarden blog. But alas, gg has a day job 🙂

    However, she does have time for a small garden and she cans/preserves what she can’t eat at the moment. She grows herbs but she hasn’t had time to dive into tinctures and balms yet. My small garden is designed by permaculture principles. And I can recommend a few sites and books. Most all of these books are available at your local library.

    Any of Joel Salatin’s books.
    Midwest Permaculture (great videos on this site): http://midwestpermaculture.com/
    Gaia’s Garden
    The Urban Homestead
    Food Not Lawns
    Most any book or you tube video with Permaculture in the title.
    Companion Planting-just google this term.

    Thanks for reading!!!

    gg

    Comment by totallygroovygirlfriday — August 14, 2012 @ 7:56 am


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