Jim Sinclair – Gold and the Death of Capitalism

by IRA Rollover in Gold Advisors with Comments Off on Jim Sinclair – Gold and the Death of Capitalism

There is no shortage of articles and education telling you how to invest in gold, especially gold bullion bars and coins. Spokespersons abound, ranging from radio talk show hosts to former treasury employees, from ex-presidents to presidents of gold exploration and production companies. Jim Sinclair belongs to the latter group. As chairman of Tanzanian Royalty Exploration, he is so knowledgeable and his advice so respected that he has earned the nickname “Mr. Gold”.

Who is Jim Sinclair?

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If you have any questions about precious metals, commodities, or foreign currencies Jim Sinclair is an acknowledged expert on such things. In 1977 he founded The Sinclair Group, a full service brokerage firm with branches in the United States, Canada, Switzerland, and England. From 1981 to 1984 he was an advisor to Hunt Oil. He’s been associated with two New York Stock Exchange firms and served as president of his own commodity clearing firm, Sinclair Global Clearing Corporation as well as Global Arbitrage. Since 2002 Mr. Sinclair has been chairman of Tanzanian Royalty Exploration, a company that explores for and produces precious metals. He became Executive Chairman of Singapore Precious Metals Exchange in 2013. Sinclair is also the author of dozens of widely published articles as well as three books on investments, precious metals, global events, trading strategies, and how all those aspects affect the world economy.

Jim Sinclair has an impressive background in precious metals and is an astute observer of economic cycles. When he publishes his opinions about how to invest in gold, silver, gold bullion, and other precious metals the investment world generally listens carefully. 

What is Jim Sinclair’s Theory about the Economy?

In 2006 Jim developed an economic formula that explains the cycles of want and prosperity:

  • Interest rates rise, stimulating the housing and motor vehicle industry.
  • Other industries respond and rise or fall and jobs also respond. There are no plateaus or prosperity in economy, it is always moving up or down.
  • Once economic activity starts to slow, the market rises until major companies announce earnings that make the market fall quickly.
  • Profits are curtailed and that means the treasury doesn’t take in as much revenue in taxes.
  • The federal budget sees an increase in the deficit at spending increases each year but tax collections don’t keep pace.
  • Investment in the United States suffers from growing caution about the economy and the deficit.       More dollars are going abroad than are being taken in and the shortfall must be financed somehow.
  • Interest rates rise, especially long term rates, and business activity slows in response. The economy continues its downward spiral. The government sees that it has to adjust interest rates to stimulate the housing and motor vehicle market to get the economy going again and the entire cycle repeats.

This is not a very optimistic view of the economy but it is realistic. If a wise investor pays attention and pinpoints when each phase begins and ends, the cycle can be quite profitable. It can help you schedule best how to invest in gold by timing your purchases to get the most from your dollar. Looking at the economic cycles realistically allows you to time your purchases of investments so that you get optimum value for your retirement account.

What Will the Future be Like for Retirees?

Mr. Sinclair believes that unless you look at the present and future economy realistically you won’t have the retirement you want or deserve no matter how you invest. He believes that between the markets and the government, capitalism no longer exists and a new financial system is on its way in, slowly but surely. Jim also believes that OTCs, not the housing markets and other economic factors, were the main cause of the Great Recession that spread around the world.

OTC (over the counter) derivatives (OTCD) are the main culprit in the death of capitalism and the ruin of the world economy. OTCD are unregulated trades that don’t involve a formal exchange such as the New York Stock Exchange or American Stock Exchange. They include debt securities traded through a dealer network that is unregulated with very few rules. Stocks on OTC networks are typically those that can’t meet the listing requirements of the legitimate stock market exchanges. According to Jim Sinclair, OTCD are in large part responsible for the economic meltdown of the world economy.

facts of economy future

So what is the future now that the economy is having such a hard time restarting? Currencies are falling and are no longer valuable in the long term. Capitalism has largely been crushed as government has taken over markets and largely regulated free enterprise out of existence.

That leaves gold bullion and other precious metals as the only reliable source of wealth in the new economy that is developing.

How in the World Can a Retiree Spend Gold?

It’s all well and good to learn how to invest in gold and other precious metals but how do you spend it when you retire? Do you cut off chunk to buy food or pay utilities? Do you buy in varying weights that you will use in place of a worthless dollar?

Such scenarios can only happen in the fictional world of movies. In reality, there will be a currency system in place by the time you’re ready to use your IRA to fund your retirement. Just like our current system, you can buy currency with your gold and other precious metals that you can use to spend on necessities and luxuries.

The advantage to investing in precious metals is that it will be worth something no matter what currency is on the market. A dollar’s worth of gold will still be worth a dollar and a Euro’s worth of gold will still be worth a Euro. In any currency present or future, gold will hold its worth. Real estate, precious and semi-precious gems, collectible coins, art, and other investments can lose value but gold and precious metals are always viable and valuable no matter what kind of economy you are living in.

In the future, just as in the present, you will be able to exchange your gold and other precious metals for the currency being traded. No matter what country you are in or the form of currency they are using or how it is backed, gold will provide you a comfortable lifestyle.

Prepare Yourself for a Great Retirement!

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With the relatively recent economic collapses, the global recessions, and gloom and doom predictions you might think that a comfortable retirement is beyond your reach. Nothing could be further from the truth!

Gold is a great way to insure that your retirement years are the best of your life. Remember that the key to wealth and security is diversity; it’s wise to have a mixture of precious metals, stocks and bonds, mutual funds, and other financial products. Experienced investor and gold expert Jim Sinclair advises that you start learning all you can about how to invest in gold then slowly build up your retirement account with gold bullion and other precious metals.

We suggest you to follow the below three steps:

Investing in gold or any other precious metals should be a well thought through decision.  We advice you to do your research and be comfortable with whichever company you decide to invest with:

Step 1:

Visit our  Top Gold IRA Companies review page

Step 2:

Visit our recommended company Regal Assets

Step 3:

Call this Regal number and get all your questions answered – Free of Cost – 1-877-721-2659

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