Wealth Strategy

There's an elephant in the room that nobody in Washington or the media wants to talk in those days, preventing the collapse of the U.S. dollar. While Ben Bernanke and the Federal Reserve continues to assure investors that the dollar is a safe investment, while printing money like crazy, several indicators appear suggest otherwise. It is only an academic debate either. The future of the dollar is of great importance to all Americans, especially those with savings.

Used to be that the U.S. dollar was the strongest currency in the world. Those who traveled abroad to experience firsthand how their hard earned money would be very appreciated by the locals. This is simply not the case anymore. Several countries now prefer the euro and many have taken steps to replace their dollar reserves into euros. The average American citizen could not have felt the impact yet. After all, domestic prices are unchanged or not the dollar fluctuates, but eventually feel the impact runaway inflation inevitably sets in. As the dollar weakens the purchasing power becomes more expensive imported goods, and since much of U.S. production has been contracted out, this will result in higher prices, to be transmitted to consumers.

Those with savings retirement invested in stocks and bonds will suffer the worst. As their savings are in fixed dollar amounts, once inflation is very likely result will be a net loss of struggle again to keep pace with rising prices. This is a common scenario and one that has happened many times in the world.

Of course it is easy, but foolish, to dismiss the talks as fear demagogy. However, there are important signs that is true. Take the price of gold, for example. Gold has been promoted as a bad investment. Tell that to those who invest in gold around 2000-2001. If an ounce of gold worth $ 300 dollars in 2000, at the time of writing, December 2009, a value of $ 1200. That's a 500% return on investment. Gold is the anti-dollar investment and has been since the system Bretton Woods monetary abolished 40 years ago. Since then, gold has risen in constant value, a dramatic increase in the value of the last 10 years. Gold is the anti-dollar investment for the reason that gold is the de facto currency and real world has been that since mankind first unearthed the metal. Does not corrode, fade or burn and can not be printed or created artificially. It is the safe haven for all investments.

Why should we be concerned that gold has risen both in value? Essentially, what the market is saying is that he has lost faith in the U.S. Dollar. While the world's central banks are outside gold disrepute, they have actually been buying large quantities. The reason for this, of course. The more people who have the gold, the less its monopoly on money's worth.

But that's not the only reason to fear a collapse of the dollar. Few people know that a new pan-American currency called the Amero has already been sent to the circulation. Open a new browser window and do a Google search for images of 'currency Amero'. This is a real currency, that if things continue down its current path, replace the U.S. dollar and between a monetary union with Canada and Mexico. The worthless dollar then be traded in America to a favorable rate.

Does this sound far-fetched you? Do not take my word for it. There are several influential people to do everything possible to warn the American public of this scenario. Two of them are Rep. Ron Paul and the owner of the hedge fund and soon to be Senator Peter Schiff. Peter Schiff, owner of Euro Pacific Capital, predicted that the current financial crisis several years before it happened. Now, he and Congressman Ron Paul predicted the collapse of the U.S. dollar and doing their best to tell the audience U.S. in this regard.

How can you prepare yourself for the coming depression and possible collapse? The most sensible thing is simply to divert your savings into precious metals like gold and silver. There are several ways to do this. The most secure method is to actually buy physical gold known as gold bullion. Bullion simply means gold coins and gold bars, such as the South African Krugerrand or Canadian Maple Leaf. There are several places to buy gold such as the online store GovMint, who sells gold and silver coins. These coins are excellent for securing and diversifying your savings as they can easily be changed into silver for example.

The easiest choice for Americans looking to buy gold would be to buy from an online store such as that or head over the border to Mexico to buy Centenarios which are readily available. In any case, it pays to be prepared as there are risks involved buying gold. Buying Gold Safely is an excellent guide to buying gold and is a recommended read for anyone considering buying gold. It’s available online for purchase and download.

Barack Obama: “I will NOT raise taxes. Period!”