This is Why You Must Put Some of Your Savings Into Gold

This is Why You Must Put Some of Your Savings Into Gold

On October 8, 2012, in Uncategorized, by Chris Becker 

       

As a result of loose monetary policy being run by the Reserve Bank, the Rand is weakening precipitously at present. That means if you have lots of savings stored in the bank, it has lost a tremendous amount of value in recent months.
This is how much the Rand has weakened since the start of the year:

• One Rand buys you 25% less gold.
• One Rand buys you 12% less barrels of brent crude oil.
• One Rand buys you 33% less wheat, and 13% less white maize.

In other words, if you have a lot of Rands stored in the bank, paying you 5% in interest you have lost a lot of purchasing power in the past year. Those Rands will buy you a lot less than it did a few weeks ago.
If you want to protect the value of your savings in purchasing power terms, you need to be exchanging Rands for a hard currency such as gold.

http://chrislbecker.com/2012/10/08/this-is-why-you-must-put-some-of-your-savings-into-gold/?utm_source=twitterfeed&utm_medium=twitter