Fight of the Century: Keynes vs. Hayek Round Two

Round 2:

Round 1:

John Hathaway on Paper Money

April 15th - Taxman vs Upside Down

Happy Tax Day!

March 2011 Networth: 4.73%

March is in the books and another month of growth. Nothing to interesting going on. We had a couple trips and have been spending more freely. So to see a jump is good for us but mostly through our precious metals and s stocks. We did not see much in our cash savings. I have added the break down of Precious metals below so that I can start to keep myself in check as this market is starting to heat up.

Lets break it down:

Cash & Savings: Small jump in our cash savings. This would be jumping a lot more but we are currently putting a percentage of our savings in Precious Metals as our insurance of our fiat paper. I feel that PM's are a store of wealth where our cash is only a currency.

Precious Metals: Keep adding to this with bi-monthly purchases. The thought process before here is that we were investing in 8% into my 401k. This was going into mutual funds that I have very little to no management over. My company matches up to 5% so I decided to drop my 401k investments back to 5% and invest the 3% into something that might be more liquid. This allows us to use this money to invest in ourselves or just keep accumulating wealth. Right now I am just dollar cost averaging every couple weeks into bullion. At this point mostly silver which I plan to sell and purchase gold when the silver to gold ratio is 30/1 then 20/1 the finally 10/1 if it make it that far which I do believe it will at least reach 16/1(its historic ratio). I plan on always owning silver and gold bullion to pass along to my kids/grandchildren.

Stocks/Brokerage: Stocks had a slight jump this month with some more purchases and that the silver/mining stocks are on fire right now. We purchased FORTUNA SILVER MINES INC (FVITF) this month and still waiting for some pullback in silver stocks before purchasing some more...

Will keep looking to add here...I am looking for SLW to pull back to around $37 to purchase some more. Also looking to purchase some oil companies if we get a pullback. My plan is to keep purchasing Mining and Energy companies, as I still believe that Gold, Silver, Rare Earths, and Oil are in a bull market and I will ride the trend until I feel it is not undervalued. Gold and Silver mining stocks are so undervalued right now, my only concern is if we see a big stock market pullback then these stocks will get crushed. Once institutions come into this sector the gains could be huge, so we will have to wait and see which way the wind blows.

The list of stocks we currently own: (FVITF)(SLW)(SVM)(SSRI)(PAAS)(AAU)(DNN)(EXC)(PWE)(PHYS)(EGO)(AUY)((LYSCF)(RGLD)(XOM)(CVX).

*As you can see I am heavy in commodities in my brokerage account. This is all based on my thought that over the next decade the best investments are going to actually be in hard assets. My Roth/IRA/401k are in pretty common index funds and mutual funds so I figure I can go more risky with brokerage. I believe these will out perform equities in the next decade and if nothing else I feel more comfortable with my portfolio being diverse. I am bearish on the US Dollar and US Economy, I believe that trillion dollar deficits are not going bode well for the USA.

Retirement 401k: This bracket is just both my wife and my retirement, adding money to our retirement funds every month.

Retirement IRA's: (Same as last month) Still having some cash on the sideline and will figure out what this market wants to do and see if I can put it to work. In this bracket I have all Vanguard Funds (VTSMX, VGSTX, VEIEX, VGPMX)

Real Estate: Couple more units in our new development have sold so this is good. % out of 8 homes have sold and they are looking to break ground on a new set of town homes. The plan here is to keep our money that we were going to put down as a down payment in the bank or investments. We will try and hedge our payments with trying to pay off the home in 10-15 yrs depending on what comes our way. This might change along the way depending on kids, economy, jobs and so forth.

Debts and Liabilities -

Credit Cards: Debt from couple monthly purchases from work and such, will be paid in full.

Car Loan: I am paying 4% APR on it so I am paying a little, but not a ton. Still looking to pay it off early-will probably be a goal this or next year.

Home Mortgage: Mostly paying interest on our home at the moment, so not much of a dent here.

More of the same o'l same o'l and we will take it. I just want to be in the business of growing our wealth each and every month. We are extremely blessed and cannot be happier right now. I see a storm on the horizon and not sure when it will hit, but we remain doing what I feel is best for our family at the moment. No one knows what is going to happen, but hopefully we will be prepared to weather the storm. Not sure how long we as a country can remain to ignore the challenges that we face and star them in the face. We need to take control of our situation and realize we are going to have to make sacrifices. We have to take control of our debt.

Mike Maloney Gold & Silver When To Sell? Real Estate-When To Buy?

The Truth About The Greatest: Warren Buffett