If the world goes that far into crap, then bits of shiny metal won't be of value. Canned food, seeds, ammunition, bottled water, fuel, and weapons will be of value. You'd be better off laying in a supply of cheap Hi-Point 9mm handguns ($165 suggested retail) and 9mm ammo (<$12/50rds) for trading purposes.
Physical gold will protect you from a shady hedge fund that goes under because they sold too many paper certificates. Buying S&P GLD SPDRs is, IMHO, not the same thing.
What happens to these hoards of physical gold if a future US Government pulls a "Roosvelt II" and bans private ownership of bullion, and forces government purchase at a fixed paper dollar rate?
>>If the world goes that far into crap, then bits of shiny metal won’t be of value. Canned food, seeds, ammunition, bottled water, fuel, and weapons will be of value.
We agree in principle, but gold has always held value, at least until the crisis has ended. And if you are fully stocked with guns, ammo, and food (say your garage and basement are full) what do you do if you have $100,000 in savings to secure? What if you’re worried about having to relocate, and bring some wealth with you?
>>What happens to these hoards of physical gold if a future US Government pulls a “Roosvelt II” and bans private ownership of bullion, and forces government purchase at a fixed paper dollar rate?
The answer is that you get paid in full at the current rate with those dollars, just like before. Of course, the dollars you receive (along with everyone else’s) can be debased, but that fact that you benefited from owning gold for a finite period doesn’t mean it should never have been bought.
I have a lot of other reasons why I’m not worried about a ban and buy-up of gold.