Why is the University of Texas system buying gold

[clob94]

Went to a wedding this weekend and some folks inside the system were in attendance. Old family friends that I haven't seen in quite some time. After a few rounds of halfway decent single malt-- I begin reconnecting with the old family friend and he tells me that the UT system is buying a fvck load of gold. I asked no questions and made no inferences--- just sat and listened.

Anybody know why we would be buying gold?

 

[2300 Nueces]

You know why. We have discussed this. The US is totally screwed. We have an aging, spoiled, and entitled population with a devious central bank. Inflation is coming. You know this.

They did this a long time ago. The State of Texas is setting up a gold depository. Apparently, someone is preparing for fiat currency failure.

https://www.texasbulliondepository.gov/

 

[TX1972]

Went to a wedding this weekend and some folks inside the system were in attendance. Old family friends that I haven't seen in quite some time. After a few rounds of halfway decent single malt-- I begin reconnecting with the old family friend and he tells me that the UT system is buying a fvck load of gold. I asked no questions and made no inferences--- just sat and listened.

Anybody know why we would be buying gold?

Because the fed keeps raising the money supply. I bought a bitcoin just after the election. It's doubled.

 

[westx]

Because the fed keeps raising the money supply. I bought a bitcoin just after the election. It's doubled.

Since we are talking about universities, Yale's endowment fund invested $400 million in a crypto fund back in 2018. Btw, I think Texas' endowment fund is 3rd largest behind Harvard and Yale.

 

[oldschoolcat]

Apparently, someone is preparing for fiat currency failure.

https://www.texasbulliondepository.gov/

Assuming this is inevitable....if you had a good chunk of change in a retail IRA account would you consider shifting that to some sort of hard asset?

Since the account is calculated in US dollars it doesn’t really matter what it is invested in. Right?

 

[TX1972]

Assuming this is inevitable....if you had a good chunk of change in a retail IRA account would you consider shifting that to some sort of hard asset?

Since the account is calculated in US dollars it doesn’t really matter what it is invested in. Right?

My account is Vanguard. I bought grayscale bitcoin and gold mining ETF. Inside IRA.

 

[2300 Nueces]

Assuming this is inevitable....if you had a good chunk of change in a retail IRA account would you consider shifting that to some sort of hard asset?

Since the account is calculated in US dollars it doesn’t really matter what it is invested in. Right?

Dump the IRA, put the $$ into your house. Holding assets that can be repriced easily is the key. Most will need to be held "in hand". I would also warn that "taxes" are likely to become oppressive, well more than they already are. See the "total asset" tax which is coming in the near future.

Some of those inflated dollars will come in handy when the taxes inflate as well.

It's funny, I don't know if bond rates are ever going to go up. I only see asset prices going up. Prepare accordingly.

Bonds are like paper gold. They will never let gold rise enough to matter. They print money to buy rehypothecated gold to go short. Likewise, they will print enough money to buy all bonds to make sure rates never rise so that governments are never held accountable. Currency matters and he who creates it is the slave master.

 

[StrangerHorn]

I am gonna go to Alaska and dive for Gold..probably be on Gold Rush next Season, me and Bubba....trying to get Shiner to sponsor us...I'll just keep my money buried.....I learned by Pablo's mistakes on burying money...lol

 

[Son of Wasatch]

I am buying a bunker and filling it with freeze dried food. That is the only currency we actually need.

 

[speedstrength]

Adjusting asset allocation to make up for the crash in the energy markets?

https://www.utimco.org/media/3432/2020-investment-performance-final-pw.pdf

 

[GuaranteedFresh!]

I am buying a bunker and filling it with freeze dried food. That is the only currency we actually need.

BINGO!

I do have a bit of precious metals stored away for investment, but if the monetary system completly imploads gold will be almost as useless as paper dollars. Food products and skills will be the most valuable......that and anything that goes pew pew.
*Adjusting tin-foil hat*
The great reset is in motion fellas. If you aren't proficient in self sustaining I'd highly recommend stashing away a few books on homesteading. Locating/generating/sanitizing water sources and intermediate survival skills for a worst case scenario may prove invaluable.
If HEB ceases to exist, will you be fine? Doomsday preppers, what happens when your MREs are all gone?

Better to know and not need than to need and not know.

 

[2300 Nueces]

Adjusting asset allocation to make up for the crash in the energy markets?

https://www.utimco.org/media/3432/2020-investment-performance-final-pw.pdf

Where you been bud?

The only thing i would be rotating out of are dollars (or any fiat), large cap stocks, and bonds. Commodities, small cap stocks, or anything that adjusts to inflation well like real estate, etc. will be good. RJI is good for commodity diversification. Stay out of reits for RE. A small business that can leverage a short term line of credit to quickly pass along rising input prices will be the best profit opportunity especially in commodities like industrial metals, agriculture, energy, or even pm's.

 

[clob94]

BINGO!

I do have a bit of precious metals stored away for investment, but if the monetary system completly imploads gold will be almost as useless as paper dollars. Food products and skills will be the most valuable......that and anything that goes pew pew.
*Adjusting tin-foil hat*
The great reset is in motion fellas. If you aren't proficient in self sustaining I'd highly recommend stashing away a few books on homesteading. Locating/generating/sanitizing water sources and intermediate survival skills for a worst case scenario may prove invaluable.
If HEB ceases to exist, will you be fine? Doomsday preppers, what happens when your MREs are all gone?

Better to know and not need than to need and not know.

Doomsday preppers, what happens when your MREs are all gone?
Oh--- I know the answer to this one--

When they are out of MREs, they finally are able to poop?

 

[Lampasas]

Doomsday preppers, what happens when your MREs are all gone?
Oh--- I know the answer to this one--

When they are out of MREs, they finally are able to poop?

Too easy. When preppers run out of MREs, they simply load up a few of their many firearms and go hunting.

 

[oldschoolcat]

Where you been bud?

The only thing i would be rotating out of are dollars (or any fiat), large cap stocks, and bonds. Commodities, small cap stocks, or anything that adjusts to inflation well like real estate, etc. will be good. RJI is good for commodity diversification. Stay out of reits for RE. A small business that can leverage a short term line of credit to quickly pass along rising input prices will be the best profit opportunity especially in commodities like industrial metals, agriculture, energy, or even pm's.

So back to my original question that you answered. (just want to comprehend it)

If I am in an Etrade IRA, and I invest in a real estate ETF, wouldn't that still be affected by the devaluation of the dollar even though it is linked to tangible assets? Do those $ need to be parked inside the actual property to be protected?

 

[2300 Nueces]

So back to my original question that you answered. (just want to comprehend it)

If I am in an Etrade IRA, and I invest in a real estate ETF, wouldn't that still be affected by the devaluation of the dollar even though it is linked to tangible assets? Do those $ need to be parked inside the actual property to be protected?

A real estate etf is a reit (real estate investment trust). I would avoid riet's because they hold companies that own real estate. I don't want to own companies that own land. I want to own the land. Companies are subject to a manager's decisions. I want the asset, not the manager. If I were using an IRA, I would use commodities and to a lesser extent small cap stocks. Emerging technologies are great as well but who knows which companies will succeed? Be careful to own actual commodities and not commodity companies. I like RJI-- It's and etf that rolls 30 or so commodity futures contracts. It's not tied to companies (and their debt service).

So yes, own the asset and not the management. That's my opinion.

 

[clob94]

Too easy. When preppers run out of MREs, they simply load up a few of their many firearms and go hunting.

You've obviously never eaten and MRE.

I'm telling you-- MREs make you not poop.

 

[oldhorn2]

history tells us that the majority of "prepper" type folks get hi jacked and killed for their stash. Some would say that one does not need to do a lot of hoarding to prep.....they just need to study WHO is prepping and follow them to the source. I suspect this is what Fresh is doing.

I doubt there is any defense against a motivated pirate. Those Viet Cong sappers could invade almost any defense. I promise that no bunker is foolproof. They have to get air and water from somewhere and at the same time be able to get rid of human waste.

 

[JasperNewton7]

You've obviously never eaten and MRE.

I'm telling you-- MREs make you not poop.

Chicken Cacciatore with lemon pound cake would stop you up for a week. No lie.

 

[clob94]

history tells us that the majority of "prepper" type folks get hi jacked and killed for their stash. Some would say that one does not need to do a lot of hoarding to prep.....they just need to study WHO is prepping and follow them to the source. I suspect this is what Fresh is doing.

I doubt there is any defense against a motivated pirate. Those Viet Cong sappers could invade almost any defense. I promise that no bunker is foolproof. They have to get air and water from somewhere and at the same time be able to get rid of human waste.

I have a friend that bought an abandoned Titan silo in nebraska a while back. He's spent years renovating it and says he almost has it where he wants it. Swears to me that if the poop ever hits the fan, once he's buttoned up, there's no getting in there. I'm curious to see it.

 

[Son of Wasatch]

You've obviously never eaten and MRE.

I'm telling you-- MREs make you not poop.

That is why they always give you that little piece of gum, it's not for fresh breath, but rather a laxative.

I recommend investing in a Harvest Right Freeze drier. you can freeze dry all the food you normally eat and it will last for 25 years if properly stored.

 

[oldhorn2]

I have a friend that bought an abandoned Titan silo in nebraska a while back. He's spent years renovating it and says he almost has it where he wants it. Swears to me that if the poop ever hits the fan, once he's buttoned up, there's no getting in there. I'm curious to see it.

I am sure he is right.....but if anyone ever finds his air vent source, it will be just a matter of time till he has to open up....and....what would be his light and energy source?

 

[Lampasas]

I am sure he is right.....but if anyone ever finds his air vent source, it will be just a matter of time till he has to open up....and....what would be his light and energy source?

Not a problem as long as the renovation included installation of a Phalanx or two

 

[clob94]

I am sure he is right.....but if anyone ever finds his air vent source, it will be just a matter of time till he has to open up....and....what would be his light and energy source?

From what I understand he has a triple redundancy system. He's got solar with batteries and gen set-- but apparently he also has a steam boiler that he stalled. Old school.