Reader Mail

I agree with your comments about the future of an unbacked dollar and am also very bearish on bonds and the dollar in the long term. All you have to do is look to the south to Latin America to see what happens to the currencies of governments which print up money to pay their bills. Anyone who kept his wealth is Brazilian or Argentine local currency bonds lost all of his money when the cruzeiro/cruzado and peso/austral went to zero. That is our future, I am afraid, and I will guarantee you that wealthy Brazilians and Argentines don't keep their money in local currency bonds. Gold bullion (preferably offshore) is my preferred investment for the "have money" portion of my portfolio as opposes to the "make money" portion.