Friday, November 1, 2013

Weekend Chillout - Diwali

Thought I would keep with the theme of Diwali into the weekend.

Sanaya Irani (Khushi ) And Krystal D'souza ( Jeewika )Dance Performance on Star Diwali 2012

Diwali - The festival of Lights

The Indian festival of Diwali reaches its high point this Sunday, but in the days leading up to this day there are many other rituals followed. I hope all that read this blog and the hundreds of clients that I interacted with today have a very prosperous coming year.

From WildFilmsIndia

Diwali is certainly one of the biggest, brightest and most important festivals of India. While Diwali is popularly known as the "festival of lights". The celebration of Diwali as the "victory of good over evil" refers to the light of higher knowledge dispelling all ignorance. While the story behind Diwali and the manner of celebration of the festival differ greatly depending on the region, the essence of the festival remains the same - the celebration of life, its enjoyment and goodness.

The word Diwali is derived from the Sanskrit term "Deepavali", which translates to "Rows of lamps". Based on the Hindu lunar calendar, Diwali falls between October and November on an Amavasya or moonless night. Celebrated as the victory of good over evil, the festival is associated with the legend of the Hindu god, Lord Ram's return to his kingdom Ayodhya, after 14 years in exile. The Demon king Ravan of Lanka had abducted Lord Ram's consort Sita only to invite his own death as a result. Lord Ram, along with his brother Laxman and an army of monkeys defeated and killed Ravan and returned to his kingdom with Sita. According to mythology the people of Ayodhya lit up clay lamps known as diyas to welcome him on his return from exile.

Diwali is a five-day affair and kicks of with Dhanteras. 'Dhan' means wealth, hence this day is considered auspicious for buying items related to prosperity like utensils or gold

Lars Schall interviews John Butler on his book "The Golden Revolution"

From MAM GoldSwitzerland


Vanessa Collette & David Morgan: If Bernanke was a helicopter, Yellen will be the Concorde!

From Cambridge House


Vanessa Collette interviews Bill Murphy on Gold Manipulation

From Cambridge House


No Change From FOMC But Gold May See Fresh Money

From Kitco NEWS

Keiser Report: Red Queen Syndrome

From RT

Published on Oct 31, 2013

In this episode of the Keiser Report, Max Keiser and Stacy Herbert, discuss the Red Queen syndrome of running to stay in the same place - from money printing to fracking, more and more capital and energy are deployed just to stay economically even. In the second half, Max interviews Gregor Macdonald of Gregor.us about fracking, tight oil and the mythical future in which America is an oil giant - especially if oil prices EVER fall below $80 per barrel.


Thursday, October 31, 2013

In a Sophie Scholl frame of mind

Sophie Scholl (1921 - 1943)
Feeling in a bit of a funk tonight, maybe it was the Belgium beer and the Thai curry, or the daily revelations of further NSA digital atrocities, I am not sure.

“The real damage is done by those millions who want to 'get by.' The ordinary men who just want to be left in peace. Those who don’t want their little lives disturbed by anything bigger than themselves. Those with no sides and no causes. Those who won’t take measure of their own strength, for fear of antagonizing their own weakness. Those who don’t like to make waves—or enemies.

Those for whom freedom, honour, truth, and principles are only literature. Those who live small, love small, die small. It’s the reductionist approach to life: if you keep it small, you’ll keep it under control. If you don’t make any noise, the bogeyman won’t find you.

But it’s all an illusion, because they die too, those people who roll up their spirits into tiny little balls so as to be safe. Safe?! From what? Life is always on the edge of death; narrow streets lead to the same place as wide avenues, and a little candle burns itself out just like a flaming torch does.

I choose my own way to burn.”

Sophie Scholl, 1942

Why invest in gold? Gold’s role in long-term strategies

World Gold Council - Gold Investor Volume 4, October 2013

Download Gold Investor, Volume 4

Download the infographic: Gold as long-term strategic asset

The merits of gold as an investment receives a lot of attention. Investors and market commentators fervently debate whether it could or should be used to protect against inflation, to hedge US dollar exposure, or even tail risk events. And while there is enough literature for and against gold’s roles in a portfolio, or what measures should be used to assess its effectiveness, they are quite often inadequately defined.

Misunderstandings about gold’s properties have led to multiple articles contesting gold’s role as an inflation hedge, currency hedge, and tail risk hedge, among others. We contend that by properly defining these functions and using appropriate measures, gold’s purchasing power preservation qualities and risk management characteristics become apparent. While gold’s ability to hedge inflation or protect against a very specific kind of risk could be replicated by including securities constructed specifically with that objective, these can often be costly and add an additional set of risks, such as credit or counterparty risk exposure.

Gold is a well rounded, cost effective strategic asset, which held even in a modest amounts (typically 2%-10% of a portfolio) can help investors reduce risk without sacrificing long term returns.

India, Fed tapering and the impact of lower tail risk for gold

According to HSBC's James Steel, the market was on a high-octane fuelled rally for a good five years so it is unsurprising things have cooled somewhat but that doesn't mean there is no further upside. Listen to the Mineweb interview here