 |
|
| |
|
|
| |
Blanchard says investors are moving into gold as equities markets are rocked by collapse of financials
NEW ORLEANS (September 15, 2008) – In light of the major upheaval at storied investment banks and financial institutions over the weekend, including the Lehman Brothers' bankruptcy, Merrill Lynch being bought out by Bank of America and AIG attempting to raise $40 billion in capital through asset sales, analysts at Blanchard and Company are seeing many investors retreat into the safe-haven of tangible assets – in particular, gold and rare coins.
“The market sure looks a lot different today than it did on Friday. After bailing out Fannie Mae and Freddie Mac at taxpayer expense, the Fed has raised real questions about its ability to halt the onslaught of failure among the financials,” says Donald W. Doyle, Jr., Chairman and CEO of Blanchard and Company. “We stated on Friday that gold at its current levels was basically at fire sale prices, and with the recent collapse of the financial markets this weekend, we see many investors – institutional and individual – identifying gold as a secure place to put their money.”
As opposed to equities, which can go from very high levels down to zero in a very short time (Lehman was more than $80 a share in mid-2007), Blanchard Vice President of Economic Research David Beahm said, “Gold is never going to zero, and when other markets collapse, tangible assets historically have seen huge increases in value as people make a quick flight to quality. Gold is an asset that protects wealth and has the ability to grow wealth, especially when the equities markets and the global economy are in such negative territory,”
Blanchard is advising its clients to buy physical gold in anticipation of major price increases over the remainder of the year, Beahm said.
Blanchard and Company, Inc. is the largest and most respected tangible asset investment firm that specializes in precious metals and rare coins. The company has provided more than 375,000 investors with expert consultation and assistance in the acquisition of assets that help diversify, build, and protect financial portfolios. Blanchard assists its clients with buying, selling, and trading rare coins and precious metals, and the firm has an unequaled reputation in the industry in breadth of experience, personal service, investment vehicles, and expertise. The Blanchard Economic Research Unit is a key source of precious metals market analysis and continues to be an important resource for financial and consumer media throughout the United States. For more information about the company, visit http://www.BlanchardGold.com or call the company toll free at 1-800-880-4653.
|
|
|
|
|
|
| |
|
Copyright © 2009 Blanchard and Company, Inc.
|
|
