Get physical bullion because the sovereign-debt crises haven't gone away, he warns
Because sovereign-debt risks in Europe and the U.S. are underestimated, "every investor really needs to have gold and silver in their portfolio, and make sure it's physically backed, not just some paper trading accounts," Martin Hennecke of the Tyche Group tells CNBC in a July 26 video interview (at minute 4:30).
"If you have a really severe sovereign-debt crisis and talking about a potential currency reform, potential national bankrupties, the big problems haven't gone away," he says (at 4:00). "If you have some crisis like that, there can be really a huge upside still for precious metals. We also suggest silver to mix it in the portfolio. We think this is all going to be a really good bet even if the economy should strengthen again just because of the Asian demand."
Hennecke (at 2:10) also says inflation is coming: "We are starting to see an inflationary environment globally. ... We also think that due to this quantitative easing that's going to have to happen in the Western countries as a result of this sovereign debt that's out of control basically, we will see inflation picking up."
