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Before the Second World War, the French sensed an attack from the Germans after their huge loss in the First War, so they constructed the Maginot line – a series of expensive super-forts along their eastern border with Germany. They reckoned the forts were so strong that they would prevent any future German army from attacking. This looked quite sensible until Adolf Hitler blasted from Belgium, which is north of France, and Paris was taken in weeks.

 

This is a failed attempt to assess risk and like most guys I know, they literarily fail in understanding how to assess investment risk. Like the French, that constructed the Maginot line which was an expensive but ill-located and ultimately unsuccessful investment in security, these guys keep their monies in high risk investments without knowing it. Because of their loss in previous investments, they become paranoid about every investment and make wrong choices in their investment pick.

 

 

Now, I will be a bit frank with you in this write-up: There is nothing like a foolproof safe investment. It does not exist on this earth and it never will. The day you were born, you have entered the world of risk not to talk of human controlled system. It is important you know this when talking about investing in one thing or the other. It is also important to note that Jesus Christ frowns at those who do not invest what they have.

 

In the parable of the talent, the Master was angry with the guy with the one talent for burying his talent; he however admonished the guy to have put it in the bank for interest. Now, this is where the problem lies; most people think putting your money in the bank is low risk especially where you gain interest from it. The Master in the parable was only comparing the risk level of doing business and placing it in the bank; the bank is however less risky than business but depositing your money in the bank is very risky.

 

 

Once you deposit your money in your savings account, the money is no longer yours; it becomes the property and liability of the bank and you become a creditor. When the bank becomes insolvent, the bank has no right to pay you back your money. Well, some government comes in to protect you by giving you a tiny fraction of your money. If you have 50 million naira in an insolvent bank account, Nigerian government gives you 50 thousand naira to compensate your loss after like 2 years. The Nigerian government is actually doing you a favor so be thankful.

 

 

The bank is not as safe as you think; there is also the issue of inflation. Let’s take the case of someone that saved 5 million naira in his account when dollars was 118 naira and wants to import anything now. This would definitely be a huge loss for the person. What about the executive that has been saving his/her money for a vacation and he/she realize that the dollar rate has spoiled his/her chances for the shopping he/she wanted to do abroad.

 

I gave two solutions to this rising dollar in my earlier write-up; earn money in dollars and convert your money to an easily liquefiable universal asset. I sent mails to the guys that showed interest in the 250 USD capital investments and I introduced GOLD as an easily liquefiable universal asset in my write-up; “let’s talk GOLD”. However, I failed to share the low risk involved in investing in GOLD as oppose other kinds of investment.

 

First, let me take you through Risk Assessment 101. If you plan to make 1 thousand naira and two investment plans were placed before you; 1) you invest 100 naira and get 5 per cent of your investment or 2) you invest 800 naira and get 25 per cent of your investment. This is very simple because I know most will go for option (2). Let’s take another scenario with this 1000 naira in mind; 1) you invest 500 naira and get 10 per cent in an investment you are familiar with or 2) you invest 500 naira and get 100 per cent return of your investment in an investment you are not familiar with. I am sure there will be diverse opinion on this.

 

Remember, like I said; there is no foolproof safe investment; it all depends on how familiar you are to the investment. Familiarity lessens the risk of the investment not the investment on its own; a successful business man would tell you it is less risky to do business than to place your money in stocks while a white collar executive would disagree with the business man’s assertion. So this means it is a “perspective” issue not an “investment” issue.

 

This is why I am interested in teaching ten guys who are very smart and ambitious the secrets of investing in bullion gold. I would be teaching them how they can buy and sell bullion gold via the internet with as little as 50 USD. After buying this gold, they would be kept in offshore accounts that are reputed to be safe. This is however better than bank deposit because the gold or the equivalent value is given to you even if the company is insolvent. There is another Maginot line that people promote; they believe that investments are safer in their country of origin.

 

 

Investments are far safer in offshore accounts like Switzerland than your country of origin. The US government did something very funny in 1933; they simply passed a law that made gold useless to its owners by making possession of gold or gold certificate of more than 100 USD worth illegal. Your government can wake up any day and propound rules that can make you poor or rich depends on the divide you are.

 

I will be discussing more on the advantage of converting your hard earned savings into gold in my nest article but in the main time, 10 lucky guys would be trained in the secrets of gold trade. I have got a lot of interest but my policy is first pay, first served. To know details of the seminar, read my article; “let’s talk GOLD” or click HERE. You can also show interest in the training by clicking HERE.   

 

 

N/B: FOR THOSE WHO ARE NOT AWARE, YOU MAY LISTEN TO MY PODCASTS BY CLICKING HERE