Best of the Week
Most Popular
1. TESLA! Cathy Wood ARK Funds Bubble BURSTS! - 12th May 21
2.Stock Market Entering Early Summer Correction Trend Forecast - 10th May 21
3.GOLD GDX, HUI Stocks - Will Paradise Turn into a Dystopia? - 11th May 21
4.Crypto Bubble Bursts! Nicehash Suspends Coinbase Withdrawals, Bitcoin, Ethereum Bear Market Begins - 16th May 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.Cathy Wood Ark Invest Funds Bubble BURSTS! ARKK, ARKG, Tesla Entering Severe Bear Market - 13th May 21
7.Stock Market - Should You Be In Cash Right Now? - 17th May 21
8.Gold to Benefit from Mounting US Debt Pile - 14th May 21
9.Coronavius Covid-19 in Italy in August 2019! - 13th May 21
10.How to Invest in HIGH RISK Tech Stocks for 2021 and Beyond - Part 2 of 2 - 18th May 21
Last 7 days
How to Trade Binance Vanilla Options for the First Time on Bitcoin Crypto's - 2nd Aug 21
From vaccine inequality to economic apartheid - 2nd Aug 21
Stock Market Intermediate Top Reached - 2nd Aug 21
Gold at a Crossroads of Hawkish Fed and High Inflation - 2nd Aug 21
Bitcoin, Crypto Market Black Swans from Google to Obsolescence - 1st Aug 21
Gold Stocks Autumn Rally - 1st Aug 21
Earn Upto 6% Interest Rate on USD Cash Deposits with Binance Crypto Exchange USDC amd BUSD - 1st Aug 21
Vuze XR VR 3D Camera Takes Near 2 Minutes to Turn On, Buggy Firmware - 1st Aug 21
Sun EXPLODES! Goes SuperNova! Will Any planets Survive? Jupiter? Pluto? - 1st Aug 21
USDT is 9-11 for Central Banks the Bitcoin Black Swan - Tether Un-Stable Coin Ponzi Schemes! - 30th Jul 21
Behavior of Inflation and US Treasury Bond Yields Seems… Contradictory - 30th Jul 21
Gold and Silver Precious Metals Technical Analysis - 30th Jul 21
The Inadvertent Debt/Inflation Trap – Is It Time for the Stock Market To Face The Music? - 30th Jul 21
Fed Stocks Nothingburger, Dollar Lower, Focus on GDP, PCE - 30th Jul 21
Reverse REPO Market Brewing Financial Crisis Black Swan Danger - 29th Jul 21
Next Time You See "4 Times as Many Stock Market Bulls as There Are Bears," Remember This - 29th Jul 21
USDX: More Sideways Trading Ahead? - 29th Jul 21
WEALTH INEQUALITY WASN'T BY HAPPENSTANCE! - 29th Jul 21
Waiting On Silver - 29th Jul 21
Showdown: Paper vs. Physical Markets - 29th Jul 21
New set of Priorities needed for Unstoppable Global Warming - 29th Jul 21
The US Dollar is the Driver of the Gold & Silver Sectors - 28th Jul 21
Fed: Murderer of Markets and the Middle Class - 28th Jul 21
Gold And Silver – Which Will Have An Explosive Price Rally And Which Will Have A Sustained One? - 28th Jul 21
I Guess The Stock Market Does Not Fear Covid - So Should You? - 28th Jul 21
Eight Do’s and Don’ts For Options Traders - 28th Jul 21
Chasing Value in Unloved by Markets Small Cap Biotech Stocks for the Long-run - 27th Jul 21
Inflation Pressures Persist Despite Biden Propaganda - 27th Jul 21
Gold Investors Wavering - 27th Jul 21
Bogdance - How Binance Scams Futures Traders With Fake Bitcoin Prices to Run Limits and Margin Calls - 27th Jul 21
SPX Going for the Major Stock Market Top? - 27th Jul 21
What Is HND and How It Will Help Your Career Growth? - 27th Jul 21
5 Mobile Apps Day Traders Should Know About - 27th Jul 21
Global Stock Market Investing: Here's the Message of Consumer "Overconfidence" - 25th Jul 21
Gold’s Behavior in Various Parallel Inflation Universes - 25th Jul 21
Indian Delta Variant INFECTED! How infectious, Deadly, Do Vaccines Work? Avoid the PCR Test? - 25th Jul 21
Bitcoin Stock to Flow Model to Infinity and Beyond Price Forecasts - 25th Jul 21
Bitcoin Black Swan - GOOGLE! - 24th Jul 21
Stock Market Stalling Signs? Taking a Look Under the Hood of US Equities - 24th Jul 21
Biden’s Dangerous Inflation Denials - 24th Jul 21
How does CFD trading work - 24th Jul 21
Junior Gold Miners: New Yearly Lows! Will We See a Further Drop? - 23rd Jul 21
Best Forex Strategy for Consistent Profits - 23rd Jul 21
Popular Forex Brokers That You Might Want to Check Out - 22nd Jul 21
Bitcoin Black Swan - Will Crypto Currencies Get Banned? - 22nd Jul 21
Bitcoin Price Enters Stage #4 Excess Phase Peak Breakdown – Where To Next? - 22nd Jul 21
Powell Gave Congress Dovish Signs. Will It Help Gold Price? - 22nd Jul 21
What’s Next For Gold Is Always About The US Dollar - 22nd Jul 21
URGENT! ALL Windows 10 Users Must Do this NOW! Windows Image Backup Before it is Too Late! - 22nd Jul 21
Bitcoin Price CRASH, How to SELL BTC at $40k! Real Analysis vs Shill Coin Pumper's and Clueless Newbs - 21st Jul 21
Emotional Stock Traders React To Recent Market Rotation – Are You Ready For What’s Next? - 21st Jul 21
Killing Driveway Weeds FAST with a Pressure Washer - 8 months Later - Did it work?- Block Paving Weeds - 21st Jul 21
Post-Covid Stimulus Payouts & The US Fed Push Global Investors Deeper Into US Value Bubble - 21st Jul 21
What is Social Trading - 21st Jul 21
Would Transparency Help Crypto? - 21st Jul 21
AI Predicts US Tech Stocks Price Valuations Three Years Ahead (ASVF) - 20th Jul 21
Gold Asks: Has Inflation Already Peaked? - 20th Jul 21
FREE PASS to Analysis and Trend forecasts of 50+ Global Markets by Elliott Wave International - 20th Jul 21
Nissan to Create 1000s of jobs with electric vehicle investment in UK - 20th Jul 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Gerald Celente Loses Six Figures in MF Global Bankruptcy, Investors Beware

Commodities / Scams Nov 23, 2011 - 07:52 AM GMT

By: GoldSilver

Commodities

Best Financial Markets Analysis ArticleThose of you who frequent the Gold Silver News, know and recognize Gerald Celente, the founder and publisher of The Trends Journal.

This past week Mr. Celente revealed that he has lost more than six figures of funds with Lind-Waldock, a commodities futures brokerage that was owned by MF Global (who filed for bankruptcy on October 31, 2011).


Here he is on Russia Today explaining the details of what transpired:

We are saddend to hear about Gerald's unfortunate loss but we are also hearted by his bravery in speaking out and in warning others!

As Gerald often states "Current events form future trends", sadly the trend of disappearing capital and financial accounts may become more common place in what appears to be an almost lawless financial world,  overly fraught with insolvency and debt.  

Our readers know to steer clear of the financial shark tank that is futures and options trading from essential articles on the 5 Precious Metal Scams to Avoid and in Beware of Fools Gold - Futures & Options
 
The powers that be in the futures markets customarily intervene and arbitrarily change the rules of the game in process.  By owning physical bullion in hand, we simply eject the futures market middlemen out of the game. 
 
 
The Current Trend is not the Average Investor's Friend
 
In the months and years ahead, we believe millions upon millions of investors will learn the hard way, what the term counter-party risk truly means.  
 
Allow us a moment to define what may become the most significant financial term of this decade:
 
Counterparty Risk - (n) the risk that a person(s) who is a party to a contract will default on their obligations under that contract.  In other words the possibility that the person or persons with whom a contract exists will fail to fulfill the terms of their side of the contract. 
 
Essentially, almost all forms of financial instruments have some form of counter-party risk.  There are counter-party risks associated with every bond, every brokerage, every equity, annuity, and insurance product you can think of.
 
Everytime one accepts payment in fiat currency, by action, one enters into an unspoken contract with the issuer of that particular fiat currency.  When one holds fiat currency, one assumes a counter-party risk that the issuer of that particular fiat currency will not ruin the value of said currency and or default on their obligations, etc.
 
Unlike tangible monetary assets like gold and silver bullion in hand, counter-party or default risks are virtually everywhere an investors turns.  
 
But we digress.  
 
Back to Gerald Celente's whirlwind media tour concerning the disappearance of his gold futures account.  Here he is warning the public via Alex Jones' InfoWars:
 
"I'll tell you what my position is.  I wrote about it in The Trends Journal, it's there in black and white.  I recommend that people have only operating expenses in their bank.  Why do you think you hear all of these stories over the years about people putting their money under their mattresses?  Because the banks are going to steal it from you!"  
- Gerald Celente
Speaking to Eric King at King World News, Celente urged listeners to stand clear of the financial system stating the following:
 
"What's the take away from this?  It's to make sure you have every penny in your pocket.  Because just like MF (Global), screwed everybody else. Your also gonna get the shaft, I don't care who it is.  What's gonna happen when you get a message from your brokerage, from Fidelity or somebody... yeah infidelity.  Or how about Raymond James, I don't care who they are!  You have ETFs?  Oh, there's a little error over here, we don't have your money.  We don't have your positions."
 
"I went to a meeting... and the speaker said ETFs of GLD are supposed to be held by HSBC in a vault in Hong Kong or England some place, and HSBC, this guy said, is the biggest shorter of gold.  Well you figure it out!  They are the ones that are holding it and they're shorting it?  So the takeaway is to make sure you have every penny in your possession."
 
Eric King asked Mr. Celente the following poignant question, "Will people get up one day, and just like MF Global, their money is going to be gone and the government won't be able to backstop it?  What's your vision of what will happen there?"
 
Gerald replied, "Economic marshall law!"  
 
Regarding Celente's current outlook on gold and silver investing, he states, "I'm totally into physical (gold and silver) and I have it in a place that's safe and that nobody will be able to get to it, except myself."
 
 
So what can we learn from Gerald Celente's unfortunate mistake?  
 
Mr. Celente's story is a warning of what may become a sad reality for many people around the world who think they have XXXX in their accounts only to learn they have YYY!  
 
The futures and financial markets appear to be one overly-leveraged ponzi, on the verge of a cascading implosion.  Brokerages, bank accounts,  bonds, annuities, pensions, etc... if it is printed on paper, it is most probably laden with counter-party risks.  
 
What you think you have, may soon be merely worth the paper it is printed upon. 
 
As we continue to exit this failing system, we take physical possession of our gold and silver bullion in hand or via direct title ownership in third party, privately insured vaults.
 
Remember dear reader... the buildings, the infrastructure, the farms, and the productive assets are not going to simply go away.  Assets stand to merely swap title of ownership from those who remain blind, take no action, and or continue in denial... to those who understood the warnings and take intelligent action before the oncoming financial tsunami hits.
As we appear to be on the cusp of witnessing the greatest wealth transfer ever, we must again heed the words of Mike Maloney:
 
"This will be the greatest wealth transfer in the history of mankind.  This has happened, but never globally before.  This is the first time that it is the entire world.  If it is the greatest wealth transfer, that means that it is also the greatest opportunity in the history of mankind."
- Mike Maloney

Here at GoldSilver.com we will continue to keep our customers apprised of potential gold and silver investment frauds and scams.  Please stay tuned.  

http://goldsilver.com

Mike Maloney is the owner and founder of GoldSilver.com, an online precious metals dealership that specializes in delivery of gold and silver to a customer's doorstep, arranges for special secured storage, or for placement in one's IRA account. Additionally, GoldSilver.com provides invaluable research and commentary for its clients, assisting them in their wealth building endeavors.

© 2011 Copyright  GoldSilver - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in