Well of course, it's always a good bet to diversify your assets. However, there's a lot of strategic advantages in playing with ratios. For me personally, I like to consider these things in order to optimize myself for max gains in my hard assets and anything else I invest and trade in.
For instance, the current ratio of silver to gold is almost 75:1, so where do I go from here? Well, an ounce of gold is just around $1300, so I can buy a gold ounce or 75 ounces of silver. Of course, to each your own with what you choose to buy and how you buy it, though in the context of optimizing wealth and overall gain, I'd like to play with ratios like these and for instance grab a bunch of ounces of silver for the same amount as an ounce of gold. So let's take a look at how this works:
Silver(Ounce): $17.75 ----- Gold(Ounce): $1300
So let's say you buy $1300 worth of silver instead of gold which is the equivalent of [73.2] ounces. Now here's where the magic works:
Gold raises $100, and you gain a nice little profit, assuming you are going to exit at that position, and let's say silver goes just to $20 from $17.5, and you actually gain a higher profit (1300 to 1464 USD). Playing with the ratios and those numbers as such is personally a powerful tool for me, though of course my best bet is diversifying and holding all the assets if I were going to do so.
I mean, I'm not some expert adviser, though I believe it's something valuable to note. Thanks for the post @dana-edwards
~FD
RE: What hard assets would you choose to buy?