The world has changed significantly over the past two years. From the smallest of organisms grew an unprecedented global financial crisis. COVID-19 has had an immense impact on the world economy, so much so that it prompted some of the most significant economic stimulus measures in human history. The pandemic has added US$19.5 trillion to Global Debt, while 21% of all US Dollars ever printed were printed in 2020 alone.
In South Africa we have also felt the dramatic impact of this crisis. Our country has been pushed to the precipice of a Fiscal Cliff, a tipping point where all government revenue will be absorbed by Debt Service costs, civil service remuneration, and social assistance payments. When this happens and we default on our Sovereign Debt repayments, a significant devaluation of the Rand is now unavoidable.
To safeguard you and your family’s future financial stability, it is important to move your wealth out of Rands and invest in a commodity capable of withstanding this economic turbulence. Physical Bullion has time and again proven to be the perfect lifeboat with to weather such a financial storm.
Can You Afford NOT to be Investing in Bullion?
While many people are keenly aware of the advantages of investing in physical bullion, they will all too often admit that they lack the financial means to do so. Buying gold, even in the smallest legal amounts, requires a significant investment that is often out of reach of the average person.
It is with this in mind that DCX Bullion created the Monthly Medallion Club – a way to make owning physical bullion affordable to everyone.
What is the DCX Bullion Monthly Medallion Club?
The Monthly Medallion Club, or MMC, was created as a vehicle through which people who have previously been prohibited from investing in bullion due to costs could start accumulating Gold, Silver and Platinum. For an affordable monthly fee, it allows you to purchase actual grams of physical bullion. These grams accumulate until you have enough to produce an ounce medallion, which will then either be delivered to you, or stored in a high-security vault through our exclusive partner, Fidelity Security Services.
We have designed a range of packages – starting from as little as R375 – to suit everyone’s budget. Where purchasing bullion usually meant laying out thousands – or even tens of thousands – of Rands, the MMC allows you to build your wealth at a relatively modest monthly investment. Our packages offer Gold, Silver or Platinum, or you could select a package for each if you wish to diversify your portfolio. Should you prefer to accumulate your bullion faster, we also offer an option for you to choose your own monthly contribution above our set packages, up to the value of R10 000.
Why Join The MMC?
The Monthly Medallion club allows you to start investing in your family’s future, even if you are feeling the pinch of the COVID-19 pandemic. Bullion has long served as a hedge against inflation, currency devaluation, and economic instability in the hands of the ultra wealthly. While many people choose to invest in fixed accounts, retirement annuities, or other traditional portfolios, the truth is that your money is losing value due to inflation and currency devaluation from the moment it is deposited in the bank. Bullion on the other hand has proven to retain, or even increase its value over time. It is no wonder, as it has been used as a form of currency for thousands of years.
Investing in bullion now will allow you to plan for your children’s financial future with confidence, whether you are saving for:
- A college/university fund
- Baby Shower fund
- A wedding gift
- A 21st birthday gift
- Wedding gift
- Children’s savings plan
- Any unprecedented expenses
The last point is important. Life moves fast and is unpredictable. The greatest advantage of owning physical bullion is that it can be easily liquidated almost anywhere in the world. Some shopping malls even have pop-up stalls where you can sell your Gold. This means that in times of crisis you will have funds readily available when you need it.
Advantages of joining the MMC
Joining the Monthly Medallion Club presents a number of advantages:
- It is the only way for a private citizen to legally buy physical grams of bullion instead of coins or medallions (Your grams will be held until you have enough to produce an ounce medallion)
- It allows you to stack bullion for a relatively modest monthly investment
- Your investment will retain its value despite currency devaluation or inflation
- Can be liquidated for the spot price on the day at any time, even if you don’t have a full ounce medallion yet
- MMC members enjoy FREE vaulting and insurance on bullion, up to the value of R1 million
Medallions are not legal tender like Krugerrands. They fall into the category class such as jewellery and collector coins. Bullion medallions are moveable and transferable with no restrictions across international borders
Which Precious Metal is Right for Me, And Why?
When investing in bullion it is important to decide which precious metal presents the best choice for you. While diversifying your options with a mix of Gold, Platinum and Silver is ideal, it is important to understand the advantages each option presents.
Gold been used as a form of currency for thousands of years. Since the turn of the century, the demand for Gold as an investment has grown by an average of 18 percent per annum. The advantages of Gold include the following:
- It is less volatile than stocks and Fiat currencies
- It is a tangible asset. It can be held in your hand, and cannot be hacked like a bank account, putting it out of reach for cyber criminals
- It is easy to liquidate your bullion. Gold can be sold at any time, anywhere in the world
- Has long been a safe haven for investors as a hedge against losses due to currency devaluations and inflation
- Gold is a tried and tested investment. While crypto currencies might seem to be an attractive alternative, they have not been around for a major financial crisis, so it is impossible to know how they will weather such a storm
Silver in general is an extremely undervalued metal. It is one of the most useful commodities on earth, ensuring that it will be in great demand well into the future. Its excellent thermal and electrical conductivity and resistance to corrosion and oxidation make it an ideal choice for a wide range of industrial uses. These include:
- Consumer electronics – Cell phones, laptops etc.
- Long-life batteries
- Laundry detergents
- Solar Panels
- Production of Plastics
- Automotive electronics
- Water purification
- **Green Technology (Electric Cars, solar panels and wind turbines)
Silver also forms an integral part of the new **Green Megatrend, estimated to be worth US$30 trillion. This is a significant number, as the Internet of Things, the next largest Megatrend, is estimated to be worth only US$212 billion.
Like silver, is used for a number of industrial applications. It has as high melting point, is used in medical equipment and the manufacture of medical implants such as artificial lumbar disks, and as a catalyst in numerous chemical processes. Platinum is also used in:
- Catalytic converters
- The manufacture of Nitric acid – a key ingredient in fertilizers
- High-capacity storage devices necessary for cloud computing
- Mobile phones and laptop components
Platinum is also used as a catalyst in hydrogen fuel cells. With a strong global drive towards electric vehicles, one might expect that the demand for platinum in the automotive sector might decline. However, the weight of traditional batteries makes them unfeasible for use in long haul heavy freight vehicles. Hydrogen fuel cells present a logical alternative, ensuring a continued demand for Platinum. This means that like Silver, Platinum will also form part of the new Green Megatrend.
Secure Your Financial Future Today
With a continued growth in demand for Silver and Platinum all but guaranteed, it is easy to see how these precious metals, along with Gold, should form part of every financial portfolio. With the introduction of our Monthly Medallion Club, purchasing bullion and building lasting wealth has become more tangible and accessible than ever. Make sure that you and your family’s financial future is guarded against currency devaluation and inflation, and start building your bullion portfolio today.