hey everyone welcome to bald guy money I am bald guy and despite the S&P 500 making a new all-time high this week it seems the market isn't getting as excited as we might have expected it to with sentiment on the fear and greed index falling to neutral territory after being steadily in the greedy Zone since Donald Trump's election Victory now this is a bit of a surprise as crypto Traders remain very greedy with Bitcoin reaching new record highs above $100,000 per Bitcoin and even consumers seem to be a
little bit more optimistic as consumer sentiment has been steadily Rising since bottoming out in July of this year a bottoming that coincided with the highest official US unemployment rate that we'd seen since October 2021 at 4.3% which according to the latest employment figures from the US which were released just this past week we remain below still today so with all of this going on it's curious that market sentiment dropped to neutral this past week just like it's curious that Warren
Buffett's Brookshire hathway is hoarding a record amount of cash now at $325 billion and I also find it curious that China's Central Bank who was stubbornly sitting out the latest Rising gold prices has now re-entered the game adding about six tons to their reserves in the month of November despite the alleged discovery of more than 1,000 tons in the ground which was a story that broke last week now if I put the pieces of the puzzle together what this tells me is that things in the United
States are hardly as they seem and what's more likely is that we will see major revisions to economic and labor market data that tell us the situation in the USA is actually closer to what we're seeing in Canada and Germany where unemployment rates are at 12-month highs and the overall quality of life is on the decline and I expect to see these revisions take place during the start of the Trump presidency as bureaucrats try to stick Donald Trump with the bill for the last four years of poor performance
and I'm not taking any sides with that comment I'm simply stating what I think is going to happen now with all of this happening I'm not only looking at what Warren Buffett is doing or what the Chinese Central Bank is doing although those are very important indicators I'm also looking at what other wealthy people are doing and where they are moving their money right now so in this video I want to zoom in on millionaires I want to discuss what they're doing with their money I want to show you all
roughly how much golden silver the average millionaire has right now versus the last time we discussed this in August 2023 and to close the video I want to cover a viewer question on the topic of mining stocks and whether there's still a value in this market or if the latest pullback is a sign of more pain to come now just before we dive in I want to remind you all about my free article at Summit medals.com on the topic of how much of someone's net worth should be in gold and silver please
check that article out and if you want to buy gold or silver at a great price with great Service Summit medals can help you out with that too and we'll ship internationally now so please contact them about details on that if you're outside of the United States and want to place an order and right now they've got pre-33 gold coins if that's your thing at the lowest prices I've seen on the internet so I will leave the links to my article as well as these products in the video description
below and remember that's www.summit.com please check them out okay so jumping into it as things stand today UBS estimates that there are about 58 million millionaires in the world and for those of you wondering those are Us doll Millionaires and that is up by 5.5 million since August of last year and up 2 million since the 2021 Market highs so the first takeout we have here in this video is the overall number of millionaires is way up and it should come as no surprise considering the fact that all of the inflation we've seen
over the last 5 years has likely had a big impact on that number now the second Trend we have observed over that time apart from the change in the number of millionaires is that more and more wealthy people are adding precious metals specifically gold to their portfolios and this number doesn't apply exclusively to Millionaires and I will get to that number in a moment but I think it's important to point out that according to this November 2024 Investopedia article 38% of us investors with at least
$250,000 in investable assets said they have gold in their portfolio which was up from 20% so almost double since spring 2023 and it clearly showed us that investors specifically wealthy investors are not giving up on precious metals in fact I'd say it shows us that they're only just getting started and they're increasing their exposure to both gold and silver because they are as skeptical about the fitness of this economy as I am and as probably many of you watching this video are now how this
applies to millionaires around the world in 2024 is a very similar story because according to the data I was able to piece together from the UBS wealth report the world gold Council in a few articles on the topic of metals ownership amongst millionaires about 26% of millionaires today are holding at least a part of their money in gold which is up from 16% globally the last time I did this and for silver that number is about 9% so pretty stable versus last year's numbers and that means the majority of new millionaire
precious metals investors worldwide and you can see exact how many there are on the screen right now compared to how many we estimated there were last year have largely skipped silver and gone straight to gold with millionaire gold owners now outnumbering silver owners almost 3 to one and I'd love to know if any of you have observed this trend amongst your wealthier friends and family members so please be sure to let me know in the comments if this is in fact something you've also observed now
when it comes to how much gold and silver millionaires own little has changed since last year year with millionaires on average having 1 to 6% of their total net worth allocated towards precious metals with the common allocation the most common allocation being about 2% which is probably too low in my opinion let me know what you think in the comments about a 2% allocation to Metals but in my opinion I think it's too low and it's always why I keep asking you to like and share my videos with these people to make sure that they
have the correct allocation to medals anyhow just before I show you how much gold and silver millionaires have it's important to understand who it is we're talking about and for this exercise I am talking about your average millionaire and that's a person with a net worth in the range of 1.5 million to $2.5 million us which doesn't sound like a lot when we're constantly talking about $36 trillion in US national debt but even in 2024 that is a lot of money and it translates into the average millionaire
having any we from 15,000 to $150,000 allocated to precious metals and how that money is split between gold and silver differs from person to person but I have made some ranges here showing different allocation splits starting at a 5050 us allocation between gold and silver or a gold to Silver ratio of 86.5 ounces of silver for every 1 oce of gold which is probably the minority of millionaire stackers and I'll say more on that in a moment but this group owns from 242 oun of silver and 3 o of gold
on the low side of ownership up to about 2,400 o of silver and 28 o of gold on the high side and that's of the 15,000 to 150,000 allocation to metals that I mentioned a moment ago so I hope that's clear for everybody exactly how that works now if we look at that middle group I suspect this is where we will find most millionaire precious metals owners especially the ones that have been stacking for a long time who put about 80% of their money towards gold and 20% of their money towards silver
which today gives them about 21 ounces of silver for every 1 ounce of gold they own and I say that not only because I fall into this group but because a lot of stackers I know also fall into this group as they trust the stability of gold but also want to have a little exposure to the upside volatility on Silver so stackers in this group own about 100 o of silver and 5 O of gold on the low side up to nearly 1,000 o of silver and 46 o of gold on the high side now you'll see that I've added a group
on the far right here that's the last group and this is an addition that I've made that wasn't in last year's video and it basically shows how much exclusively gold stackers have which would include a lot of new stackers who have opted to skip over silver and go straight to gold which even counts a few people that I know and these stackers own from 6 ounces of gold up to 57 ounces of gold and they like gold because it's compact it's easy to store and they're mainly concerned about
hedging cash savings or riskier Investments they've made and they don't really think much about medals or the gold to Silver ratio it's something that's really foreign to them in fact many of them are just doing what their friends have done what their people they've know have done or what their financial advisers have told them to do so in a nutshell when we're looking at this situation this is how much gold and silver the regular millionaire is taking with them into 2025 based on these different profiles
again with that middle profile the 80% allocated to Gold 20% allocated to Silver being the most common profile I think amongst millionaire stackers and before we move on to this video's viewer question please let me know what you think about these numbers in the comments section and let me know if you think millionaires are stacking enough medals based on these numbers or if you think they don't have enough exposure which is my opinion on the topic okay so getting on to this video's viewer
question and remember please I ask for your feedback on these videos because it's important to me and that applies to your questions as well so please remember to leave your questions below in the comments section I pick one to answer in every video that I do and this week's question comes from the bavona who is a great supporter of what I do he's also a patreon member so a warm hello to bavona if you're watching this video I have a feeling you are watching this video and bavona asked me what
would make me sell my core mining positions in 2025 and I'll paraphrase the next bit but he also wants to know what my 2 to 5 year outlook is now before we dig into this topic to those of you who have been holding mining stocks since 2016 or 2020 or even 2022 maybe even earlier than that even please take note that I was very bearish on mining stocks over those years and I even criticized other YouTubers for recommending them in 20121 and 2022 and I only entered my first trade on mining stocks in July 2023 so although I
understand some of you may be frustrated with their performance please note that I haven't always been blindly enthusiastic about investing in miners even though I have been stacking gold and silver for for about 16 years now and what you see on the screen here right now is the exact overview I shared with my patreon members when I entered my first trades in mining stocks and what I told them was that I expected to see returns in 2024 and that I would reassess the position after 18 to 24 months of being in the trade but that I
saw little downside risk at the time I entered the stocks now with 16 months having passed since I made this call the portfolio I put together on patreon which is where I mainly cover mining stocks I don't cover it that often here on YouTube is up 34% with the S&P 500 being up 32.8% over that same period of time but with miners pulling back significantly from their highs recently I mean this portfolio of mine was up more than 50% at one point this year I think it's only fair to reassess my
investment thesis publicly on YouTube because I see a lot of mining investors becoming discouraged even though the mining ETFs have yielded a respectable return so far in 2024 and it might not be envidia level returns but even 18.6% on the gdxj is a good return and i' take that every year for life if it was guarant if such a guarantee was possible anyhow this review starts with my investment thesis and the first part of my thesis was that demand for minerals was rising and there was nothing that
could be done to stop it meaning the role that mining companies play in our lives is more important than recent stock performance would suggest and that was something I said in 20123 and I also said that underperformance in the stocks was probably driven by the fact that they aren't as sexy as tech companies in Bitcoin but that the underinvestment we were seeing in mining would slowly become an issue that we would have to deal with as mineral and metals prices rise to reflect the lack of investment
in mining versus growing demand and I think the fact that some Commodities like copper which are usually a very good indicator of recession I think the fact that the price of copper for example has remained as strong as it has is a direct reflection on that despite the fact that we're likely in a global recession right now and an example I Ed to illustrate that underinvestment point that some of you may remember was what we saw in energy stocks from 2020 to 2022 as people started to believe the
green energy narrative would make fossil fuels Obsolete and of course it was very easy to believe when everybody was sitting at home during the c19 pandemic and what happened as a result of that was investors piled into tech companies until the 2022 bare Market which is when energy stocks shined as the global economy started to go again because it became OB obvious just how much we still need fossil fuels and oil prices went up to reflect that fact now the final element of my thesis for turning bullish
on mining stocks was that higher interest rates would impact the high inflation levels we'd been seeing and that miners were experiencing to a very negative degree which would get their costs under control allowing them to grow their margins and grow their profitability and this is probably the most important part of my investment thesis on miners and ultimately why I felt it was okay to enter the mining trade and Bona I know you're watching this video to be 100% transparent with you if this became a clear and present
danger once again in 2025 that would be the trigger for me to leave this trade that said what we've seen when it comes to companies like numont which is the world's largest gold mining company is that their margins are rising along with their profitability and if you look at the numbers in the bottom right of the table on the screen you'll see that they have had the two largest quarters of net income since 2021 which is back the data shown on this table in Q2 and Q3 of 2024 but the market which is not excited by
these stocks and still scared of inflation have driven the price of the stock back down from the 2024 high of about $58 per share down to about $41 per share and that's despite the fact that the stock was trading near $80 per share in 2022 when the company had significantly lower margins and lower profits and what this tells me is this with mining margins and profitability set to remain high thanks to sustainably higher Metals prices and you can see I've marked the 50-day average prices
for both gold and silver in that red box there on the screen I think gold and silver miners still offer unique value in a market where value is really becoming hard to find and I'll be watching Q4 2024 earnings very carefully so that's earnings for October to December of 2024 as a confirmation of that fact and they'll be released early next year and I think it will give us a good idea of whether the strength we've seen recently will continue into 2025 or whether they're going to go
kaput so Mr bavona as things stand today I remain bullish on these stocks and with rates po to come down in regulation for us-based mining companies possibly being pulled back a bit with the Trump Administration which has been very transparent about the fact that they want to reduce regulations I think the next two years still look very good for miners especially with China buying gold again at these prices and the potential for a trade War to drive the prices of Commodities as a whole in the upward
direction that said inflation still weighs heavily on my mind and I think it's too early to say if this is a good place to be for the next 5 years but I will be keeping my eye on it and I will let you know if anything changes in my attitude towards these stocks so with that said I want to thank everybody for watching this video please remember if you liked it leave a like right now below also remember to share this video with people who are special to you in your life who you think would benefit
from this message and remember if you're looking to buy some gold and silver maybe even for a family or a friend as we enter the holiday season please remember Channel Partners Summit medals they can help you with all of your needs there and as I say at the end of all of my videos remember to take care of yourselves and take care of each other I'm wishing you all a fantastic day ahead see you in the next video goodbye e
hey everyone welcome to bald guy money I am bald guy and despite the S&P 500 making a new all-time high this week it seems the market isn't getting as excited as we might have expected it to with sentiment on the fear and greed index falling to neutral territory after being steadily in the greedy Zone since Donald Trump's election Victory now this is a bit of a surprise as crypto Traders remain very greedy with Bitcoin reaching new record highs above $100,000 per Bitcoin and even consumers seem to be a
little bit more optimistic as consumer sentiment has been steadily Rising since bottoming out in July of this year a bottoming that coincided with the highest official US unemployment rate that we'd seen since October 2021 at 4.3% which according to the latest employment figures from the US which were released just this past week we remain below still today so with all of this going on it's curious that market sentiment dropped to neutral this past week just like it's curious that Warren
Buffett's Brookshire hathway is hoarding a record amount of cash now at $325 billion and I also find it curious that China's Central Bank who was stubbornly sitting out the latest Rising gold prices has now re-entered the game adding about six tons to their reserves in the month of November despite the alleged discovery of more than 1,000 tons in the ground which was a story that broke last week now if I put the pieces of the puzzle together what this tells me is that things in the United
States are hardly as they seem and what's more likely is that we will see major revisions to economic and labor market data that tell us the situation in the USA is actually closer to what we're seeing in Canada and Germany where unemployment rates are at 12-month highs and the overall quality of life is on the decline and I expect to see these revisions take place during the start of the Trump presidency as bureaucrats try to stick Donald Trump with the bill for the last four years of poor performance
and I'm not taking any sides with that comment I'm simply stating what I think is going to happen now with all of this happening I'm not only looking at what Warren Buffett is doing or what the Chinese Central Bank is doing although those are very important indicators I'm also looking at what other wealthy people are doing and where they are moving their money right now so in this video I want to zoom in on millionaires I want to discuss what they're doing with their money I want to show you all
roughly how much golden silver the average millionaire has right now versus the last time we discussed this in August 2023 and to close the video I want to cover a viewer question on the topic of mining stocks and whether there's still a value in this market or if the latest pullback is a sign of more pain to come now just before we dive in I want to remind you all about my free article at Summit medals.com on the topic of how much of someone's net worth should be in gold and silver please
check that article out and if you want to buy gold or silver at a great price with great Service Summit medals can help you out with that too and we'll ship internationally now so please contact them about details on that if you're outside of the United States and want to place an order and right now they've got pre-33 gold coins if that's your thing at the lowest prices I've seen on the internet so I will leave the links to my article as well as these products in the video description
below and remember that's www.summit.com please check them out okay so jumping into it as things stand today UBS estimates that there are about 58 million millionaires in the world and for those of you wondering those are Us doll Millionaires and that is up by 5.5 million since August of last year and up 2 million since the 2021 Market highs so the first takeout we have here in this video is the overall number of millionaires is way up and it should come as no surprise considering the fact that all of the inflation we've seen
over the last 5 years has likely had a big impact on that number now the second Trend we have observed over that time apart from the change in the number of millionaires is that more and more wealthy people are adding precious metals specifically gold to their portfolios and this number doesn't apply exclusively to Millionaires and I will get to that number in a moment but I think it's important to point out that according to this November 2024 Investopedia article 38% of us investors with at least
$250,000 in investable assets said they have gold in their portfolio which was up from 20% so almost double since spring 2023 and it clearly showed us that investors specifically wealthy investors are not giving up on precious metals in fact I'd say it shows us that they're only just getting started and they're increasing their exposure to both gold and silver because they are as skeptical about the fitness of this economy as I am and as probably many of you watching this video are now how this
applies to millionaires around the world in 2024 is a very similar story because according to the data I was able to piece together from the UBS wealth report the world gold Council in a few articles on the topic of metals ownership amongst millionaires about 26% of millionaires today are holding at least a part of their money in gold which is up from 16% globally the last time I did this and for silver that number is about 9% so pretty stable versus last year's numbers and that means the majority of new millionaire
precious metals investors worldwide and you can see exact how many there are on the screen right now compared to how many we estimated there were last year have largely skipped silver and gone straight to gold with millionaire gold owners now outnumbering silver owners almost 3 to one and I'd love to know if any of you have observed this trend amongst your wealthier friends and family members so please be sure to let me know in the comments if this is in fact something you've also observed now
when it comes to how much gold and silver millionaires own little has changed since last year year with millionaires on average having 1 to 6% of their total net worth allocated towards precious metals with the common allocation the most common allocation being about 2% which is probably too low in my opinion let me know what you think in the comments about a 2% allocation to Metals but in my opinion I think it's too low and it's always why I keep asking you to like and share my videos with these people to make sure that they
have the correct allocation to medals anyhow just before I show you how much gold and silver millionaires have it's important to understand who it is we're talking about and for this exercise I am talking about your average millionaire and that's a person with a net worth in the range of 1.5 million to $2.5 million us which doesn't sound like a lot when we're constantly talking about $36 trillion in US national debt but even in 2024 that is a lot of money and it translates into the average millionaire
having any we from 15,000 to $150,000 allocated to precious metals and how that money is split between gold and silver differs from person to person but I have made some ranges here showing different allocation splits starting at a 5050 us allocation between gold and silver or a gold to Silver ratio of 86.5 ounces of silver for every 1 oce of gold which is probably the minority of millionaire stackers and I'll say more on that in a moment but this group owns from 242 oun of silver and 3 o of gold
on the low side of ownership up to about 2,400 o of silver and 28 o of gold on the high side and that's of the 15,000 to 150,000 allocation to metals that I mentioned a moment ago so I hope that's clear for everybody exactly how that works now if we look at that middle group I suspect this is where we will find most millionaire precious metals owners especially the ones that have been stacking for a long time who put about 80% of their money towards gold and 20% of their money towards silver
which today gives them about 21 ounces of silver for every 1 ounce of gold they own and I say that not only because I fall into this group but because a lot of stackers I know also fall into this group as they trust the stability of gold but also want to have a little exposure to the upside volatility on Silver so stackers in this group own about 100 o of silver and 5 O of gold on the low side up to nearly 1,000 o of silver and 46 o of gold on the high side now you'll see that I've added a group
on the far right here that's the last group and this is an addition that I've made that wasn't in last year's video and it basically shows how much exclusively gold stackers have which would include a lot of new stackers who have opted to skip over silver and go straight to gold which even counts a few people that I know and these stackers own from 6 ounces of gold up to 57 ounces of gold and they like gold because it's compact it's easy to store and they're mainly concerned about
hedging cash savings or riskier Investments they've made and they don't really think much about medals or the gold to Silver ratio it's something that's really foreign to them in fact many of them are just doing what their friends have done what their people they've know have done or what their financial advisers have told them to do so in a nutshell when we're looking at this situation this is how much gold and silver the regular millionaire is taking with them into 2025 based on these different profiles
again with that middle profile the 80% allocated to Gold 20% allocated to Silver being the most common profile I think amongst millionaire stackers and before we move on to this video's viewer question please let me know what you think about these numbers in the comments section and let me know if you think millionaires are stacking enough medals based on these numbers or if you think they don't have enough exposure which is my opinion on the topic okay so getting on to this video's viewer
question and remember please I ask for your feedback on these videos because it's important to me and that applies to your questions as well so please remember to leave your questions below in the comments section I pick one to answer in every video that I do and this week's question comes from the bavona who is a great supporter of what I do he's also a patreon member so a warm hello to bavona if you're watching this video I have a feeling you are watching this video and bavona asked me what
would make me sell my core mining positions in 2025 and I'll paraphrase the next bit but he also wants to know what my 2 to 5 year outlook is now before we dig into this topic to those of you who have been holding mining stocks since 2016 or 2020 or even 2022 maybe even earlier than that even please take note that I was very bearish on mining stocks over those years and I even criticized other YouTubers for recommending them in 20121 and 2022 and I only entered my first trade on mining stocks in July 2023 so although I
understand some of you may be frustrated with their performance please note that I haven't always been blindly enthusiastic about investing in miners even though I have been stacking gold and silver for for about 16 years now and what you see on the screen here right now is the exact overview I shared with my patreon members when I entered my first trades in mining stocks and what I told them was that I expected to see returns in 2024 and that I would reassess the position after 18 to 24 months of being in the trade but that I
saw little downside risk at the time I entered the stocks now with 16 months having passed since I made this call the portfolio I put together on patreon which is where I mainly cover mining stocks I don't cover it that often here on YouTube is up 34% with the S&P 500 being up 32.8% over that same period of time but with miners pulling back significantly from their highs recently I mean this portfolio of mine was up more than 50% at one point this year I think it's only fair to reassess my
investment thesis publicly on YouTube because I see a lot of mining investors becoming discouraged even though the mining ETFs have yielded a respectable return so far in 2024 and it might not be envidia level returns but even 18.6% on the gdxj is a good return and i' take that every year for life if it was guarant if such a guarantee was possible anyhow this review starts with my investment thesis and the first part of my thesis was that demand for minerals was rising and there was nothing that
could be done to stop it meaning the role that mining companies play in our lives is more important than recent stock performance would suggest and that was something I said in 20123 and I also said that underperformance in the stocks was probably driven by the fact that they aren't as sexy as tech companies in Bitcoin but that the underinvestment we were seeing in mining would slowly become an issue that we would have to deal with as mineral and metals prices rise to reflect the lack of investment
in mining versus growing demand and I think the fact that some Commodities like copper which are usually a very good indicator of recession I think the fact that the price of copper for example has remained as strong as it has is a direct reflection on that despite the fact that we're likely in a global recession right now and an example I Ed to illustrate that underinvestment point that some of you may remember was what we saw in energy stocks from 2020 to 2022 as people started to believe the
green energy narrative would make fossil fuels Obsolete and of course it was very easy to believe when everybody was sitting at home during the c19 pandemic and what happened as a result of that was investors piled into tech companies until the 2022 bare Market which is when energy stocks shined as the global economy started to go again because it became OB obvious just how much we still need fossil fuels and oil prices went up to reflect that fact now the final element of my thesis for turning bullish
on mining stocks was that higher interest rates would impact the high inflation levels we'd been seeing and that miners were experiencing to a very negative degree which would get their costs under control allowing them to grow their margins and grow their profitability and this is probably the most important part of my investment thesis on miners and ultimately why I felt it was okay to enter the mining trade and Bona I know you're watching this video to be 100% transparent with you if this became a clear and present
danger once again in 2025 that would be the trigger for me to leave this trade that said what we've seen when it comes to companies like numont which is the world's largest gold mining company is that their margins are rising along with their profitability and if you look at the numbers in the bottom right of the table on the screen you'll see that they have had the two largest quarters of net income since 2021 which is back the data shown on this table in Q2 and Q3 of 2024 but the market which is not excited by
these stocks and still scared of inflation have driven the price of the stock back down from the 2024 high of about $58 per share down to about $41 per share and that's despite the fact that the stock was trading near $80 per share in 2022 when the company had significantly lower margins and lower profits and what this tells me is this with mining margins and profitability set to remain high thanks to sustainably higher Metals prices and you can see I've marked the 50-day average prices
for both gold and silver in that red box there on the screen I think gold and silver miners still offer unique value in a market where value is really becoming hard to find and I'll be watching Q4 2024 earnings very carefully so that's earnings for October to December of 2024 as a confirmation of that fact and they'll be released early next year and I think it will give us a good idea of whether the strength we've seen recently will continue into 2025 or whether they're going to go
kaput so Mr bavona as things stand today I remain bullish on these stocks and with rates po to come down in regulation for us-based mining companies possibly being pulled back a bit with the Trump Administration which has been very transparent about the fact that they want to reduce regulations I think the next two years still look very good for miners especially with China buying gold again at these prices and the potential for a trade War to drive the prices of Commodities as a whole in the upward
direction that said inflation still weighs heavily on my mind and I think it's too early to say if this is a good place to be for the next 5 years but I will be keeping my eye on it and I will let you know if anything changes in my attitude towards these stocks so with that said I want to thank everybody for watching this video please remember if you liked it leave a like right now below also remember to share this video with people who are special to you in your life who you think would benefit
from this message and remember if you're looking to buy some gold and silver maybe even for a family or a friend as we enter the holiday season please remember Channel Partners Summit medals they can help you with all of your needs there and as I say at the end of all of my videos remember to take care of yourselves and take care of each other I'm wishing you all a fantastic day ahead see you in the next video goodbye e
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