Look at this. Since launching Stock Advisor in 2002, our average recommendation has returned 1,07%. That's not cherrypicked. Well, everything else is, but not this one. That's not cherrypicked. That's across the board. During that same stretch, the S&P 500 returned just 173%. Okay? And they have they have the dates cited here. So, that's super impressive. It really is. And I made a charge with the gold return since uh that same date. Th >> this is exactly what I did, Mike.
>> Okay. >> I couldn't believe it. So this is an S&P 173. This is them 1007%. You add in gold 1.7%. >> Hello, it's Mike Maloney and Alan Hib once again with the Gold Silver Show. Alan, how are you doing? I am great, Mike. Thanks. How are you? >> Absolutely wonderful today. Uh, you know, there was a hurricane that, uh, went by recently and we're still feel feeling the after effects of the rain and such. Uh, but you have a presentation that is going to be a
complete surprise to me right now and I just react as we go. Right. >> Oh, yes, exactly. You know, um, >> you haven't even told me what it's about yet. >> Well, it's about people who hate gold. This is a video about the haters for the haters. >> Okay. >> So, this someone sent me this article. >> Yeah. Someone sent me this article here from the Mly Fool. Millions of Americans are falling into the gold trap. And I've seen many articles like this. People
saying, "Don't buy gold. It's a terrible idea." And they cite all these different reasons. And the the person who sent this to me was like, "Oh, what do you think about this? You know, maybe you could make a video about it." So, that's what I'm doing. And to put it in perspective, they're saying, "Oh, Costco's selling over $200 million of gold every month. Forecasts are calling for $4,000 an ounce." But the last two times this happened, investors paid for
it in years of lost growth. So, we're going to go through this article. I'm going to go through all the parts of it, you know, for the first half of it and basically fact check the numbers and break down the logic and see if the logic is any good or see if maybe they're omitting something or if they have something backwards or incorrect. So, let's start here with the first thing they say. In 1980, gold hit what was then a historic high. Inflation was out of control. Oil prices were spiking.
The Soviet Union had just invaded Afghanistan. Investors were gripped by fear and gold felt like the only safe and steady place to be. For a moment, it looked like a brilliant move, the kind you mentioned at a barbecue to feel like the smartest guy holding a beer. Then, in just 2 months, gold lost more than 40% of its value. Within a year, it was down nearly 65% and it didn't recover that peak for another 27 years. So, right off the bat, yeah, you know, they're they're painting gold in a very
ugly light. They're making it sound as bad as possible. So, you want to jump in, Mike? >> Well, they picked you know, pick the high. >> He he should have actually said in J, you know, pick the date of the actual high, you know, January 1980. He didn't put in January there. Uh the, you know, if you you can do this with anything that goes through cycles. You pick the previous high and then it takes years. uh you know um I think we did an in in the book an inflationadjusted S&P 500
and the crash of the NASDAQ. I mean the NASDAQ took a long time but even the S&P took more than 13 years to get back to its high uh this is 27 years uh and we are coming off of historic lows. Now, if you had bought in the first half of that bull market when uh you know if if you bought gold uh went up from 35 to 200 and then uh did a pullback to 103 uh from uh uh 70 the first day of 1975 for the next uh 14 or 16 months it fell 16 months I believe to 103. So if you had bought in in there, uh you would
still look brilliant because you know you were in profit the whole time, even if you didn't buy at 35. If you bought at uh 150, at a at 180, at 190, you were brilliant and you're still brilliant even with that. But the thing is, uh everything goes from overvalued to undervalued to overvalued to undervalued. and they picked uh what had been the most overvalued time in history to start this measurement. So, the way this is phrased, it's true, but the intention uh is I mean, gold was $400 uh an ounce in November of
uh 79 and by January it was $850 at a close, 873 intraday. And so um uh at that you know it did go down to 250 by the year 2000 but yes it was overvalued compared to the currency supply compared to real estate compared to the stock market. Gold was in a bubble but they picked the peak of the bubble to start this uh measurement here. What's your comment? >> Yeah exactly. So if you if you pick the peak of any asset it's going to go down moving forward by definition of what a peak is. So the issue I really have here
is that they're sort of implying that today is like 1980, right? They're saying that like today is the peak of gold because so many other things in the world are the same. So let's actually look at these things. They're saying inflation was out of control. So let's look at inflation. They're saying oil place oil prices were spiking. So let's look at oil prices and the Soviet Union or Russia had just invaded Afghanistan or Ukraine. So let's look at that. Okay. three things we're going to look at and
we're going to see if today is actually like 1980. Starting with inflation. So you can see the CPI in blue. Um this was back in starting in 1967 all the way to 1982. The blue line we see three waves here in 1980. Yes, inflation was out of control. It was high. It was 14% 15% year-over-year. Absolutely. Where are we today? Uh two 3%. >> Not 15%. So, I would argue that we have another massive wave of inflation coming if we're going to follow the parallel of the 1970s, and we're not there yet.
We've got a few years probably until inflation is quote unquote out of control. So, >> uh, and here's another very interesting thing about this chart. The waves of inflation go along. There's a a little bit of a lag time in the gold price. Um it was the last it was the first day of 1975 when gold uh did its turn. So through 74 it was rising and then it did its turn and started falling in 75 uh into uh uh late 76 and then obviously it peaked in January of 1980. So uh this chart you if
if you take that blue inflation line and you shift it 6 months to a year it tracks the gold price. That's very interesting. And yes you are right that red line there. Uh so this would be equivalent to buying Wow. where we are right now. If you shift it back six months, you're buying at the $13 low in 1976. That is where we are right now as far as uh if you want to compare these uh two bull markets. You're buying in the middle of, you know, actually 2015 was was the low in this uh cycle. We had a
big dip back in 2015. Uh but yeah, so anyway, very interesting. Okay. >> Yeah. So I think their logic of oh today is like 1980, you know, inflation's out of control. I don't buy it. And these are the numbers that sort of disprove that. They also said oil prices were spiking. And if you look at the black line here going back to 1950, 1960, 1970, and then all of a sudden, yes, it does spike going into 1980. And it more than doubled in just just a year or two, something like that. And the red line is
what oil prices have been doing the last 30 years or so. They're all over the place. They're not exactly spiking. I would not say they're spiking. They're down roughly half from their peak, you know, back in the 2008 financial crisis. So, these two lines don't seem similar to me. I would not say that oil prices today look like they did in the 1970s. What What do you think, Mike? >> Yeah. And if you uh did a regression uh from like um uh 2000 2015, it looks like about 2014, there's that big fall there.
Uh yeah, if you did a re regression from uh 1950 to 2014 and then another one from 2014 to today, you'd get one line that's going up and another line that's going down. And um uh so you can see it's been uh falling since 2007 with that big peak there. >> 2007 the big peak, the $140 peak. >> Oh, sorry. Yeah. >> Yeah. You can almost Yeah. So if you did a regressions, you'd see this uh Yeah. It is very dissimilar to the 1980s. >> Exactly. So inflation doesn't really
look the same. Oil prices don't look the same. And the other one was Russia invading somebody. >> Uh these are the days between the invasion and the peak of gold's uh price. So the Soviet Union invaded Afghanistan. I believe it was Christmas Eve of of 1979. 28 days later the price of gold peaked. All right. And then it went down for like 20 years. Russia invaded Ukraine. I think that was February of 2022. So we're three and a half years in and the price of gold hasn't peaked. continues making all-time
highs, >> right? So, there's no correlation. >> I don't see these as being related at all. I mean, 28 days later, that seems like relevant, but when you're talking 1,200 days later, it's like old news at that point. >> Yeah. Yeah. There's no correlation there at all. >> Yeah. So, so I I see a correlation that really supports our thesis. Uh and and uh it knocks the legs out from under uh whoever the um uh article was written by. Um >> exactly. >> Yeah. So, but this one it's just zero
correlation. >> Yep. So, they're off they're off to the they're they're what am I trying to say? They're off to bat. Is that the phrase? >> Yeah. It's zero for three at this point. >> They're for three. They're 0 for three. Yeah. But right right off the bat, they're off the mark. I think that's what I was trying to They're using terrible logic to start. >> Yeah. >> So then they say, and I'm not jumping ahead in the article. The next part of
the article says, fast forward to 2011, so skip the next bull market in gold. Let's not talk about that. Then let's let's paint an ugly picture. The global economy was still shaky after the financial crisis. Debt levels were rising. Inflation was back in the headlines once again. Gold took off. It broke a new record. And just like before, the floodgates opened. Investors rushed in thinking they were protecting themselves. But gold just stalled, of course, from the previous high. No crash, no growth, just dead weight for
nearly 12 years. Meanwhile, the market went on to deliver the longest bull run in market history. That's the kind of quiet loss nobody talks about. So again, if you pick the next high, then by definition, things are going to go down immediately after. So this is another form of cherrypicking. It's it's almost pointless. >> And then they're then this is all just like narrative. They're not even like using numbers here. They're just it's they're using your emotions.
There's there's no there's no substance to this, >> right? And you know um if if we have everybody's got 2020 uh hindsight, you know, you can see it perfectly clear that 2011 was the high and that's when you should have sold. You should have bought right down in 2000 1999 2001 at that $250 double bottom and you should have sold in 2011 and then you should have repurchased in 20 at the end of 2015 beginning of 2016 and then you would be a genius. >> Well done. >> You know what? I'm very happy with my
purchase. I started in 2003. I've been accumulating uh and uh my silver um I silver is above a all purchases that I've made are in profit over the past uh you know 20 years. I'm I'm in profit there. I don't have a single purchase that's underwater. And so um I'm extremely happy. Um now if if you compare this uh to the to the stock market, the stock market did the same things. And if you pick uh 1982 is when you when when it was under valued and you should have bought the stock market and 2000 it was
overvalued and then uh it crashed and you should have bought in 2001 and then you should have sold in 2007 and then you should have bought again in uh 2012 or 13 whenever it bottomed and uh no actually it bottomed uh it bottomed in March of 2009. Uh and then you know uh after the global financial crisis and that's when you should have bought March of 2009. So anyway, yeah, this guy's cherry-picking and using a bunch of vagaries to try and prove his point. So this is all emotionbased. >> Exactly. So and we Yeah, we already
looked at inflation. Um, and we are going to come back to 2011 and the period that encapsulates 2011 because he's fast forwarding through that and getting to 2011. So, we'll talk about that in a second. >> Why didn't he pick the global financial crisis 2008? Why did why didn't you know, you would think that if you were going to pick something, you don't pick the top you the peak of a gold market or a silver market. You would pick something in the economy. He just picked
uh Afghanistan was the previous thing versus uh uh Ukraine. Uh and so if you pick the global financial crisis Yeah. Yeah. Well, you know, fast forward to 2008 when you could have bought gold for $700. Changes this narrative completely, doesn't it? >> Exactly. And also, he uses an interesting phrase here, the longest bull run in market history. So that's kind of weird because, you know, who cares how long it is? You care about the magnitude. So if you could make 100x your money in a day,
that's better than like, you know, 1% 1% 1% for like, you know, whatever. So this is weird. Um, longest bull market in history. And again, we're about to compare the the bull run that he's talking about, you know, that after 2011, we're about to compare the bull run in the market compared to the bull run in gold in just a second. So, so remember this, okay? And also remember the kind of quiet loss nobody talks about because we're going to have another one of those in a second.
>> Okay? >> So, uh, just real quick, I wanted to compare the two bull markets because he wanted to fast forward fast forward to 2011. So, skip this gigantic runup. And he also didn't really credit gold for what it did in the 70s ending in 1980. This 25x return while the stock market was flat. So, no love for gold, no credit, not not really giving a fair assessment here. Just absolutely cherry-picking two tops and then saying, "Well, after that it went down. What a terrible idea." So, not not really a
sincere analysis. >> Cherry-picking two tops and then saying after that it went down. If you pick the top, yes, it's going to go down. >> That's what he's doing, right? >> Yep. So, let's see. Let's see the great narrative that comes next. And now here we are again. and gold is making noise and millions of people are getting pulled in. But this time, you have the chance to make a more informed move, to think in patterns, not panic, and to invest in what's worked, not just what
feels safe. Even doing nothing but putting your money into a simple S&P 500 index fund in 2011 would have left you far better off. We're going to look at that in just a second. That alone would have meant years of steady growth instead of a decade of dead weight. So, okay. >> Well, you know, you probably haven't done it in this presentation, but for anybody out there that subscribes to stock charts, there's some a feature that they have called Perf charts, performance charts. You can put in two,
three, four different uh stocks or indexes or items like gold and you can compare them over different periods of time. And yes, there are periods of time where the stocks outperform gold. But if you go to this century, just start it off on on January uh 2nd because January 1st is not a trading day. January 2nd, 2020, and you cover this entire century. Gold has outperformed the S&P 500 by triple, more than triple. It's way, way ahead of it. It makes stocks look like a really stupid investment. Yeah,
everything goes in its waves and sight, but this article is doing nothing but cherry-picking. Go ahead. I'm sorry I interrupted. >> No, it's quite it's it's quite all right. Um, so yeah, let's actually look at the next one here because this is the last part of the article I'm going to read and then I have like the most hilarious plot twist after this. It's it's so good. But what if there was something that not only outperformed gold, but also outperformed the market
and outperformed it consistently for more than two decades? That's what I want to show you today. So, this is the product that they're selling. They have a stock picking service that you can pay money for. Okay. >> Okay. >> So, this whole article is written as basically um a >> it's sort of a dishonest advertisement for uh whatever they're selling. They're trying to scare you into uh their their subscription. Okay. >> Yes. And look at the look at this. Since
launching Stock Advisor in 2002, our average recommendation has returned 1,07%. That's not cherrypicked. No, everything else is, but not this one. That's not cherrypicked. That's across the board. During that same stretch, the S&P 500 returned just 173%. Okay? And they have they have the dates cited here. So, that's super impressive. It really is. And I made a chart with the gold return since uh that same date. Th this is exactly what I did, Mike. Okay. I couldn't believe it. So, this is the S&P
173. This is them 107%. You add in gold, 1,00%. >> Awesome. >> This is the actual numbers from February 8th, 2002 to June 23rd, 2025. That was the date the article was written. >> I mean, this is hilarious. So even all their bragging they can beat the market, they can't beat gold, >> right? >> They can't beat go. I mean, this is just hilarious. >> And they're trying to scare you into gold by by making it look like gold doesn't perform. >> They're trying to scare you out of gold
and into their >> Oh, yeah. I'm sorry. Out of gold. Yeah. >> And into their volatile stocks, right? Some of them are going to lose a ton of money. Oh my goodness. This is just so >> dis and they're writing a newsletter. And if you don't take the action at the exact same time that they do, you're not going to have this the performance that they were able to achieve. But they achieved uh this which is admirable. They did a great job. >> Uh but uh they did that with things that
are highly volatile. And here you have something with no zero counterparty risk. You can hold it in your hand. The the these are all uh stock picks. So, you're investing in a company that has a management team and has a whole bunch of other vulnerabilities that can they they can actually go broke. They can go to zero. And gold cannot go to zero. That's like um I suppose it could if humans became extinct, it would go to zero, right? >> Exactly. Stocks would go to zero. >> Huh.
>> But stocks would go to zero, too. >> Yes. Right. and so would his uh 1,07% gains on the portfolio. That would go to zero as well. So >> yeah. >> Okay. >> So this is absolutely hilarious. And I just want to revisit one of the sentences they said before. That's the kind of quiet loss nobody talks about. So there there's another kind of quiet loss here. If you followed, if you read their newsletter every month and if you read up on all the companies and you
spend a lot of time and energy trying to get behind their investing thesis for all these different companies, you spend time making the trades. You log into your brokerage account. You know, when they when the one brokerage account is acquired by another brokerage account, you got to create a new account, a new password. All this time you spend reading up on the news, watching the tickers, symbols, you know, studying all this stuff. That's the kind of quiet loss that nobody talks about is spending
all that time monitoring those investments that may or may not pay off. And even with their fantastic performance, it wasn't as good as gold. And this is over 23 years. 23 years. So that's the kind of quiet loss that I think everyone should be thinking about. Do you want to spend all that time watching all those companies? Maybe not. >> Yeah. You know, every once in a while we get somebody in the comments saying that I'm just trying to sell gold and silver. Well, while it's a it's a great
protection for people. Yes, I I do want to do that. Uh but we're not skewing and we make a lot of what I consider very highquality information available for free. And it's not a cheap thing to do this. the number of people that we employ at golds.com to provide all of this information and we are doing it on uh it's it's a marketing strategy. There was an old movie called pay it forward about doing something good and just saying pay it forward, do something good for somebody else. We try and do something for people
first. Hopefully they trust us and come to us to to buy uh because we've just been giving them high quality information for years. >> Yeah. So, >> I agree completely. I agree completely. And part of my philosophy doing this is that I'm I'm not trying to like make money off of people. What I want to do is I want people to think about how they want to spend their time and how they want to live their life. And I am a huge believer that if you own gold, silver, and Bitcoin, you can then have all your
time back available to you. You get the full 24 hours in the day back. Whereas you, you know, if you're invested in stocks, bonds, real estate, whatever, a lot of your time every day is sucked into those investments. And that's fine if that's what you want to do, but I think a lot of people go into that on autopilot and they don't realize how much time they're draining on those things. And they don't have to. So, that's actually something I talk about in an upcoming uh video here. Saving
versus investing. So, if you hold stocks, bonds, real estate, or all that other stuff, you're investing. That requires an ongoing stream of your time and attention. Whereas, if you're saving, you can just hold gold, silver, Bitcoin, and you can set it and forget it. You don't have to think about it. You don't have to watch the news. You don't have to read earnings reports. None of that. >> So, uh this is >> I find exactly what you're talking about. Um I I really love gold is
simple. You buy it and you sit on it and then there will come a day where it's overvalued and it is in a bubble and you want to sell it and acquire other assets but the other assets are a lot more work. I'm actually not looking forward to that as much. Uh I don't like getting when when my brokerage right now I don't have anything that's being traded on my brokerage platform. I took delivery of my stock certificates. Uh I've got a bunch of private placements in in uh silver and and in precious metals,
mining and explorers. Uh and uh but I don't like all of the junk mail. I consider it all junk mail that I get from them. All the votes that they have to have and everything else that just fills up your mailbox. And with gold, you just go and check the price once in a while and usually you are pleased. >> That's right. That's right. Awesome. Well, the last thing I'm going to say here is that the name of this series is Hidden Secrets of Value. It is, of course, an homage to your series, Mike,
Hidden Secrets of Money. Um, and so this is a six-parter that's going to be coming out this fall. So, if anyone wants to see it, it's my philosophy on value. Um, a lot of great content in there. It's going to be coming out very soon. Awesome. Congratulations. I've I've seen a preview of this and it it looks like it's a great series. So, congratulations on that, Alan. Well, >> thank you so much, Mike. It's a pleasure to be working alongside of you and and carrying forward the torch. So, thank
you very much. >> Okay. Okay. And I want to thank everybody for watching and Alan, I'll see you later. >> Yep. See you, Mike. Thanks, everyone. Invest and earn up to $2,000 in bonus silver at golds.com. It's easy. Step one, open any gold silver storage account excluding IRA. Step two, purchase your precious metals. Step three, get up to $2,000 in bonus silver dropped straight into your vault. Visit golds.com/free silver to claim your silver.
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