Moriarty Nails It – Basic Investing in Resource Stocks
The book is a winner!
Bob Moriarty of 321gold.com wrote another book – Basic Investing in Resource Stocks. We should be thankful for the concise advice delivered in his “take no prisoners” style of writing. He tells it like he has seen it in fifty years of world traveling and investing.
The investing gurus of Wall Street will not like this book, but most of us struggling in the bottom 90% of the financial food chain should read it.
The book explains his investing wisdom and is quick to read. I recommend you spend a few hours and benefit from his experiences and wit.
I could say more, but why listen to me when he has the experience? The following are quotes from his book. They should encourage you to read the entire book.
Summary of his philosophy in one sentence:
“If you’re not a contrarian, you’re a victim.” From Rick Rule.
From Bob Moriarty:
“Since I had made a lot of money in a short time, I thought investing was easy and I trusted the broker. It took me years and lots of money to learn that both were serious errors in judgment.”
“But these are not rational or normal times, and investing in resource shares may be the only logical investment for those looking to hedge other potentially more dangerous alternatives. Remember, it was only a little over a year ago that every punter and his grandmother were tossing pesos into what I call the Bitcon pool. I passed on the whole madness, seeing it as nothing more than a variation of an electronic Beanie Baby.”
“When you look up and see what seems to be a layer of dark and foreboding clouds, it may well be nothing more than a bevy or wedge of black swans. No one can say just which black swan will land first, but it’s an easy prediction that with so many black swans circling, at least one is bound to be wheels-down soon. When that happens, The Great Reset begins.”
“True prosperity never comes from consumption but rather from saving for an unknowable future. When you have already spent your own future, it’s foolish. When you have spent the futures of your children and grandchildren, it’s criminal.” [Think $250 trillion in unpayable global debt.]
“ALL DEBTS GET PAID. They are paid either by the borrower or by the lender.”
“The fact is that virtually every government in the world today is functionally insolvent as a result of buying votes from the populace by making a series of financial promises that it cannot possibly keep.”
“Politicians have always been prostitutes. They sell their souls for votes, but once in power all they do is line their own pockets and the pockets of those special interest groups who launched them into office. Governance in the world today simply and clearly doesn’t work. It doesn’t represent the will of ordinary people and it needs changing. We are entering what I believe will be the time of the greatest financial disaster in world history.”
“Things continue right up to the point where they stop. The world is awash in debt that no one actually believes will be paid; the middle-class is being crushed between the rock of higher taxes and the hard place of constant inflation. And they have had enough.”
“Moriarty’s Dozen Rules of Investing [listing only five]
- All markets are manipulated all of the time by everybody involved. If you can’t handle that, don’t invest.
- Markets go up, markets go down.
- Markets tend to overshoot, and when they do, there is often an equal and opposite move.
- With any investment, buy cheap and sell expensive.
- Markets deviate from the mean and always regress to the mean.”
“I am trying to get readers to understand that sentiment is the most important key to successful investing, and that there are a variety of ways to measure sentiment.”
“The mob is always wrong. All you have to do is figure out what they think and then do the opposite. There are a variety of different measures of sentiment. The DSI [Daily Sentiment Index] is only one.”
“Much of the first part of the book is about current events because if I am correct, we are starting the most significant financial collapse in all of world history.”
Moriarty on gold:
“I see gold as a solution to our continuing financial chaos. It worked for much of history and nothing says it won’t work again.”
“If you don’t own gold, you know neither history nor economics.” — Ray Dalio
Read the book. Then call Miles Franklin at 1-800-255-1129 and order gold and especially silver. Both are undervalued and good insurance against coming disasters.
The Deviant Investor