27 Comments
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Rick Lewis's avatar

A truly inspiring and innovative response to the invasion threat. I'd never heard this story and so glad you shared it. It seems that protecting any investment requires the ability to let go of our attachment to the exact form it takes, whether that is a marriage, one's inner life, or a portfolio. If you love something, set it free. If you value something, let it change.

James Bailey's avatar

Rick, this is so good: “If you love something, set it free. If you value something, let it change.”

Thank you for taking the time to Read at the level of depth you do. 🙏

Rachel Parker's avatar

What a fascinating story, thank you for sharing this. I'll be thinking about the dissolved gold hiding in plain sight for a while!

James Bailey's avatar

Thank you Rachel. I read about the scientists a long time ago, and thought, someday I will connect it to the investment of gold when clients start asking about it again. And they have recently. 😵‍💫

I appreciate you commenting. 🙏

Brigitte Kratz's avatar

I had never heard about "unmaking gold“ either and couldn’t quite believe it at first – so this definitely made me more alert to James‘s message!

James Bailey's avatar

Thank you Brigitte 😊. When I read about this years ago I couldn’t believe it either and was fascinated!

Leslie Rasmussen's avatar

I enjoyed this very much, these smaller stories give so much meaning and humanity to the broader strokes we tend to learn in school. I also found your explanation of the difference of productive assets vs the risks of the non productive investments. These are three Nobel prize winners I will remember!

James Bailey's avatar

Leslie, Thank you 🙏 I’m glad you enjoyed it and will remember the Nobel winners, as well as the explanation of productive and non productive assets. I trust you’ve been well. I have some reading to catch up on, including yours. 😊

Lori Fascilla's avatar

Beautiful story so filled with hope alongside practical guidance for investing. I choose participation!

James Bailey's avatar

Lori, thank you for taking the time to comment. 🙏

You do participate! And impact so many lives! We are all so fortunate!

Ken Fleming's avatar

James, what great writing. Given that the volume on Gold, Silver, and Bitcoin has turned up a lot over the last year +, you writing allowed me to look at them with a completely different perspective! Once again, bravo!!!!

James Bailey's avatar

Ken, thank you for taking the time to comment. I’m glad it gave you the perspective it did. I would love to catch up and will call you later this week on a trip to California. I hope you are great!

Drake Greene's avatar

Warren Buffett also wrote about the importance of productive assets rather than inert assets like gold and silver.

I was reminded of one of the many market crashes that occurred during my years as an investment banker. The managing director with whom I was working noted that if you wanted to see the future of the economy and the market, head to Grand Central and watch the thousands of people racing around to be productive. What you rather own that phenomenon, or some ounces of inert gold?

Buffett also wrote, on many occasions, never bet against America.

Did you know that all of the gold ever produced could fit in an Olympic size swimming pool?

James Bailey's avatar

Drake, thank you for the comment. "Inert" - what a perfect adjective - I wish I'd used it. And your metaphor of Grand Central is also perfect!

I had read that about gold at one point in time. Fascinating.

Gold sure has suffered a bloodbath this week.

I hope you've been well.

Larry Urish's avatar

As always, James, you take seemingly disparate subjects and connect them in a way that's informative and engaging. In this case, you had me with the early transition from risky investments to a locale in pre-war Denmark. I didn't know how you'd make the connection, but you did, wonderfully.

Like many of your clients (I imagine), I'd never heard the terms "productive" and "nonproductive assets." That's really critical. I'm currently reviewing my dollars (both of them!!) and looking at what may be an economic bubble. (As always, more to be revealed.)

Now if you'll excuse me, I'm going to go back to my day trading...

Seriously, thank you for an important, wise message shared as an engaging story.

James Bailey's avatar

Larry, as always, thanks for reading both the post and what's in between the lines. It is amazing, how effortless a dollar can compound magnificently through time when invested in productive assets. The "effort" isn't in the stock picking and market timing. It's in managing emotions along the way.

Take care pal - I have some reading to catch up on myself - look forward to getting to your FB post. :)

Larry Urish's avatar

Oh, I know that feeling. It's so easy to get behind on these Substack essays ... but interacting with the other writers is worth it.

Jack Henke's avatar

Thanks for the valuable and entertaining piece, James.

James Bailey's avatar

Thank you Jack. This one has been milling around in my head for a while. 😬

Henny Hiemenz's avatar

This was really cool, thanks.

James Bailey's avatar

Thank you Henny. I’m glad you thought so and appreciate the comment. 🙏

Bridget Godwin's avatar

What an amazing story! I had no idea. Thank you for this!

James Bailey's avatar

Bridget, I’m so pleased you liked it! Thank you for taking the time to comment and tell me 🙏.

Wendy Varley's avatar

Not an investor, but I didn’t know the story of the disappearing Nobel medals. That’s fascinating, thanks, James.

James Bailey's avatar

Wendy, someday, when you hit the lottery, you won’t be allured by gold. 😊

Thank you for taking the time to comment 🙏.

Emily Brooke Felt's avatar

James, I just loved this, as always you really manage to bring together things that seem totally disconnected.

James Bailey's avatar

Emily, thank you! It’s always easier in my mind to bring them together than it is in writing!