Gold and Silver for Life

Discussion in 'Educational Resources' started by danjuma, Apr 15, 2017.

  1. danjuma


    Came across the above 'strategy' by a Minesh Bhindi offered as a course costing about $15k!!! You read that right $15k (either you pay outright, or you pay about $6k now and pay the balance when you make $100k in profit). As far as I am concerned, the financial markets have been around for hundred of years and I don't believe there actually any new strategy out there that's never been done before. What these self-proclaimed gurus do is rehash, repackage and gloss over already existing strategies and sell it to the unsuspecting public for thousands of pounds. What is quite annoying about it is that they all claim that they are making buckets load of money and are just trying to give back to the community and help the common man against the supposed greedy institutions. Who exactly is greedy here!

    Anyways, from what I can glean from his website, it basically involves buying gold and silver at below market value, and generating monthly income from them whilst waiting for the price to go up, so looks like some kind of options trading is involved. So just wanted to know whether anybody has an idea what this 'his strategy' might be about (i.e. how he might buy the gold and silver 'below market value', and how he generates monthly income from them -though option selling or what?), as I am sure it is nothing new, just probably not common knowledge out there, and I am always looking few new angles, as you never stop learning in this game. Thanks
  2. wintergasp


    If a strategy is really good that is it generates risk-adjusted return comparable or above hedge fund returns over a long period of time, you probably wouldn't pay 15k$ but 1m$ for it.

    Buy 6 futures long and sell 10 puts, you just bought below market value, if you exclude your gamma from the equation. This is commonly structured in OTC structured products and sold to private bank clients, e.g. "accumulators"
  3. danjuma


    Do you care to elaborate sir?

    Never traded gold so don't know much about the mechanics, but I am thinking along the line that he's doing something similar to secured cash puts for stocks? Not sure which instrument being used though - gold futures, SPDR Gold Trust ETF, or the physical thing itself has traded on platforms like BullionVault and Goldmoney? And how does he generate the monthly income while holding on to it to appreciate - doing something similar to covered calls?
  4. drm7


    It sounds like you sell out of the money (OTM) puts on either the GLD ETF or gold futures, with a sufficient amount of cash to buy the position if the puts are assigned to you (because the price falls). So, technically, you are being paid for the right to buy GLD below the current price, although, if the price falls to your strike price, you are no longer buying below market value, but at market value, lol. (And if it keeps falling, you just bought ABOVE market value).

    The "income" in this case is the premiums from put selling, although it is really just a deposit on future volatility - sometimes you keep it, sometimes you pay it back.
    Jimmythejet likes this.
  5. danjuma


    That's what I kind of suspect - cash secured puts to buy the gold (ETF or something) at a lower price and then covered calls to generate monthly income. But if this is it, how dare is he selling this info for up to $16K!!!
  6. gold at $400/oz is coming back eventually, goldbugs are suckers
  7. dealmaker


    Gold has always been associated with trust, thus the term "good as gold".
  8. Minesh Bhindi is a sales man. The sell a course on Gold and Silver Profits for Life, then they up-sell Acceleration tuition, to help implement and maximise the strategy. Then they cross-sell Real Estate Profits for Life and up-sell Acceleration tuition; then they cross-sell Stock Profits for Life.

    danjuma says 'buying gold and silver at below market value' = selling naked puts.
    Creating income is that covered calls.
  9. maxinger


    Gold hits 2017 low as investors seek refuge in dollar
    Spot gold prices sank below $1,200 per ounce for the first time since last year Monday, losing out to U.S. Treasuries and a stronger dollar as investors sought refuge from a financial market rout triggered by a crashing Turkish lira.


    financial experts / writers are interesting people.

    They change their song every now and then.

    Gold hits record low as investors seek refuge in dollar ?!?!

    Gold hits record high as investors seek refuge in gold !?!?!
  10. rwnomad


    You get a gold suit and a sign to spin that says "Cash for Gold". Then you stand on a corner to get business. Buy it for half of spot, that is what most pay. Then you can compile it and resell to smelter for 80% of spot. All kinds of folks are doing it.
    #10     Aug 21, 2018