2022: Silver, Gold, Time To Buy

After gold and silver retreated in 2021 it is important to review the bigger picture.

Twenty Year Perspective:
Over the last 20 years gold is up 411% CAD or 20.55%/year.
Over the last 20 years silver is up 269% CAD or 13.48%/year.

Three Year Perspective:
2019-2020 gold rose 43% USD | 35% CAD
2021 gold fell -3.5% USD | -4.1% CAD
Net gain for gold last three years:
39% USD (13.16%/year) | 30.9% CAD (10.3%/year)

2019-2020 silver rose 63% USD | 54% CAD
2021 silver fell -11.5% USD | -12.1% CAD
Net gain for silver last three years
51% USD (17%/year) | 41% CAD (13.96%/year)

Supply/Demand
Despite lower paper prices, premiums remain elevated as demand for both metals over the last year has continued to outpace supply.

2022 Economic Themes
The Federal Reserve has a head-I-lose-tales-I-lose scenario on its hands. Raise rates and punish the economy or let inflation run rampant and punish the economy. Do nothing or do something and we are probably looking at higher prices and slow growth. Even if the Fed tapers, governments will continue to deficit spend and fiat currencies will become evermore worthless.

As fiat exchange for metals remains muted for the moment we truly believe we are seeing one of the last chances to stock up on real money and preserve wealth through the next major financial crisis.