Switzerland selects gold bullion over paper wealth backed by United States dollar– RT Business News

"The Swiss federal government Pension System chose to change from paper gold in the amount of 700 million CHF into physical gold and store it in Switzerland. The 700 million just means 2 percent of the total properties, but it is quite a surprise that they do this," Claudio Grass, an independent precious metals advisor and Mises Ambassador informed RT.com.According to Yard

, it is a strong signal that people need to take seriously, because a pension fund is an investment car that has a long-lasting strategy.

"Physical gold is the finest method to hedge along with to build up wealth over years. If you would have bought for $100,000 gold in mid 70ties the holding without doing anything would be worth more than $2 million," the expert stated. Another aspect why the pension fund required physical gold was that they understand that paper gold just represents a claim on gold in an extremely paper-leveraged gold market, Grass discussed.

"It makes common sense under the real circumstances to guarantee it is kept in the home country, Switzerland, instead of London or the United States, which advises me of the main bank repatriation," the analyst added.Grass includes that countries are noting the geopolitical shift from West to East and that is why they are purchasing more real gold rather of the US dollar-based documents."The last geopolitical shift that began with WWI and

ended with WWII, put the US in a dominant position and it owned and saved 70 percent of the gold reserves of the complimentary world. This is likewise among the primary reasons that the United States won the Empire over from the Brits. Now we can witness another geopolitical power shift, with the rise of the East,"he said.The global debt concern continues to grow, while more than 65 percent of all monetary

reserves on this world remain in United States dollars, Lawn notes."Holding physical gold is certainly the very best hedge against all sorts of fiat loan threats, but from a reserve bank perspective it is definitely the very best hedge against a weakening dollar that is on its way to reaching its intrinsic worth which is zero,"he said. Another country is betting on physical gold. Switzerland's pension fund has improved its investments in bullion

, changing from the paper-backed securities in US dollars.

Source

https://www.rt.com/business/431329-switzerland-gold-paper-dollar/