Jim Rogers, co-founder of the Quantum Fund and creator of the Rogers International Commodity Index (RICI), has been a leading voice in global finance for decades. His contrarian views and ability to foresee economic shifts have earned him a reputation as a thought leader. In a recent interview with Steve Yang from Natural Resource Stocks, Jim shared his thoughts on why he continues to hold gold and silver, even in an era of rising debt and economic uncertainty.
The US Debt Crisis and the Importance of Hard Assets
Rogers, who is currently based in Singapore, has been vocal about his concerns for the future of the US economy. He points to the country’s growing debt as a critical issue, one that could lead to a crisis. The debt, he argues, has reached a level that no other nation in history has ever encountered. “The debt is incomprehensible,” Rogers says. “I can’t even count that high.” He believes that such debt levels, combined with rising inflation, will inevitably lead to economic turmoil.
Despite the government’s reluctance to acknowledge the severity of the situation, Rogers stresses that history has shown a clear pattern. Every nation that has faced such extreme debt levels has eventually encountered serious problems. “I’m afraid that we, the US, are going to have a serious problem,” Rogers warns.
With inflation already taking hold—despite Washington’s denial—Rogers sees gold and silver as essential hedges. “Gold and silver have always come to the rescue throughout history,” he notes. From the biblical era to the modern-day financial system, precious metals have endured as stores of value. Rogers himself has owned gold and silver for many years, and he suggests that everyone should consider doing the same.
Gold and Silver: Timeless Protectors of Wealth
When asked about the future of gold and silver, Rogers firmly believes that they remain vital assets, regardless of short-term market fluctuations. “I hope my children will own my gold and silver someday,” he says. “Everybody should have some gold and silver in the closet or under the bed or somewhere, because when there’s a disaster, those metals will come to the rescue.”
Rogers emphasizes that, historically, gold and silver have always been there in times of crisis. Even in ancient times, when Jesus Christ was sold for thirty pieces of silver, these metals were used as currency. Over the centuries, they have proved to be reliable stores of value.
While the prices of gold and silver may fluctuate, Rogers doesn’t focus too much on the market’s short-term movements. “I don’t pay too much attention to the price of my gold and silver,” he admits. “The price doesn’t matter to me. Just owning both of them is always important.”
The Debt Crisis and What Lies Ahead
Rogers also shares his concern that the US is on the brink of a currency crisis, a debt crisis, or even a commodity crisis. With debt continuing to climb, the US is increasingly vulnerable to economic collapse. “The United States is the largest debtor nation in the history of the world. Nobody has ever been so deep in debt,” Rogers says. He believes the situation is only going to worsen and warns that the inevitable collapse may occur sooner than expected.
While he doesn’t know precisely when this will happen, Rogers is sure that it’s coming. “It’s always been the case that a gigantic debt leads to problems,” he explains. “I don’t like saying this, but I know it’s coming.”
How to Protect Yourself: Gold, Silver, and Hard Assets
Rogers advises people to prepare for a potential economic collapse by turning to hard assets—specifically gold and silver. “Throughout history, when there’s been a crisis, people have always turned to gold and silver to solve their problems,” he says. He encourages individuals to own both metals, even if they don’t fully understand the intricacies of the financial system. “The chances are in your favor if you can find something that isn’t burdened with gigantic debt,” he explains.
In addition to precious metals, Rogers sees agriculture as a key area of opportunity. “Farmers usually come out okay when things get bad,” he says. “If you know how to farm, that might be a good option.” He also mentions that some people might store food or even prepare for worst-case scenarios by stockpiling essential goods.
Ultimately, Rogers believes that staying grounded in hard assets—whether it’s gold, silver, or farmland—will protect in uncertain times. “Do what you love, and figure out what’s important to you,” he advises, urging individuals to pursue their passions, even if it means going against conventional wisdom.
The Final Word
Jim Rogers has always been a voice of reason in turbulent times. His perspective on gold and silver is rooted in historical precedent, and his warning about the US debt crisis should not be ignored. As he concludes, “Everybody has to make their own decision. However, I suggest that we all have some gold and silver hidden away, either under the bed, in the closet, or in another secure location. And hope that we’re okay.”
As we face a world of rising debt, inflation, and economic instability, following Jim Rogers’ advice to hold gold and silver could be a wise choice for anyone looking to protect their wealth and ensure financial security in the future.
