..he turned US$83k into US$250,999 over 17 years. That's about 6.66% compound pa. Not great but the alternative had been devastating.
..had he kept his 100k Turkish Lira, that same capital excluding interest would be worth just US$2,634 because Lira depreciated 31.6x !!!
..holding gold and silver over 17 years is BORING !! VERY BORING!! But very safe and very rewarding.
..gamblers need the adrenaline pump so that would be too boring for them.
...Buying penny gold stocks to make 300% then lose back 90% sounds more exciting. 2 year wait to see 300% to lose 90% of it within 9-12 months.
------------
In 2008, Mr. Yusuf retired in Turkey with savings of 100,000 Turkish Lira (TRY). Worried about the uncertain future and the declining value of paper currency, he chose to preserve his wealth in something tangible.
He split his savings equally between gold and silver.
With 50,000 TRY, he bought gold at $850 per ounce. At the 2008 exchange rate of 1 USD = 1.2 TRY this equated to 1,020 TRY per ounce. Dividing 50,000 TRY by 1,020 TRY per ounce, he acquired approximately 49 ounces of gold.
With the remaining 50,000 TRY, he purchased silver at $14 per ounce, or 16.8 TRY per ounce (14 × 1.2), resulting in about 2,976 ounces of silver (50,000 ÷ 16.8).
As of March 22, 2025, gold is priced at $3,052 per ounce, and silver at $34.09 per ounce, with an exchange rate of 1 USD = 37.96 TRY (aligned with the significant depreciation of the TRY over the years).
Mr. Yusuf’s 49 ounces of gold are now worth $149,548 USD (49 × 3,052), or approximately 5,676,842 TRY (149,548 × 37.96). His 2,976 ounces of silver are valued at $101,451 USD (2,976 × 34.09), or about 3,851,081 TRY (101,451 × 37.96). Combined, his gold and silver total roughly 9,527,923 TRY.
If he had kept his 100,000 TRY in a bank without interest (a simplifying assumption), it would still be 100,000 TRY today. At the current exchange rate of 1 USD = 37.96 TRY, that’s worth only $2,634 USD.
By saving in gold and silver, Mr. Yusuf not only protected his wealth but greatly increased his purchasing power.
