Author Topic: Asia, Not North America, Now Has Most Millionaires  (Read 1805 times)

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Offline Birdman

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Asia, Not North America, Now Has Most Millionaires
« on: June 19, 2012, 10:43:58 AM »
http://www.nytimes.com/reuters/2012/06/19/business/19reuters-wealth-report-capgemini.html?hp

Published: June 19, 2012 at 10:35 AM ET

"China's population of those with at least $1 million to invest rose by 5.2 percent to 562,400 last year."

Wow, compare 562,400 to the mintage of some popular Chinese coins.

Offline exchange

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Re: Asia, Not North America, Now Has Most Millionaires
« Reply #1 on: June 19, 2012, 11:13:19 AM »
http://www.nytimes.com/reuters/2012/06/19/business/19reuters-wealth-report-capgemini.html?hp

Published: June 19, 2012 at 10:35 AM ET

"China's population of those with at least $1 million to invest rose by 5.2 percent to 562,400 last year."

Wow, compare 562,400 to the mintage of some popular Chinese coins.


Yes, and none of the coins from 1979 to 2000 (picking a nice around number) have any mintages remotely close to that. The decimal point would need to be moved twice to something like 5,624 as an average mintage for many coins and medals.

Because of the large population in China, the speed of their increasing wealth may be accelerating with each and every passng year.

exchange
« Last Edit: June 19, 2012, 11:23:26 AM by exchange »

Offline BChung

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Re: Asia, Not North America, Now Has Most Millionaires
« Reply #2 on: June 19, 2012, 12:19:45 PM »
& China's population living on 2 dollars a day?

A storm is right on top of the BRICS head and after that then these Millionaires who survive will be meaningful. The issue is that inflation and cheap money have made many of the assets of these Millionaires inflated way out of reasonable ground and many of these people can't sell them at the Market Price the assets are measured with.

Also I will consider that out of the half a million or so millionaires, only 5% of them will be interested in MCC (most may prefer to own other forms of bullion) and out of the 5% perhaps if lucky more than 20-30% of them will get in to collecting Panda's. In the end its the middle to upper class that counts, with both classes struggling in this high inflation environment, my personal opinion is that its already causing a strain in the MCC Market.

Even the Indians who love gold more or at least the same as us Chinese is complaining about the gold prices reaching to unaffordable levels because they got so many other bills to settle. I just chat with a client from Lebanon, according to him same with the them and many middle eastern citizen have stopped purchasing gold, please note I am talking about the MIddle Classes not the Rich. 

As a low middle class, I can't bring myself to buy the 2012 Silver panda since the premium that comes with its mintage is ridiculous. I won't pay anything over USD 33. Yet from my sources thats exactly the price China Mint is selling to dealers. I love how the China Mint is starting to kill this market with their ridiculous prices.

Offline Jay

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Re: Asia, Not North America, Now Has Most Millionaires
« Reply #3 on: June 19, 2012, 05:10:40 PM »
Actually, I think the minimum distributor price on 2012 silver pandas is quite a bit higher than $33.  Demand was so strong for the coins in 2011 that they no longer feel the need to reference the COMEX paper market "spot" price. There is a floor at spot silver=$35.  Of course some dealers may be willing to take a loss if they have too much inventory...

I think this is the start of a trend that will continue as physical metal coins of all types move into strong hands.  The more the that the paper silver and gold markets are manipulated, the more Grisham's law will come into play. http://en.wikipedia.org/wiki/Gresham's_law   "Bad money drives out good". Grisham's law says that as lower quality money is introduced into the market, high quality money is hoarded and disappears from the market.

Mints will eventually be unable or unwilling to meet demand, and the premiums on all desirable coins will increase. We saw this with silver eagles on 2008.  China may just be the first to say that they will not part with their silver at artificially discounted prices.