A free and prosperous society does not depend on markets, laws or institutions alone. Above all, it depends on people who take responsibility – for themselves, for their families and for future generations.
Ownership, responsibility, thrift, diligence, reliability and long-term thinking form part of the moral foundation of a free-market economy. Yet these values do not belong exclusively to capitalism or to any particular political or social group.
They are universal human values.
They unite all those who do not want to place their financial security entirely in the hands of others. People who want to live independently, preserve their freedom, build prosperity and provide for their families – regardless of background, income, profession or political conviction.
Capitalism cannot function sustainably without personal responsibility, ownership and long-term thinking. But not everyone who lives by these values needs to define themselves as a capitalist. Employees, self-employed professionals, entrepreneurs, civil servants, retirees, families and individuals all share the desire for security, freedom and a self-determined life.
RESPONSIBILITY BEGINS BY LOOKING BEYOND THE PRESENT
Those who take responsibility do not think only about today. They plan for the future, build reserves, make provisions and try to create something lasting.
This way of thinking becomes particularly clear within the family. Anyone who carries responsibility for children, a partner, parents or other relatives no longer makes decisions solely according to their own short-term needs. Many people choose to consume less today so that their children can receive a good education, their family can buy a home or financial security is available in retirement.
But this is not only about money.
It is about care, reliability and the desire to leave better opportunities to the next generation. Thinking across decades and generations is one of the most important foundations of any stable society.
People without children of their own can follow the same principle. They provide for retirement, support relatives, contribute to social causes or want the results of their life’s work to benefit people and organisations that matter to them.
Long-term responsibility is therefore neither a privilege nor an ideology. It is an attitude.
SAVING AND INVESTING MEAN CREATING OPPORTUNITIES FOR THE FUTURE
Anyone who does not consume everything available today creates room to act tomorrow. Savings make investments, business creation, home ownership, education, retirement provision and financial reserves for unexpected events possible.
Saving is therefore not an expression of stinginess. It is a form of provision and self-determination.
People who build reserves do not want to be dependent on banks, government institutions or other people whenever difficulties arise. They want to retain at least some ability to shape their own future.
Financial self-responsibility does not mean that solidarity is unnecessary or that people should be left alone with their problems. Personal responsibility and solidarity are not opposites. Those who have stability and room to act themselves are often better able to support their families and others.
A strong community therefore consists of people who help one another while also being willing, within their means, to take responsibility for their own lives.
WHEN LONG-TERM PROVISION LOSES VALUE
This mindset is coming under increasing pressure.
When savings are weakened by persistent losses in purchasing power, debt appears more attractive than provision and short-term consumption is rewarded more strongly than long-term wealth accumulation, it changes more than people’s economic behaviour.
It also changes their time horizon.
Anyone who comes to believe that saving is hardly worthwhile is more likely to choose the present over the future. Provision, ownership and intergenerational thinking lose importance. At the same time, there is a growing risk that more and more personal responsibility will be delegated to state institutions.
The state can provide social security, support people in need and cushion societal risks. But it cannot fully replace personal provision, family responsibility and individual decision-making.
A free and stable society therefore needs both: Social solidarity and personal responsibility.
GOLD AND SILVER AS AN EXPRESSION OF LONG-TERM THINKING
In this context, the special significance of physical precious metals becomes clear.
Gold and silver cannot be created solely through political decisions or accounting entries. They cannot be increased at will. Their extraction requires labour, capital, knowledge, energy and time.
In that sense, precious metals symbolise a simple insight: Lasting prosperity cannot be created out of nothing.
It must be earned, built, preserved and passed on responsibly.
For thousands of years, gold and silver have therefore been regarded as symbols of permanence, scarcity and preservation of value. People who acquire physical precious metals often make a conscious decision in favour of a long-term horizon. They want to preserve part of what they have earned outside purely monetary and digital systems and diversify the structure of their wealth.
This does not mean that gold and silver offer absolute security or can replace every other form of provision. Precious metals are also subject to price fluctuations. They can, however, serve as a long-term tangible asset component within a responsible and diversified wealth strategy.
It is not about quick profits. It is about substance, patience and independence.
RESPONSIBILITY FOR ONE’S FAMILY AND FUTURE GENERATIONS
The connection between precious metals, personal responsibility and family lies in intergenerational thinking.
Many parents and grandparents want to leave their children and grandchildren not only memories, but also values and economic opportunities. They want to pass on something that can endure and provide a foundation for future generations.
Such a legacy does not consist of wealth alone. It also consists of knowledge, values and a responsible approach to what has been earned.
Children learn not only from what their parents tell them. Above all, they learn from what they see being practised: Handling money consciously, not permanently living beyond one’s means, building reserves and making decisions with the future in mind.
In this way, financial provision becomes a culture of responsibility across generations.
WHAT ELEMENTUM STANDS FOR
For Elementum, strategic provision with physical precious metals therefore means more than simply acquiring gold and silver.
Behind it lies a clear understanding of responsibility and freedom: People should have the opportunity to preserve the fruits of their work, make independent decisions about their wealth and provide for their own future as well as for their families and future generations.
The Elementum Multi-Generational Family Treasure expresses this idea. It combines the accumulation and structuring of tangible wealth with a long-term family perspective.
This concept is not aimed only at entrepreneurs, investors or people who explicitly describe themselves as capitalists.
It is aimed at everyone who wants to take responsibility.
At people who do not want to leave their financial security to chance. At families who think beyond the next bill and the next year. At parents and grandparents who want to pass on something lasting. And at anyone who sees personal freedom as including economic freedom of action.
Physical gold and silver do not promise rapid enrichment. Rather, they stand for patience, permanence and a conscious approach to one’s own wealth.
Perhaps that is precisely what gives them their particular significance in our time.
In a world where short-term solutions, rising debt and immediate consumption often dominate thinking, gold and silver remind us of a fundamental truth:
Sustainable prosperity is not created simply by increasing the amount of money. It is created through work, saving, investing, responsibility and the desire to leave something valuable to future generations.
These are not merely the values of capitalism.
They are the values of free and responsible people. They are the values of family. They are values that connect generations.
And they are the values Elementum stands for.
THE 15-YEAR AVERAGE: GUIDANCE, NOT A GUARANTEE
The 15-year average is important for investors because it smooths out short-term extremes and helps prevent every correction from being viewed emotionally.
For the gold-silver ratio, Elementum’s current assessment places the long-term average over the past 30 years at around 65. At the same time, we want to emphasise that such threshold levels are not laws of nature, but points of reference.
That is precisely the point: An average does not replace a strategy. But it can help investors assess extreme situations more effectively.
If the GSR, for example, stands at 90, 95 or above 100, there are strong indications that silver is relatively inexpensive compared with gold. If the GSR later falls to 60, silver has significantly caught up relative to gold. This can create strategic switching opportunities.
SWITCH-GO: INCREASING PRECIOUS METAL HOLDINGS THROUGH CHANGES IN THE RATIO
A simple example illustrates the potential of the GSR.
Assume the GSR stands at 90. In that case, one ounce of gold is equivalent in value to 90 ounces of silver. An investor buying silver at this stage is buying a metal that is relatively inexpensive compared with gold.
If the GSR later falls to 60, those 90 ounces of silver are suddenly equivalent to 1.5 ounces of gold. Without investing additional money, a strategic switch from silver into gold can therefore increase the amount of gold owned, before taking into account costs, fees, bid-ask spreads and tax considerations.
If the gold-silver ratio falls from 100 to 60, the effect is even stronger: 100 ounces of silver would then be mathematically equivalent to around 1.67 ounces of gold. Of course, the strategy can also work in reverse. In certain market phases, switching from gold back into silver at a later stage can increase the amount of silver owned further.
This is where one of the key strategic advantages lies. It is not only about whether the silver price rises or falls today. It is about how silver performs relative to gold. Many Elementum clients were able to apply this principle very successfully at the beginning of the year through SWITCH-GO: Silver was accumulated when GSR levels were high and partially switched into gold after the ratio had fallen significantly. The objective: More precious metal holdings without investing more money.
It remains important to remember: A ratio strategy is not automatic. It requires discipline, patience and clear rules. Fees, storage costs, tax considerations and personal objectives must all be taken into account. Over the long term, however, this strategy can make a meaningful difference.
PROFIT IS MADE IN THE PURCHASE
An old business saying goes: Profit is made in the purchase.
The same applies to the strategic accumulation of precious metals. Those who benefit from better purchasing conditions receive more precious metal for the same amount of capital. Purchasing advantages are therefore not a side issue. They are a strategic component.
At Elementum, several building blocks work together: 7 investment discounts, family discounts, group discounts, lower fees, the cost averaging method, the GSR strategy, employer-provided benefits and strategic switching opportunities through SWITCH-GO. The objective is to offset the quantity of precious metals reduced by fees over the long term and, beyond that, to build additional holdings.
Fees are real. They should therefore not be ignored. But the better question is: Which strategy can help me compensate for these fees over the long term and increase my net holdings of precious metals?
EMPLOYER-PROVIDED BENEFITS: ADDITIONAL ACCUMULATION WITHOUT ADDITIONAL PERSONAL CAPITAL
Another interesting component can be employer-provided benefits. If employers offer their employees benefits in kind, this can allow additional precious metal holdings to be built without the client having to contribute the same amount from their own net income.
This is particularly interesting from a strategic perspective because it creates an additional inflow. Month after month, more tangible assets can be accumulated. Tax and legal requirements must of course be assessed individually. In Germany, benefits in kind and non-cash benefits are regulated, among other provisions, under Section 8 of the German Income Tax Act (EStG).
TAX ADVANTAGES: AFTER 1 YEAR, THE DIFFERENCE CAN BE DECISIVE
An important advantage of physical precious metals is their tax treatment in private disposal transactions. Under Section 23 EStG, disposals of other assets are generally relevant for tax purposes if no more than 1 year has passed between acquisition and disposal.
In practical terms, this means that gains on physical precious metals can be tax-free for private investors once the 1-year holding period has expired. This can apply not only to price appreciation, but also to the increase in value of any additional quantity accumulated, provided the relevant tax requirements are met.
The same principle applies here: This is not individual tax advice. But it shows why long-term thinking is so important when it comes to precious metals. Short-term trading can mean giving up strategic advantages. Long-term planning can combine price, quantity, tax structure and wealth protection more effectively.
ADVANTAGES OF STORAGE IN SWITZERLAND
Another important part of the strategy is secure storage. Elementum International AG specialises in the storage of physical precious metals in Switzerland. According to the company, it conducts storage activities only. Clients remain the legal and beneficial owners of their assets and stored holdings do not form part of the storage company’s insolvency estate in the event of insolvency.
The high-security storage facility in the St Gotthard massif is particularly noteworthy. The facility has the status of an open customs warehouse. Especially in the case of silver, this means that any applicable VAT only becomes payable to customs when the metal is withdrawn by the client.
Further advantages include high security standards, modern surveillance, strict access controls, insurance coverage, political and economic stability, discretion and the ability to trade precious metals within the customs warehouse without physically moving them.
In addition, clients’ stored holdings are audited annually by an independent auditing firm.
ADVANTAGES FOR THE WHOLE FAMILY
Strategic wealth accumulation does not end with one individual. It can become a family treasure.
Physical precious metals are particularly well suited as a long-term component for families because they are easy to understand, divisible, storable and transferable across generations. Children and grandchildren can learn what real ownership means. Parents can not only build wealth, but also structure it. Families can combine purchasing advantages, family discounts and long-term planning.
The Elementum philosophy describes this intergenerational family treasure as a long-term objective: Financial security, independence, freedom and prosperity for today and for future generations.
For me, this is one of the most important ideas: It is not only about the next price gain. It is about building real assets that endure and can be passed on.
PRICE DECLINES ARE UNCOMFORTABLE, BUT OFTEN STRATEGICALLY VALUABLE
Of course, a price decline does not feel good. Nobody likes to see the current value of an investment fall in the short term. But this is exactly where short-term speculation and long-term strategy diverge.
The short-term investor asks: “Why has the price fallen?”
The strategic investor asks: “Can I acquire more metal now? Is the GSR attractive? Can I improve my average purchase price? Does this correction fit my long-term objectives?”
Fear and greed are poor advisers. Fear often leads investors to sell during weak market phases. Greed often leads them to buy during overheated markets. Strategy, by contrast, creates distance. It helps investors avoid emotional decisions and act according to clear principles.
CONCLUSION: DO NOT FOCUS ONLY ON PRICE, BUT ON STRATEGY, QUANTITY AND OBJECTIVES
Price matters. But it is not everything.
Anyone who focuses only on short-term price appreciation will become nervous during every correction. Those who think long term, however, often recognise opportunities in pullbacks. They look not only at price, but at quantity. Not only at the daily market price, but at the GSR. Not only at profit, but at security, liquidity, ownership, tax advantages, purchasing advantages and family wealth.
The Elementum strategy follows precisely this long-term approach: Strategic wealth accumulation, wealth optimisation and wealth protection through physical precious metals, with the objective of building more real assets over time.
My advice is therefore this: Do not focus only on the price. Ask yourself what objectives you are pursuing, which expectations are realistic and which strategy is right for you.
Because in the end, the perfect entry point is not what matters most. What matters is whether you have built real assets over the years, securely, liquidly, tax-efficiently and strategically optimised.
Note: This article does not constitute individual investment, legal or tax advice. Precious metal prices fluctuate, forecasts are uncertain and tax advantages always depend on personal circumstances and the applicable legal framework.
How can you buy precious metals cheaply and store them safely?
Elementum Deutschland GmbH, based in Sindelfingen (Germany), specializes in trading physical precious metals. Customers who purchase precious metals from Elementum Deutschland (or one of the other national Elementum companies in five European countries) can store them in the renowned high-security vaulting facilities in the St. Gotthard Massif in Switzerland at Elementum International AG.
Of course, you also have the option of purchasing gold and silver directly and having it delivered to your desired address. However, storing silver in the so-called open duty-free warehouse (“offenes Zollfreilager”) at St. Gotthard offers decisive tax advantages:
- The 19% value added tax customary in Germany is completely waived on purchases and sales – a considerable price advantage that effectively secures you 19% more silver for your money.
- If you store your silver in this high-security vault, you can sell it back to Elementum Deutschland GmbH at any time – without any bureaucratic hassle and also without VAT, as the trade takes place within the duty-free warehouse. You will receive the funds via bank wire.
- VAT is only payable when you physically remove the stored silver – either by picking it up in person (after prior notification) or by having it shipped to your address.
More silver, more return
Thanks to duty-free storage, you receive 19% more physical silver when you buy. This additional amount also participates in the performance of the silver price if it rises – a leverage effect that significantly improves your return opportunities.
About Elementum
Elementum is a second-generation, owner-managed family business. Trust, consistency, and long-term thinking are at the heart of our philosophy. The Board of Directors of Elementum International AG is composed of internationally renowned experts in the money and precious metals markets, including economists, analysts, university professors, and precious metals specialists. This in-depth expertise forms the backbone of our actions – for your security, your assets, and your future.
About the Author
Bojan Pravica
Founder of Elementum
Elementum is more than just a company – it is the life’s work of the Pravica family, built with love and dedication over three generations to ensure security and financial prosperity. Founded by Bojan Pravica, a man who came from humble beginnings, Elementum embodies the ceaseless desire for freedom and a happy, carefree life.
Bojan Pravica knows the challenges of life from personal experience. Having grown up in poverty, he saw first-hand how worries and uncertainties can weigh heavily on a family’s life. These experiences left a deep mark on him and fuelled a tireless desire to provide a better life for his family. In doing so, he wanted to do more than just build up a financial cushion. He wanted to leave a legacy for everyone who matters to him. To this day, Bojan Pravica continues this legacy together with his children and grandchildren, determined to pass on values such as financial security, freedom and prosperity. A native of Slovenia, Mr Pravica has lived in Germany since 1973. For over 45 years, he has worked as an independent entrepreneur in various areas of training for financial service providers, as well as a seminar leader both at home and abroad, and as the initiator and developer of financial companies offering exclusive products in the fields of property, insurance, securities, investment funds, unit-linked policies, and specialised product offerings in the precious metals sector.
Contact
Rockstone News & Research
Stephan Bogner (Dipl. Kfm., FH)
Müligässli 1, 8598 Bottighofen
Switzerland
Phone: +41-71-5896911
Email: info@rockstone-news.com
Disclaimer: This article may contain links to external third-party websites. Elementum is not responsible for the content of these external sites and expressly distances itself from all information provided there. At the time the links were created, no unlawful content was identifiable. This article does not constitute a recommendation to buy or sell. Elementum International AG is a Swiss company that specializes exclusively in the storage of physical precious metals in a high-security vault facility located in the St. Gotthard mountain massif in Central Switzerland. The Board of Directors and Executive Management of Elementum International AG have been selected solely based on their professional expertise and long-standing experience in precious metals markets. As these individuals may also be professionally active outside their roles at Elementum International AG, the company has no influence over their external activities and respects their right to freedom of expression. Therefore, the views expressed by persons working with or for Elementum do not necessarily reflect the opinion of Elementum International AG. Investments in precious metals are subject to risks, including those specific to the structure of this market. Please read our full risk disclosures and consult a licensed financial advisor before making any investment decisions. Neither the author, Elementum International AG, nor Elementum Deutschland GmbH assume any liability for actions taken based on the information provided. Past performance is not indicative of future results. The cover picture has been obtained and licenced from 123rf.com.
