New EVERANK Market Safe CD is covered below. READ! April 22, 2010

Everbanks new Market Safe CD is based on Gold, Silver and Platinum.

After talking with them I have decided to not go hog wild over this CD for the following reasons:

1)    They mentioned a new CD more like the BRIC foreign currency CD should be announced shortly. The BRIC had better terms in my opinion and I was specifically interested in a foreign currency CD rather then a metals CD for the reasons listed below.

2)    We have lots of gold holdings and I actually do have a gold Market Safe CD from Everbank already. The terms on that CD were a bit different then this new one. Keep reading…


3)    For gold and silver, I find it best to just own the metal outright and speculate with gold funds like our UNWPX or TGLDX.

4)    The new Everbank CD is a 5 year tie up where the BRIC currency CD was only 3 years. I am not against 5 years but I am for this CD due to reason 5.

5)    You only get an average of the price increase instead of 100 % of the upside as you do on the BRIC currency CD. Additionally you can never make more then 50 % upside no matter what. This I do not like. 5 years is a long time and to limit our gains to 50 % for that long in this environment I do not find wise. Especially where gold and silver are today in the grand scheme of things. These metals could go ballistic so being limited to only a 50 % gain for a term like 5 years is in my opinion not a good idea


All things considered, this new CD is insured by the FDIC and you cant lose any money so says the bank, so if some of you wanted to stick a bit in this CD for another “leg” of diversification, then you could do worse I guess. Owning a gold, silver and platinum CD where you cant lose money is not a bad plan even if you have to tie up the funds for 5 years. That would amount to about an 8% return annualized if you get the maximum gain.

I prefer to wait and see what they plan to do with the next currency CD and hope it will be like the BRIC CD we bought last year.

Here is the link to review the CD.

http://www.everbank.com/001CertificatesMSDiversifiedMetals.aspx?linkID=Search

All for now,

Marc