The document provides information about Marc Simpson and The ABC Bullion Group, which is Australia's largest private bullion refinery and company. It was incorporated into The ABC Bullion Group in 2012. The document also summarizes EBS Refinery, which is Australia's largest private bullion refinery and was acquired in 2012. Custodian Vaults, a new high security private vault in Sydney, is also mentioned. The rest of the document appears to be a presentation about protecting wealth and the outlook for gold and precious metals.

1. Marc Simpson
Growth & Synergy Consultant
The ABC Bullion Group

2. The ABC Bullion Group
Australia’s largest private bullion refinery
Incorporated into group in 2012
Australia’s largest private bullion co.
Founded 1971
Sydney Head office – Hong Kong – Perth*
High-tech private vaulting facility
Secure discrete storage
Opened 2013

3. EBS Refinery
Australia largest private bullion refinery
Ingot casting, minting, alloys
Acquired 2012 to compliment integration plans
National Assoc of Testing Authorities accred pending
London Bullion Market Assoc. accred 2015

4. ABC Bullion
Australia’s largest private bullion company
41-year history
Over $1 billion turnover 2012-13
ABC Bullion bars recognized nationally & Asia
Exclusive distributor of PAMP brand in Australasia

5. Custodian Vaults
Sydney’s newest, high security private vault
Easy accessibility – CBD location, extended hours
State-of-the-art physical and electronic security
Discrete, personalised & professional
Store - bullion, jewellery, data, valuable items

7. Disclaimer
This presentation is for educational purposes only and does not
constitute financial advice, either general or specific.
It does not consider any particular persons investment objectives,
financial situation or needs. Accordingly, no recommendation
(expressed or implied) or other information should be acted on
without the appropriateness of that information having regard to
those factors.
You should assess whether the advice is appropriate to your individual
financial circumstances before making an investment decision. You
can either assess the advice yourself or seek the help of a financial
planner.

8. Topics We’ll Be Covering
• The GFC and unresolved challenges facing the developed world
• Protecting wealth and the outlook for traditional assets
• Defining gold
• Why the bull market in precious metals is unlikely to be over
• A portfolio example of gold protecting wealth

9. GFC: 50 years in the making

10. Demographic challenge
Social Security: Workers per Beneficiary

11. Welfare state unaffordable
71%
127%
224% 235%
0%
50%
100%
150%
200%
250%
GDP Social Security Medicaid Medicare
Projected Growth v Mandatory Spending - 2007 to 2032

12. Government won’t stop spending

13. Total faith in central bankers?
• “I don’t buy your premise. It’s a pretty unlikely possibility. We’ve
never had a decline on house prices on a nationwide basis” –
July 2005
• “The impact on the broader economy and the financial markets
of the problems in the subprime market seems likely to be
contained.” – March 2007
• “The Federal Reserve is not currently forecasting a recession” –
January 2008
• “The GSE’s are adequately capitalized. They are in no danger of failing.” – July 2008
• “The Federal Reserve will not monetize the debt” – June 2009
• Question: “You have what degree of confidence in your ability to control inflation?”
• Answer: “100%” – December 2010

14. Global economy weakening!

15. Outlook for Traditional Assets
CASH & TERM
DEPOSITS
EQUITIES
BONDS / FIXED INCOME PROPERTY

16. Shares are not without risk
0
5
10
15
20
25
30
35
40
45
50
1881 1891 1901 1911 1921 1931 1941 1951 1961 1971 1981 1991 2001 2011
Shiller S&P 500 Price Earnings History
-67%
-78%
-61%

17. Bonds are near all time highs
0
2
4
6
8
10
12
14
16
1945 1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010
US 10 - Year Borrowing Costs (%)

18. Property already expensive

19. The low rate magic is over

20. Physical Gold & Precious Metals

21. Gold is Money
“Nations, differing in language, religion, habits and on almost every other
subject susceptible of doubt, have, during a period of near four thousand
years, agreed in one respect: that gold and silver have, uninterruptedly to
this day, continued to be the universal currency of the commercial and
civilized world.” – Albert Gallatin
“Betting against gold is the same as betting on government – He who bets
on governments and government money bets against 6000 years of
recorded history” – Charles De Gaulle

22. Which is why we store it
Gold has a Unique Stock to Flow Ratio

23. Sovereign Gold Reserves
Country Gold Holdings
% of Foreign
Reserves
United States 8,133.50 71.6
France 2,435.4 66.5
Germany 3,390.6 68.6
Italy 2,451.8 67.0

24. Gold excels in times like these

25. Opportunity cost is low
Yields 1980’s
US Cash 19.10%
US 10 Year Bonds 16.00%
Australian Cash 13.40%
Australian Property 9.50%
Australian Shares 9.00%
Today Outlook
0.25% Staying Down
2.00% Debt at all time highs
4.45% Heading Lower
4.00% Near all time highs
5.10%
Valuations Extreme
in banks

26. Gold market corrections

27. Reallocation potential is huge
Fixed Income
53%
Equities
37%
Cash + Alts
10%
Gold's Share of Total Financial Assets
Source: World Gold Council, World Federation of Exchanges, Credit Suisse

28. History says gold is still cheap

29. A Repeat of the 1970’s

30. The 4 most dangerous
words in investing are
“This time it’s different”
Sir John Templeton

31. Portfolio Construction
$1 million portfolio 10 year time horizon
Paul 100% Utopia 0% Gold
Bob 75% Utopia 25% Gold
Asset Class Return Projections*
Utopia
Alternative Scenario
Market Crash
Australian Equities 9.50%
-60%
Global REITS 8.00%
Government Bonds 3.10%
Diversified Growth Mix 7.70%
Physical Gold -50% +600%

32. Market crashes do happen
Asset Classes Largest Losses
Australian Equities -55.0%
Small Caps -60.9%
International
Equities
-48.7%
Emerging Markets -44.1%
Infrastructure
-46.9%
REITS -70.6%
Australian Bonds -22.5%
Gold +2500%

33. Protection pays dividends
Paul
Bob
Difference (Bob vs
Paul
In Utopia, Bob ends up with $8 for every $10 Paul has
In Market Crash, Bob ends up with $4.50 for every $1 Paul has
Market Crash
$400,000
$1.80 million
$1.40 million
Utopia
$2.10 million
$1.70 million
-$400k

34. Gold and your portfolio
• Proven portfolio diversification benefits
• Currency hedge
• Cheap by historical standards and perfect economic environment
• Only asset without third party risk or an attached liability
• Highly liquid
• Simple and easy to trade