SPC Premium: "I Still Have My Long-Term Target of $300 For Silver"

The 60/40 stocks/bonds asset allocation model came into vogue four decades ago, or just about the same time I started my own career as a reporter and financial writer.

Among “mainstream” investing professionals, that’s pretty much sacrosanct — a one-size-fits-all strategy that’s viewed as the only way to fly: Speaking against it is investing blasphemy.

So even I was stunned a month or so ago when Morgan Stanley $MS ( ▲ 2.32% ), an investment bank that reaches back to the 1930s, suddenly advocated a 60/20/20 split of stocks, bonds and gold.

Call it a sign of the times.

Especially since gold and silver — both inextricably linked — have been on a tear for months and were recently trading at all-time highs.

Gold punched through the $3,000-an-ounce price level in March and $4,000 early this month — and hit a record peak around $4,380 an ounce on Monday.

And silver broke through its “Hunt Brothers High” — the record peak hit 45 years ago when the two Texas oil tycoon brothers tried to corner the silver market. And it kept going to set a new record well north of the $50-an-ounce level.

Both metals have pulled back sharply from the hot run gold and silver have experienced.

Even with the selloffs, we’re talking about year-to-date gains of 57% for gold and 68% for silver.

And consider this: It’s only been a week or so since the headline writers now eulogizing gold and silver were making moonshot predictions for that precious-metals duopoly.

Let’s be candid: Given how much (and how quickly) gold and silver surged, the selloff was not just predictable — it was actually downright healthy.

And don’t be surprised to see more in the near term.

As we always tell you folks, it’s the long haul that matters. Here at Stock Picker’s Corner (SPC), we were bullish on silver since Day One of our launch in early 2024 — when the metal was down around $25 an ounce.

We also told you about gold — well ahead of the November presidential election. We gave you a detailed strategy for metals investing. And we’ve just delivered a unique special-situation opportunity to consider — a rare-earths play with a “gold kicker.”

But as we also always tell you folks, with any investment, it’s the “what comes next” that matters most.

That’s why we’re devoting this newest installment of the Quarterly Roundtable to silver investing. And we recruited our good friend Peter Krauth, a longtime metals-and-mining expert who’s the author of the “The Great Silver Bull: Crush Inflation and Profit as the Dollar Dies.”

Peter, who runs the Silver Stock Investor newsletter, told us back in early 2024 (when the metal was down below $24) that silver would hit $30 by the end of that year — which it did.

In late December, he joined us here again and said silver would break out and hit $40, or better, sometime here in 2025.

Right again.

He also made a great call for the MoneyShow folks — in the same 2025 prediction round that saw SPC rank in the Top 10 for stock-pick performance through August.

In our latest chat (which came before this pullback), Peter gave us:

• His near-term — and long-term — outlooks for silver. (Spoiler Alert: They’re bullish).

• His longer-term projection for gold.

• An update on three different silver stocks.

• And an assessment of some of the key “triggers” that will come into play — and that you should watch for.

Here’s an edited transcript of our talk …

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