Risk Disclosure Guardian Gold Silver

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Risk Disclosure Guardian Gold Silver Powered By Docstoc
					                                                                                            



                                                Risk Disclosure
                               Considerations, Terms, and Conditions

ASSET DIVERSIFICATION:
We at Guardian Gold & Silver Precious Metals, LLC (“Guardian”), adhere to the old saying that one should not put
all his eggs in the same basket. Smart money management requires diversification so as to spread the risk. We
recommend that diversification into bullion precious metals not exceed 20% of a financial portfolio, although it is
recognized that current and future events and dynamics may suggest an increase or decrease in those portfolio
position percentages. We encourage our clients to seek independent financial advice from qualified institutions before
acquiring bullion gold and silver that exceeds 20% of the entire portfolio. A well-balanced portfolio should also
contain securities, equity and fixed income products.

WHAT YOU NEED TO KNOW BEFORE BUYING OR SELLING GOLD OR OTHER PRECIOUS
METALS:
We at Guardian have always urged our clients to become educated and do their due diligence before buying. Gold
comes in many shapes and sizes and no one shape or size fits all. There is no one right purchase for every buyer. It all
depends upon one’s objectives, time frame to hold, and risk tolerance. The age of the purchaser, their asset base and
employment status are important considerations. Gold bullion, as a safe haven or hedge against inflation, is a great
concept if properly utilized and it can indeed protect against the weakening dollar and can in fact serve as a hedge and
insurance against other assets declining in value.

Whether bullion in the form of coins, bars or otherwise is the right type of precious metal depends upon the buyer.
Gold and silver bullion, which have their value strictly in the value of the metal, trades with the spot gold market and
is open openly affected by global or national economic developments, conditions, and news. On the other hand, gold
in the form of pre-1933 Numismatic products trade both based upon the spot price on any given day (for the intrinsic
value of the metal if melted) as well as other factors. Various degrees of premiums are attached to the purchase of
each product - bullion, numismatic, or semi-numismatic.

Rare coins and scarce coins are valued upon factors other than merely the spot price of the metal. The condition of
the coin, the mintage, the design and the historic sales or auction records affects resale value. No seller or reseller of
gold to the public or the industry is a nonprofit enterprise. All are in business to make a profit. All pay to acquire the
product they sell to the public.

Premiums vary according to numerous factors, the primary one being supply and demand. When a customer gets
ready to sell his holdings, he needs to overcome the spread or premium in order to make a profit. This is no different
than a supermarket buying an apple for 50 cents and selling it to a customer for 60 cents. If the customer wants to sell
the apple and make a profit, he needs to sell it for more than the 60 cents he was charged, irrespective of what the
supermarket paid for the apple. The amount of profit the supermarket made- 10 cents, in part goes to the cost of its
lease, its employee wages, electric and other items of overhead. If the factors affecting the premium have changed
from the time of acquisition to the time of the customer’s sale, the ultimate price he realizes, may be positively or
negatively impacted, irrespective of whether the spot price of the metal is higher or lower on the date of his resale
than the date of his acquisition of the product.

Sometimes a customer gets ready to sell a product and realizes that he might have done better had he acquired a
numismatic rarity or bullion with the same dollars than the product he decided to acquire. Sometimes, the educated
purchase turns out to be the right decision. Nobody has a crystal ball and nobody can predict with entire accuracy
which type of product will in fact perform better than others in the time interval between acquisition and resale.
Historically, however, gold has in fact outperformed the Standard and Poor’s Index and the stock market in general.




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Some potential clients have asked whether they can accomplish the same objective by buying gold stocks and what
downside, if any exists for them to do this. While gold can certainly be purchased in the form of a stock certificate in
a company, many clients have correctly pointed out that they would rather take physical possession of the actual gold,
than to potentially be the victim of the horror stories we have all heard when a company goes bankrupt or even when
the selling company offers to store your gold for you. Guardian always delivers the gold and silver to you by the US
Postal Service, Brinks or other safe forms of delivery. We do not store it for you or give you a certificate. Even when
purchasing shares of stock in a reputable gold refinery, the price of that stock is affected and sometimes drops based
upon factors other than the price of gold. For instance, gold stocks may drop based upon how the company is run by
the CEO, whether their overhead and expenses are too high, whether the CEO takes a multi-million dollar salary or
whether the company buys a private jet for the CEO’s use. At Guardian, we have a simple formula- we sell the
product you think is the best match for you and you alone take delivery of it and hold it until you are ready to sell it
or leave it to family as a part of the buyer’s estate. When you are ready to sell, you decide to whom you will sell and
at what price. Our clients are encouraged to shop the market and sell to whom they want, when they want, and at the
best price they are offered.

RECOMMENDED HOLDING PERIODS:
We at Guardian believe that a proper perspective for a proper holding period for precious metals as hedging and
wealth preservation tools requires a long-term commitment of 3-5 year minimums and preferably between 5-10 years
to maximize their efficacy. However, since ongoing and fluid market conditions affect the length of the holding
period, it is impossible to say with certainty just how long a prospective holding period should be.

DELIVERY OF PRECIOUS METALS:
Unless your state of residency requires a different delivery, your purchase will be safely packed and shipped fully
insured with a target delivery date not to exceed 28 days from our receipt of cleared funds. Unless otherwise specified
in writing at the time of customer’s order, Guardian shall cause all precious metals purchased and paid for to be
delivered to customer’s address listed on the invoice. Guardian only uses reputable, nationally recognized delivery
services to deliver its precious metals.

If, however, a customer’s order is lost prior to delivery, the customer is instructed to notify Guardian in writing
immediately. Notice of any such alleged loss should be sent to: Guardian Gold & Silver Precious Metals, LLC, 15030
Ventura Blvd., Suite 459, Sherman Oaks, CA, 91403. If the delivery service verifies that the customer’s precious
metals were never delivered, Guardian shall, within forty-five (45) days of such verification, in its sole discretion,
either refund to customer the full purchase price for such undelivered precious metals or replace such precious metals
with other precious metals of the same denomination/type and grade.

Guardian assumes no responsibility for precious metals lost after delivery to customer. Guardian assumes no risk of
loss for any precious metals purchased from a customer unless such materials are delivered to and accepted by an
authorized representative of Guardian. In the unlikely event that the shipment delivered does not fully coincide with
your order, such variance must be reported to us within 5 days of your receipt of the items. We ask that you save all
the original packing materials.

LIQUIDATION (outside of the 5th Year Customer Satisfaction Evaluation Period):
If and when you decide to sell your gold and silver, Guardian will buy them back at the then current bid-buy price we
establish. While you may always elect to liquidate your precious metals through other dealers, in a private transaction
or at auction, we hope you will provide us with the opportunity to make you an offer that we believe will be better
than you will receive elsewhere. Depending upon market conditions and your original purchase price, you may
receive less than what you paid for the gold and silver. The bid or buy back price we establish is based on then
current market The market price at the time of the sale may be greater or lesser than at the time of acquisition.

LIQUIDITY:
Bullion gold and silver bars, wafers, and coins are the most liquid forms of gold and silver. Semi-numismatic coins
are generally more liquid than numismatic or rare coins, although there are exceptions based upon dynamic market
conditions.

RISK:
Bullion gold and silver are sometimes volatile. Depending upon a myriad of factors, prices may increase or decline
within a finite time. While certain individuals have been known to make guarantees that the individuals will achieve a
certain rate of return, Guardian cannot and will not participate in such irresponsible representations.



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However, our primary business model is based on the historical hedging/insurance performance capabilities of
bullion gold and the mathematical certainty of a US Dollar inflation/hyperinflation and eventual failure (of the
current fully fiat US Dollar). Additionally, all fiat currencies have a 100% failure rate over time. Therefore all of our
bullion gold products are covered by our 5th Year Customer Satisfaction Conviction Warranty.

Bullion and numismatic coins are as different as night is today. Bullion (such as American Eagles, South African
Krugerrands and Canadian Maple Leafs) has a value that is based upon gold content and purity and is directly
affected by the active and daily market price of bullion by what is referred to as spot price. The current value of a rare
coin of numismatic interest is also determined by a myriad of factors. These factors include but are not limited to the
mintage, current population of the coin, the degree of its quality, the grade assigned to it by a grading service, the
reputation of that grading service, the collector demand for that coin, the historic pricing of the coin in that particular
condition, overall desirability, appearance and economic factors.

Guardian Gold & Silver encourages our clients and prospective clients to consult with the appropriate financial
advisors to determine the suitability of bullion gold and silver for you and your specific circumstances. Management
of your assets requires a complete understanding of the potential investment and the products you seek to acquire.
The decision as to whether purchase bullion or other forms of gold and silver and whether they are appropriate for
you is one that requires a complete financial analysis by an independent financial advisor. Factors which include your
adequacy of liquid assets and the ratio of disposable income to all sources of income are appropriate considerations.
The proposed source of payment for any bullion and other forms of precious metals is one that appropriately requires
independent financial advice. Guardian does not recommend the premature withdrawal of funds from accounts,
securities or other financial products which may result in penalties, fees or surcharges. An appropriate independent
financial advisor can and should advise regarding this as well as the tax implications of any transaction before you
make a decision to buy or sell.

PRICING:
Just as in any other business, the sale of coins, precious metals and bullion, involve a transaction cost. That cost is, in
essence, the spread or price differential between the “ask” or selling price and the “bid” or buy-back price. Our
typical spread on bullion is approximately 20% above our costs, depending upon a myriad of factors including but not
limited to the then current spot price.

The price of all bullion purchases can only be locked in, at such time and on such date as payment for same has been
received by Guardian as either a confirmed receipt of the customer's wire transfer to the designated Guardian bank
account or by the customer's check clearing the bank on which the funds are drawn. The price of a bullion product is
based upon the spot price of the gold and silver. The spot price of all such precious metals may vary (higher or lower
in U.S. Dollars) between the date of the telephonic or other means of order by the customer and the date and time of
the receipt of payment in the manner referred to hereinabove. It is the later date, upon which the purchase price is
locked in for customer's purchase and during Guardian’s regular business hours.
The prices charged by Guardian may not remain the same from day to day based upon various market conditions.

Only bullion gold products are covered by our Warranty. However, Guardian has a “no questions asked” refund
policy for numismatic coins, as specifically described herein. Guardian’s clients may, for any reason whatsoever,
request a refund on their first purchase only for numismatic products (not bullion purchases). To be eligible for the
refund, Guardian must be notified in writing by the purchaser of the request to rescind the initial transaction within
(7) days from the date the written purchase confirmation is postmarked by the USPS to the customer or the date of
delivery to a private delivery service (i.e. FedEx, DHL, UPS), whichever comes first. Your state of residency may
have rules which are more expansive and/or supersede Guardian’s refund policy; and in such event, those rules may
apply.

REFUND POLICY:
Please refer to our Customer Satisfaction Conviction Warranty for the full details of our refund policy.
Outside of the provisions of this Limited Warranty, or unless otherwise specifically prohibited by local state
law:

                                      All bullion gold and silver sales are final.

BUY-BACK POLICY (outside of the Customer Satisfaction Conviction Warranty Promise):
We will provide a bid or buy-back price which the client, in his sole discretion, may choose to accept, as payment for
selling the gold and silver back. We do not charge any additional fees or commissions on buybacks other than a 5%


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on credit card purchases. Depending upon market conditions and your original purchase price, you may receive less
than what you paid for the coins and currency. This buyback policy is not guaranteed and hence, subject to change
and/or elimination. Bid or buy-back prices will be quoted upon request. Our bid or buy-back policy is not standard or
uniform. Prices quoted to customers for the resale of gold and silver purchased from Guardian may in fact be at a bid
price greater than the price that is quoted to individuals who did not purchase gold and silver from Guardian.

OUR WARRANTY PROMISE:

                            Our Limited Warranty on Bullion Gold for the
                          Fifth Year Customer Satisfaction Evaluation Period

What Does This Warranty Cover?: Any perceived defect or lack of performance in the bullion gold , or any other
dissatisfaction in any way with your bullion gold.

What is the Period of Coverage?: For 30 calendar days, beginning on the fifth year anniversary date of the product
purchase until midnight of the following 30th calendar day. This period of warranty redemption is known as the Fifth
Year Customer Satisfaction Evaluation Period.

What Guardian Gold & Silver Will Do: Provide a full refund of the original purchase price.

How to Get Service: Contact Guardian Gold & Silver at 800-621-4886, or write us at Guardian Gold & Silver,
15030 Ventura Blvd., Suite 459, Sherman Oaks, CA, 91403.

Your Rights Under State Law: This warranty gives you specific legal rights, and you may also have other rights
which vary from state to state.

What Must You Do to Keep the Warranty in Effect?: This warranty is non-transferable. Redeemable only to the
original purchaser, or in the event of their passing, their lawful and designated heirs. All bullion gold and silver must
be in their original condition. Any tampering or modifications of any kind void this warranty. All gold a must be
inspected, compared to original invoice for proper catalogue numbers, and independently assayed before redemption
is granted.

What Does This Warranty Not Cover? Redeemable only in current US Dollars (fully fiat US Notes of legal
tender). Only original, documented, and catalogued bullion gold can be redeemed. Numismatic or semi-numismatic
gold and silver coins are not covered by this Warranty. At this time bullion silver is not covered.

Our Warranty will be suspended and voided under
any of the following scenarios:

    •    Gold Confiscation/Direct Government Price Controls, Market Takeovers, etc.

    •    Direct Currency Re-Valuation by US Government

    •    Currency Failure/Currency Replacement

    •    Systemic Collapse of US Government & Financial Institutions

    •    Systemic Breakdown/Chaos of the Social Order/Social Contract

    •    Martial Law

    •    Fundamental and Comprehensive Change of US Government Structure (Dictatorship, break up or
         reorganization of the current US union, etc.)

    •    Direct Command & Control and Socialization of US Economic Markets by US/State Governments

    •    Civil War/Nuclear War/War of Devastation

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GRADING:
Guardian utilizes the industry recognized Mint State (MS) grading system which identifies the condition of coins
(and uncirculated coins identified as MS-60 to MS-70). Among considerations affecting the value of a coin, is the
grade assigned to it. Grades depend upon the subjective opinion of the person doing the grading and it is designed to
reflect considerations including the strength of the strike, any marks, hairline scratches, and the overall eye appeal of
the coin, for better or worse. It has been said that beauty is in the eye of the beholder. Hence, the numerical grade can
vary depending upon the rare coin grading service and the particular expert rendering an opinion by assigning the
numerical grade. Because a difference in one grade point can substantially affect the market value of a rare coin,
Guardian traditionally relies upon the expert opinion of well regarded and well reputed grading services such as
Professional Coin Grading Service (PCGS) or Numismatic Guaranty Corporation (NGC). Over the years, grading
standards have evolved and changed. Some have become more stringent and some less. The numerical assignment of
grade is not a guarantee but rather a subjective opinion. In the event you purchase a coin from Guardian that has been
graded by PCGS or NGC, Guardian has relied upon the expertise of the grader in determining the particular grade
assigned. Guardian does not render any independent evaluation as to the numerical grade assigned by the grading
service.

GENUINENESS AND AUTHENTICITY:
Guardian Gold & Silver Precious Metals, LLC does guarantee that the gold and silver items it sells are in fact genuine
and authentic in all regards.

REMEDY FOR CUSTOMER’S FAILURE TO PERFORM:
If Customer refuses to accept delivery of the precious metals ordered or fails to make payment when due, Guardian,
in its sole discretion, may cancel the transaction and resell such precious metals on a retail/wholesale basis.

ACCOUNT EXECUTIVES, SALES PARTNERS, AND SUB-CONTRACTORS:
Guardian’s representatives and partners receive their compensation based upon commission and/or salary. Their work
background, level of education, degree of expertise, training and overall knowledge vary. Our account executives are
not licensed investment advisors and are not qualified or authorized to recommend or comment on the
appropriateness or fitness of any investment, product, or sale of any product other than the products that are to be sold
by Guardian. Guardian strongly encourages prospective clients to consult with licensed professionals who have
expertise in the particular field of inquiry prior to making a decision to purchase or sell any financial or related
instrument, including but not limited to fixed assets, securities, bonds, insurance products, financial instruments,
precious metals, bullion, numismatic products and rare coins.

GROWTH PROJECTIONS:
Guardian Gold & Silver Precious Metals, LLC, on our website, through our media appearances, through account
representatives or otherwise, may from time to time advise clients and prospective clients relative to forecasts made
by third pares and/or representatives, employees, staff and/or affiliates of Guardian Gold & Silver Precious Metals,
LLC relative to future prices of rare coins, numismatic products, precious metals and bullion. In providing advice or
projections, Guardian does so with consideration of the following factors:

PAST PERFORMANCE:
While past performance is a useful guide, it is one of many factors to be considered and is not a guarantee of future
results. There is a frequent assumption that if particular coins or bullion made gains historically under certain
economic conditions, that a potential exists for economic value appreciation when similar conditions appear in the
future.

ECONOMIC FORECAST:
While it is impossible to predict price trends or economic conditions exactly, we do, however apply research,
common sense and logic as a means to forecast future trends. These trends are, in our belief, a guide to be considered
in evaluating the future economic potential for gold and silver bullion.

SUPPLY AND DEMAND:
The basics that have historically affected fundamental market forces are in our belief, to be taken into consideration
in regard to the forecast of future trends of supply and demand. No person can , with 100% accuracy, guarantee that
growth potentials will be achieved and economic conditions as well as other factors in society and the economy may
cause prices to decline. While Guardian does not and cannot guarantee its forecasts or projections, we do, however,
set our goals high in providing the client with an analysis that is thoughtful as well as reflective of our opinion.



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PROTECTION AND ACCURACY:
Telephone calls may be monitored and/or recorded to assure quality control and full compliance with policies and
procedures of Guardian Gold & Silver Precious Metals, LLC. This is for customer protection and to assure accuracy
and eliminate misunderstandings in orders that are placed.

We value your privacy and if at any point in me you no longer wish to be contacted by a Guardian Gold & Silver
Precious Metals, LLC representative, please call or write us and ask to be placed on our Do Not Call list.

Should you ever receive information that is inconsistent or contrary with the information contained herein, please
immediately so advise Guardian Gold & Silver Precious Metals, LLC and our Director of Marketing at (800) 621-
4886. In the event you have any questions or concerns regarding a particular transaction, we urge you not to proceed
with it until your questions have been fully answered to your satisfaction or your concerns have been eliminated.

All payments should be paid only to Guardian Gold & Silver Precious Metals, LLC. You may pay by bank wire,
certified check, cashier’s check or personal check. Please do not send cash, money orders or travelers’ checks. Note
that all forms of payment other than a wire transfer are subject to a 10 business day hold.

All coins, bullion and/or precious metals must be sent to Guardian Gold & Silver (do not mention Coins or Metals on
shipping container), 15030 Ventura Blvd., Suite 459, Sherman Oaks, CA, 91403. All such mailing should be
registered mail, return receipt requested and fully insured by you. In regard to safe packing requirements, please
check in advance with your account representative. In order to assure prompt and safe mailing of our products to you,
we request that you promptly notify us in writing in the event you change your address. In order to protect against
identify theft, it is requested that such written notification be signed by you and notarized with a copy of your driver’s
license or recent utility bill. Please include your account number on all such correspondence.

FINALITY; INTEGRATION CLAUSE:
These terms are intended by Guardian and customer as a final expression of their agreement concerning the matters
set forth herein, and is also intended as a complete and exclusive statement of the terms of their agreement. These
terms supersede any oral or written statement made prior to, contemporaneous with, or in the future regarding this
transaction or the transactions covered hereunder. Customers shall not rely upon any statement made by or on behalf
of Guardian Gold & Silver Precious Metals, LLC that is inconsistent with this agreement.

CONSEQUENTIAL DAMAGES; LIMITATION OF LIABILITY:
In no event shall Guardian have any obligation or liability (whether in tort, contract, warranty, or otherwise, and
notwithstanding any fault, negligence, or strict liability), for any indirect, incidental special or consequential damages
sustained or arising from or related to any transaction, and whether or not Guardian has knowledge of the potential
for such damages. Further, Guardian’s liability to customer for any reason and upon any claims shall at all times be
limited to the amount actually paid by customer for the items in dispute.

CHOICE OF LAW:
Any and all transactions between customer and Guardian shall be governed by the laws of the State of California.

JURISDICTION AND VENUE:
Jurisdiction and venue for any dispute, claim or controversy arising out of or relating to this or any other transaction
between Guardian and customer shall be in Los Angeles, California and any party making a claim against Guardian
hereby submits to personal jurisdiction in that forum for any and all purposes.

MEDIATION:
Guardian and customer agree to mediate any dispute or claim arising out of any and all transactions between them,
before resorting to arbitration or court action. Mediation fees, if any, shall be divided equally among the parties
involved. If, for any dispute or claim to which this paragraph applies, any party commences an action without first
attempting to resolve the matter through mediation, or refuses to mediate after a request has been made, then the other
party shall be entitled to an award of all recoverable costs incurred (attorneys’ fees not included) in litigating the
dispute, without regard to the identity of the prevailing party.

ARBITRATION OF DISPUTES/TIME LIMITATIONS:
Any dispute, claim or controversy arising out of or relating to any and all transactions between Guardian and
Customer, or the breach, termination, enforcement, interpretation or validity thereof, including the determination of
the scope or applicability of this agreement to arbitrate, or any other dispute, claim or controversy arising out of any

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interaction between Guardian and Customer, shall be brought within one year of its accrual. Guardian and Customer
agree that any dispute or claim in law or equity arising out of any transactions between them, which is not settled
through mediation, shall be decided by binding arbitration, before a single neutral arbitrator on the Southern
California Panel of ADR Services, Inc. . The arbitration shall be administered by ADR Services, Inc. pursuant to its
arbitration rules and procedures. Judgment on the award may be entered in any court having jurisdiction. This clause
shall not preclude pares from seeking provisional remedies from a court of appropriate jurisdiction.

CONCLUSION:
Guardian Gold & Silver Precious Metals, LLC urges you to do your due diligence and develop a sound and thorough
understanding prior to making your first purchase. You can and should protect your future with a diversified portfolio
that is consistent with your objectives and your individual profile. Seeking the advice of an independent financial
planner and not committing more than 5% to 20% of funds allocated into precious metals is well advised, although it
is recognized that current and future events and dynamics may suggest an increase or decrease in those portfolio
position percentages. Safety, liquidity and growth can only be achieved through knowledge and proper advice. Be
ready to seek out experts in the areas of your financial interest. Likewise, the precious metals market like other
markets is subject to fluctuation and from time to time both increases and decreases in value. Be prepared to hold
your coin, bullion and precious metal for a minimum of 5 years. Clients must be able to assume the risk of price
fluctuations.

BOTTOM LINE TO THIS WHOLE RISK DISCLOSURE
Both knowledge and due diligence are essential to a solid financial foundation and we advise you take all the proper
steps as we have outlined, common sense dictate, and as proper counsel shall provide.





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