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"Gold holds great promise, regardless of whether we see inflation or deflation in the future," says resource expert Curtis Hesler.

In his industry-leading The Professional Tming Service he suggests, "If you do not own gold, there has not been a better time in years to be a buyer." Here, he looks at Central Fund of Canada (NYSE: CEF) and Silver Wheaton (NYSE: SLW).

"Gold looks like the least risky place to be invested considering the growing crisis of confidence surrounding global financial markets and panic selling waves. Traditionally, gold has done very well during deflationary times.

"However, deflation is a low probability outcome as the powers that be address the multi-faceted crisis we are in. The more likely outcome is inflation. One thing that is not being stressed strong enough is the possibility of good old-fashioned hyper-inflation, which is what I fear the most.

"What to do?  As I have been harping on for so long now, investors should get out of financial/paper based assets. Get out of any stocks and bonds that are not advantaged by higher commodity prices.

"Because of the global scale of the demand for raw materials and the long range focus that most Asian countries have, the demand for raw materials is going to continue to grow at a healthy pace outside the U.S.

"The credit freeze also has ground most exploration and development projects to a halt. Only those with internal cash flow and big cash reserves are progressing with development, and most of them are being extremely cautious.

"This lack of investment coupled with diminishing proven reserves and declining output is setting the stage for serious shortages in raw materials.

"I think we may already be seeing the beginnings of a movement by savvy investors towards gold. During a two-week period last month, the Saudis quietly invested $3.5 billion in the kingly metal, and there were reports of other such transactions over the last several weeks.

"If you already have gold in your portfolios, hang on tight. I realize you are uncomfortable after the recent pummeling the market handed out, but I firmly believe we will see new highs in gold next year. 

"If you do not own gold, there has not been a better time in years to be a buyer. Gold shares remain historically undervalued in relation to bullion.

"I recently added Central Fund of Canada to our list. This is a closed-end mutual fund - not an exchange-traded fund. They hold physical gold and silver, and each share represents an equity ownership in that stash.

"There is no leverage involved. The fund currently holds 59.6% in gold and 37.0% in silver, plus a little cash. This is on the basis of value, not ounces. 

"The difference between this fund and ETF’s like SPDR Gold Trust) is that Central Fund of Canada it is taxed as an equity investment rather than as a commodity investment.

"Gains and losses in commodity-based ETF’s are taxed at a disadvantage to equities. You should check with your tax advisor if you have any qualms; but essentially, long term gains in GLD (gold ETF) are taxed at 28%, and gains in CEF should be about 15%.

"Silver is looking better here and will probably appreciate by a greater percentage than gold next year. A simple way to play silver would be to buy Silver Wheaton.

"The beauty of this stock is that Silver Wheaton contracts to buy the silver produced by other mines. They don’t actually mine anything.  The silver is then sold. In my view, this is an excellent pure play in silver."