Posted on 02/24/2015 12:07:38 PM PST by C19fan
Nobody wants to be the bearer of bad news. Nobody wants to crush people's dreams. But in the world of investing, cold, hard facts, not dreams, are what make you money. And the fact of the matter is, historically speaking, buying gold is the worst possible investment you can make.
I am very sensitive to the fact that what I just said has probably caused some readers to go apoplectic, and for that I apologize. I know that I will never convince the gold bugs, inflation hawks or doomsday preppers of this thesis, nor my own personal position that gold will eventually be worthless. But for the rest of you, let me lay out the case to avoid gold as an investment.
(Excerpt) Read more at dailyfinance.com ...
My investment in “Apples” has gone up some 35% since May 2014
Check out AAPL. Click on 1 year on the chart. Buy apples.
https://www.google.com/?gws_rd=ssl#q=aapl
No, it was around $320 an ounce when my father made the investment in gold. I remember the prices when he was buying.
My timing may be off.
> But, in times of turbulence, it has been salvation.
Exactly. I wouldn’t so much call it an “investment” as an “insurance policy.”
Goldbug ping.
I used to think the same, but with things being what they are today I'm beginning to think land and lead might be better hedges against catastrophe.
Doomsday people are always talking about everybody else's eventual "comeuppance."
It's almost as if they envision themselves walking into a store after a TEOTWAWKI event and slapping a bar of gold on the counter to get their milk and bread, while all the rest of us huddle in an corner with pockets stuffed with worthless dollars.
And I've always wondered this about the gold traders. If they really believe that our society is about to collapse, then why are they so eager to sell us their gold in exchange for our soon-to-be-worthless dollars?
Or you can collect dividends, which I don’t believe gold pays.
Gold is a hedge against government. It is a long-term hold for that purpose.
...
It’s a safe haven, but hasn’t there been times when the government made the private ownership of gold illegal?
How a PhD in women studies? Or most any other ______ studies degree.
It all depends on the prevailing conditions.
In fact, one could argue that food is the worst investment. It makes you fat and in the end all you get is sh**.
“times when the government made the private ownership of gold illegal?”
In short yes.
I recommend keeping some here and some outside the U.S.
Gold isn’t an investment, it’s money.
Still, over a 30 year period, gold performs much worse than equities. Other FREEPERS are correct, gold as a metal, is not a "growth" investment. It is in a classical sense, GOLD is a storage of value. To make money in gold, timing is everything. IMHO, gold is in funck as investors flock to dollars out of EUROs and BRIC currencies. In other word, the FED has an easy money policy, true, but sense other countries are worse, the USD is picking up. We are the leader of a weak division.
Got me on that one!
LOL. Gold was a good LT hold if you bought it prior to 1972 .
Silver and copper too.
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