Gold
- Thread starter Cheeks
- Start date
I was a little too but I'm slightly more tempted by the certificate option.
I have a "friend" at the mint and she can get me in on the $50K package with a considerably lower entry fee (unallocated).
As a cash holding I think this would be a good idea.
What do you think about the prospects of Gold and the value in holding your money reserve in it?
I have a "friend" at the mint and she can get me in on the $50K package with a considerably lower entry fee (unallocated).
As a cash holding I think this would be a good idea.
What do you think about the prospects of Gold and the value in holding your money reserve in it?
Cheeks said:
Discussed heavily in other threads by the metals traders in the forum - for us, it was just something suggested to us by our financial planner, and we just thought it sounded cool.
Cheers,
The Y-man
ps. see my post in
http://www.somersoft.com/forums/showthread.php?t=23026&page=2
check out www.perthmint.com.au
we bought gold bullion shares on the stock exchange. they have gone up $20/ share from when we bought 2 years or so ago. But, you don't get any dividend etc.
I think its a fairly risky purchase myself. Obviously at the moment they are going up, but I'm keeping a fairly close eye on it so we can sell them at a good time when we reap a good profit. They tend to be a rollercoaster share... up one day crashing the next.
Personally, I think you may be a little late to get on the bandwagon now. I'm sure there are other areas which are more undervalued,
Pen
I think its a fairly risky purchase myself. Obviously at the moment they are going up, but I'm keeping a fairly close eye on it so we can sell them at a good time when we reap a good profit. They tend to be a rollercoaster share... up one day crashing the next.
Personally, I think you may be a little late to get on the bandwagon now. I'm sure there are other areas which are more undervalued,
Pen
Inflation
Thats a very good point PennyK, the best rewards are for those who jump in before it's a frenzy. The Goldbugs are in heaven at the moment, I have seen predicitions of $3000 or more. This might very well be true but it might not, all I'm certain of is that there is rampant speculation at the moment in precious metals.
One thing that is really confusing me is why gold is going up? My research just raises more questions. I'm aware of a lot of explanations and theories from those who usually have a vested interest.
Historically the big driver for gold has been inflationary enviroments, when gold was rising strongly so was inflation, supply and demand issues (such as more demand from country XYZ for example) I believe are much more transitory than inflationary environments in forcing gold up. It's basically just another commodity despite what the bugs will tell you and it isn't even consumed by industry in a way like silver is.
I can sure believe than the real rate of inflation in an economy such as the US is much greater than they are letting on, but is it really that much and is it going much higher?
Oh and back on topic, in this day and age of global investing it's not too much of a stretch to invest in an exchange traded fund (ETF) for gold which you can do in the US and which tracks the underlying. Though I guess if you think the financial world is ending you should be investing in gold bars and a good safe and a few good bottles of wine.
Thats a very good point PennyK, the best rewards are for those who jump in before it's a frenzy. The Goldbugs are in heaven at the moment, I have seen predicitions of $3000 or more. This might very well be true but it might not, all I'm certain of is that there is rampant speculation at the moment in precious metals.
One thing that is really confusing me is why gold is going up? My research just raises more questions. I'm aware of a lot of explanations and theories from those who usually have a vested interest.
Historically the big driver for gold has been inflationary enviroments, when gold was rising strongly so was inflation, supply and demand issues (such as more demand from country XYZ for example) I believe are much more transitory than inflationary environments in forcing gold up. It's basically just another commodity despite what the bugs will tell you and it isn't even consumed by industry in a way like silver is.
I can sure believe than the real rate of inflation in an economy such as the US is much greater than they are letting on, but is it really that much and is it going much higher?
Oh and back on topic, in this day and age of global investing it's not too much of a stretch to invest in an exchange traded fund (ETF) for gold which you can do in the US and which tracks the underlying. Though I guess if you think the financial world is ending you should be investing in gold bars and a good safe and a few good bottles of wine.
Glebe said:
Also www.ausbullion.com.au
They "store" for free, unless you want it delivered to your door.
Cheers,
The Y-man
One point of the GOLD shares you may have missed is that management charges a fee which they extract by reducing the amount of Au you hold in your account each quarter but this is reflected in the price so there is no "shock" awaiting you.pennyk said:
Another problem I see with GOLD is that they are too easy to trade. Price of gold is going up and can not be stopped but there are some out there with power and purpose who can knock it around for a few days whose purpose is to grab some from loose hands and help cover their shorts. (This is not a reference to Bart!) It's all in the mind but I think it would be easier to hold the physical than shares during the inevitable dumps.
It is not too late either, but you are right that gold will not rise in isolation. Most resources will rise in price because easy to find/cheap to mine deposits are becoming a thing of the past.
Bill
Another way to hold gold is in the form of coins.
At
http://www.taxfreegold.co.uk/index.html
and other sites like this you can buy soverigns at spot+10%. Because they are exporting from UK there is no VAT or GST. What I like is that are easily recognisable and have under a quarter oz of fine gold in each which make them easily traded should we suffer a banking collapse as did Argentina. ergo, they are both an investment and insurance.
I have not done this myself (still looking for free cash) so this is clearly presented as a possibility, not advice.
At
http://www.taxfreegold.co.uk/index.html
and other sites like this you can buy soverigns at spot+10%. Because they are exporting from UK there is no VAT or GST. What I like is that are easily recognisable and have under a quarter oz of fine gold in each which make them easily traded should we suffer a banking collapse as did Argentina. ergo, they are both an investment and insurance.
I have not done this myself (still looking for free cash) so this is clearly presented as a possibility, not advice.
I started buying shares in Oxiana (OXR) about 4 years ago.
Gold/copper mine in Laos.
Then, 16c, now $1.98
But, take no credit for being clever, mainly luck, and the recommednation of a broker. I have a few dogs as well from same broker, but that's the way it goes with speculative stocks.
Oxiana is about to spin of their interest in Uranium deposits via IPO.
I have a hunch that Uranium could be "the next big thing".
Fortunately, we have heaps in Australia.
GarryK
Gold/copper mine in Laos.
Then, 16c, now $1.98
But, take no credit for being clever, mainly luck, and the recommednation of a broker. I have a few dogs as well from same broker, but that's the way it goes with speculative stocks.
Oxiana is about to spin of their interest in Uranium deposits via IPO.
I have a hunch that Uranium could be "the next big thing".
Fortunately, we have heaps in Australia.
GarryK
