Gold doesn't yield any interest rate one.
Gold investment is about gaining money from price appreciation of gold itself.
Gold doesn't yield you a single interest rate, nor can "grow".
A 1kg of gold remain 1kg forever.

This post has been edited by cherroy: Jan 27 2012, 12:02 AM

Selling at RM200, but offer to buy back at RM180, (this buy back generally may only valid from the entity sold to you, but outside real market price may be around RM160-170)
vs
bank selling at RM170, buy back at RM168.

hmmm, which one is better?
It is up to individual opinion, I won't comment which one is better.

Banks wind up due to cash flow problem?
Yes, it can by 2 possibility, interbank credit freeze up (like 2008) + central bank refuse as last lending resort (never happen)
This risk, yes, do exist, but very very minimal, chance even less than plane crash, titanic sink.

If you are not travelling around the world then get Poh Kong Gold Bar. No workmanship for 20 grams and above. Deduction should be the lowest among competitors like Tomei. free interest installment for 12 months which means you are paying the old price.

If you travel a lot and Malaysia is not a location that you will stay in the very soon future, then go for Tomei Swiss Pamp gold bar. No free ezypayment. Workmanship apply for every size.


The outcome always so sudden and beyond our expectation. We know that Malaysia current government does not apply good governance.
For me, I will invest on both to diversify and minimise the risk as low as possible.

you can trade in and get yourself a gold ring. ^^

Yup…yup… you are right. Maybe I should exchange it and get a bar for me.
The strategy at that time was double edge sword. She will cook me a better food and I can get gold appreciation. But turn out, now I can only get the same food.


Back to gold investment.

Gold price is picking up and slowly become a hot potato again. Thus, people start buying it again but unfortunately when the price is at the high side.

What investor are we actually? Buying high and sell low?

Or majority of us had bought it during recent dip?

This post has been edited by OneBuck: Jan 27 2012, 09:00 AM

Are you working for Tomei or Poh Kong?

To buy gold bars such as Pamp bars from them jewellers is to be SUCKered...paying excessive premiums for the bar at jewellery rates.

A few pages back someone bought at Rm6200 for a Pamp bar which he could have got below Rm5800 else where

This post has been edited by prophetjul: Jan 27 2012, 09:31 AM

Dont buy goldbar from tomei, poh kong or habib...u will pay more money.there are a lot more option to get 999 goldbar with low premium and low spread...and its reputable.dont worry whether it is a scam or not if u buy 10g bar and get 10g bar.u need to worry if u are offered any scheme with passive dividend pay out for every month or whatever.cheers!

This post has been edited by potenza10: Jan 27 2012, 10:36 AM

Read my previous comments. We care about spread, risk, benefits. Like what I said buying and selling price in jewellery shop is higher compare with bank. if you say selling price is so high from gold shop. Buying price is the same too.
Some of you do not have any ideas why investors invest on paper gold from bank and gold bar from jewellery shop.
Example:
UOB spread 2%
Poh Kong spread 12%. The good thing is you could predict the future gold price easily when the gold price in the bank had changed around 5% within few hours but Gold shop unable to update on the same day.
This happened and a lot of opportunistic investor take this advantage. Example, the gold price had increase 5% from 2pm-4pm today in the bank. Poh Kong gold price did not change so the spread from 12% reduce to 7%. I went to Poh Kong and get a gold bar since I predict the gold price will increase 5% tomorrow. I also use 12 months interest free installment method. I predict that the gold price will increase 20% per year according to the history gold price chart. so 7% - 10% = -3%. I paying less for a future value of 10% increase. (10% for half of the year, always use middle rate)
We sell it when we know that gold price drop at the second day. Can be predict from the bank rate. Ofcoz people always keep for long term investment.

This post has been edited by doraemonkiller: Jan 27 2012, 01:03 PM

Are u sure their spread is around 12% for goldbar?

If their rate for 999 goldbar is rm200, so the buyback will remain -12% with no effect of current spot price. Their spread will based on their selling price, right? If u refer to bank's rate and it drop around 5%, how come u minus 5% from poh kong rate? Haiyaaaaa...

This post has been edited by potenza10: Jan 27 2012, 01:19 PM

Last time i popped into Tomei to check out their gold bar prices, twas 25% above what i would be able to purchase for........i asked th shop assistnat if anyone bought at such exhorbitant prices. She smiled and said YES.

I supposed she was right since someone bought at Rm6200 when could be gotten for less than Rm5800.

Remembered she tried to sucker me into thinking that the Pamp Dragon was a limited edition!
Could have sued her for that!

This post has been edited by prophetjul: Jan 27 2012, 01:20 PM

Yaa..true.i also ask at habib klcc..their buyback for goldbar is more than 20%

Those who buy at today's prices will look back at their spead argument and laugh at how silly they were to argue over such trivial matter.

I can only speak for myself. I buy gold as a store of value against depreciating currencies. No one knows how the debt crisis in Euro and eventually US will play out. One thing is for certain... only silver and gold has stood the test of time to play the role of hard currency. People will begin to realize as time goes by. The spread arguments are really for traders who plan to profit from the fluctuating prices. Long term holders or people looking to preserve and capitalize on their existing wealth should be less concerned, or not at all.

If a currency crisis were to unfold, no one would probably be looking to sell their precious metals, unless for buying necessities. If such time were to ever come people would be prepared to buy from you at spot price I dare say, provided you have the documents to prove that you are the holding the real deal.

So, just sit back and enjoy the ride...

There is a saying... "It is rare to find a man who is both right and sit tight"

3 weeks ago, me and my mom trying to find a gold ring with stone, one guy drop by and ask the salesman who was busy serving us how much 1kg gold bar cost. So the demand is definitely there for retail gold bar sold by jewellery shops.

Unless this happen.

I personally feel that the scenario is unlikely this time around. Back then gold market participants were largely limited. It is incomparable today, especially with the availability of the internet.

There is a cardinal rule however... never say never. We will never know how governments can quickly change the rules of the game if they find themselves in desperate situations. Which is why it is best to hold some of the metal yourself and diversify some holdings elsewhere. It is not as complicated or expensive as some may think. Just need to do a little research put some extra effort for the paperwork and its done. You will be able to buy and sell precious metals 24/7, literally.

If got people go and ask how much 1kg bar at goldp shop, it doesnt mean he want to buy. Maybe he just check the diff between gold shop price and other source price. And IF he is really want to buy from gold shop, i pity him lahhh...lol!

To maximize our return, i believe spread play a bit role on it...cheers!

I also ask... just want to know the price

If one can buy 1kg of gold bar, one option is through UOB gold premium account, that only has a spread of RM1, and this can be converted physical.
Cheaper, easier and reputable.

PS: don't mean to promote it.

---

Added on January 27, 2012, 4:08 pm1kg of pure 999 gold from A shop
vs
1kg of pure 999 gold from B
is the same and has same value.

Why pay more?

A 15% more in spread means 1kg of gold difference in price paid can mean RM20+K.
Trivia?
Ok...

This post has been edited by cherroy: Jan 27 2012, 04:08 PM

pam dragon is not for investment purpose la dear...

Since the dispersion is positive, when gold price increase it will be minus... Try to learn finance.


Guys, don't always con by the selling price. Check the buy back price too, the risk, and benefits. If you are rich enough then you can pay lump sum for UOB gold account. If you are risk taker then invest all your money in the bank.
Like what I said, never invest all your shit in a single entity. You should know the lesson of Iceland, US insurance issue, Hong Kong investment bank issue, blah blah.

BSN dividen is 27%??? Wow!!

I dont need to learn finance just to buy a gold...lol! At the moment, i'm okey with 5% spread of my physical gold buying.

And errrr...ALL gold is for investment...name it rabbit, lizard, iguana, kangaroo or dragon.as long the content is gold, its okey enough.