QUOTE(cherroy @ Nov 18 2011, 12:40 AM)
Real 99.99% gold is actually very soft only.
Having physical and paper is the same. Both price also go up.
In fact, physical pricing is following the paper one.
The different between paper vs physical is always whether you trust the banker or not only.
The buying power has been stolen without your notice only.
Gold doesn't necessary hedge you 100% on inflation when there is money printing going on.
In fact, gold has not peak at inflation adjusted pricing even it reached USD1900.
It still fail to hedge your inflation adjusted valuation.
2kg of gold can buy you a terrace house during 1980, but you need at least 3kg to buy the same terrace house now.
Buying power has been stolen even owning the gold.
Added on November 18, 2011, 12:46 amPrime location property is "harder" than gold.
Methinks as long as "value" is based on fiat $, gold "investment" will still be an "alternative" to the main 3 of bonds, stocks & properties.Having physical and paper is the same. Both price also go up.
In fact, physical pricing is following the paper one.
The different between paper vs physical is always whether you trust the banker or not only.
The buying power has been stolen without your notice only.
Gold doesn't necessary hedge you 100% on inflation when there is money printing going on.
In fact, gold has not peak at inflation adjusted pricing even it reached USD1900.
It still fail to hedge your inflation adjusted valuation.
2kg of gold can buy you a terrace house during 1980, but you need at least 3kg to buy the same terrace house now.
Buying power has been stolen even owning the gold.
Added on November 18, 2011, 12:46 amPrime location property is "harder" than gold.
However, having thought that, i'd still hold some physical gold (in small coins/bars) for emergency / SHTF cases as in "all hell breaks loose and i need to run away/feed my loved ones" kinda situation
Nov 18 2011, 07:57 AM
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