So you mean the smallest denomination is 1kg??? What do you mean by "fractional ownership of the 1kg into the appropriate size"??? You mean you melt in down and give out smaller bar...that makes no sense at all?? Pls explain...

If that is the case can robincflee answer me the pricise amount in ringgit I have to pay for the current market price of Rm173/gram for a 100g 999 gold bar assuming I go take this 100g gold bar from hellogold and I do not want hellogold to keep any of my gold...I just want to know the amount I have to pay for a physical 100g gold bar from hellogold assuming the current market price of rm173/gram...pls answer me this simple question ...tq...

I will give you the theoretical quote on Monday when our office opens

He is busying on ICO

Here is the 5 year rolling return for gold price from 1980 to 2017. I used the yearly numbers instead of the monthly numbers. Over 38 years, a yearly rolling returns should be good enough an indication vs the monthly rolling returns to gauge the historical return of gold investment.

The source of data are from :

http://onlygold.com/Info/Historical-Gold-Prices.asp
http://www.canadianforex.ca/forex-tools/hi...y-average-rates
https://fred.stlouisfed.org/series/DEXMAUS
US$ Gold Price

    US$    5 year
Year  Gold price rolling return
 
1980  594.90 
1981  400.00 
1982  447.00 
1983  380.00 
1984  308.00 
1985  327.00  - 11.28%
1986  390.90  -  0.46%
1987  486.50  + 1.71%
1988  410.15  + 1.54%
1989  401.00  + 5.42%
1990  386.20  + 3.38%
1991  353.15  -  2.01%
1992  333.00  -  7.30%
1993  391.75  -  0.91%
1994  383.25  -  0.90%
1995  387.00  + 0.04%
1996  369.00  + 0.88%
1997  287.05  -  2.93%
1998  288.70  -  5.92%
1999  290.25  -  5.41%
2000  272.65  -  6.77%
2001  276.50  -  5.61%
2002  342.75  + 3.61%
2003  417.25  + 7.64%
2004  435.60  + 8.46%
2005  513.00  +13.48%
2006  635.70  +18.12%
2007  836.50  +19.54%
2008  869.75  +15.82%
2009  1,087.50  +20.08%
2010  1,420.25  +22.59%
2011  1,531.00  +19.22%
2012  1,664.00  +14.75%
2013  1,204.50  +  6.73%
2014  1,199.25  +  1.98%
2015  1,060.00  -  5.68%
2016  1,128.80  -  5.93%
2017  1,284.01  -  5.05%
RM Gold Price

      RM    5 year
Year  Gold price rolling return
 
1980  1,320.68 
1981    896.80 
1982  1,038.16 
1983    887.30 
1984    748.13 
1985    791.34  -  9.74%
1986  1,015.95  + 2.53%
1987  1,210.90  + 3.13%
1988  1,111.51  + 4.61%
1989  1,083.10  + 7.68%
1990  1,044.62  + 5.71%
1991    971.26  -  0.90%
1992    847.90  -  6.88%
1993  1,008.29  -  1.93%
1994  1,005.53  -  1.84%
1995    970.34  -  1.46%
1996    928.20  -  0.90%
1997    808.70  -  0.94%
1998  1,133.25  + 2.36%
1999  1,102.94  + 1.87%
2000  1,036.10  + 1.32%
2001  1,050.84  + 2.51%
2002  1,302.35  +10.00%
2003  1,585.40  + 6.95%
2004  1,648.25  + 8.37%
2005  1,942.80  +13.40%
2006  2,331.15  +17.28%
2007  2,877.45  +17.18%
2008  2,897.01  +12.81%
2009  3,818.83  +18.30%
2010  4,573.83  +18.68%
2011  4,682.62  +14.97%
2012  5,137.70  +12.29%
2013  3,793.85  + 5.54%
2014  3,924.98  + 0.55%
2015  4,141.38  -  1.97%
2016  4,678.12  -  0.02%
2017  5,584.62  + 1.68%
As we can see above, gold investment returns over the years fluctuate greatly. With a range of -11% to +23% (in US$) and -10% to +19% (in RM)

Gold prices, as in other investment, fluctuate over time. If we look at gold price in 1980 and gold price in 2005 :

1980 US$594
2005 US$513

Over the 25 years, gold price did not go up but stagnant/decreased. So during this period, there is no "inflation" in gold price over a prolonged period

However, since 2005 :

2005 US$513
2012 US$1664

Over the 7 years, gold reached its peak, and from 2012, it has retreated back to US$1200-1300 now

robincflee do show us how you get a rolling 5 year return of 7% without cherry picking the period ?

Robin,

Looks to me you are AVERAGING the “5 year rolling return”

I think we should first establish why we need “5 year rolling returns” vs “average return”.

Average return is not a reliable indicator as opposed to 5 year rolling return

Maybe this explanation is useful :
Now, it looks to me you are AVERAGING the 5 year rolling return. Your numbers become chapalang by mixing the “average” to “5 year rolling return”. You have defeated the purpose of having a “5 year rolling return” which in the first place is formulated to overcome the shortcoming of “average return”

Just curious, which field are you from ?

Your numbers start from 1995 to 2017, my numbers starts from 1980 to 2017.

Both have different results.

What if I pick only 1980 to 2005 ? The result of gold investment will look real bad. Yes, I am cherry picking.

But if your numbers are derived from 1995 to 2017, you are cheery picking as well. Both of us are cherry picking

Why not just pick the most recent 5 years ? The numbers do not look good either.

At the end of the day, all investment return calculation must be based on certain period. You can’t calculate without a period. So sales people will cherry pick the best period to their advantage

That’s where rolling returns provides clearer pictures for an investment, with a range of return outcome over the selected period (still cherry picking), but a better picture over time

In the case of gold, the 5 years rolling returns ranges from -11% to +23% over 2-3 decades. That is the true picture of gold investment instead of a sweeping statement of 7% that doesn’t depict the true risk and return profile of gold investment
Having talked about the past data, ultimately it is only a guide. It doesn’t necessarily provide a good guidance for future performance. It is always good that you include the statement like “historical returns are just an indication of past performance, but do not necessarily provide similar returns in the future” or something to the effect.

I don’t oppose to sales people’s cherry picking numbers and use historical data to support the sales pitch. But at least explain the assumptions you use and warn them of the risk of losing money

You were the one who mentioned “5 year rolling return” a few times that's why my calculation is made around this timeframe. Are saying now it is not a good indicator ?

Which period do you recommend your customer to invest for ? 10 years, 20 years or 30 years ?

Actually there is no problem with using average, provided you say it outright it is an average. However, when you talk about rolling return, it is not about average anymore. Please spend sometime reading the link I provided above to understand the shortcoming of average and how rolling returns address it’s disadvantages
1. In fact giving the range is a better indication. Average does not give the true picture. Let’s have this analogy. There are 2 bus companies. Both companies’ buses travel an average of 80km/h from KL to Penang. Seems like no difference between the 2 companies. But what if I tell you company A buses travel between 70km/h and 90km/h, while company B buses travel between 10km/h and 150km/h ? Both also clocked average 80km/h. Which bus would you prefer your family to travel with ? Company B buses seem like very dangerous

Therefore, providing a range allows the customers with better information to choose which is best for them. Same goes with gold. Using average painted a picture that gold investment gives 7% return. But if the customer knew that gold investment may lose -11% and gain 23% over a 5 year period for a 20-30 years timeframe, he may make a better informed decision
2. you average the 5-year CAGR to find the mode ? I read a few time but still do not understand what do you mean

BTW, mode = A statistical term that refers to the most frequently occurring number found in a set of numbers. The mode is found by collecting and organizing the data in order to count the frequency of each result. The result with the highest occurrences is the mode of the set.

Read more: Mode http://www.investopedia.com/terms/m/mode.asp#ixzz4ubjmXToB

My 2 cent...

2008 gold price average MYR90/g
2012 gold price average MYR170/g
2017 gold price average MYR180/g

assuming saving in your gold investment programme at MYR180/g but resell back to you at MYR168/g which i have not include annual financial inflation

so can i safely "assume" that once i join the programme means i automatically lose money?

gold did have a good run from  around 2001 to 2012 . But other than that it has basically stuck in mean reversion mode ever since , which means if you buy gold in 2012 , you are not making any money.

Using gold to diversify your investment is good  , but it is not much different from investing say SP500 which is in strong trend since 2009 .

Not sure if the CEO of hellogold @robincflee is still here. Would like to ask if you are hedging your portfolio with gold currently? If yes, how many % of gold are u holding against your portfolio?

Thanks in advance..

Hello , just recently knew about HG , signed up , is now a good time to purchase gold ?

Gold price in HG stagnant at 192.58 since yesterday. Before this always change every minutes. Is it normal or something wrong with the app?

Which GIA in MY pays interests?

Don't think it matters much as he will likely sell it off soon every time he buys.  Truth is its not easy to make $ from gold except only during certain times like market panic or usually people/professionals use it as a hedge or during promos.  Looking at the gold graph and other stocks graph will show that.

Please ask your boss why is he scamming HGT early investors?
Did not fulfil his promises and 0 development in that space.

Paper gold is not necessarily backed by physical gold. There are many articles online which you can read to understand the difference between paper and physical gold.

yes, i mean HG claimed all purchases are backed by physical gold before this. shouldn't affect existing holders prior to the gold shortage? or did i read wrongly?

yup, what i don't understand is why is there additional fees on SELL on existing holders when they claim they have physical gold to back it? from example if one bought 1KG of gold in 2019, HG should have ALREADY allocated the 1KG for them then. so fast forward now, if the person wants to sell or redeem the 1KG, shouldn't it be waiting for that person in the vault?

why the need of 'HelloGold purchases its bullion from its supplier at the physical bullion price quoted by the supplier which, under normal circumstances, reflects and is aligned with global spot market. During these turbulent times however, where the physical bullion price is disconnected from the global spot market, many gold sellers will now have to follow the physical bullion price.' for gold that is supposed to be in the vault since 2019?

maybe i misunderstood, ur clarification is appreciated.