Gold or gold stocks?

Trevor_S · 22 January 2009

MrBurns said:
Which gets me back to real estate, cant be confiscated or disappear.

That would be my choice. At least you have a roof and land that has some intrinsic value.

Au is only worth as much as those who subscribe to the notion that it has any worth, value it. ie it takes a group of like minded "nutters" to keep the price where it is. Of course, if you have enough of them, anything is possible but I think as the decades roll on, the youth of today will wonder what the fuss is about and it will die away.

Aside from being an historical oddity and a few minor industrial uses, it really offers nothing in terms of usefulness.

All that aside, I used to work in a Gold/Copper mine back in the late '80's and early '90s but I am certainly no expert.

Another option is to buy nuggets themselves A Charters Towers mine is selling them

http://maximusresources.com/sales.html

hotbmw · 22 January 2009

well the only problem there is that it is highly possible that our property bubble bursts and we lose 15-20% over the next 2 years.

USA went first, then UK, is AU next??? We have softened a bit but if u look at charts u will see we have a bigger bubble than USA & UK. Yes we have a low supply, thats why i feel we could only fall another 15-20% (less than USA and UK) even thought we have a bigger bubble then them.

so if u want property, hold off another 12 months or so....

we should have an inflation problem in a couple of years so property should do fine but gold will be KING

Nyden · 22 January 2009

hotbmw said:
we should have an inflation problem in a couple of years so property should do fine but gold will be KING

Yes, so buy now! Sell your house, your car, even your bodily organs - and put it all into gold. Gold is going to the moon, and will never be this cheap again! $8000 by 2010!

In case folks can't tell, I am of course being sarcastic. Please don't use phrases like "gold will be KING". You can't predict the future, nor can you predict where gold will be in a couple of years. It might very well be at $3000, but guess what? It might very well be at $200

... The old rule of not falling in love with your investment conveniently doesn't seem to ever apply to gold, does it? I just get this vision of Smeagol from the Lord of the Rings - Precious.

MrBurns · 22 January 2009

sinner said:
Or if you had done your own research you would realise you could buy from ABC with no delay. This thread stinks of unfounded claims and poor advice already.

I would do my own research if I got serious, but posting in here is a good start.

I would be looking at a 6 figure purchase, thats not something I would keep at the house, Perth Mint can hold it for you. I guess that's the way to go.

But wouldnt you get a nice lift from a decent gold share, no storage problems, and dividends as well ?

I gather physical gold is really only the way to go if you believe Peter Schiff's worst scenerio is upon us.

hotbmw · 22 January 2009

buy some physical and some stocks Mr Burns. this way u covered either way

buy property in a year

no reason why u cant do both Mr Burns

explod · 22 January 2009

Nyden said:
You can't predict the future, nor can you predict where gold will be in a couple of years. It might very well be at $3000, but guess what? It might very well be at $200

... The old rule of not falling in love with your investment conveniently doesn't seem to ever apply to gold, does it? I just get this vision of Smeagol from the Lord of the Rings - Precious.

Since my Father used to buy and sell livestock when I was a child I learnt to follow the basic trends in markets and be on the look out for the healthy safe areas. In essence I learnt about trends. Since 2000 gold has been in a steady uptrend. The dips have also been consistent along the way and seasonally recognisable.

So before you go off to all and sundry you ought to consider that there are very many ways at coming at this business. Many investors have lost half of their portfolio values in the last year or so. I have not gone up but because a large propertion has been in physical metals for a number of years I consider myself well in front overall.

And as much as I may appear to be in love with gold, I will be out in a flash and inter energy or whatever may be better,WHEN IT IS BETTER.

The market has collapsed and if the trend is saying anything it may go further. But ridiculously throwing hands in the air (the sarcasim) helps no one think clearly.

cheers to all

explod

MrBurns · 22 January 2009

hotbmw said:
buy some physical and some stocks Mr Burns. this way u covered either way
buy property in a year
no reason why u cant do both Mr Burns

I'll buy property in one or 2 years when the prices have bottomed out but I have to pick the sweet spot as I reckon there's a good chance the banks may have a run at some stage and getting your maney out may have complications, so I need to wait as long as possible but not too long or it may be too late.

hotbmw · 22 January 2009

Nyden said:
Yes, so buy now! Sell your house, your car, even your bodily organs - and put it all into gold. Gold is going to the moon, and will never be this cheap again! $8000 by 2010!

In case folks can't tell, I am of course being sarcastic. Please don't use phrases like "gold will be KING". You can't predict the future, nor can you predict where gold will be in a couple of years. It might very well be at $3000, but guess what? It might very well be at $200

... The old rule of not falling in love with your investment conveniently doesn't seem to ever apply to gold, does it? I just get this vision of Smeagol from the Lord of the Rings - Precious.

why would i buy property now when the unemployment rate will increase over the next 12mths, all we hear from home and all over the world is that property prices are falling and credit is hard to get for most people right now. All this SPELLS falling property prices! we are currently seeing deflation in asset prices across the board (except precious metals).

buy property in a year when prices have fallen further.
lock in a 5 year low interest rate.
buy some physical gold and silver at around 750 an ounce , 10 an ouce for silver.
this is sensible diversification.
this is what i am doing.

Cheers
R

hotbmw · 22 January 2009

MrBurns said:
I'll buy property in one or 2 years when the prices have bottomed out but I have to pick the sweet spot as I reckon there's a good chance the banks may have a run at some stage and getting your maney out may have complications, so I need to wait as long as possible but not too long or it may be too late.

dont wait too long as u also want to lock in low interest rates on your loan.
we will have inflation in the years to come so im looking at buying this time next year, when property is close to its lows and i can still get a low 5 year fixed rate loan.

loan rates could be over 10% in a few yrs....

MrBurns · 22 January 2009

hotbmw said:
dont wait too long as u also want to lock in low interest rates on your loan.
we will have inflation in the years to come so im looking at buying this time next year, when property is close to its lows and i can still get a low 5 year fixed rate loan.

loan rates could be over 10% in a few yrs....

I will be buying with cash if the banks will give it back at the bottom, thats what I'm worried about.

cuttlefish · 22 January 2009

MrBurns said:
Which gets me back to real estate, cant be confiscated or disappear.

The government has the capacity to apply price controls and other restrictions to all kinds of assets. They don't need to confiscate your real estate - all they need to do is invent a new type of land tax or rent tax, or implement rent control, or implement compulsory land acquisition, or etc. etc.

There are also precedents in times of political upheaval of governments taking possession of private land (e.g. communism in Russia).

In the 30's depression the US government did outlaw gold ownership - they bought back all the private gold that they could (a lot of people didn't comply) and then raised the gold price as I understand it.

hotbmw · 22 January 2009

if i recall correctly the bank guarantee was for 3 yrs so take it out a few months before the expiry date

GumbyLearner · 22 January 2009

MrBurns said:
I think I'm starting to feel the same way.

Yeah its difficult to know who to believe at this point in time, the moron money mismanagers vs. doomsaying gold bugs?

You decide!

But I liked the song posted by Glen48 on an earlier thread.

This adaptation was made without the announcements of the probable nationalization of UK banks, Santander and other banks exposure to Made-off
or the further stimulus packages to come....

To be enjoyed one more time at least..

MrBurns · 22 January 2009

hotbmw said:
if i recall correctly the bank guarantee was for 3 yrs so take it out a few months before the expiry date

I dont trust that , if it did hit the fan Rudd would find a way out of that in seconds flat, the reality is the banks cant pay back all the money depositied with them because they just havent got it.

hotbmw · 22 January 2009

well take it out as soon as u feel enough ur at boiling point.....

kransky · 22 January 2009

imo if things get so bad that aussie banks cant let you withdraw your deposts then gold will be worth a LOT

on the other hand, gold is being held down to maintain confidence in the USD.. so it may go nowhere or even down in time... esp if gold investors get frustrated with its lack of progress...

so the solution is to hold some % of gold and the rest in the bank... say 10% gold.. that is what i am doing... maybe you want 20%.. it depends on how much of a doomsdayer you are..

:dunno:

MrBurns · 22 January 2009

kransky said:
imo if things get so bad that aussie banks cant let you withdraw your deposts then gold will be worth a LOT

on the other hand, gold is being held down to maintain confidence in the USD.. so it may go nowhere or even down in time... esp if gold investors get frustrated with its lack of progress...

so the solution is to hold some % of gold and the rest in the bank... say 10% gold.. that is what i am doing... maybe you want 20%.. it depends on how much of a doomsdayer you are..

:dunno:

Physical gold held at Perth Mint or what ?

BTW do you have a GT3 or is that a wish ?

kransky · 22 January 2009

its a wish
the commodity boom ended before i made enough... so its "on hold"

you should probably spread it out... some in perth mint, some in a safe deposit box, some in your home..

MrBurns · 22 January 2009

kransky said:
its a wish
the commodity boom ended before i made enough... so its "on hold".

They're cheaper now if you know where to look, I dont.
Saw an 06" Cayman S for $95,000 damn cheap, better in gold though

sharetipsinfo · 22 January 2009

To be very frank if you are young than investment in GOLD is the worst investment one can make. If youngsters have appetite for risk they should think of alternates like Stock market, Mutual funds or Insurance.

But if one is quite old and don't want to take any sort of risk then yes GOLD is the best investment for them.

Now just decide where you want to invest your hard earned money!!

Gold or gold stocks?

Trevor_S

hotbmw

Nyden

G.E. Money Genie

MrBurns

hotbmw

explod

explod

MrBurns

hotbmw

hotbmw

MrBurns

cuttlefish

hotbmw

GumbyLearner

MrBurns

hotbmw

kransky

MrBurns

kransky

MrBurns

sharetipsinfo

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