Where To Put A Chunk Of Change: Pm Vs. Etf Vs. Stocks

I'd put that chunk in silver and see what happens in 6 months. What's the risk of silver dropping below $30ish in the next 6 months? I'd vote slim.

I chose physical PMs, but almost selected cash - not in the bank, but cash in hand. both because of short time frame and because of the precarious situ in Europe that could make USD rise short term

Short term, I have been a little worried about gold and silver, they seem to be dropping a bit! And I just bought almost an ounce of gold (which is a LOT for me) so I've been a little nervous.

But all of my silver, and gold (mostly in silvertowne bars, ASE, 1/10 AGE), are for a long term investment. in the Long run, gold seems to follow inflation pretty closely, and with all of our debt, I cant see inflation turning around anytime soon.

But in the short term, gold and silver seem to be hopping all over the place! As far as what you should do with it? Well if you where gonna buy some PM's, and you know its for the short term, I think buying an ETF would be the way to go.... very easy to buy, very easy to sell. Downside? Well a 7-10$ commission fee (depending on your broker of course), and of course the 28% uncle sam is going to take out of the profits for tax purposes.

But, I dont think I would be comfortable investing in PM's in any kind of short term scenario. Thats just me though! Theres still so much I dont understand.

I chose ETF (say, GLD) over physical ONLY because of the short time span prescribed. I would not assume I could cover the spread in physical gold in 3-5 months even in an strong market. The spread in ETF's is much narrower . . . razor-thin, compared with physical. Otherwise, I would probably never again buy "digital" gold.

Pobox... you are really "rollin' them bones" on this one. I have been reading a LOT of info on the Internet regarding the PM miners and many of those who comment on this keep repeating that the miners are very undervalued and due to move upwards very strongly. Of course, they have been saying this same thing for quite a while now while physical gold and silver just keep on trouncing them. At some point, these folks will be right but who knows when that will be? Glad to hear that you are seeing a positive return so far, though. Hopefully, these two issues will do quite well for you.



I agree with the reasoning here but would NEVER put any of my money at risk in either the SLV or the GLD ETFs. There are just too many negative comments on the net about how manipulated these are. I downloaded and read the SLV ETF prospectus and cannot remember ever seeing a more convoluted document in my life. If they were trying to obscure their activities and confuse prospective shareholders, they have succeeded admirably. IMHO, it would be better to go with a physical PM ETF or fund, such as the Sprott funds, SIVR, or PPLT.