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 Replies: 72 / Views: 5,631 |
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Valued Member
United States
284 Posts |
Are there people who refuse to work and deal in gold? I know gold is pricey and there is a difficult entry barrier to overcome but maybe there is some fundamental philosophical reason that they have in avoiding gold.
Any thoughts here on staying out of gold? Maybe you know someone like this? I am interested in understanding their reasoning.
-- Boris
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Pillar of the Community
United States
3670 Posts |
I recall one person who said they would rather have 100,000 in land than gold, as they can build something on it and perhaps earn rent, grow something to sell on it, etc.. Where as owning physical pm's like myself, you really make no money at all, unless you buy in obviously at a lower price, and sell later for a profit. Until that day, it really is just a egg in the basket so to speak (most advisors would say 5% to 10% of ones portfolio), perhaps a little peace of mind....
And for collectors who enjoy nice things, something to enjoy while you own it, most importantly to me at least. In the end, known of us onw anything, we are just renting it, and waiting to sell or pass along to another....
Edited by Silverhawk74
05/08/2011 12:47 am
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Pillar of the Community
United States
4008 Posts |
I don't think that there is any gold phobia at work here. I'm sure that a lot of collectors would like to own some gold but, like me, have watched the price rise and rise. When I first looked at gold, it was $250 an oz. I should have bought some then but didn't because I was investing heavily in cheap stock shares in the 2001 recession. That move really paid off in 2003-2007 when those shares soared. I was too busy then to worry about gold, so it sort of faded from my thoughts. Then, the next thing I knew, gold was $500 an oz. and seemed WAY too expensive to buy, so I didn't buy any then either. Of course, gold then had to double again to $1000 per oz., making it seem hideously expensive. It then added on another $500 per oz. This has been one of those 'one thing after another' deals. At $1500 per oz., gold seems way over-bought, yet it has found support at that level and could very well power up to $2000 an oz. or even more than that. Sigh... there just does not seem to be a good place to jump onto this moving train!
Additionally, silver is where it is at for a lot of people with funds too limited for $1000 and up gold. For a couple of hundred bucks, a guy can buy some real nice silver for their collection. Also, there is considerable variety with silver bullion coins, silver medallions, silver bars in various sizes, silver rounds, new and old coins, 90% silver coins, 40% silver coins, and even some war time 35% silver nickels. For variety and affordability, silver is pretty hard to beat.
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Valued Member
United States
293 Posts |
I've always liked silver more than gold. I don't know why...just a preference. Maybe because I've never really been able to afford gold, but I was collecting when it was much more affordable and still bought silver instead. I'm sure if I was just filthy rich I'd probably own some gold, but as it stands now, I just avoid it mostly and buy silver when I can.
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Pillar of the Community
Mexico
1304 Posts |
Gold is for kings, silver is for the common man.
I'm no king.
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Pillar of the Community
United States
3670 Posts |
Gotta say, you can't beat spot 35 an oz. compared to 1496 an oz., lol.... I have struggled to get just over 12 grams of gold, and I have almost 800 in that, high premiums from being so budgeted that I buy 3/4 gram gold coins. Today, if you took 800 an bought silver just over spot, your talking around 22 oz. I have 60 oz. of silver, and could have had around 82 if I passed on the gold. I am thinkin marathon instead of sprint so no biggie either way, and nice to have some examples of both.... I have a big non coin auction running on ebay of one of my prized collection, and a buy it now would bring 4 grand, and a bid in would bring 3500, so we will see. I hate to think what I would do if I got a hold of 4 large, probably buy 40 oz. of silver and at least 4 quarter oz. gold coins.... Edited by Silverhawk74
05/08/2011 01:13 am
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New Member
Australia
9 Posts |
Hi All just new on the forum. Noticed this as I was wandering through the site. I love Silver. But I also love Gold. The way the price of gold has gone I now use Silver to buy gold. In this last upswing of silver bullion which I had purchased at 20.00 AUD an ounce and when it hit 48.00 AUD I traded for some beautiful Gold coins as the GSR of gold and silver had dropped to about 33;1
Which was 33 ounces silver to to equivelent 1 ounce of gold.One coin I got was a 1848 20 Franc extreamly fine. Some nice French roosters, and a 5 Rouble plus some Aussie 999 luners and 200$ gold coins. just my way of managing to get some gold. Main collecting area is World gold & Silver coins.
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Bedrock of the Community
United States
10982 Posts |
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Pillar of the Community
United States
648 Posts |
Despite the high price of gold, I am investing where I can. My goal is 5 oz's in 20 months.
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Moderator
 United States
16679 Posts |
Two words. Not Now.
swcoin.ecrater.com
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Pillar of the Community
United States
3345 Posts |
 Wait until gold goes down in the $200-$500 range-if it ever does. then is the time to invest your money, because in the event of the economy going down like it did, you make money. We have seen that it is possible for gold to hit $1500 so why should it not happen again? |
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Pillar of the Community
United States
1150 Posts |
Mexico just bought, literally, tons of gold. China may soon buy a TRILLION or more in gold.
It may be high relative to those worthless pieces of paper in your wallet, but it isn't anywhere near it's peak.
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Pillar of the Community
Canada
1733 Posts |
I buy damaged gold bullion in .999 in order to make my own plating anodes. It's the cheapest way I've found of maintaining my plating bath (non cyanide). Most of my coins were bought a long time ago, I don't really want to pick up more except a for a few non British Royal Mint sovereigns from Aus and so on. I don't really think gold is all that pricey yet that you cannot afford a few classic coins. |
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Bedrock of the Community
United States
14454 Posts |
I haven't bought any gold since the Gold Buffalo when they first came out for 900+ dollars and then it was about 100 over spot. I love the look of Gold but you can accumulate more silver and that is what most people go for when talking about PM's. I guess its because just about everyone will buy silver even in small quantities when its time to sell but its a little harder to sell Gold because unless you have 1/10 ounce coins they have to have quite a bit of money to purchase it. So I guess what I am trying to say is silver is more liquid than gold when it is time to sell because even on ebay you may have 15 or 20 fighting over the silver but only 2 that can afford the gold (this is just a figure I picked out of the air to make a point) |
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Pillar of the Community
United States
3184 Posts |
gold is expensive however this is why I like fractional gold like tenth and quarter oz as well as bars that are 5 grams, 10 grams, etc. Slightly cheaper and your still stacking something that most of the world loves. Go to countries like India and China, the citizens there absolutely love gold. Now I also like silver because its cheaper..........I stack mostly 90% silver because its highly recognized and liquidable.
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Valued Member
 United States
284 Posts |
These are great thoughts and replies! I personally want to get into gold and I believe that it is a great storage for wealth It's rare, desireable, and useful. Gold has a strong tie in with all human culture so I don't think it will ever "go down" other than for market fluctuations and corrections. Fractional gold sounds like great way to go but there is a huge premimum to pay for it. I calculated that some 1/20 and small gold goes for close to $2000/oz. If that premium can carry over with each transaction and exchange then I guess that's good. But, if you take all your small bits of gold and go for a bulk transaction then I'm afraid the premimum disappears and you are stuck eating it. The price of gold would have to surpass that $2000/oz price you paid for it.
I think others have mentioned that diversification is key. Silver is more affordable and recognizable as well as being useful. So maybe a split with an emphasis on silver? Coper is easy. Go for it! Platinum? Well, what happens when we no longer need catalytic converters in our cars? Hmmm....
Good stuff! :-)
-- Boris
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Replies: 72 / Views: 5,631 |
Posted 05/08/2011 12:55 am
