Is There Something to Investing in Gold? Not that I ever would.

Remy

Remy

Well-known Member
Location
California, USA
My stepfather gave me some coins, thought it would be a nice gift. Sorry to say I wasn't interested. A few years ago, I took the one gold coin, the silver coins and a ring with a heavy gold band to a buy precious metal place in town that had good reviews. They asked if they could drill the band and I of course said yes. Probably got melted. I got a nice amount for the above.

A couple weeks ago I found another gold coin in a drawer. Another my stepfather had given me I guess and I threw in the drawer and forgot about it. I went to the same place and was shocked when I walked out today with $955 dollars cash! Still not investing.

Helping with Junipers $2000+ recent vet bills.
 

Pretty much everything I've read and been told by financial folks is that precious metals is the last place to go (especially for "normal" folks) after you have fully exploited all other options. If you've maxed your IRA, maxed your savings account, maxed your investment accounts, got all the treasuries you want, got all the property you want and still have money that you don't know what to do with -- then consider precious metals.
 
Cultivating the habit of living below our means is more important than what we choose to invest in.

" Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds
ought and six, result misery."
- Charles Dickens (David Copperfield)
 

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Remy said:
My stepfather gave me some coins, thought it would be a nice gift. Sorry to say I wasn't interested. A few years ago, I took the one gold coin, the silver coins and a ring with a heavy gold band to a buy precious metal place in town that had good reviews. They asked if they could drill the band and I of course said yes. Probably got melted. I got a nice amount for the above.

A couple weeks ago I found another gold coin in a drawer. Another my stepfather had given me I guess and I threw in the drawer and forgot about it. I went to the same place and was shocked when I walked out today with $955 dollars cash! Still not investing.

Helping with Junipers $2000+ recent vet bills.
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I don't know if you read a couple of weeks ago, I took a gold bracelet to the jewellers to have charms attached, and due to the astronomical cost of gold AND solder, it was going to be very expensive to have the work done. so I sold the bracelet to him after he told me what it was worth... I was astounded, I walked out of there with several hundred pounds in my pocket..

I told my Daughter, and she took her gold to someone, and they weighed it and they told her if she holds on until january 2025 Gold is going to shoot up in price again.... so with that in mind I'm holding onto any other gold I have.. and maybe you'll have a think about investing under those circumstances..
 
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Gold and silver are not investments. They can function as such, but only over long terms like 10 to 20 years and more, and more so gold than silver. At our ages they are thus almost impractical.

For individuals they are considered primarily hedges against high inflation and falling stocks. Silver plays a theoretical role of a currency if government fiat currencies fail badly or experience hyperinflation.

Jewelry is the worst form for any of these purposes. High premiums (prices on top of melt value). Well established government-minted coins and privately-minted bars are better options. They are far easier to sell with lower losses than random hunks of metal from lesser-known mints. Old high-silver government coins (US dimes, quarters) may be the best as a hard-times currency.
 
hollydolly said:
I don't know if you read a couple of weeks ago, I took a gold bracelet to the jeweelers to have charms attached, and due to the astronomical cost of gold AND solder, i was going to be very expensive to have the work done. so I sold the bracelet to him after he told me what it was worth... I was astounded, I walked out of there with several hundred pounds in my pocket..

I told my Daughter, and she took her gold to someone, and they weighed it and they told her if she holds on until january 2025 Gold is going to shoot up in price again.... so with that in mind I'm holding onto any other gold I have.. and maybe you'll have a think about investing under those circumstances..
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No I didn't see your post. But I'm glad you got a good amount for it.

I also have a couple of rings of my mother's and a vintage heavy silver bracelet that is mine, I'm going to take to the estate jewelry place downtown. I've called them and they said to bring in. I wonder if they wonder what is legit and what could be stolen?

But that coin was a surprise free money for me. I think my stepfather buys them to give him something to do.

No I would not invest. Was just happy for the money. And cash at that. It will allow me to just throw a good number of checks into my account and I can use this cash.
 
hollydolly said:
I don't know if you read a couple of weeks ago, I took a gold bracelet to the jeweelers to have charms attached, and due to the astronomical cost of gold AND solder, i was going to be very expensive to have the work done. so I sold the bracelet to him after he told me what it was worth... I was astounded, I walked out of there with several hundred pounds in my pocket..

I told my Daughter, and she took her gold to someone, and they weighed it and they told her if she holds on until january 2025 Gold is going to shoot up in price again.... so with that in mind I'm holding onto any other gold I have.. and maybe you'll have a think about investing under those circumstances..
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Holly,
Sounds like you have had some good luck with gold, overall, both gold and silver has grown in value over the long-term. But be careful! Like most commodities the values can fluctuate both up and down, sometimes for no apparent reason. I don't believe anyone can anticipate what is going to happen with the value of Gold and Silver with one possible exception. They usually will increase in value over the long run but be careful the term 'long run' leaves lots of room for variances. You may have to hold them for a very long time to make a fair profit, when compared to other investments, so just keep that in mind...
 
Gold is for selling, imo. The price you get for it is a good indicator of the health of the economy, but it's only a worthwhile investment if you can invest in a whole mine...one that's already successful.

I have some gold set aside for my kids, just a handful of ingots for each of them, but just as a fun thing. They can't fund my retirement and I'm pretty sure they won't fund theirs, either.

What happens to the value of Earth's precious metals if we discover a bunch of stars or asteroids that are chuck-full of it?
 
After a big surge a few years back, I calculated the growth from years before when I owned gold and watched it languish. Money would have done better in stocks. When gold caught up, it did all of a sudden, and it's breathtaking when that happens, but it's not a sure thing.
 
here is reality despite the myths you keep hearing about gold .

you can take almost any time frame the last 25 years and a portfolio of equities and gold via etfs like gld , have surpassed the same portfolio consisting of equities and bonds .

read that again .


you would have to cherry pick some unique time frame where equities and gold didn’t beat equities and bonds .

so for those who claim gold isn’t an investment or gold is useless or a poor choice because it doesn’t pay interest , there is the truth .

gold is not a competitor to stocks so a comparison to stocks is a crappy one . gold is a competitor to the dollar and fixed income .

it has blown away bonds in a balanced portfolio over and over
 
PeppermintPatty said:
A member here invests in gold and silver. He was temporarily banned but maybe when he comes back he can share with you.
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I am back. Today the US dollar value of one ounce of 24 karat pure gold is $2601.19. The price of 24 karat gold does fluctuate on a daily basis due to the international trade markets. I buy and sell gold and silver, as a small business venture here in Toronto. I buy silver coins, silver bars, and gold coins and bars.

Obviously, I watch the markets on a daily basis. and take advantage of "buying on the dip " which means acting when the prices dip below what I paid last week or last month. I buy gold articles from private sellers, based on the karat type, the weight ( in Grams ) and the condition of the piece. I offer about 80 percent of the price that day on the world wide market. My profit is the difference between the amount I offer, versus the price I can get from the bigger buyers here in Canada. I deal with a buyer in Edmonton, that has over 50,000 customers and has been in business since 1969.

Where some people get confused is when they make the error of thinking that "grand Ma's old necklace is valuable, because it is "so old ". Not true, the value is in the Karat grade, and the weight in grams. The higher the karat number, the more actual gold content the item has in it. Obviously the gold coins produced by Government Mints are 24 karat, pure gold measured by the gram of weight. Here in Canada the Royal Canadian Mint is the official supplier of gold coins. The most popular Canadian gold coin is the Maple Leaf one ounce of 24 karat gold. Gold has all ways been "portable wealth " that can easily be transported, and tested for purity. A Troy ounce is 31 grams in weight.

My current holdings are a balance of silver coins and bars, and 24 karat coins.
 


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