Is gold a good or bad investment - 10 year plan

[bkk6060]

Compared to Apple stock, it will be a very poor investment.

[GreasyFingers]

Take your pick but the next 10 years will not be like the last 10 years.

[kingstonkid]

The trick with gold is to buy a little every month or set up a system that way you get the gold cost averaging.  Much like investing in stocks or such if you either buy a little or put away X dollars for a couple of months but do it religiously it is best.

 

A lot of people talk about crypto and it may also be a good bet but I think if the dollar or baht goes south then getting the money could be interesting and not everyone will accept.

 

There are many companies in the U.S and UK that you can buy paper gold where they stock it for you and give you a certificate.  Personally I am not looking to leave Thailand so happy with Thai gold although I wished it moved more 

 

Also do not forget that if you buy it in the U.S. I think you have to pay tax on it as a capital Gain I am sure someone that is from the US can clarify that please

 

[sometimewoodworker]

18 hours ago, JackGats said:

That's why gold is a problematic investment. How and where can you sell it and get a fair price? Can you sell it free of tax? Where do you keep (bury) it?

If you buy bars in Thailand and sell in Thailand from the same shop or group of shops, there are no problems with buying and selling, there is no tax involved. Currently the buying price is 27,450.00 the selling price is 27,350.00. Where you keep it is your choice.

 

However gold is unlikely to be a great investment, you can get a greater return from the correct stocks and bonds. 
 

Currently the real value of gold has been dropping over the last few years, yes the number of dollars/Baht per gram has been going up but the purchasing value has been dropping.

 

in the long term you may preserve your investment, you are not likely to grow it. Gold is a gamble so do not put too much into it.

[unblocktheplanet]

3 hours ago, fabruer said:

Besides bullion you could also buy "paper" gold or gold etfs. You will get higher liquidity (= easier to buy/sell).

One of the reasons people are thinking about this now is inflation > devaluation > limited bank protection. Are gold ETFs are "safe" as physical gold?

[Peterphuket]

Nobody can look into a crystal ball regarding the future but I mention more than once before: the first time I come to Thailand 1 baht Gold was 5000 thb, that was in August 1994, today 2021 August the price is 27,450 thb, see: http://goldtraders.or.th....do the math.

But I remember somewhere in the 80' last century I bought also gold, can't wait long enough, the gold price go low, lower, lowest, and I lose money.

But I'm convinced between now and over 10 years, you  don't lose in investment in gold, do also realize the interest on money is zero, but the depreciation of money is even more.

[bbabythai]

Gold has dropped (crashed) in price last week. Therefore a good time to buy unless you think it will drop more. 

 

A good option is the Perth Mint in Western Australia. Im not an aussie but I was still able to buy there via their online depository program. Its guaranteed by the WA government. Actually if theres no liquidity in the market and no buyers the mint guarantees to buy it from you. When I sold it they then wired it to my thai bank account. I made 40% profit in 2 yrs. Highly recommended

[nomad2019]

21 hours ago, EricTh said:

Which company in Thailand is most reputable for buying and selling gold bars? I think not everybody buy back gold bars from other companies with a good price.

im in UK,  lets keep this thread for UK / western gold sales,  sorry i forgot to mention that in the original thread......im not least interested in thai gold 

[nomad2019]

4 hours ago, bkk6060 said:

Compared to Apple stock, it will be a very poor investment.

apple stock,  tell me more !  ????????????

[nomad2019]

4 hours ago, allanos said:

Speaking from my own experience, since April, 2017 my gold has given me a 38% return.

But it is a volatile investment. Today's price is around $1755.00. Last year, it hit a high of $ 2075.00.

If US inflation takes hold, which analysts expect, gold should start going higher again, as a hedge against inflation and depreciating dollar purchasing power.

 

Since 2019, my bitcoin has increased 3x. It is a much more volatile investment than gold, but shows commensurate higher returns over time. On average, 200% pa compounding, since introduction in 2009.

 

For those outside of Thailand, good gold coins to hold are the American Eagle, Canadian Maple Leaf, and the South African Kruger Rand. I would recommend the one-ounce coins, not the smaller sizes.

 

For relative ease of holding, ETF's are worth looking at, but they carry unique risks also. It's all in the fine print!

 

For a good layman's immersion into the intricacies of  gold, I would recommend reading, "Why Gold, Why Now?", a recently-published book by E.B. Tucker. It is relatively light reading, with a lot of useful information inside, and can be used as a worthwhile guide to investing.

 

EB is a director at Metalla Royalties. Perhaps naturally, investing in a royalty product is his preferred route to wealth. However, he makes a compelling case for doing so.

I have a niggling feeling that there will be a crash coming in the next few years,.   Now call me a conspiracy theorist or whatever but even the world economic forum website Talks Of The Great reset,.  Doesn't it suit these people to have a crash then reset the world / global economy    .

[farangkinok]

21 hours ago, EricTh said:

Which company in Thailand is most reputable for buying and selling gold bars? I think not everybody buy back gold bars from other companies with a good price.

Hua Seng Heng is most reputable, and have shop on Yaowarat Road in Chinatown (Bangkok).

[fabruer]

1 hour ago, unblocktheplanet said:

One of the reasons people are thinking about this now is inflation > devaluation > limited bank protection. Are gold ETFs are "safe" as physical gold?

Personally, I see only advantages in Gold ETNs (to be precise) with minimal risk: they are cheap (where to store a valuable amount of bullion safely; if bank involved - cost), much more liquid (can be bought/sold within seconds). The leading ETNs hold the equivalent of their fund in bullion gold. Imho, can't go wrong with ETNs if it's part of a portfolio strategy to hedge, eg. against inflation (mind you, there are a lot more options to hedge against inflation).

 

Now, I have heard people saying: what if the financial system crashes so hard that all these funds go bankrupt or can't be traded. I think, if that happens everyone will have other, much more pressing issues at hand than their portfolio as this would be an sh*t hit the fan event of maximum proportions.

 

Which leads to bullion. Imho, bullion is something to build over time and hand down to the next generations. Like a backup for above mentioned scenario.

[clivebaxter]

14 minutes ago, farangkinok said:

Hua Seng Heng is most reputable, and have shop on Yaowarat Road in Chinatown (Bangkok).

Also a branch at Seacon Square

[Sudarut]

The mistake people make is pricing gold against fiat currencies, if you want to know if gold is a good investment then compare it to other commodity's, how much wheat, corn, gas, oil, copper, silver etc etc  can i buy with 1 ounce of gold.   I'm invested in wheat right now due to huge harvest losses in China and other countries in the Northern Hemisphere. Good Luck

[rak sa_ngop]

Whisky is a good solid investment which defies traditional market fluctuations. Don't go with cask purchases with their inflated 'investment' valuations or even speciality bottlings where you can never be sure you are not buying a fake......but go with wholesale bonded cask whisky volumes where you can confidently expect growth of 8pc+ per year, unless the whole world suddenly loses the taste for premium malt whisky. Google whisky invest direct for more details or pm me. I have been investing in whisky for 3 years now.

[DJ54]

Read this today.... In light of gold’s flash on Monday, with the commodity dropping to its lowest price since March at $1,730.13 an ounce in New York by late 

[Sharp]

Gold is a hedge against Fiat currency devaluation and inflation but not a Great investment based on the previous 10 years.. You might want to see how regulatory rules effect crypto then look to purchase coins. NFA. 

[khunPer]

On 8/11/2021 at 5:58 PM, nomad2019 said:

Cash it in in 10-years I've had a look at the charts over the last 20-years and gold has went up up,. do you think it will keep going up up

To my knowledge, and also in my view, gold is not investment, but in periods safe heaven for money.

 

In shorter terms you might gain - especially if you can predict the future - but looking at the historical graph, those that "invested" in gold in 1980 just got their own money back now without any interest, when adjusted for inflation...

 

 

There's another graph here adjusted for inflation that compares gold - and bonds - with larger US- stocks...

 

Source: "STOCKS, BONDS, BILLS AND INFLATION AND GOLD".

 

I've been investing in stocks, and in 10 years I could gain more than two and half times up in my retirement deposit - i.e. from index 100 to little more than index 260, or 160 percent gain before tax (all dividends reinvested) - in the same period the inflation index went from 100 to 118, i.e. 18 percent up. Compared to gold in the same 10-year period, gold gained 64 percent; it was an upturn period for gold.

 

In my view an Okay investment is, when you can double in circa 10 years (before taxation), it goes for both stocks and property, a good invest is when you double between 5 years and 7 years, excellent when you double in 1-2 year. The trick is to find the right stocks, and the right stocks only, the larger a mix in a portfolie, the more stocks might perform slowly or even loose some value. Investing in gold equals investing in one stock only - if that "one" item goes up it's great, if it goes south it's far less great...????

Edited August 12, 2021 by khunPer

[Leung Falang]

The last ten years versus the US S&P 500 stocks.  You decide.  

[Henryford]

I'm not sure gold is a good investment. Worth less now than it was 10 years ago with no annual returns. Look at the massive drop in price last weekend. Gold prices are obviously manipulated. Plus you have the problems of storage and eventual selling.

[CANSIAM]

On 8/12/2021 at 12:28 AM, HeijoshinCool said:

.

 

There is a rose bush in my backyard. 20 feet north, and 10 feet west of it is where I buried my 1000 ounces.

Attach a detailed map of your rose bush location for us please..........

[RocketDog]

For me it's all about liquidity, anonymous buy/sell, and ability to own physical gold locally outside of banks. Easy access.

Consider it a hedge, not an investment. Since I  plan to be here a while Thai jewelry meets all my requirements.

[Stocky]

23 hours ago, CHdiver said:

but I would just use them in a emergency like a zombie apocalypse

What you going to do, throw them at the zombies?

[Kalasin Jo]

A good or bad investment? It offers no return of course other than the price you sell against the price you bought  which could like any investment be a loss.

Much depends on the state of the world. And who can say? When everything else and everywhere looks unstable people turn to gold or diamonds. The price of gold shot up at the start of the pandemic and has remained high. Unfortunately for me I sold a substantial holding in the European market just before the pandemic kicked off. I made a reasonable profit on a 9 year investment but had I waited a little longer I would have doubled that profit......but who knew?

 

If the pandemic recedes, and stock and property markets rebound I expect to see gold fall back significantly. Buying now might be at the peak price..

[AverageBloke]

3 hours ago, Kalasin Jo said:

A good or bad investment? It offers no return of course other than the price you sell against the price you bought  which could like any investment be a loss.

Much depends on the state of the world. And who can say? When everything else and everywhere looks unstable people turn to gold or diamonds. The price of gold shot up at the start of the pandemic and has remained high. Unfortunately for me I sold a substantial holding in the European market just before the pandemic kicked off. I made a reasonable profit on a 9 year investment but had I waited a little longer I would have doubled that profit......but who knew?

 

If the pandemic recedes, and stock and property markets rebound I expect to see gold fall back significantly. Buying now might be at the peak price..

I'm not so sure the stock market can remain strong.The federal reserve can't keep printing money without causing massive inflation but they also can't stop printing money because they need the low interest rates to service the debt. With all the upcoming uncertainty, gold seems like a pretty viable place to invest...The next 12 months are going to be very interesting.

[Sharp]

12 hours ago, AverageBloke said:

I'm not so sure the stock market can remain strong.The federal reserve can't keep printing money without causing massive inflation but they also can't stop printing money because they need the low interest rates to service the debt. With all the upcoming uncertainty, gold seems like a pretty viable place to invest...The next 12 months are going to be very interesting.

Agree mostly with what you state but Gold is a hedge rather than an investment. As the monitory system starts to implode care needs to be implemented when investing but I would and am looking to invest in many areas for my portfolio other than Fiat! 

[nomad2019]

On 8/13/2021 at 1:15 AM, Henryford said:

I'm not sure gold is a good investment. Worth less now than it was 10 years ago with no annual returns. Look at the massive drop in price last weekend. Gold prices are obviously manipulated. Plus you have the problems of storage and eventual selling.

aug 4th 2015 gold was £700 an ounce,   today aug 14th 2021  .....£ 1,282

how is that not a decent investment ????????????????????????? ????????????

[nomad2019]

3 minutes ago, nomad2019 said:

aug 4th 2015 gold was £700 an ounce,   today aug 14th 2021  .....£ 1,282

how is that not a decent investment ????????????????????????? ????????????

[Airalee]

1 hour ago, nomad2019 said:

aug 4th 2015 gold was £700 an ounce,   today aug 14th 2021  .....£ 1,282

how is that not a decent investment ????????????????????????? ????????????

Cherry-picking dates does not bolster ones argument either for or against.

 

 

[nomad2019]

1 hour ago, Airalee said:

Cherry-picking dates does not bolster ones argument either for or against.

 

 

it would matter to me if you know when to get in & out !