Gold in Thailand as an Investment

[JeremyBowskill]

Under performing asset for 3 straight years, don't order that Honda Dream just yet.........

[JeremyBowskill]

I buy Gold with any spare money i have left over and don't look at it like a investment just a form of currency which you can check daily. Earlier in the year the price for 1 Bhat of Gold was 21000 now it is around 19000 Bhat. Guaranteed In the next year the price will go back up to over 20,000. You won't make alot and you won't lose alot but you might make a little or lose a little if you need to sell.

My advice is buy a small safe and dip your toes in the water

who guarantees the gold price increase?

4 years ago gold lovers were convinced gold will go UP and UP and UP. today they are looking at a loss of 38% plus the loss incurred what their capital would have earned in 4 years.

summary: those who bought in 2011 did not lose a little, they lost BIG!

peter schiff is who, didn't you get the memo Nam?

[CNXBKKMAN]

My favorite topic. The first 5 words of your post say a lot. But if you do decide to buy, look at American Eagle gold coins. First you have the value of the gold itself, but then there is additional value based on the rarity of the coin, both should increase over time. Very popular option and easy to trade. Your concern about selling half of a 1M baht gold piece is simple, you trade in your piece and get a 500k baht and a 500k baht piece in return. But if gold were such a great investment, why is price of gold falling when Grexit is looming? If the American dollar is on verge of collapse, as so many here are predicting, why is gold falling? Gold is a safe haven right? Maybe not. Gold has few practical uses, certainly not enough to justify it's price imo. The price of gold goes up because of inflation, just like everything else. If you want to own some, fine, just don't call it an investment.

I dont know much about gold but i am guessing American Eagle coins are not that popular here or have a tight buying and selling spread. The coin collecting rarity aspect i am not interested in either. If i do buy something it will be based on whats popular in Thailand.

[cooked]

I never thought of 'Gold' and 'Investment' in the same category.

Some people need to think about a worst case scenario to understand why many people invest in gold. The Chinese and most Asian populations think like this:

Imagine yourself in a world where a BIG war has broken out, internet and ATMs have broken down, armed gangs are roaming the streets. Sounds like a lot of places in the middle East and Africa doesn't it? So what would you prefer? Some nice high yielding pieces of paper and credit cards that you can't use, or: 1. A Kalaschnikov, 2: a fortified compound and 3: an adequate stock of universally recognised and welcomed currency, that is gold.

Years ago I read that having 10% of your investments in gold was a good idea and if I had done that I would indeed be rich today but in the end apart from bricks and mortar it is the only reliable durable 'investment' around.

[CNXBKKMAN]

As A Certified Financial Planner (CFP) here in the USA,

I've only managed my own money. Never anyone else's money.

But I Will Tell You This:

I have never, ever owned a piece of gold.

I will never, ever own a piece of gold.

It moves upward and downward in "life cycles".

I've made incredible money in the last 9 months, buying Apple (AAPL) at 87 - 92 and watching it go up to 130.

I am about 90% invested in USA Mutual Funds.

I don't know a thing about real estate.

I don't know a thing about commodities.

My Wife Is An International Currency Trader and Day-Trader on the SET. She does well.

Learn and invest in the SET.

Phapassorn uses 2 different marketing guys with "technical analysis", and belongs to a large Investment Group in BKK. She invests

each day, whether we are living on Maui, Hawaii or in our BKK condo.

Learn. Study. Be Smart. Ask For Advice.

Good Luck.

The angle i am coming to gold from is that the the US stock market is very high which would normally mean the economy is doing well and corporations are making good profits now and in the future. The economy isn't doing well and the stock market has been pumped full of funny money for years. Everything seems to be balanced on low interest rates lasting forever. Its a strange situation. I am bearish and in camp that there is a QE interest rate bubble about to burst. In the UK property prices go up and up in the middle of a never ending recession. How does joe average buy a home even with the super low interest rates? UK is fully into the QE game as well.

My spare cash is not doing much in the bank so gold might be a good hedge. The price is a lot lower than in recent years so i am not feeling a big downside with it. Stocks and sharesi have only bought directly, execution only, no funds or mutual stuff. I must say though i am not wealthy and don't have much to invest. I am even wary of holding stocks in nominee accounts.

[CNXBKKMAN]

Gold is a terrible investment, always has been. One shouldn't even think of gold as an investment. You admit you don't know about gold but want to invest in some? That's a good way to "gamble" away your money.

Google "Gold is a bad investment". Hopefully you'll get why this is a bad idea.

If all you can come up with is to buy gold as an investment, then do nothing.

If the money is in Thailand. Spread it around in a number of timed deposits with different banks. Different banks to spread out risk. You can earn something like 2.5%, maybe more.

If you're in the I'm thinking of buying gold as an investment, you need a financial advisor.

Google "Gold is a bad investment" why dont you google Gold is a good investment !!??

Good investment.

In Sept. of 1980, Gold was $2,000 USD per ounce. This was on the London market. I don't know about baht fx, but today that would be about 67,000 baht per once.

If instead of buying gold you had simply bought $5,000 worth of Walmart stock, it would today be worth more than USD25 million dollars.

Take your pick.

A valid point but i don't plan to hold it for 35 years. Maybe 3 years maximum or much less if i am in profit.

[Linzz]

Gold.pngWhy do so many people on here think gold is infallible? Gold has dropped from US$1912 per ounce in 2011 to $ 1177 per ounce today 2015? (About -38.5%) Or do you think the value of the USD has gone up with quantitative easing?? Then you have to store it too..........

that is only because the regular smash downs in the gold price is paper gold being sold in very large amounts. The paper gold market is 100 times bigger than the physical gold market ( which in itself is Alice in wonderland stuff ).

But as long as the Indians, Chinese, Russians and Arabs ( that is 60% of the worlds population ) keep accumulating the real stuff i will too.

p.s. the West will left with paper

Well here's another idea. What do you think will happen if you get economic totalitarianism in a move towards a cashless society? " In Spain they have been shutting down retail gold sales to the public. This is obviously one step all governments could take and make it simply illegal to buy or sell gold. Don’t forget, Roosevelt did that in 1934.So can they make gold illegal? Only a fool would say no. If it is illegal to pay someone in cash, they will make it illegal to pay someone in gold. This is the direction we are headed in. This is not a personal attack on gold. Sure, the gold promoters will say I am wrong for they are afraid it might reduce the whole idea of buying gold as an alternative to dollars. But this is the world we face. They are closing in the net from every possible angle."

Is Gold Becoming Illegal? | Armstrong Economics

[Guest]

I believe the operative term is "small percentage of portfolio"

There is a point where the production cost of gold, and all other associated costs to get it on a retail shelf converge.

As they get closer, production and distribution decline.

Looking at the past 10 years, I think it is fair to say that "Buy Low, Sell High" can also apply to precious metals. I am far from a Gold Bug, and own very little of it ,,, what I have, my wife wears.

That being said, this chart suggests that the chance of a meaningful loss in gold is low, and the upside is quite favorable.

Even if it just bounces back to 22,000 THB / Baht ... I hope we can agree 15% + on a low risk investment is a good day.

Here is a chart I drew up.

The base is strong, and history is on Gold's side this time.

I think that if the OP did some dollar coat averaging, he would have no regrets in three years ... or less.

It is easy to point to the past where a gold bubble trapped some people at the top. A lot of that goes to Glen Beck and a lot of American pundits churning up the fear volume, and telling people to buy gold. They did with enthusiasm, and then Glen and the gang ran for the exists with all the money!

Lastly, we are in Thailand, the idea of buying Gold eagles etc is silly,,,and the incredible mark up form "collector value" is pure BS / hype.

Go to China town, buy a little at a time ... as I pointed out before.

Buy 20,000 every other week, or every other month. No more, no less. That way, you will buy a lot of gold when it is cheap, and a little, when it is expensive.

Edited June 25, 2015 by Guest

[Linzz]

I believe the operative term is "small percentage of portfolio"

There is a point where the production cost of gold, and all other associated costs to get it on a retail shelf converge.

As they get closer, production and distribution decline.

Looking at the past 10 years, I think it is fair to say that "Buy Low, Sell High" can also apply to precious metals. I am far from a Gold Bug, and own very little of it ,,, what I have, my wife wears.

That being said, this chart suggests that the chance of a meaningful loss in gold is low, and the upside is quite favorable.

Even if it just bounces back to 22,000 THB / Baht ... I hope we can agree 15% + on a low risk investment is a good day.

Here is a chart I drew up.

The base is strong, and history is on Gold's side this time.

I think that if the OP did some dollar coat averaging, he would have no regrets in three years ... or less.

It is easy to point to the past where a gold bubble trapped some people at the top. A lot of that goes to Glen Beck and a lot of American pundits churning up the fear volume, and telling people to buy gold. They did with enthusiasm, and then Glen and the gang ran for the exists with all the money!

Lastly, we are in Thailand, the idea of buying Gold eagles etc is silly,,,and the incredible mark up form "collector value" is pure BS / hype.

Go to China town, buy a little at a time ... as I pointed out before.

Buy 20,000 every other week, or every other month. No more, no less. That way, you will buy a lot of gold when it is cheap, and a little, when it is expensive.

You never know. There is also a quote "Sell low, Buy higher" Ask any forex trader if you go with the trend or wait for a retracement.

Edited June 25, 2015 by Linzz

[nithisa78]

I don't hold much gold in that manner. I'm invested mostly through Midas funds.

I was graced to get married with a Sainted woman of extraordinary intelligence. Despite telling her we have way enough she buys more.

The pros here in USA are talking about $750. an ounce. Which would be a gift to the rest of us from God to buy more. Even at these levels, it is only a matter of time, the pendulum will swing.

Good luck Sir. Have faith. La dolce vita

Edited June 25, 2015 by nithisa78

[Naam]

Good investment.

In Sept. of 1980, Gold was $2,000 USD per ounce. This was on the London market. I don't know about baht fx, but today that would be about 67,000 baht per once.

If instead of buying gold you had simply bought $5,000 worth of Walmart stock, it would today be worth more than USD25 million dollars.

Take your pick.

let's reduce the price to 856 Dollars an ounce and change the date to january 21, 1980

that was the highest price till it was reached again november 15, 2007.

for nearly 28 years gold did not yield a single copper penny! but during this period a dozen years existed when investors could lock into AAA rated government securities yielding 13% in Pound Sterling (UK Gilts), 16% in US-Dollar (US Treasuries) and 12% in Deutsche Mark (Bundesanleihen) per annum.

moderately successful were those who bought gold in 2000 for ~$275/ounce. they are sitting today on a compounded yield of ~10% per annum.

the rest is nothing but goldbug bla-bla!

[Jonmarleesco]

Gold is hoarded, so say, as a hedge against inflation. In my view, it doesn't often work that way. I suggest you take a look at the Bullion Vault site, particularly the charts.

[Asiantravel]

Gold.pngWhy do so many people on here think gold is infallible? Gold has dropped from US$1912 per ounce in 2011 to $ 1177 per ounce today 2015? (About -38.5%) Or do you think the value of the USD has gone up with quantitative easing?? Then you have to store it too..........

that is only because the regular smash downs in the gold price is paper gold being sold in very large amounts. The paper gold market is 100 times bigger than the physical gold market ( which in itself is Alice in wonderland stuff ).

But as long as the Indians, Chinese, Russians and Arabs ( that is 60% of the worlds population ) keep accumulating the real stuff i will too.

p.s. the West will left with paper

Well here's another idea. What do you think will happen if you get economic totalitarianism in a move towards a cashless society? " In Spain they have been shutting down retail gold sales to the public. This is obviously one step all governments could take and make it simply illegal to buy or sell gold. Don’t forget, Roosevelt did that in 1934.So can they make gold illegal? Only a fool would say no. If it is illegal to pay someone in cash, they will make it illegal to pay someone in gold. This is the direction we are headed in. This is not a personal attack on gold. Sure, the gold promoters will say I am wrong for they are afraid it might reduce the whole idea of buying gold as an alternative to dollars. But this is the world we face. They are closing in the net from every possible angle."

Is Gold Becoming Illegal? | Armstrong Economics

And here's another idea. The only ones who are threatening economic totalitarianism the way you talk about are the desperate US Federal reserve in cahoots with the European Union Mafiabecause they are pinned in a corner - no growth and an $18 trillion debt.

.

Once again I hear no such threats of such moves in China India and Russia and indeed what would they possibly have to win by engaging in such action ?

They want their currencies to stand out from the US dollar which is why they buying so much gold (Russia recently bought 30 more tonnes) with a view having their currencies backed by gold.

On the other hand it wouldn't surprise me if the desperate USA did confiscate gold again but the world doesn't end at the West Coast on the east coast of America and wouldn’t dictate what happens in the rest of the world.

[sometimewoodworker]

Gold is a terrible investment, always has been. One shouldn't even think of gold as an investment. You admit you don't know about gold but want to invest in some? That's a good way to "gamble" away your money.

Google "Gold is a bad investment". Hopefully you'll get why this is a bad idea.

If all you can come up with is to buy gold as an investment, then do nothing.

If the money is in Thailand. Spread it around in a number of timed deposits with different banks. Different banks to spread out risk. You can earn something like 2.5%, maybe more.

If you're in the I'm thinking of buying gold as an investment, you need a financial advisor.

Gold is not an investment, it's a currency hedge. It's not such a bad idea when you consider the American dollar - the world's reserve currency - is underpinned by 16 trillion dollars in debt. And most other countries are scrambling to devalue their currencies to match the US money printing. As far as I know, Thailand still unofficially pegs the baht to the US dollar.

Gold does not give any return on investment. If you buy a ten baht ( equals 5.2 oz approx ) gold piece in Thailand, it will cost you on current prices about 190,000 baht. However, the gold shop will only buy back from you at about 180,000 baht, so the value needs to go up to 200,000 baht before you start to break even.

BS at the fix I have gold bars

Buying 188,500 for 10baht weight

Selling 187,500 for 10 baht weight

So the spread is 1,000

Not 10,000

[billphillips]

As A Certified Financial Planner (CFP) here in the USA,

I've only managed my own money. Never anyone else's money.

But I Will Tell You This:

I have never, ever owned a piece of gold.

I will never, ever own a piece of gold.

It moves upward and downward in "life cycles".

I've made incredible money in the last 9 months, buying Apple (AAPL) at 87 - 92 and watching it go up to 130.

I am about 90% invested in USA Mutual Funds.

I don't know a thing about real estate.

I don't know a thing about commodities.

My Wife Is An International Currency Trader and Day-Trader on the SET. She does well.

Learn and invest in the SET.

Phapassorn uses 2 different marketing guys with "technical analysis", and belongs to a large Investment Group in BKK. She invests

each day, whether we are living on Maui, Hawaii or in our BKK condo.

Learn. Study. Be Smart. Ask For Advice.

Good Luck.

And don't forget the taxation, especially if you are a non US resident.

[Linzz]

Gold.pngWhy do so many people on here think gold is infallible? Gold has dropped from US$1912 per ounce in 2011 to $ 1177 per ounce today 2015? (About -38.5%) Or do you think the value of the USD has gone up with quantitative easing?? Then you have to store it too..........

that is only because the regular smash downs in the gold price is paper gold being sold in very large amounts. The paper gold market is 100 times bigger than the physical gold market ( which in itself is Alice in wonderland stuff ).

But as long as the Indians, Chinese, Russians and Arabs ( that is 60% of the worlds population ) keep accumulating the real stuff i will too.

p.s. the West will left with paper

Well here's another idea. What do you think will happen if you get economic totalitarianism in a move towards a cashless society? " In Spain they have been shutting down retail gold sales to the public. This is obviously one step all governments could take and make it simply illegal to buy or sell gold. Don’t forget, Roosevelt did that in 1934.So can they make gold illegal? Only a fool would say no. If it is illegal to pay someone in cash, they will make it illegal to pay someone in gold. This is the direction we are headed in. This is not a personal attack on gold. Sure, the gold promoters will say I am wrong for they are afraid it might reduce the whole idea of buying gold as an alternative to dollars. But this is the world we face. They are closing in the net from every possible angle."

Is Gold Becoming Illegal? | Armstrong Economics

And here's another idea. The only ones who are threatening economic totalitarianism the way you talk about are the desperate US Federal reserve in cahoots with the European Union Mafiabecause they are pinned in a corner - no growth and an $18 trillion debt.

.

Once again I hear no such threats of such moves in China India and Russia and indeed what would they possibly have to win by engaging in such action ?

They want their currencies to stand out from the US dollar which is why they buying so much gold (Russia recently bought 30 more tonnes) with a view having their currencies backed by gold.

On the other hand it wouldn't surprise me if the desperate USA did confiscate gold again but the world doesn't end at the West Coast on the east coast of America and wouldn’t dictate what happens in the rest of the world.

Yep sure these are just ideas. and stuff to think about. I'm sure gold will always have it's place but there can be a lot of hype surrounding it and we just have to be aware in a changing electronic world the relevance of gold. America still drives the world's (weak) economy regardless of it's huge debt. Some of the comments here confirm your view.

http://www.mining.com/etf-investors-abandoning-gold-in-droves/?utm_source=digest-en-mining-150608&utm_medium=email&utm_campaign=digest

Edited June 25, 2015 by Linzz

[khunPer]

I would never touch gold as investment – emergency only if money system breaks down. However, I did check little on it when moving to LoS, as Thais seem to love gold as investment.

For investment you can buy small gold bars, 1 baht, 2 baht and so on, which should be better than the jewelry gold Thais prefers, but you cannot walk around and make face, showing you bars.

Looked over long term, you’re lucky to keep up with inflation, looked over shorter terms you may loose (a lot), or gain (pure risky speculation).

I did some check-up on the Internet a few years back.

»In January 1915 the price of gold was $447/oz. In February 1973 it was $406. Almost 60 years and the value had only fallen. (These figures are inflation-adjusted based upon http://www.macrotrends.net/1333/gold-and-silver-prices-100-year-historical-chart ).

So, in the 100 years from 1915 the prices has risen 174%. That's an implied compound return of just under 1.02%/year.«

I read also some expert articles – in my own Danish language, unfortunately, so no links – but the summary was, that in crisis many people speculate in gold in fear of a money meltdown or as insurance against "end-of-the-world-scenario". In the 1930’ies president Franklin D. Rosevelt forbid hoarding of gold. Under the recent so-called “financial crisis” roomers were, when the gold price was around $1,225 an ounce, that the price would jump up to over $10,000, when the American administration collapse and the financial systems breaks down...

I’m in no way an expert, but when I saw that gold over some 25-year span just were back on level a few years ago, when I checked on gold as investment, I could see waiting that long time just make you loose the inflation that you would more or less gain in fixed bank accounts. Some of the expert-posters may be able to give better information.

If it can be any help with a 500k or 1 million baht saving in Thailand, do check on Fund Books for Bonds – most banks have some mutual funds – I have used it with success. In the more safe funds you will gain little more than long-term fixed bank accounts, and there is no 15 percent tax. You can sell from day-to-day (bank days). I’ve used it when moving money in for house construction, and when I can move money in on a good exchange rate and just keep till I need them, and I got a better interest than bank accounts. Also, compared to fixed deposit, you can “take your money out” at any time by selling almost any size of portion, but still gain the good interest. K-Bank (Kasikorn Bank) seem to have most options for bonds in Fund Books, and also have a good English language investor homepage:

www.kasikornasset.com/EN/MutualFund/ProductsFundFacts/Pages/Default.aspx

[Linzz]

Gold is a terrible investment, always has been. One shouldn't even think of gold as an investment. You admit you don't know about gold but want to invest in some? That's a good way to "gamble" away your money.

Google "Gold is a bad investment". Hopefully you'll get why this is a bad idea.

If all you can come up with is to buy gold as an investment, then do nothing.

If the money is in Thailand. Spread it around in a number of timed deposits with different banks. Different banks to spread out risk. You can earn something like 2.5%, maybe more.

If you're in the I'm thinking of buying gold as an investment, you need a financial advisor.

Gold is not an investment, it's a currency hedge. It's not such a bad idea when you consider the American dollar - the world's reserve currency - is underpinned by 16 trillion dollars in debt. And most other countries are scrambling to devalue their currencies to match the US money printing. As far as I know, Thailand still unofficially pegs the baht to the US dollar.

Gold does not give any return on investment. If you buy a ten baht ( equals 5.2 oz approx ) gold piece in Thailand, it will cost you on current prices about 190,000 baht. However, the gold shop will only buy back from you at about 180,000 baht, so the value needs to go up to 200,000 baht before you start to break even.

I don't think anyone regards Chinese and Indians as idiots when it comes to money, and they are the nations that are major importers of gold. The Chinese in particular are long-term thinkers, so perhaps they are anticipating a currency war.

Anybody who needs a financial advisor also needs a deep wallet. Just how do you pick a good financial advisor from all the rotten apples?

There is other opinion out there that commodities rotate in 30 year cycles and gold is at the bottom, so if you want to wait........

Harry Dent of Economies and Markets (he's a bit excitable but interesting) says the USD is a better bet than gold

"If you print more currency to artificially stimulate the economy as we have since 2008 in the United States, yes, you can devalue your currency. But in a period when almost all major nations (thirty eight at last count) are printing money and devaluing their currencies at the same time…

The Fed has printed over $3 trillion in QE and will likely print again when the next financial crisis sets in. And the ECB for the euro zone, with a population roughly the size of ours, has printed more than $3 trillion, with more starting in late 2014 just as the U.S. finally tapered.

The dollar has appreciated in value versus the euro since the crisis ignited in early 2008. It actually appreciated 27% vs. the six major global currencies in the late 2008 meltdown as the chart below shows. It was the safe haven, not gold and silver that fell 33% and 50% respectively.

Point is, when nations are printing money at the same time, currencies do not just go to zero. They appreciate or depreciate relative to each country’s money printing, trade imbalances, debt, and economic progress.

This is why the dollar is not going to zero and why it will not lose its world reserve currency status in the next decade."

Not sure if gold is such a good currency hedge if it dropped 33% and the USD appreciated 27% at that time.........

Edited June 25, 2015 by Linzz

[ozyjon]

As a previous buyer and seller of gold, today i own one gold

chain and one ring and a very nice gold watch, our house in

Europe has been broken into several times, no gold is kept

there, my elderly mother was attacked in our home and left

for dead on the lounge room floor, many elderly folk have been

shot for their gold, advice; don't walk in my shoes, i own / want

no gold, Google "Gold is a bad investment"

ps; i can crack a small safe in 13 second (get a big one)

ps; people are investing in silver nowadays

ps; cheapest place to buy gold,,, India,,go there to buy gold

[gemguy]

No need to do all of that.

Thailand has numerous legitimate registered gold brokering companies that will sell you a gold purchase certificate and you simply hold the certificate and trade in the certificate and get your money back...with profit or at a loss, depending if the gold price went up or down.

Furthermore you can not buy gold for significantly cheaper here in Thailand than say another market but the transaction fees for purchasing and or selling may be slightly higher or slightly lower...as compared.......while you can easy enough shop around and ask just how much their buy or sell transaction fees are as compared to say another gold trading company.

Some of the gold trading companies / gold brokerage companies are like a Bank and they will pay you a small interest on your money held in the gold trading account while the money is yet to be used for buying a gold certificate.

At any time you can execute a buy and they draw the money from your gold trading account and charge you their set fee for executing the purchase.

That way you can use all the money in the account to buy one lump purchase or you can use the money on account for multiple purchases.

When you sell your gold certificates the money is put back into your account ...minus their set fee for the sell transaction.

Similar to a stock trading account...but only for buying and selling gold.

Personally....I am nearly certain the price of gold will go up again......but nothing is for sure.... right?

Yes you can buy the Thai baht gold and physically hold onto the gold and later sell it back to the gold trading shops and they will give you back a more or less daily set market price for buying back the physical gold....but you are better off with the gold trading account....unless you have a thing for physically owning and holding the gold....but you could lose it or someone can steal it.....as it happens often enough..... or have it confiscated for some unforeseen reasons.

Hope this helps

Cheers

[WorkingTourist]

Go and Google gold's real return vs the S&P real return over the last 40 years and you will find that gold has performed as good as most stock index. http://www.zerohedge.com/news/2013-06-20/visualizing-gold-and-stock-returns

What are you talking about? Follow your link and look at the graph, or click it and read the text, it says: For the period 1976-2012, the average returns were stocks = 6.7% and gold = 2.5%.

So stocks have given a better return, not just that, their analysis does not include stock dividends, or better, re-invested dividends, and they measured performance up till 2012. Include the last 3 years, and the compound return on gold would be less and the stock yield would be higher.

Not that your link didn’t already show stocks as a better investment than gold, but here’s one that concludes that the yield on S&P 500 is 13.5 times that of gold: http://www.marottaonmoney.com/since-1979-the-sp-500-grew-13-5-times-greater-than-the-price-of-gold/

[lcp0761]

I buy Gold with any spare money i have left over and don't look at it like a investment just a form of currency which you can check daily. Earlier in the year the price for 1 Bhat of Gold was 21000 now it is around 19000 Bhat. Guaranteed In the next year the price will go back up to over 20,000. You won't make alot and you won't lose alot but you might make a little or lose a little if you need to sell.

My advice is buy a small safe and dip your toes in the water

I will be retiring in LOS 01/2017 and for the past 5-years I travel to Thailand for a 1-month holiday with my wife (Thai National).

At the end of my travel each year I purchased a 2-Baht gold bar. Unfortunately the price of gold has dropped the past few years but it's better for the purchaser (buy low / sell high).

My real reason for buying the gold was to diversify my available cash as I have money in other retirement/401K "buckets".

Realistically, when I move to Thailand, as now, I will put the bars in a safe and forget about them. Let my wife cash them at a distant time if she ever really needs to.

[Anthony5]

I buy Gold with any spare money i have left over and don't look at it like a investment just a form of currency which you can check daily. Earlier in the year the price for 1 Bhat of Gold was 21000 now it is around 19000 Bhat. Guaranteed In the next year the price will go back up to over 20,000. You won't make alot and you won't lose alot but you might make a little or lose a little if you need to sell.

My advice is buy a small safe and dip your toes in the water

who guarantees the gold price increase?

4 years ago gold lovers were convinced gold will go UP and UP and UP. today they are looking at a loss of 38% plus the loss incurred what their capital would have earned in 4 years.

summary: those who bought in 2011 did not lose a little, they lost BIG!

Someone who bought gold in 2009 and sold only 2 years later was looking at a profit of 50%.

But those that bought in 2009 didn't win a little if they sold in 2011, they won BIG

Edited June 25, 2015 by Anthony5

[NeverSure]

A valid point but i don't plan to hold it for 35 years. Maybe 3 years maximum or much less if i am in profit.

I wish that when I was very young I had understood the value of compound interest and its cousin, compound stock growth, reinvested dividends, stock splits and so on. This is what made Warren Buffet the most successful investor on the planet and think about it, Bill Gates.

They both did one thing. They found a company or companies they believed in and simply invested in the company and stood pat. For Bill Gates it was Microsoft and for Warren Buffet it was companies as low tech and easy to understand as Coca Cola.

Any of us could have bought stock in Microsoft or Coke many years ago. Both of those investors benefited from my favorite investment strategy which is investing in something that creates new wealth at a high percentage each step. Since there isn't enough wealth in the world to go around and make all of us rich, I have to hook my wagon to something that creates new wealth.

Bill Gates stumbled onto something that could take a 10 cent DVD and turn it into a $200 licensed copy of Windows or Office. That's a lot of new wealth and it made him the richest man in the world. If someone had bought Microsoft stock early on, even just $5,000 worth he'd be wealthy beyond his dreams.

Coca Cola can take some cheap sugar and some cheap flavorings and make a syrup. Then they can add cheap water and carbonize the result and sell a product that cost them less than the packaging it goes into. What's not to like?

However, most of us buy a Microsoft or a Walmart or and Amazon, make some money and sell to "realize" the gain. We fail to look at the value of the company and what it has and ride its flight to the top. We want to sell and look for something else to make us money when we already have the answer. Also, if market swings make the price go down for a while we want to sell.

I don't know anyone who got wealthy day trading or buying gold or silver, but I do know people who got wealthy by investing in companies they believed in and waiting. I also know people who got wealthy by the magic of compound interest. I know a guy who got wealthy by buying private home mortgages (seller mortgages) at a discount and holding them to maturity and reinvesting his earned interest along the way.

Cheers

[Anthony5]

A valid point but i don't plan to hold it for 35 years. Maybe 3 years maximum or much less if i am in profit.

I wish that when I was very young I had understood the value of compound interest and its cousin, compound stock growth, reinvested dividends, stock splits and so on. This is what made Warren Buffet the most successful investor on the planet and think about it, Bill Gates.

They both did one thing. They found a company or companies they believed in and simply invested in the company and stood pat. For Bill Gates it was Microsoft and for Warren Buffet it was companies as low tech and easy to understand as Coca Cola.

Any of us could have bought stock in Microsoft or Coke many years ago. Both of those investors benefited from my favorite investment strategy which is investing in something that creates new wealth at a high percentage each step. Since there isn't enough wealth in the world to go around and make all of us rich, I have to hook my wagon to something that creates new wealth.

Bill Gates stumbled onto something that could take a 10 cent DVD and turn it into a $200 licensed copy of Windows or Office. That's a lot of new wealth and it made him the richest man in the world. If someone had bought Microsoft stock early on, even just $5,000 worth he'd be wealthy beyond his dreams.

Coca Cola can take some cheap sugar and some cheap flavorings and make a syrup. Then they can add cheap water and carbonize the result and sell a product that cost them less than the packaging it goes into. What's not to like?

However, most of us buy a Microsoft or a Walmart or and Amazon, make some money and sell to "realize" the gain. We fail to look at the value of the company and what it has and ride its flight to the top. We want to sell and look for something else to make us money when we already have the answer. Also, if market swings make the price go down for a while we want to sell.

I don't know anyone who got wealthy day trading or buying gold or silver, but I do know people who got wealthy by investing in companies they believed in and waiting. I also know people who got wealthy by the magic of compound interest. I know a guy who got wealthy by buying private home mortgages (seller mortgages) at a discount and holding them to maturity and reinvesting his earned interest along the way.

Cheers

In every imvestment you have people that are lucky and those that are unlucky.

For example, your hero Warren Buffett declares the purchase of Berkshire Hathaway was his worst investment ever.

He calls it a 200 Billion Dollar blunder.

http://www.cnbc.com/id/39710609

[timendres]

Gold is a terrible investment, always has been. One shouldn't even think of gold as an investment. You admit you don't know about gold but want to invest in some? That's a good way to "gamble" away your money.

Google "Gold is a bad investment". Hopefully you'll get why this is a bad idea.

If all you can come up with is to buy gold as an investment, then do nothing.

If the money is in Thailand. Spread it around in a number of timed deposits with different banks. Different banks to spread out risk. You can earn something like 2.5%, maybe more.

If you're in the I'm thinking of buying gold as an investment, you need a financial advisor.

Excellent advice. Gold should be considered as only one thing: a hedge against currency debasement, and/or turbulent or dysfunctional governments/banking systems.

As such, it should be a small percentage of your portfolio, and held indefinitely like insurance.

As a (non)investment, you are guaranteed to lose the spread on any round trip (buy then sell), commissions, as well as put yourself up against dealers who are smarter than you, including some who are outright crooks. Worse, like any commodity, the price of gold can drop significantly. Just ask the folks who bought at $1900/oz!

As the poster said, you need to consult a financial advisor, or do serious research on your own, if you consider gold an investment.

[timendres]

I buy Gold with any spare money i have left over and don't look at it like a investment just a form of currency which you can check daily. Earlier in the year the price for 1 Bhat of Gold was 21000 now it is around 19000 Bhat. Guaranteed In the next year the price will go back up to over 20,000. You won't make alot and you won't lose alot but you might make a little or lose a little if you need to sell.

My advice is buy a small safe and dip your toes in the water

who guarantees the gold price increase?

4 years ago gold lovers were convinced gold will go UP and UP and UP. today they are looking at a loss of 38% plus the loss incurred what their capital would have earned in 4 years.

summary: those who bought in 2011 did not lose a little, they lost BIG!

Someone who bought gold in 2009 and sold only 2 years later was looking at a profit of 50%.

But those that bought in 2009 didn't win a little if they sold in 2011, they won BIG

These are not the discussions of investors. They are the discussions of speculators.

[NeverSure]

I wish that when I was very young I had understood the value of compound interest and its cousin, compound stock growth, reinvested dividends, stock splits and so on. This is what made Warren Buffet the most successful investor on the planet and think about it, Bill Gates.

They both did one thing. They found a company or companies they believed in and simply invested in the company and stood pat. For Bill Gates it was Microsoft and for Warren Buffet it was companies as low tech and easy to understand as Coca Cola.

Any of us could have bought stock in Microsoft or Coke many years ago. Both of those investors benefited from my favorite investment strategy which is investing in something that creates new wealth at a high percentage each step. Since there isn't enough wealth in the world to go around and make all of us rich, I have to hook my wagon to something that creates new wealth.

Bill Gates stumbled onto something that could take a 10 cent DVD and turn it into a $200 licensed copy of Windows or Office. That's a lot of new wealth and it made him the richest man in the world. If someone had bought Microsoft stock early on, even just $5,000 worth he'd be wealthy beyond his dreams.

Coca Cola can take some cheap sugar and some cheap flavorings and make a syrup. Then they can add cheap water and carbonize the result and sell a product that cost them less than the packaging it goes into. What's not to like?

However, most of us buy a Microsoft or a Walmart or and Amazon, make some money and sell to "realize" the gain. We fail to look at the value of the company and what it has and ride its flight to the top. We want to sell and look for something else to make us money when we already have the answer. Also, if market swings make the price go down for a while we want to sell.

I don't know anyone who got wealthy day trading or buying gold or silver, but I do know people who got wealthy by investing in companies they believed in and waiting. I also know people who got wealthy by the magic of compound interest. I know a guy who got wealthy by buying private home mortgages (seller mortgages) at a discount and holding them to maturity and reinvesting his earned interest along the way.

Cheers

In every imvestment you have people that are lucky and those that are unlucky.

For example, your hero Warren Buffett declares the purchase of Berkshire Hathaway was his worst investment ever.

He calls it a 200 Billion Dollar blunder.

http://www.cnbc.com/id/39710609

I agree. No one wins them all. But day trading or short term ownership trying to time the market etc. rarely works, especially over the long term.

Buffet didn't have to win them all. He won enough times and big enough to be considered the best investor in the world, by some. His philosophy is to find a company he likes and buy and hold. It could be argued that this is what Bill Gates and Sam Walton did and if that argument fails then those stockholders who saw opportunity in what they were doing and bought in for the long haul won big.

Cheers

[Anthony5]

Gold is a terrible investment, always has been. One shouldn't even think of gold as an investment. You admit you don't know about gold but want to invest in some? That's a good way to "gamble" away your money.

Google "Gold is a bad investment". Hopefully you'll get why this is a bad idea.

If all you can come up with is to buy gold as an investment, then do nothing.

If the money is in Thailand. Spread it around in a number of timed deposits with different banks. Different banks to spread out risk. You can earn something like 2.5%, maybe more.

If you're in the I'm thinking of buying gold as an investment, you need a financial advisor.

Excellent advice. Gold should be considered as only one thing: a hedge against currency debasement, and/or turbulent or dysfunctional governments/banking systems.

As such, it should be a small percentage of your portfolio, and held indefinitely like insurance.

As a (non)investment, you are guaranteed to lose the spread on any round trip (buy then sell), commissions, as well as put yourself up against dealers who are smarter than you, including some who are outright crooks. Worse, like any commodity, the price of gold can drop significantly. Just ask the folks who bought at $1900/oz!

As the poster said, you need to consult a financial advisor, or do serious research on your own, if you consider gold an investment.

Looks like you're talking about any given investment in the world, where you're guaranteed to lose the buy or sell cost and taxes, and from which the price can go significantly up or down when a crook, activist investor, hedge fund manager decides to like or dislike the stock you hold.

[Anthony5]

I buy Gold with any spare money i have left over and don't look at it like a investment just a form of currency which you can check daily. Earlier in the year the price for 1 Bhat of Gold was 21000 now it is around 19000 Bhat. Guaranteed In the next year the price will go back up to over 20,000. You won't make alot and you won't lose alot but you might make a little or lose a little if you need to sell.

My advice is buy a small safe and dip your toes in the water

who guarantees the gold price increase?

4 years ago gold lovers were convinced gold will go UP and UP and UP. today they are looking at a loss of 38% plus the loss incurred what their capital would have earned in 4 years.

summary: those who bought in 2011 did not lose a little, they lost BIG!

Someone who bought gold in 2009 and sold only 2 years later was looking at a profit of 50%.

But those that bought in 2009 didn't win a little if they sold in 2011, they won BIG

These are not the discussions of investors. They are the discussions of speculators.

My post was rather to pint out that with gold, as with any other investment, you can win or lose big depending on the timing.

Unless you of course are one of the select few who guaranteed knows when gold will go up or down.

Edited June 26, 2015 by Anthony5