How long can you have your money tied up to make it worth your while?
Investing in gold should not be a buy and flip situation.
Several months ago someone dumped a massive amount of gold onto the market in order to control the value of the dollar. That made gold prices drop like a rock. It hit a low of around $1200 an ounce. The last price quote is now $1382.00/oz. If you bought a hundred ounces when it was low you made a whopping $1820 profit. Of course if you bought a hundred ounces at $1200 it would mean you spent $120,000 to do it. Not a great profit margin.
Gold is something that holds it's value. That doesn't mean you will make a great profit on it unless by some chance the economy tanks and the value shoots up massively.
There are some people who make money buying and selling gold. You have to have the money to invest in the first place though.
Both China and India have been on a gold buying spree. Chinas economy is slowing down considerably and they carry a massive amount of US debt. In India gold was illegal for the average citizen to own for a very long time. Once that law was relaxed they started buying it like there was no tomorrow.
No.
Some people buy it to hedge inflation...
Advisors usually only recommend 5 - 10% of one's portfolio into gold.
It is very volatile and I feel there are better investments in U.S. such as Real Estate (mutual fund)
or healthcare, or even High Yield bonds.
Not at the moment.
In about ten years time when it is $800 dollars an ounce and no one is touching it, then buy.
But only a little bit, shares give a much better return in the long run.
Yes
countries are stockpiling it, doesn't that mean it is a good long term investment?
