investing in gold?

ChesterDog

Don't be offended by this, but your level of knowledge as indicated by your post indicates to me that you shouldn't be touching gold. Think about gold when you have a good, diverse (and preferably income-generating) portfolio.

I have done quite well with gold. I hold none now and won't be doing so for a good while yet. The factors which pushed up the price are diminishing. Appetite for risk is increasing again.

Just my opinion, of course.

DiggerUK

phatus wrote: »

Can anyone give any helpful advice to a total beginner for buying gold

Yes, do some more research.
This should help you along, but remember, Moneyweek are favourable to gold.
http://moneyweek.com/investing-in-gold/

These two sites will give you some insight to prices, I have used both. It is the price per gramme that is the bottom line.
In UK gold is VAT free, UK legal tender is also CGT free.
http://atkinsonsbullion.com/
http://www.coininvestdirect.com/en/
..._

brendon

phatus wrote: »

I'm not bothered about getting an income from it. It would just be an investment like if i put money into stocks and shares.

Except that stocks and shares do give you income in the form of dividends, which is what share price is predicated on. The price of gold is based on nothing but scarcity.

melanzana

ChesterDog wrote: »

Don't be offended by this, but your level of knowledge as indicated by your post indicates to me that you shouldn't be touching gold. Think about gold when you have a good, diverse (and preferably income-generating) portfolio.

I have done quite well with gold. I hold none now and won't be doing so for a good while yet. The factors which pushed up the price are diminishing. Appetite for risk is increasing again.

Just my opinion, of course.

But I bought two properties in Ireland when the prices were floored (IMO) 18 months ago.everyone thought I was nuts.

They are in Dublin, and are now getting rental 20% above at the time I bought. And they have increased in price, but that doesn't bother me much long term. The rental market is hot in
Dublin.

So I'm going to buy some gold too now that its affordable.

The bubbles and risks turn around and around.

When everyone else is afraid to buy, buy!

jimjames

melanzana wrote: »

When everyone else is afraid to buy, buy!

Which is fine if you have a balanced portfolio or are intending gambling.

If you are looking for a long term investment portfolio that doesn't involve taking a punt with all your spare cash on shiny bit of metal that you hope may go up in value.

I prefer shares as I can understand business - you grow a business, profits increase, reinvest and the business increases in value. Obviously not all happen that way which is why I prefer funds but if you buy into the capitalist way then I think shares are a good investment.

jimjames

brendon wrote: »

Except that stocks and shares do give you income in the form of dividends, which is what share price is predicated on. The price of gold is based on nothing but scarcity.

And dividends provide much of the long term return from shares when reinvested and compounded over time.

melanzana

jimjames wrote: »

Which is fine if you have a balanced portfolio or are intending gambling.

If you are looking for a long term investment portfolio that doesn't involve taking a punt with all your spare cash on shiny bit of metal that you hope may go up in value.

I prefer shares as I can understand business - you grow a business, profits increase, reinvest and the business increases in value. Obviously not all happen that way which is why I prefer funds but if you buy into the capitalist way then I think shares are a good investment.

I can understand your POV.

I have Irish connections, and many of my relatives have totally lost their pensions because they invested in Anglo Irish Bank shares. It is very rough for them now. But share investments are gambles too.

I bought Bank of Ireland Shares at 16c a while ago, again, when everyone thought I was nuts. They are now doubled.

That may change though, but as you say, am happy to take a punt now and then.

planteria

they put their whole pension pots into Anglo Irish shares?

melanzana

planteria wrote: »

they put their whole pension pots into Anglo Irish shares?

You may not know the madness that went on during the so called Celtic Tiger in Ireland.

But it was Good for some, those who had the nous to exit early, but for those who were told buy, buy, houses, bank shares, you cannot go wrong.... And didn't get out before disaster struck...

It was a disaster.

Bad advice? Or greed?

I dunno.

warehouse

I invest a small % of my savings in gold sovereigns. I like them and I intend to keep them for a long time. I call it interesting investing, (though some of the sovereigns I purchased at £250 last year are on sale at £194 right now)!

Go in with your eyes open.