Is it worth investing in gold?

atush

yeah, for 1-5% of your portfolio it can have a place.

But not in major tranches.

Mistermeaner

No. No it's not. Not worth having a penny of the stuff.

Better a few USD in cash in you want something other than the normal

puk999

OP: Soon, someone called DiggerUK will respond to this thread telling you how great gold is. He'll likely elaborate and suggest putting a lot of money into gold is better than having a pension plan. Pay him no heed

ValiantSaint

Many, many thanks to all of you for all your excellent replies.

Well, it seems that's me done with the "investing" side of things. If I invest in gold, I won't see much of a return, if I invest my money into savings account, I'll get hardly any interest. And if I invest my money in a S&S ISA, that could all be wiped out if the markets crash.

Just where in this great big blue marble can I place my money so it'll make a decent return, without losing the lot? (Or making nothing!)

Cheers

gadgetmind

ValiantSaint wrote: »

And if I invest my money in a S&S ISA, that could all be wiped out if the markets crash.

If you invest in a global tracker, then you can only get "wiped out" if the value of every company on the planet drops to zero and stays there.Of course, you could lose a big chunk if their values drops a lot and you panic and sell.

As long as you diversify (across asset classes, territories, and (most importantly) a wide range of sectors and companies) then you'll do OK over the long term.

Masomnia

atush wrote: »

At todays prices? I say no.

the time to invest in gold is when no one else is talking about it or buying it.

I remember in 2010 one of my housemates who has no experience in investing whatsoever was talking to a mate of mine and I overheard him saying 'I've heard gold is a good investment'. I thought at the time if I owned any that would be as strong a sell signal as you're going to get! No disrespect to my mate.

Pincher

In the 80's the sell signal is when nuns are seen buying shares.

You can buy shares in mining shares, which do pay dividends.

If you believe in the ten year economic cycle theory, so commodities go up and down in ten year cycles, buy it when the graph looks low, sell when it doubles, and take the dividends, when they pay it.

robatwork

ValiantSaint wrote: »

Just where in this great big blue marble can I place my money so it'll make a decent return, without losing the lot? (Or making nothing!)

Cheers

You need to study human nature a bit more.

If there were a place that you describe - guaranteed decent return with no risk of losing - then nobody on here would be telling you about it. We'd be piling into it in total secrecy.

Here you'll get sound advice about risk/reward, passive/active, red/black. But there's no magic answer.

It ranges from NSI which is 100% safe and probably less than 1% return, to gambling it all which is 0% safe but you can make 100% or more return. Or something in between which is called investing.
Gold is probably up at the 20% safe region - you won't lose it all but it can drop substantially. Or if there's a global economic crisis it may rocket.

DiggerUK

robatwork wrote: »

................... Gold is probably up at the 20% safe region - you won't lose it all but it can drop substantially. Or if there's a global economic crisis it may rocket.

Despite everything claimed about gold in this thread, all our saving and investment gambles over the years have been preserved in our gold holdings.
The stubborn fact still remains the sub £650 per ounce average that it cost us, that is despite the massive fall in price since September 2011.
Until we see prices fall, and stay under our £650 cost average, it is Digger Mansions that is shown to provide sound long term financial acumen.

Gold, not greed, is good .
..._

dunstonh

Well, it seems that's me done with the "investing" side of things. If I invest in gold, I won't see much of a return, if I invest my money into savings account, I'll get hardly any interest. And if I invest my money in a S&S ISA, that could all be wiped out if the markets crash.

So, you are just limiting yourself to 100% in three different options? Investing 100% in any one option is never the best way. However, you are jumping all over the risk scale. Risk is not on/off. It is a sliding scale.

If you S&S ISA was wiped out then you wouldnt care as you would be too busy boarding up the windows, stockpiling weapons, water and cans of beans.