stocks and shares/FTSE iminent

chucknorris

GreatApe wrote: »

Gold might be a good bet because of India.
The Indians love gold and in 25 years time India could be 10x real GDP in dollars.

Currently an ounce of gold is about one years wages in India this will go down to 1 months wages (if gold only tracks inflation) which will probably add a lot of demand. Same more or less applies to Pakistan so about 2 billion people just there.

2 billion gold lovers who's dollar income is going to grow an average 10% nominal a year. My guess would be $5-10k per ounce in today's money by 2050 but I wouldn't put more than 10% of my total net worth on it.

I'm not really interested in speculating though, I'm not saying that it isn't any good, just that it isn't any good for me.

LdnFtB

GreatApe wrote: »

Gold might be a good bet because of India.
The Indians love gold and in 25 years time India could be 10x real GDP in dollars.

Currently an ounce of gold is about one years wages in India this will go down to 1 months wages (if gold only tracks inflation) which will probably add a lot of demand. Same more or less applies to Pakistan so about 2 billion people just there.

2 billion gold lovers who's dollar income is going to grow an average 10% nominal a year.

There's a lot of ifs, coulds, probably and mights in there. I think a stronger proposition than speculating on gold futures is to simply own an index fund. As the Indian economy and middle class grows so will the index - and no need to try and pick individual companies or assets that might win or lose in a foreign culture and country.