Gold in your portfolio?

PloughmansLunch

boingy said:

(Makes a mental note to flick through all the books in every charity shop, just in case someone has taped gold coins inside them then forgotten).

Get the same thrill at a cut-price MSE level: use foil-covered chrimbo chocolate coins instead

wmb194

booneruk said:

wmb194 said:

Bravepants said:

In a proper end of the world, apocalypse type scenario, food will be more valuable than gold, and gold won't buy you much of anything.

That isn't what it's about though, it's more about the situation Argentina finds itself in. For the most part society still functions but owning gold has helped to insulate you from the extreme depreciation of the peso and preserved some of your wealth.

The same could be achieved through investment into global tracker funds, and as a Brucie bonus that would also generate a yield.

Sure, but an apocalypse almost always comes up when gold is mentioned.

boingy

PloughmansLunch said:

boingy said:

(Makes a mental note to flick through all the books in every charity shop, just in case someone has taped gold coins inside them then forgotten).

Get the same thrill at a cut-price MSE level: use foil-covered chrimbo chocolate coins instead

That's not the same thrill at all - it's better. You get to find a gold coin and then you get to eat it. Bonus.

Middle_of_the_Road

boingy said:

(Makes a mental note to flick through all the books in every charity shop, just in case someone has taped gold coins inside them then forgotten).

A friend was clearing their parent's property and found £500 in 50 pound notes when a picture frame got broken. Another 500 was behind the other frame in the same bedroom. Pity they had already taken other pictures from downstairs to charity shops at some point earlier.

artyboy

Sg28 said:

Venomspread3r said:

😄 those posts!! 
On a serious note are you never worried having the gold in your house? 

My gold sovereigns aren't in a safe. They are well hidden in a difficult to access location and only my wife and myself know that we have them. 

As long as you can still sit comfortably...

Bravepants

wmb194 said:

Bravepants said:

In a proper end of the world, apocalypse type scenario, food will be more valuable than gold, and gold won't buy you much of anything.

That isn't what it's about though, it's more about the situation Argentina finds itself in. For the most part society still functions but owning gold has helped to insulate you from the extreme depreciation of the peso and preserved some of your wealth.

So would it be better owning smaller denominations of gold, say half-sovereigns rather than 1oz coins?

dgpur

We have a gold krugerrand. Since we got it its value has risen significantly and consistently. I’m not tempted to buy more, but it’s more than earned its right to be a small part of our portfolio.

wmb194

Bravepants said:

wmb194 said:

Bravepants said:

In a proper end of the world, apocalypse type scenario, food will be more valuable than gold, and gold won't buy you much of anything.

That isn't what it's about though, it's more about the situation Argentina finds itself in. For the most part society still functions but owning gold has helped to insulate you from the extreme depreciation of the peso and preserved some of your wealth.

So would it be better owning smaller denominations of gold, say half-sovereigns rather than 1oz coins?

Yes, in theory smaller coins should be easier to sell.

Nebulous2

Nebulous2 said:

I've one Krugerrand. Given to me in 1976, at my request, on the sale of a family business. It cost £70 and looking at the price today it would cost just over £1900. There have been long periods when it has done nothing, or been in negative territory for years. In 2000 for instance, about halfway in, it would have been worth £186. 

The bank of England inflation calculator tells me my £70 in 1976 would be worth £458 today so it has handsomely beaten inflation. 

However, and due to laziness and being on my phone I haven't found UK figures - 70 dollars in the S&P 500  would be worth over 15000 dollars today with dividends reinvested. 

You're looking at a high risk volatile commodity, which will concentrate your risk, rather than diversify it. 

In addition it is a less-regulated market where charlatans abound. I sincerely hope you are physically holding your coins rather than trusting others to do so. 

Here's something  I posted last year on the subject, about my Krugerrand. 

There have been periods of time in the last 40 odd years when I've had no idea where it is, but it always seems to turn up again eventually.