Savers advised against buying gold

[ilovesilverireallydo]

Opinions? Won’t link to article as it’s full of ads. alternative advice in the article pasted below: 

Director of research Adrian Ash said that gold sales are rising as investors shun stock markets, higher-risk currencies and corporate bonds: “If central banks cut interest rates and try aggressive monetary easing, this will worsen the already poor returns savers get from cash, boosting the case for gold.” 

Russ Mould, an investment director at AJ Bell, said you do not have to buy physical gold bars to invest in the precious metal, as you then have costs such as storage and security. 

Instead, he suggests buying a low-cost exchange-traded fund (ETF) and tips the popular VanEck Vectors Gold Miners ETF. 

Personally I am concerned about buying at this moment and am trying to hedge by focusing on coins with numismatic premiums which I can pick up sans premium from my usual sources. I do think we are on the edge of a massive pullback then an immediate rally. I buy mostly for retirement fund but think it’s advisable to have funds ready for the pullback if it happens.* 

*not a financial advisor 🧔🏽

[goldking]

Typical dumb article from the Daily Express.  Must have run out of Diana stories.  Gold is not a yield generating asset - never had been and never will be, so all this talk about "investment" is nonsense.  And why am I not surprised to see these so-called expert investment gurus recommending people buy worthless paper ETFs instead of physical.  What could possibly go wrong there.... 

[AndrewSL76]

Anyone who says ‘sans’ in a sentence (aside from in this context 😃) where they are not actually speaking in French should be made to go straight to their room so that they can think about their actions.

[ilovesilverireallydo]

12 minutes ago, AndrewSL76 said:

Anyone who says ‘sans’ in a sentence (aside from in this context 😃) where they are not actually speaking in French should be made to go straight to their room so that they can think about their actions.

Sans has been accepted as part of formal English from Shakespearean times  
 

 

[Roy]

Mange tout, as they say 😎

[AndrewSL76]

@ilovesilverireallydo 

I stand corrected. Still, it’s the sort of thing Bob Mortimer would say when doing the ‘train guy’

 

[richatthecroft]

The Express say don’t rush into Gold- unless of course it’s bought from one of their sponsors whom take out full page spread in their comic- such as H&B 😂

[RacerCool]

7 minutes ago, richatthecroft said:

The Express say don’t rush into Gold- unless of course it’s bought from one of their sponsors whom take out full page spread in their comic- such as H&B 😂

That's because their gold is better. It's the new and improved "extra-golden" gold, now more goldier, with improved goldeness!

[sovereignsteve]

58 minutes ago, Roy said:

Mange tout, as they say 😎

Or even ménage a trois 😎

[HawkHybrid]

consider buying as much physical gold as sufficient for

an emergency fund. then work on it from there. buying

the dips should work well long term as gold is still

trending higher.

 

HH

[Zhorro]

Maybe they will put interest rates up in order to encourage people to save money with the banks?

[goldking]

14 minutes ago, Zhorro said:

Maybe they will put interest rates up in order to encourage people to save money with the banks?

[ilovesilverireallydo]

41 minutes ago, Zhorro said:

Maybe they will put interest rates up in order to encourage people to save money with the banks?

They just halved them... 

[goldking]

Having money in a bank or savings account is a complete waste of time unless they're paying you over 2% interest as that's supposedly the rate of inflation.  If they're not paying that then you're losing money in real terms (actual purchasing power).  Personally, I think the true rate of inflation is much higher than the official figures as the CPI doesn't include food or energy costs.  Whose food and energy bills are the same price today as they were 10, 20, 50 years ago?  No-one.  If they included those in the official inflation figures the number would be much higher for sure.  Over the long term you're far better off sticking your money in gold and if you time your liquidation back to fiat to buy something when we're in a 'fear' period like now, you're likely to make a tidy profit on it too.

[Tn21]

Having an ETF will still allow you to profit from the rise of the physical spot price. 

If someone is not comfortable holding physical then having an ETF would be ideal for them. 

 

[goldking]

6 minutes ago, Tn21 said:

Having an ETF will still allow you to profit from the rise of the physical spot price. 

If someone is not comfortable holding physical then having an ETF would be ideal for them. 

It's been discussed on here before.  They're not worth the 'paper' they're written on.  If the custodian runs into financial difficulty - or worse - they go pop, you lose the lot, or you might get some worthless shares in the bankrupt bank in exchange.  It's buried deep in the T&Cs.  Considering that HSBC are one of (if not the) biggest custodian and they've been all over the news in recent months for being on the verge of going pop, one would have to be monumentally stupid to be holding any gold ETFs right now.

[Tn21]

Thanks for the reply @goldking

 If it goes into financial difficulty 

There is a risk for sure but that's with all types of assets, but I think playing the paper markets can be beneficial too. 

 

 

[sixgun]

i have never seen 'sans' used in the middle of an English sentence, except with Jeux sans frontières which they called It's a Knockout in a past era when every child's friend Stuart Hall was on the telly. i thought it was a typo initially. Well i have learnt something new.
What more can we expect from the controlled media but misdirection and lies.
Carry on stacking lads.

[Roy]

Common use in this household @sixgun 😊

Same as the Spanish sin,  which I'm sure you are familiar with 😉

---

Added 0 minutes later...

13 minutes ago, sixgun said:

Jeux sans frontières

Games without frontiers

[sixgun]

1 minute ago, Roy said:

Common use in this household @sixgun 😊

Same as the Spanish sin,  which I'm sure you are familiar with 😉

 

Yes i am familiar with sin but i do keep asking for forgiveness.

[PapaLazarou]

Use of the word "sans" is a sine qua non.

[Martlet]

1 hour ago, goldking said:

Having money in a bank or savings account is a complete waste of time unless they're paying you over 2% interest as that's supposedly the rate of inflation.  If they're not paying that then you're losing money in real terms (actual purchasing power).  Personally, I think the true rate of inflation is much higher than the official figures as the CPI doesn't include food or energy costs.  Whose food and energy bills are the same price today as they were 10, 20, 50 years ago?  No-one.  If they included those in the official inflation figures the number would be much higher for sure.  Over the long term you're far better off sticking your money in gold and if you time your liquidation back to fiat to buy something when we're in a 'fear' period like now, you're likely to make a tidy profit on it too.

CPI does include food and energy. Its a measure of a synthetic, weighted basket of goods, not necessarily personal inflation.  Nice summary of the breakdown half way down this page

https://www.economicsonline.co.uk/Managing_the_economy/Measuring_inflation.html

[goldking]

45 minutes ago, Martlet said:

CPI does include food and energy. Its a measure of a synthetic, weighted basket of goods, not necessarily personal inflation.  Nice summary of the breakdown half way down this page

https://www.economicsonline.co.uk/Managing_the_economy/Measuring_inflation.html

Interesting.  I wasn't aware that the UK had its own version of the CPI.  There is a wiki page for it but it's light on detail vs the 'main' that everyone else seems to use but I don't know enough about either so am happy to bow to your superior knowledge.  The one the US use is made up of several parts, but the Core CPI measure is (afaik) the one the Fed uses to base their inflation figures on and that one definitely does not include food or energy costs.  I suppose it's a bit of a moot point anyway as they've moved the goal posts on how their measure inflation umpteen times, no doubt to make the true figure appear better than it actually is .  I still maintain that the actual rate of inflation is higher than the so-called official figures.  I've worked in the food retail industry for 20 years and there's been more than 2%/year inflation on raw unprocessed food products in that time.

[Stuntman]

8 hours ago, goldking said:

It's been discussed on here before.  They're not worth the 'paper' they're written on.  If the custodian runs into financial difficulty - or worse - they go pop, you lose the lot, or you might get some worthless shares in the bankrupt bank in exchange.  It's buried deep in the T&Cs.  Considering that HSBC are one of (if not the) biggest custodian and they've been all over the news in recent months for being on the verge of going pop, one would have to be monumentally stupid to be holding any gold ETFs right now.

Interesting.  I don't consider myself to be monumentally stupid and yet I hold significant sums in gold, silver and platinum ETFs.  All of these ETFs produce audited statements saying that they actually hold the physical PM bars, fully backing their asset price.

If those go pop then everything else will be screwed anyway.  I do also hold the physical metals too, although I have far more silver and platinum value invested in the ETFs.  For gold it's the other way round.

Each to their own 😊

[SilverPirate007]

I will be a gold buyer, when it crashes in price in the next year!