Buying gold

Richard

Richard

Final Approach
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Ack...city life
Is numismatic or bullion currently a good investment?

Given all the radio ads for buying gold, I wonder if someone is leveraging the market ready to pounce when the magic number is reached.
 
From what I hear, no it is not. Those ads have been running for years. If it WERE a good investment they wouldn't have to tell you how good of an investment it was.
 
I bought into the Goldkit.com glitzy ad, really not expecting much. And got even less than I expected.

I gathered up all our old gold stuff laying around. High school class rings that had been sitting in a box in the basement, old wedding/engagement rings, earrings, etc. A FULL package and mailed it in the postage-paid envelope they provided (and said was insured).

Naturally, they said they never received it.
 
I ran some numbers to satisfy my own curiosity. Let's say that back in 1986 I decided to buy 200 ounces of gold once per year every year. Let's also say that I was incredibly prescient and every year I bought gold at the bottom of the market that year.

My total cost would have been $1,366,000 and the value of that gold today would be $2,700,000. A whopping compounded return of 6.2%, and that is assuming that I don't have to pay someone to store the 250 lbs of gold I would now own.

No thanks.


James Dean
 
I get the last two characters. But what's the first one?
 
James_Dean said:
I ran some numbers to satisfy my own curiosity. Let's say that back in 1986 I decided to buy 200 ounces of gold once per year every year. Let's also say that I was incredibly prescient and every year I bought gold at the bottom of the market that year.

My total cost would have been $1,366,000 and the value of that gold today would be $2,700,000. A whopping compounded return of 6.2%, and that is assuming that I don't have to pay someone to store the 250 lbs of gold I would now own.

No thanks.


James Dean
Click to expand...

Ahhh... but the return on running TV ads to tell people to mail in their GOLD jewelry TO MAKE HUGE CASH and then denying you got it is nearly 100%.

I like the idea. I could be RICH if I sold all of my assets. :rolleyes:

...otherwise I'll be rich by LOWERING MY PAYMENTS!
 
Gerhardt said:
I bought into the Goldkit.com glitzy ad, really not expecting much. And got even less than I expected.

I gathered up all our old gold stuff laying around. High school class rings that had been sitting in a box in the basement, old wedding/engagement rings, earrings, etc. A FULL package and mailed it in the postage-paid envelope they provided (and said was insured).

Naturally, they said they never received it.
Click to expand...

Wow, sounds like you're not the ONLY one with that experience:

http://www.epinions.com/content_219257540228/show_~allcom


Some state's Attorney General (and maybe the Postal Inspector) needs to be investigating where all the gold went.
 
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Larry Gatlin had it right...

All the gold in California
Is in a bank in the middle of Beverly Hills in somebody else’s name
So if you’re dreaming about California
It don’t matter at all where you played before, California’s a brand new game

Trying to be a hero, winding up a zero
Can scar a man forever, right down to your soul
Living on the spot light, can kill a man out right
Cause everything that glitters is not gold
Click to expand...
 
Water! Buy into water resources, utilities, desal. plants; it's our next boom industry!
(my broker almost laughed when I suggested it)
 
Richard said:
Given all the radio ads for buying gold, I wonder if someone is leveraging the market ready to pounce when the magic number is reached.
Click to expand...
More Likely they are waiting to sell when their advertising gets the price up enough. Beware of the time-honored "Pump and Dump" scheme.

-Skip
 
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