What everyone’s opinion on investing in gold in 2021?
Is that physical gold, paper gold, gold ETF’s, investment in gold mining companies???
Sorry yes , Physical gold is what I’m looking at
I’ve been buying a bit this year, both physical and shares in Barrick. Tis my crypto hedge
As someone who holds both physical gold (sovereigns is my coin of choice) and gold in a ETF, I must say for profit taking, I prefer the ETF as I can buy and sell at whatever price I want.
With physical, you have to factor in the premium you have paid for it, and how you will sell it, (which can be a pain in the rear end)
But in saying all that, there is something about holding a piece of gold in your hand.
Physical gold has been a postive assest to my portfolio for years but you have to bear in mind the time I bought it, gold was much cheaper than it is now.
Gold is more of a hedge against inflation but definitely something which everyone should hold as part of a larger portfolio of diversified assests.
My feeling is that gold will have a pretty good run in the near future. The major governments are printing lots of money and somehow that cannot continue. I suspect that a lot of this money is moving into things like bitcoin, non-fungible token and many other assets, shares of course included which is why all assets seems a bit expensive right now. Unless bitcoin <-> gold is a bit like car <-> horse I cannot see gold loosing its place as a store of value. For most countries inflation is the only way to reduce the debt burden, quite gently and not too openly I think. For countries in the Euro zone it will get tough as they cannot do this.
I hold 5% in iShares Gold Producers (SPGP) and save monthly into a Royal Mint account.
Physical is preferred, in a real panic you’ll find that paper assets are never rly the number 1 options. Never sell unless a better opportunity arises a decade or two from original purchase. Most physical buyers make purchases over long periods of time taking advantages of price.
The etf is a bet that it will go up, why pay etf fee’s should the gold market stagnate or go down for multiple years before reaching new highs.
Physical commodities also speak much louder in the real world.
Paper assets like mining stocks or gold royalty stocks can be good over periods of strong demand, though you rly need to be experienced in that area.
This is in no way anything more than an insight. Silver is heavily used in the renewables sector and Biden is strong on this so personally, silver seems to be the current in demand commodity which its price is so manipulated low that history may prove it has much more room to run. Again, it’s a marathon not a sprint.