How many of you invest in Gold?

**disneysteve** · 02-01-2009, 04:40 PM

We do indirectly. We have a small position in OPGSX, the Oppenheimer Gold and Special Minerals Fund.

**snafu** · 02-01-2009, 07:38 PM

I have a small position in sm. capitalized gold stock since high school when we did a 'unit' on the stock market. I only buy when stock is extremely low and sell when the stock meets my target. The larger companies keep buying out the small so I've had a bumpy ride.

I think OPGSX is a better deal.

**kork13** · 02-01-2009, 08:04 PM

Originally posted by disneysteve View Post

We do indirectly. We have a small position in OPGSX, the Oppenheimer Gold and Special Minerals Fund.

I'm the same way, I invest in it indirectly through a small holding of USAGX, which takes holdings in the actual companies dealing with precious metals. Performance roughly follows gold and others, but not entirely (it's more concerned with the profits of the actual companies, not simply the price of gold), which tends to stabilize the overall performance somewhat.

**Goldy1** · 02-01-2009, 08:09 PM

no never have. I don't have the knowledge about it. From what I read it is kind of like a stock. Gold is expensive now isn't it? So I am glad I already own some jewelry.

**ksluis62** · 02-01-2009, 09:37 PM

I have a few tooth crowns, so I'm a definite "Hold" when it come to gold! Seriously, I don't know much about gold trading, but I would be cautious. Take a look at this article with a 40 year chart of gold prices... We've exceeded a peak in the early 80's, but look what happened after that peak, during the recovery in the Reagan years.

Historical Gold Prices/Price 1800-2008 , Market, History, Bullion, Ingots, Bars,: from Finfacts Ireland

Just be cautious, as you don't want to be left holding the bag if it drops like it did in the early 80's. If you buy it, watch it closely.

**creditcardfree** · 02-02-2009, 03:56 PM

Thanks for the article. I will show it to him and see what conclusions he comes to after that.

I remember he wanted us to buy the dinar (Iraq's currency) when he was stationed there 4 years ago. We never did that. Currency buying and holding...I don't know much about it...seems a little too risky.

**GREENBACK** · 02-02-2009, 04:24 PM

Many years ago I looked at gold as a possibility and didn't go for it when it was around 400....ughh. Too bad I didn't have a crystal ball.

**jIM_Ohio** · 02-02-2009, 04:47 PM

YES- I have a position in PRPFX which puts 25% of fund in gold bullion and 5% in silver coins.

I use this as a growth vehicle for cash which is not in EF.

**ksluis62** · 02-02-2009, 09:03 PM

Originally posted by creditcardfree View Post

Thanks for the article. I will show it to him and see what conclusions he comes to after that.

I should point out that I linked to that article simply to show the 40 year history of gold prices. I can't say that the article is the best educational piece. I often look to Fool.com: Stock Investing Advice | Stock Research for unbiased guidance, so you might try researching that site. Maybe somebody else on the board can offer other sites that might be more specific on fundamentals of metals investing?

I heard one analyst today on CNBC during a round-table discussion saying his company is investing in commodities and metals (including gold). But I'm still wary. I've heard quite a few advertisements to lure individual investors into trading gold. I usually take that to mean its about time for the professionals to be getting out of gold, and they need the small guy to come in and buy them out at top dollar. But at the same time, that could buoy the price for a while longer.

**jIM_Ohio** · 02-03-2009, 06:44 AM

OK to invest in gold, just keep the position nominal- maybe 10 percent of whole portfolio.

**Bernz** · 02-03-2009, 02:54 PM

One of my friends have been trying to get me to invest as far as two years ago. Not sure why, but I have not really considered it and not even tried to at least do some research. I guess it's just not something that really interest me.

**brig2221** · 02-03-2009, 03:30 PM

I have been investing in some Silver lately. Would love to purchase some gold to hedge against the coming storm, i.e. inflation, but at $900 an oz, too rich for my blood.

Next best alternative is Silver for me, which is around $12 an oz presently.

Generally speaking, commodities as a whole, and especially precious metals, are very volatile. That said, I cannot think of a better hedge right now against currency debasement (Thank you Federal Reserve) and inflation than Gold.

**banditfist** · 02-03-2009, 07:01 PM

Originally posted by brig2221 View Post

I have been investing in some Silver lately. Would love to purchase some gold to hedge against the coming storm, i.e. inflation, but at $900 an oz, too rich for my blood.

Next best alternative is Silver for me, which is around $12 an oz presently.

Generally speaking, commodities as a whole, and especially precious metals, are very volatile. That said, I cannot think of a better hedge right now against currency debasement (Thank you Federal Reserve) and inflation than Gold.

Gold has a very limited industrial use. Silver and platinum have many more uses and are in demand by industry. That said, 20 million Chinese are out of work. To think that they are going to increase demand is not logical.
I have read that gold is an inflation hedge, and points counter to that argument as well. IMO, gold is a geo-political stability hedge.

If you are going to invest in gold, get the physical stuff. Stock certificates are just paper. If the crap hits the fan, the paper goes flying with it.

**Scanner** · 02-06-2009, 05:31 PM

Right now, with the crash, I am about 30-40% in silver (SLV).

I bought in around $13.65 per share - today it's trading @ 12.90 or so. . .so I'm almost recovered. Out of all the sectors in my portfolio, silver took the hardest nosedive but it's nearly recovered where I bought in.

So. . .no regrets. I see little downside risk in silver. . .but a little more in gold.

I plan on actively managing my portfolio now and will put sell orders in giving my portfolio occasional "bottoms." I actually came here when my Janus Overseas fund was up like 60% saying, "I mean. . .I'm happy with this return. . .I think I should sell it." and was convinced by the punditry to "just hold long term."

Big, big mistake. . .listening to pundits.

Whether you choose commodities, stocks, bonds, cash or real estate, you should actively manage your portfolio now vs. "buy, holding and forgetting (ignoring) it."

EDIT: My silver holding is around 37% of my wife and I's Roth IRA

How many of you invest in Gold?