Say Au PING
check your dollar depreciation charts next to gold increases. Gold is pegged(like oil) to the dollar and money can be made
Laughing...
If you have already bought "11K" worth; you've already formed your opinion -- in my opinion.
Just an observation.
Carry on.
I have a freind in Nigeria...........
Had you bought it five or more years ago you would do more than double your money.
Gold will drop in the next six months.
I just sold mine, and I'm feeling fine! :)
The banks are safe now but you'll only get 1/2 to 1% over inflation at best. I recommend a no load gold stock mutual fund called USERX
http://www.usfunds.com/marketing/tiffany_gold/gold_tiffany_v3.asp
It is rated the top performing fund for this year.
http://moneycentral.msn.com/investor/partsub/funds/topfundresults.asp?Category=All&Symbol=$HF
Gold stocks will rise more in % than gold will and will lose more % if gold goes down. So unless you have gold stocks already this would be a great way to go unless you want to search out gold stocks on your own.
JMHO, I believe gold will correct down to $610 to $630 and then it will rise. It may consolidate for a period of a month maybe 2 before it begins its next leg up. For gold stocks I believe the bottom may very well be in but if not I don't see a lot of downside risk. Gold and gold stocks are very volatile right now.
You are very wise to have physical gold.
Just remember "buy low, sell high" and you'll do just fine.
It's a life raft.
Gold is a hedge and most financial consultants will tell you it should not exceed 5-10% of one's portfolio. It can be played by investing in the mining stocks. Barrick and Newmont are two of the biggest cap domestic companies. Know that hard gold (bullion) is usually bought at retail and sold at wholesale. Of course, if the shit hits the fan and the dollar becomes worthless then it makes sense to own gold coins. But if that ever happened it probably would make more sense to invest in underground tanks for gasoline, nat gas, etc. Not to mention bullets and pistols which likewise could be bartered during such a time. I'm sure some, especially of the Libertarian stripe who see the world through a different lense will tell you to go whole hog. Unfortunately, those who wear their politics and ideology on their shirt sleeve make for bad investors.
You've carefully neglected to describe your risk tolerence and investement objectives.
Fundamentally, there are three types of approaches to how someone cares for their money. There are investors, traders and speculators. I rarely see investors, who by definition are concerned about long term capital appreciation, take speculative risk with even relatively small portions of their portfolios.
Even if you are the type of person who is comfortable with plunking this kind of money on a roll of the dice at Las Vegas or Atlantic City the potential return is several time your bet in a controlled game with known odds.
I suspect from your albeit brief description of your situation, that you are not a desciplined investor. I further suspect that you lack any successful commodity investing experience.
Your current holdings are near 20 year highs with further appreciation a crap shoot at best. You didn't address the issue of an exit strategy, so I suspect you don't have one.
I also don't know if you would ride a downturn in the market to the bottom before bailing out as is typical of someone who jumps in near the top of a market.
By siginifying that this is "mad money" you seem eager to "let 'er rip" and lose most of it with little other than emotion as justification.
My advice is to at least get "comped" by a casino for air fare, hotel room and a short decent vacation for your money.
Gold has been a bad investment since the early eighties. It has regained the lost value over the last 20+ years and will likely drop back before it tacks upward again. Hence, over that period it has increased in value by less than 1%. So someone who bought gold at the 1980 price would have paid far more than the appreciation in storage costs and commissions.
It is not a good investment but almost purely a speculation. This does not, of course, mean that NO ONE makes money speculating in it but there are much more profitable means of speculating. It will never skyrocket or make dramatic leaps upwards.
Too lote. You missed the run up. If you did invest, the bottom would drop out about the time you were thinking you were starting to make some decent money.
You should have got in at $300.
its a bit spendy... not sure how much you have to invest... but maybe would be more wise to look for cheeper stocks.
Since you are in a comfortable position ask yourself what you would do if you lost your job for a year or the power grid went down for a month. Do you need to think about having more cash on hand than you do now, what about buying a generator, food supplies or perhaps set up a better security system for your residence? What can you do to hurry your or your wifes retirement so that you are truly independent?
There's lots of things you can do to make your life easier without sinking your money into places/ideas/programs that you know nothing about. Do you have any idea when to sell your gold, what the indicators are to sell. I think you probably bought because you've been reading about the idea for a couple of years.
Following the crowd isn't my style, especially if they are getting their information from the TV or newspapers. Earn your money in areas that you are familiar with, hire a couple of proven experts to guide you and keep it 100% legal so the law isn't going to come after you.
Myself, I like the idea of having a shoebox full of small bills close at hand. If I need to hire a biz jet for an emergency flight somewhere at 3:00AM, I don't want think about going to the bank for cash or registered checks. In a town where your name or face isn't well known, cash will do a lot to getting people to do your wishes without hesitation or question.
So, if you truly are in a comfortable financial position don't bother worrying about the loss to inflation on your cache of cash. That's one cost of independence I accept glady.
One word, "Plastics."
Do that anyway until you pick out a municipal bond or two for purchase.
Also, you can "invest" in gold directly via GLD, much easier to sell too (if you don't mind capital gains taxes).
Since gold is at record levels already (and slid last week) it's probably not a good time to invest. I would sell what you have and wait until mid-Fall or so to re-invest in a mutual fund.
Your profit margin when gold is so high is very likely going to be too low to justify the risk of investing right now.