Either we will see gold at $3,000 dollars, or the Dow at 3,000, or both.
Posted on 03/22/2006 9:23:51 AM PST by stainlessbanner
For discussion. Have at it FReepers
Is gold really the way to go? Let me ask fellow Freepers this: If you had $20,000 to invest today, where would you put it?
It's at a 20+-year high. It's great if you want to sell it. Not so great if you intend to buy it.
Let me ask fellow Freepers this: If you had $20,000 to invest today, where would you put it?
Real estate in certain suburban areas of red states.
I don't disagree with the concept of holding precious metals but I do think that there needs to be some form of diversification in any portfolio.
I'll be adding precious metals to my holdings soon, although not because of this article or the weakness of the dollar.
I'll do it because it's a safe place to hold my "cash."
Does anyone know of good mutual funds that invest in foreign bonds and that are not hedged against the dollar? My problem is that most foreign bond mutual funds are hedged against changes in the dollar. Therefore, if the dollar takes a slide, you do not benefit as much.
Ah, written by the Rich Dad/Poor Dad author. Isn't he the guy who sells a board game to people for over $200, all the while convincing them that they are being taught profound economic lessons?
I agree with him. The lesson is don't waste money on that stupid game.
If you had $20,000 to invest today, where would you put it?
I'd put it into Art and Antiques.
You can make double digit or triple digit percentile increases on your money, often in a very short time. BUT you have to really know what you are doing. If you are well versed or an expert in subcategories of art or antiques, you can canstantly find items for sale that are significantly undervalued (sometimes pennies on the dollar). If you can buy and know how and where to liquidate, you can do very well.
The biggest problem is that you are usually dealing with much smaller amounts of money than you would be dealing with in big stock or real estate purchases but it does add up.
If you are looking at percentile increases per dollar of investment, a smart purchase of art or antiques is hard to beat.
Actually, if the dollar is dropping in value, he isn't a double loser. He exchanged a small amount of something that was becoming worth less, for something that he can USE (and that only "dropped" in value relative to the hated dollars anyway).
And now he is slowly paying for the item with MORE of the dollars, but each month if they are worth less and less it is costing him less to make those payments, because his payments are based on the numeric value of the dollars, not their true worthless value.
If the author can't even get this right, I don't hold out much hope for him.
Note also that Gold has done very poorly over the last 70 years, even though it has done a LITTLE better than the green bills. Thirty bills would buy gold in 1930, now it costs you 520 or so. On the other hand, if you have spent the 30 on a piece of paper, that paper would be worth HUNDREDS OF THOUSANDS now -- if that piece of paper was a stock in a company that still exists. Heck, if you had simply used the 30 bills to buy 30 dollars worth of freshly minted coins, and put those coins in a well-sealed storage device, those coins today would be worth 10 times what the gold would be worth. I bet a well-preserved $30 toy from 1930 would also be worth more than $500 today. To look at it another way. The average person would have to work a lot LONGER in 1930 to buy an ounce of gold, then they have to work TODAY to buy that same ounce of gold. In the past 5 years my house has gained more in percent value than an ounce of gold. An acre of land bought with the 30 bucks in 1930 would be worth a LOT more than an ounce of gold bought in 1930. About the only thing that has gotten to be worth "less" over the years is the dollars themselves. Which just means you shouldn't have put dollars under your bed, you should invest it in something. I suppose Gold is one option, but I would be surprised if it doubles in value again in the next 10 years. Meanwhile, my house went up more than 25% in value in the past year.
5000 in silver
5000 into real estate
10,000 in a few stocks from technical security companies I've been watching.
Robert Kiyosaki is not a man to trust for money making ideas. One of the only reasons that his books became best sellers is that he associated himself with the Amway scam leaders and his book became almost required reading among all of the Amway sheep.
Either we will see gold at $3,000 dollars, or the Dow at 3,000, or both.
be a good islamist and covet gold. dump dollars. yup that's the ticket.
I'd immediately put it into stock for my business. The profit margin on my sales exceeds any other investment.
I own one of the books this guy wrote, but only by accident. It was the biggest turd of a book that anyone has ever squeezed through a typewriter.
financial bears are so annoying. they are wrong 15 times to get credit for being right once. stopped clocks.
BAHOG
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