Buying Gold

Twoandahalfmen

Where Do you buy gold.
And if you buy gold and keep it is it an investment or not
because i want to start buying small amounts of gold
and sell it when gold prices go high
also where do you sell gold for the current value

Skyfall

Twoandahalfmen

Skyfall wrote: »

No Just No.

Skyfall

Twoandahalfmen wrote: »

No Just No.

If you dont know where to buy gold then I dont think you should consider it as it is risky as there are numerous indicators its a "bubble", you cant always turnaround a quick buck. Buy some prize bonds or a fixed term account and read up more on gold

Twoandahalfmen

Skyfall wrote: »

If you dont know where to buy gold then I dont think you should consider it as it is risky as there are numerous indicators its a "bubble", you cant always turnaround a quick buck. Buy some prize bonds or a fixed term account and read up more on gold

Thats Why im asking here so i can learn off other people with experience

fasttalkerchat

TBH you're a bit late IMO.
Maybe someone will have a different expectation of future prices.

areyawell

No buying gold is not really an investment. If you plan on buying saying 5,000 euro worth it might be worth 6,000 in ten years time or could be worth 4,500 euro or less. Could be worth less or more but definitely won't double or anything even in 30 years.

You can always buy gold futures on the stock market and bet whether you think the price will go up or go down.

Skyfall

Twoandahalfmen wrote: »

Thats Why im asking here so i can learn off other people with experience

ETFs maybe a good idea, rabodirect have free entry into their funds until the end of the year too

Roonbox

areyawell wrote: »

No buying gold is not really an investment. If you plan on buying saying 5,000 euro worth it might be worth 6,000 in ten years time or could be worth 4,500 euro or less. Could be worth less or more but definitely won't double or anything even in 30 years.

You can always buy gold futures on the stock market and bet whether you think the price will go up or go down.

Gold prices will definitely double in the next 30 yrs... for sure

Nonoperational

Roonbox wrote: »

Gold prices will definitely double in the next 30 yrs... for sure

3.3% per year... nothing spectacular.

DarkDusk

Skyfall wrote: »

If you dont know where to buy gold then I dont think you should consider it as it is risky as there are numerous indicators its a "bubble", you cant always turnaround a quick buck. Buy some prize bonds or a fixed term account and read up more on gold

How could gold be in a bubble?! Jewelers have signs on their windows "We Buy Gold"! If gold was in a bubble, do you think the jewelers would be buying gold, and people lining up to sell it? No, people would be lining up to buy it, just like with the stock bubble in the 90's and the property bubble in 2008. Until you hear all your friends and family talking about gold and silver, precious metals are not in a bubble. The only reason gold is going up in price is because the currency used to buy it with is being devalued. The more currency that is printed, the more is needed to buy goods and services - inflation. Gold and silver closely follow the rate of inflation and the money supply expansion. Do you think the ECB and the Fed are going to stop the quantitative easing programs? No, they will not, because it could cause a total monetary collapse. Our current monetary system needs more and more debt exponentially for the economy to grow, which cannot last forever.

Gold and silver have held their value for thousands of years. In roman times, an ounce of gold would buy you a very fine toga. In the early 90's, a very good suit would cost about $150-$200, the price of 1 ounce of gold. Now, an expensive suit will still cost an ounce of gold ($1500). The moral of the story here is, real money holds its value, currency does not. Why do you think the Swiss Franc was known for its very safe currency? It was only brought off the gold standard in the year 2000, that's why. The Swiss are now talking about making gold a parallel currency to buy goods and services.

Please reply and tell me about the "indicators" that suggest precious metals are in a bubble. I simply cannot wait.

willietherock

gpf101 wrote: »

3.3% per year... nothing spectacular.

I'd imagine, without doing the math, it's nearly half that again.

DarkDusk

In another thread I made my prediction for gold and silver for the near future. I will post it again here:

By the end of June 2013, I predict gold to be at $2300 and silver at over $45. These are underestimates.

I'm looking forward to seeing how close my predictions will be.

OP, I PM'd you with some info about buying gold/silver.

Slozer

Gold is a very good hedge against inflation and the times we are in it would be classed as a good investment. I would read up more about the pros and cons of buying gold. Also if you need to get rid of it quickly (provided you are thinking of buying bullion) I would check out where you can get rid of it and how much of a knockdown on the spot price you can offload it for. Most places will also charge you an assay fee when selling your gold back, so be aware of this also. There are also holding and storage fees attached if you dont want to take delivery of the gold and these can be up to 3% of the value of the gold. per year!

I would not regard gold as being in a bubble but being in a very long upward trending market. It has had a very healthy rise in price with some big corrections along the way which support the upward trend. I don't think this is likely to change anytime soon considering the financial prediciment the globe (and especially Europe) finds itself in.

There are people who will tell you that gold is money but these are people who like to think gold is money. Money is what you can freely exchange for food and services. Thats not saying that gold wont become money again.

Roonbox

gpf101 wrote: »

3.3% per year... nothing spectacular.

Nothing spectacular at all, I expect much much better. I was just pointing out to the previous poster that his prediction, in my opinion, is pants.

I firmly believe we will see silver $100 by 2015

DarkDusk

Roonbox wrote: »

I firmly believe we will see silver $100 by 2015

I agree with this prediction also. However, it's very difficult to predict prices over the medium to long term - anything could happen between now and 2015.. Euro/dollar collapse etc. etc. It's possible that Silver could go to $100 next year, which would be amazing. I'd love to look into the future at silver prices a year from now (no pun intended), that would be very interesting!
Patience is what we all need now.

Nonoperational

Roonbox wrote: »

Nothing spectacular at all, I expect much much better. I was just pointing out to the previous poster that his prediction, in my opinion, is pants.

I firmly believe we will see silver $100 by 2015

Fair point.

handlemaster

DarkDusk wrote: »

How could gold be in a bubble?! Jewelers have signs on their windows "We Buy Gold"! If gold was in a bubble, do you think the jewelers would be buying gold, and people lining up to sell it? No, people would be lining up to buy it, just like with the stock bubble in the 90's and the property bubble in 2008. Until you hear all your friends and family talking about gold and silver, precious metals are not in a bubble. The only reason gold is going up in price is because the currency used to buy it with is being devalued.



Jewellers are buying it because there are guys buying the scrap gold to smelt into bars which are then sold or lease on in one form or another. Every man and his dog knows gold has gone up alot over the last few years.

DarkDusk

First of all, just because something goes up in price for a long period of time doesn't mean that it is in a "bubble". Since gold passed out its all time high back in early 2008, people have been saying that gold is doomed and will definitely crash. Has that happened yet? No, because gold is not in a bubble. It has only risen by 120% in the last 5 years. Compare that to Apple, which rose over 400% in the last 5 years. You don't see near as many people pointing out that Apple is in a bubble.

You must understand that it's not the value of gold that's increasing, it's the currency that's buying it being devalued by inflation. Dollars and euros as well as bonds are in a bubble, not gold!

handlemaster

DarkDusk wrote: »

First of all, just because something goes up in price for a long period of time doesn't mean that it is in a "bubble". Since gold passed out its all time high back in early 2008, people have been saying that gold is doomed and will definitely crash. Has that happened yet? No, because gold is not in a bubble. It has only risen by 120% in the last 5 years. Compare that to Apple, which rose over 400% in the last 5 years. You don't see near as many people pointing out that Apple is in a bubble.

You must understand that it's not the value of gold that's increasing, it's the currency that's buying it being devalued by inflation. Dollars and euros as well as bonds are in a bubble, not gold!

you could apply that same logic to the property prices of the 00's

DarkDusk

handlemaster wrote: »

you could apply that same logic to the property prices of the 00's

The logic is totally different, actually. There was a boom in property prices because of the easy access to credit from the banks. The bust came when there was a sudden cut-off of the supply of credit. The bubble was caused by the banks, and the parties regulating the banks.
People are not taking out loans for the buying of gold! If you went to the bank for a loan to cover the costs of bullion, the bank would laugh in your face!

SyntonFenix

Gold is likely to hit $3000 by 2014. Why? Dollar is being debased, OBama will continue his policies, therefore quantitative easing. Add the "fiscal cliff", China and other countries stock piling gold, Euro trouble, Yen trouble, MIddle East trouble......

handlemaster

DarkDusk wrote: »

The logic is totally different, actually. There was a boom in property prices because of the easy access to credit from the banks. The bust came when there was a sudden cut-off of the supply of credit. The bubble was caused by the banks, and the parties regulating the banks.
People are not taking out loans for the buying of gold! If you went to the bank for a loan to cover the costs of bullion, the bank would laugh in your face!

there's an assumption that in order for a bubble to be created it has be pumped up with borrowed money which is not the case. If people take fright they will buy what is close to certainty that they know just to hold what they have ( in this example gold). What happens when normality returns i.e. stable markets

freeze4real

How do you guys know if gold is a bubble or not ?

What knowledge are you basing your information in technical or fundamentals or just waffle or hearsay.

There's are been speculation of gold going over to 2000 in 2015 but 3000 is a long shot.

if you really want to learn about gold visit some proper gold forums, not likes of this were a few know about proper investing or trading.

mcbert

One way to get involved:
http://bullionvault.com/

DarkDusk

mcbert wrote: »

One way to get involved:
http://bullionvault.com/

One, way to get involved, but not the wise way. There is not guarantee that your gold/silver is actually there. As I've said many times before, buy physical and you need not worry about where your bullion is.
I think another gold and silver rally is beginning to develop, November should be a good month for PM's imho.

Min

DarkDusk wrote: »

One, way to get involved, but not the wise way. There is not guarantee that your gold/silver is actually there. As I've said many times before, buy physical and you need not worry about where your bullion is.
I think another gold and silver rally is beginning to develop, November should be a good month for PM's imho.

I read BullionVault for July 2012 had 30 tonnes of gold and 318 tonnes of silver in their vaults.

DarkDusk

Min wrote: »

I read BullionVault for July 2012 had 30 tonnes of gold and 318 tonnes of silver in their vaults.

Do you have figures on how much gold and silver were bought during that period?

Min

DarkDusk wrote: »

Do you have figures on how much gold and silver were bought during that period?

No.

This is an article from the beginning of this month, I will take a few quotes from it.
http://www.wealthadviser.co/2012/11/01/175809/one-million-ounces-%E2%80%9Cself-preservation-now-bullionvault

Users of the world's largest online gold and silver market, BullionVault, now collectively own more than one million ounces of gold, over 10 times the weight of bullion featured in the iconic film The Italian Job.

At Wednesday afternoon's London gold price the one million troy ounces owned by BullionVault's users worldwide was worth GBP1.068bn.

As a result, more than 20,000 people in Britain have now formed their own 'self preservation society' by buying gold on BullionVault.

Fifty per cent of BullionVault users live in the UK. The typical user owns around GBP10,000-worth of gold bullion.

Given they are independently audited I think they are fairly sound when it comes to the amount of physical gold they hold.

DarkDusk

Ok, fair enough. Now, if a economic disaster were to happen, for example a collapse of the main countries in the EU, do you think the gold there would be easily accessible for physical delivery? I really wouldn't want to take the risk. Germany are currently seeking physical delivery of their gold. If they don't get it it, they'll have to go on the open market and buy it, which will explode the gold price. This is happening with countries all over the world as they find out that they need gold if the shtf.
As I said, it's a way to get involved, but I wouldn't put my money on the line hoping that my gold is over in a foreign country and always will be there. Allocated gold/silver accounts are way more safe. With bullionvault, you could own maybe 10oz, but that 10oz is actually part of a 200oz bar, so you are "sharing" it with other investors. Obviously, everyone cannot get delivery of their gold.
Many people are waking up and requesting physical delivery of their gold, when this case escalates, that's when paper gold and silver will become worthless and physical will become king.
I'll let it up to the individual investor to decide what to do with their money, but if you want the safest option, by physical.

house_speaker

DarkDusk wrote: »

Ok, fair enough. Now, if a economic disaster were to happen, for example a collapse of the main countries in the EU, do you think the gold there would be easily accessible for physical delivery? I really wouldn't want to take the risk. Germany are currently seeking physical delivery of their gold. If they don't get it it, they'll have to go on the open market and buy it, which will explode the gold price. This is happening with countries all over the world as they find out that they need gold if the shtf.
As I said, it's a way to get involved, but I wouldn't put my money on the line hoping that my gold is over in a foreign country and always will be there. Allocated gold/silver accounts are way more safe. With bullionvault, you could own maybe 10oz, but that 10oz is actually part of a 200oz bar, so you are "sharing" it with other investors. Obviously, everyone cannot get delivery of their gold.
Many people are waking up and requesting physical delivery of their gold, when this case escalates, that's when paper gold and silver will become worthless and physical will become king.
I'll let it up to the individual investor to decide what to do with their money, but if you want the safest option, by physical.

perish the thought but what happens if a global collapse doesnt happen , have you a contingency plan for a drop in PM prices ?

all i ever heard from goldbugs is that when the sh1t hits the fan , metals are all that will have any value