Gold 🥇

The stock markets have taken quite a hit the past few days which generally forces some investors to start looking at other options. This strategist thinks gold could be the way to go, expecting a 30% increase in price next year.

We’ll have some great Gold focused ETFs on the Evarvest app. Would you consider investing in something like gold?

I feel skeptical on this - possibly biased though given everytime I’ve heard these “gold prophecies” over the last 5 years, they seem to have failed to materialise for one reason or another. He makes a fair point around negative interest rates, but equally gold is also a hedge against inflation, which seems to be low and stagnant in countries with negative interest rates. Also outside of the EU and Japan, most countries don’t actually have negative interest rates even on short term deposits (including the US).

Overall, maybe an asset to watch, and possibly a decent return ahead, I’m just not sure about claims of 30% return over the course of a year on something thats so stable.

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I’m with you on this one to be honest. Regardless of the volatility we see in the stock market I still prefer to invest in actual stocks and ETFs myself. Something about having a team, vision and goals that are being worked on a daily basis that makes me feel like my investment is actually going somewhere.

A block of gold doesn’t exactly inspire me and my investment goals :wink:

Not a fan of gold. It doesn’t do anything, it’s just a piece of metal.

Here’s an interesting read, talking about how narratives around gold changed through history: https://www.epsilontheory.com/how-gold-lost-its-luster-how-the-all-weather-fund-got-wet-and-other-just-so-stories/

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Like Warren Buffet said - “It doesn’t do anything but sit there and look at you”, it’s also in his words an unproductive asset which means it doesn’t produce anything, like passive income.

In my opinion, I do like the idea of uncorrelated assets with the market and assets that can offer some risk protection to a portfolio, but it’s like a paradox, because whenever gold is rising in value it usually means there is fear in the markets and like Baron Rothschild said - “Buy when there is blood in the streets, even if the blood is your own”, so I don’t see the point in owning gold, there are way better opportunities in the market with more long term growth and with well known and studied risks that don’t offer the same risk of speculation which is incredibly hard to predict ceilings.

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