How Much Gold You Sitting On? ⭐

Table of Contents

How Much Gold You Sitting On?

War teasers between the US and Iran have goosed the price of gold to well over $1500 per ounce, seven-year highs! Gold is a metal which doubles up in many investors’ minds as not only a store of value, but a hedge against incompetent central bankers, hyperinflation, and the end of days. It’s been a portfolio mainstay since 4000 BC, but there are many ways to get your hands on it.

A gold bug’s simplest option to get plated up is through an exchange-traded fund (ETF) purchasable through a typical trading account. The iShares Gold Trust (IAU) would be a flagship example, its movement tracking the current ‘spot’ price of gold to within 1%. Brilliantly liquid, IAU lets you get out before things turn ugly. Brilliantly cost-effective for someone to just stand guard at a vault, there’s no superstar fund manager fee to contend with.

A gold bug’s coolest option, though, is to hoard the physical bullion itself. Best known for lining Hollywood bank vaults and gangster rap videos, you can hold bullion in your hands as ingots, bars, or coins. The value of a golden bar perfectly tracks the spot price of gold, but larger lumps of precious metal do beg add-ons like storage, insurance, and handling.

A range of reputable retailers offer next-day delivery for bullion, but here’s a tip for you. Mints, which stamp bullion, have tailored their supply pipelines for the subdued metals markets of 2014-2019. Heads up, that could exacerbate historic shortages of gold bullion during peak times of demand. So, order early to avoid disappointment (or having to pay a massive premium)!

After taking a few selfies with your ingots, burry them in the garden. If you want to lever up and get more extreme gains (or losses) from your gold, seek out ‘numismatic coins’ which are popular among collectors.

A gold bug’s gutsiest option is not to buy actual gold at all, and instead, to opt for ‘paper gold.’ This isn’t a hedge as much as a money-making ploy, with investors diversifying into shares of companies that go spelunking and mining in the gold industry. Many factors can obviously affect stock prices, so as a trade-off for owning a productive asset that might even pay a dividend, market players sacrifice spot price accuracy in tracking their treasure!

A gold bug’s final, riskiest, option is to take a punt on ‘e-gold.’ Brace yourselves! As an unregulated ‘digital gold currency,’ e-gold aims to reverse the Nixon shock and take us back to before 1971 when it was possible to pay for a loaf of bread with 24-carrots. Unsafe haven or a stroke of genius?

In sum, unstable times loom, and a wave of investors are speculatively blessing the shiny stuff. Could 2020 be a golden year? It remains to be seen, but as a tried-and-tested portfolio anchor, it needn’t be too difficult for you to get your hands on anymore!

Share:
More Posts
PGA Tour Enters Investment Talks 💪

As reported on Thursday, both Endeavor Group and Fenway Sports have displayed interest and begun discussions to provide investment in the PGA Tour.

Nike Just Didn’t Do It 📉

Providing one of the biggest earnings reports of the week, $140 billion shoe and clothing retailer Nike posted a significant slip.

Market Recap – September 28th 💰

After the 10-year Treasury yield bond fell off from its 15-year high, investors added some value back into the market, focusing all short-term attention on Friday’s PCE price index reading.

The Crude Oil Bust 🛢

Surging global crude oil prices, driven by factors like OPEC+ production cuts have pushed U.S. West Texas Intermediate futures to over $95 per barrel.

Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.