HWZ Forums

Login Register FAQ Mark Forums Read

Are these safe assumptions ?

Reply
 
LinkBack Thread Tools
Old 23-05-2020, 01:35 PM   #1
Member
 
Join Date: Jul 2012
Posts: 144
Are these safe assumptions ?

I want to put everything into physical gold as the overall price won`t fluctuate that much. Don`t wish to be monitor stuff so not interested in bonds, ETFs, property or whatsoever. If i need the money, i just cash out the gold for money. Not planning to get rich from gold (fluctuate and lose a bit nvm), just don`t want to lose a lot in case of catastrophic events. Most importantly, is better at fighting inflation compared to cash in bank.


All these safe assumptions ?
Sforthought is offline   Reply With Quote
Old 23-05-2020, 01:38 PM   #2
High Honorary Member
 
addict951's Avatar
 
Join Date: Feb 2002
Posts: 151,507
ts, you’re assuming ar gold has very little or negligible fluctuations between periods, ie. almost guaranteed.

Who is guaranteeing your “safe” assumptions?

Remember hor, the keyword here is SPECULATING. You put money in gold you’re speculating alrdy.

No such thing as safe or guaranteed with SPECULATION one.
Wah Lao, ts, you ar....
addict951 is offline   Reply With Quote
Old 23-05-2020, 01:55 PM   #3
High Supremacy Member
 
Join Date: Aug 2011
Posts: 30,037
You sure you want to buy gold now?


highsulphur is online now   Reply With Quote
Old 23-05-2020, 01:59 PM   #4
Senior Member
 
Join Date: Jul 2018
Posts: 648
Honestly, putting your money in government bonds (A35) is probably safer than gold.
cassowary18 is offline   Reply With Quote
Old 23-05-2020, 02:09 PM   #5
Arch-Supremacy Member
 
Join Date: Jun 2010
Posts: 11,508
Most importantly, is better at fighting inflation compared to cash in bank.
All these safe assumptions ?
No. Gold is really quite mediocre at fighting inflation, actually.

The very best available inflation fighting vehicle you probably have available is IGIL, an exchange-traded fund (ETF) listed on the London Stock Exchange. IGIL is a real return (inflation linked) sovereign bond index fund. The fund invests in a variety of real return bonds across major currencies. You cannot beat actual inflation linkage to fight inflation, if that's your thing. Please note that IGIL is not suitable for U.S. persons, and I'm not necessarily recommending IGIL but merely pointing out that it exists.

CPF is really rather good at fighting Singapore dollar inflation due to the way its interest rates are determined.

Last edited by BBCWatcher; 23-05-2020 at 02:11 PM..
BBCWatcher is offline   Reply With Quote
Old 23-05-2020, 02:27 PM   #6
Member
 
Join Date: Jul 2012
Posts: 144
My mother of all concern is during massive crisis like a pandemic or global depression, I can survive.

I don`t want to earn more in good times, i just don`t want to die horribly in crisis.

Maybe i rephrase : If you buy gold , in time of crisis, will you suffer horribly ?

Last edited by Sforthought; 23-05-2020 at 02:29 PM..
Sforthought is offline   Reply With Quote
Old 23-05-2020, 02:38 PM   #7
Supremacy Member
 
Join Date: Oct 2000
Posts: 8,529
I want to put everything into physical gold as the overall price won`t fluctuate that much. Don`t wish to be monitor stuff so not interested in bonds, ETFs, property or whatsoever. If i need the money, i just cash out the gold for money. Not planning to get rich from gold (fluctuate and lose a bit nvm), just don`t want to lose a lot in case of catastrophic events. Most importantly, is better at fighting inflation compared to cash in bank.


All these safe assumptions ?
If you go to certain websites, they tell you that gold is the only thing that will save your from the impending global collapse of the fiat currency system. On the other hand, there are those who say that gold is a terrible investment,
death from a thousand paper cuts and so forth.

I'm still remembering the story of AhBui168 and his 1kg gold bar! In MM/SSI don't play play, people buy gold by the kg!

https://forums.hardwarezone.com.sg/7...9-post870.html

So pls analyse both viewpoints and come to your own conclusion.
limster is offline   Reply With Quote
Old 23-05-2020, 04:02 PM   #8
Arch-Supremacy Member
 
Join Date: Jun 2010
Posts: 11,508
Maybe i rephrase : If you buy gold , in time of crisis, will you suffer horribly ?
Yes, that’s possible. Look up Executive Order 6102 in your spare time.

Reasonable diversification is the only effective answer to your particular concerns, and it’s not particularly difficult to do.
BBCWatcher is offline   Reply With Quote
Old 23-05-2020, 04:29 PM   #9
Senior Member
 
Join Date: Jan 2003
Posts: 1,970
Imo, holding cash is better than holding gold in time of crisis.
wutawa is online now   Reply With Quote
Old 23-05-2020, 04:33 PM   #10
Arch-Supremacy Member
 
Join Date: Jun 2010
Posts: 11,508
Imo, holding cash is better than holding gold in time of crisis.
Holding one currency in one place won’t necessarily be better.

Diversify!
BBCWatcher is offline   Reply With Quote
Old 26-05-2020, 06:49 AM   #11
Supremacy Member
 
Join Date: Dec 2009
Posts: 8,825

All these safe assumptions ?
Ohhhhhboy. Let's go one by one:

I want to put everything into physical gold as the overall price won`t fluctuate that much.
No, this is wrong. Gold is pretty volatile! It's nearly as volatile as stocks.

If i need the money, i just cash out the gold for money.
The assumption is that you'll be able to do this, which I think was a bit of a problem recently because all the gold dealers were closed.

Not planning to get rich from gold (fluctuate and lose a bit nvm), just don`t want to lose a lot in case of catastrophic events.
Also not a great assumption. Gold dropped about 40% from its all-time highs in 2011 before finding a base.

Most importantly, is better at fighting inflation compared to cash in bank.
Nope, it's worse, though it depends a lot on your starting point. Generally, gold underperforms bonds, and it bounces around a lot more.

Basically if you want something that's not going to lose a lot in catastrophic events, buy bonds.
Shiny Things is offline   Reply With Quote
Reply
Important Forum Advisory Note
This forum is moderated by volunteer moderators who will react only to members' feedback on posts. Moderators are not employees or representatives of HWZ. Forum members and moderators are responsible for their own posts.

Please refer to our Terms of Service for more information.


Thread Tools

Posting Rules

Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are On