Investing in Gold

[plsbanthem]

Any stackers here? Noticed there are a couple of threads about gold coins, but none on gold bars.

Past few days are bullish for gold bars isn't it. Cheers.

 

[plsbanthem]

I am a beginner here. Please guide me along

Recently stacked two 100g gold bars.

Probably sell them once I hit 5% profit.

Just don't make me wait too long, lol. (pray)

 

[limster]

I am a beginner here. Please guide me along

Recently stacked two 100g gold bars.

Probably sell them once I hit 5% profit.

Just don't make me wait too long, lol. (pray)

Whats your entry price and whats the bid-offer spread for physical like these days?

STI incl. dividends went up by 22% this year. In fact if you buy stocks randomly, you probably make more than 10%.

Your 5% target is a bit too low, should raise your expectations ...

 

[plsbanthem]

Whats your entry price and whats the bid-offer spread for physical like these days?

STI incl. dividends went up by 22% this year. In fact if you buy stocks randomly, you probably make more than 10%.

Your 5% target is a bit too low, should raise your expectations ...

Bro what is bid-offer spread?

 

[alexchia01]

I am a beginner here. Please guide me along

Recently stacked two 100g gold bars.

Probably sell them once I hit 5% profit.

Just don't make me wait too long, lol. (pray)

I stack gold, but I collect gold as a hobby and an insurance.

If you want to trade gold, like selling at 5% profit, it's better that you trade Gold ETF or Gold Futures. They are a lot cheaper and faster.

Selling physical gold is harder, slower, poorer price and higher cost.

 

[plsbanthem]

I stack gold, but I collect gold as a hobby and an insurance.

If you want to trade gold, like selling at 5% profit, it's better that you trade Gold ETF or Gold Futures. They are a lot cheaper and faster.

Selling physical gold is harder, slower, poorer price and higher cost.

I am not sure how Gold ETFs and Futures would work. Sounds like a risk I am not willing to take even though they have the mentioned benefits.

 

[revhappy]

Gold is like insurance. It is not expected to go up during periods of bullish stock markets. The fact that gold is up 10% this year is in itself phenomenal. Gold should be like 10% of your portfolio. If there is a collapse of the financial system then your physical gold will come to your rescue.

It is indeed good idea to keep gold physical. Financial assets can be frozen by authorities like today I read news that China has frozen assets of LeEco CEO. Gold cannot be frozen by anyone.

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[revhappy]

so do you practice what you preach? what % of your port is gold? I thot your country restricts imports of gold? so much for free movement..

It is indeed 10%. It is in etf form though. India doesn't restrict import on gold. It has higher duties and wants people to pay duties on gold, people are bringing in.

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[limster]

It is indeed 10%. It is in etf form though.

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wow! thats quite high, but I guess gold is popular in your country so its a liquid asset. srry deleted my post while editing it..

 

[plsbanthem]

It is indeed 10%. It is in etf form though.

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You don't own physical gold with ETFs right? When it comes to gold, I feel being able to see it physically is more satisfying and assuring.

 

[limster]

You don't own physical gold with ETFs right? When it comes to gold, I feel being able to see it physically is more satisfying and assuring.

the object of investment is to minimise cost and maximise return, not to feel satisfied holding shiny things in your hands... Disclaimer - i also have some physical gold, but it has underperformed my equities/bonds portfolio.

 

[revhappy]

wow! thats quite high, but I guess gold is popular in your country so its a liquid asset. srry deleted my post while editing it..

Gold is currently the only beaten down asset. I bought it recently and that too using rupees, which has been exceptionally strong. So I am buying some cheap using something very expensive. So I am quite okay with it.

Gold is indeed very popular among Indians and I believe Chinese too.

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[revhappy]

You don't own physical gold with ETFs right? When it comes to gold, I feel being able to see it physically is more satisfying and assuring.

You should indeed keep gold physical, if possible. But in India, there are other issues with keeping gold physical. The authorities are always suspicious that physical gold equals tax evaded or ill gotten money and it becomes a pain to prove that it is not. So for convenience sake I bought etf. But in Singapore there is no problem buying physical.

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[plsbanthem]

the object of investment is to minimise cost and maximise return, not to feel satisfied holding shiny things in your hands... Disclaimer - i also have some physical gold, but it has underperformed my equities/bonds portfolio.

Dunno leh. I think it is just up to individuals? For me if I can't touch my investments, the money has to go to stocks.

 

[Shiny Things]

Bro what is bid-offer spread?

The "bid-offer spread" is the difference between the price you can buy at, and the price you can sell at (at the same time). For physical gold, this tends to be quite wide; if you want to make 5%, the price of gold is going to need to go up by (at a wild guess) 10% or more.

If you want to buy gold for any reason, it's almost always better to buy "paper" gold - futures, ETFs, whatever. The huge spreads on physical gold, plus the cost of storing it securely, make it pretty tough to recommend holding gold in physical form unless you're, y'know, worried about the zombie apocalypse.

 

[revhappy]

The "bid-offer spread" is the difference between the price you can buy at, and the price you can sell at (at the same time). For physical gold, this tends to be quite wide; if you want to make 5%, the price of gold is going to need to go up by (at a wild guess) 10% or more.

If you want to buy gold for any reason, it's almost always better to buy "paper" gold - futures, ETFs, whatever. The huge spreads on physical gold, plus the cost of storing it securely, make it pretty tough to recommend holding gold in physical form unless you're, y'know, worried about the zombie apocalypse.

The spread for physical is only 0.5% for 1 kilobar and for 100 gms it is 1.35%

https://uniservices1.uobgroup.com/secure/online_rates/gold_and_silver_prices.jsp?s_pid=HOME201205_eg_quicklnk_ql8

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[Maeda_Toshiie]

The spread for physical is only 0.5% for 1 kilobar and for 100 gms it is 1.35%

https://uniservices1.uobgroup.com/secure/online_rates/gold_and_silver_prices.jsp?s_pid=HOME201205_eg_quicklnk_ql8

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How many people can afford to buy kilobars of gold as part of their portfolio??? Most of us don't operate temples like those in India that stash away gold bars. Even 100 GM are pretty hefty at 5k+ SGD. Besides, storage is a heck of an issue. Safe deposit box rental aren't cheap.

 

[Maeda_Toshiie]

In MM/SSI, plenty of people got money. Apart from Ahbui who bought 1kg of gold, see this guy want to buy gold wholesale, aka LBMA 25lb/400oz bars

http://forums.hardwarezone.com.sg/money-mind-210/buying-gold-wholesale-prices-5748488.html

People surfing MM are so rich...

 

[limster]

How many people can afford to buy kilobars of gold as part of their portfolio??? Most of us don't operate temples like those in India that stash away gold bars. Even 100 GM are pretty hefty at 5k+ SGD. Besides, storage is a heck of an issue. Safe deposit box rental aren't cheap.

In MM/SSI, plenty of people got money. Apart from Ahbui who bought 1kg of gold, see this guy want to buy gold wholesale, aka LBMA 25lb/400oz bars

http://forums.hardwarezone.com.sg/money-mind-210/buying-gold-wholesale-prices-5748488.html

Ahbui famous 1kg gold bar thread (he claimed he lost $3k buying and selling 1kg gold bar - watch the spread...): http://forums.hardwarezone.com.sg/77241547-post1081.html

 

[plsbanthem]

What is the outlook for gold in 2018?

Where do you usually get your news about gold?

Any tips for beginners?

Much thanks.