Did you watch CNBC this morning? The CEO of Pan American Silver was on. Anyway, silver is up 40% YTD and PAAS is up 220% YTD. The miners are a terrific way to benefit from the rise in gold/silver. They are also a great way to lose money when prices fall.
Hmm, I think you should buy some tin foil for a hat with what gold. 1.4% premium is a lot… I understand that people value that differently, but if you don’t trust paper assets, you should not trust stocks, bonds, mutual funds, or… money.
Gold bugs - of which I’m not one - don’t trust those assets, so…yeah. Besides, gold isn’t like a stock is it? I mean, you can’t turn in your 10 shares of Google for a board room chair or a stapler. In theory, you should be able to turn in your shares of GLD for actual gold. You can’t because they won’t let you. Wonder why?
I’ve owned GLD/SLV in the past when I want to tactically overweight my position, but as a long-term investment there are many more reason to own the physical than the ETFs, especially if we’re talking about a taxable account. In a qualified account? Okay, sure. You’re probably fine with GLD. I’ll concede that.
Start loving this forum. Get argument from both sides. Love to see different opinions.
The premium is a lot but it’s a quasi-insurance policy with no decay or annual premiums.
It’s not the assets they don’t trust it’s the people who can influence value over them that they don’t trust.