I am buying 23 k worth of physical gold coins

I agree with Anek. With futures and/or ETFs you have an instant market. Also with futures and some ETFs you can hedge gold with options. I have some gold futures, but I have some hedge on them with options. I can liquidate at any time. Even though gold is now around $835, there is nothing to say it couldn't drop to $700 in a short period of time. For you that would be over a $3000 loss on some hard asset sitting in a safe deposit box, while you're waiting for a world wide financial colapse. If that kind of loss doesn't bother you and you feel strong in your beliefs, then you are the one that has to make the decision. No advice or judgement from me. Only presenting alternatives. You may be right and everyone else wrong.




Quote from Anekdoten:

Why not buy the equivalent in gold futures or perhaps if that's too much leverage an ETF ?

Seems risky to me to have the physical precious metal. This is not the 10th century you know. hiding our capital underneath a rock is a thing of the past :D even if you store them in a bank safe,what's the purpose ?

Anek
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Gold futures or ETFs are just paper. It's all fine and dandy now, but a fiscal crisis starts emerging, none of those contracts will be honored.

The Gold futures market is smth like 50 times the size of the actual physical supply. It's just IOUs from speculators.
 
Quote from bad feeling:

Ok ET time to prove your worth, I am buying over 20 k worth of gold because I would rather be a stupid man with gold than a smart ass with paper money.

Before I go to my bank and ask my advisor, what do you guys say

Where should I go to buy coins.

There is no way I am buying from some jewelry asses, they will price me up to 40% mark up

any thoughts are appreciated
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Why not just buy gold futures or options instead of buying actual gold?
 
You could be right. Who knows. This idea of a fiscal crisis is not new. About 30 years ago, my father bought a bunch of gold coins and put them in a safe for the reasons being discussed. Thirty years later, they are still sitting in that safe.

If you got a situation where "none" of those contracts are honored, you've got financial armaggeden. Could it happen? Anything is possible. But, at that point you have to wonder if it would be safe to leave the house, go to the bank, get your gold coins, find a place to exchange them for what you need and in doing this would you be able to come back alive.

Quote from Hydroblunt:

Gold futures or ETFs are just paper. It's all fine and dandy now, but a fiscal crisis starts emerging, none of those contracts will be honored.

The Gold futures market is smth like 50 times the size of the actual physical supply. It's just IOUs from speculators.
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Quote from JSHINV:


If you got a situation where "none" of those contracts are honored, you've got financial Armageddon. Could it happen? Anything is possible. But, at that point you have to wonder if it would be safe to leave the house, go to the bank, get your gold coins, find a place to exchange them for what you need and in doing this would you be able to come back alive.
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I think if there was real financial armageddon, even the gold would be worthless only food, fuel, goods and medicine would have value :)

the only need for gold would be medicinal, industrial and chemical. (and of course in goldshlager?sp)

:)
 
Quote from 11Blade:

I think if there was real financial armageddon, even the gold would be worthless only food, fuel, goods and medicine would have value :)

the only need for gold would be medicinal, industrial and chemical. (and of course in goldshlager?sp)

:)
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I would suggest reading Alas, Babylon.


You speak the truth 11Blade.
 
Quote from 11Blade:

I think if there was real financial armageddon, even the gold would be worthless only food, fuel, goods and medicine would have value :)

the only need for gold would be medicinal, industrial and chemical. (and of course in goldshlager?sp)
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:) Maybe. But, throughout history there has always been a medium of exchange. Even so, can't predict -- at least I can't

Could happen. I don't think in my lifetime though. Hopefully not. Usually it takes a while for civilizations to crumble - usually centuries. Having a conversation with a friend recently talking about financial collapse. I asked him, "do you think a financial collapse will happen in the next 100 years?" He replied, "No." I then asked do you think I financial collapse will happen in the next 1000 years. He replied, "Yes." Then I said, "Well then, it is only a matter of when." I tend to agree if it happens it is decades down the road.

I can't live my life with a survivalist attitude. It is kind of a waste anticipating the bad, when no one knows what and will happen.
Not saying you are advocating this -- or anyonne else is.:) But, I've known a couple of people who were survivalists and they wasted their time, money and in some ways their lives.
 
Quote from bad feeling:

Ok ET time to prove your worth, I am buying over 20 k worth of gold because I would rather be a stupid man with gold than a smart ass with paper money.

Before I go to my bank and ask my advisor, what do you guys say

Where should I go to buy coins.

There is no way I am buying from some jewelry asses, they will price me up to 40% mark up

any thoughts are appreciated
More...

Check out www.tulving.com

The problem with owning "paper gold" is that its not real, and you will likely get shaken out on a dip. You won't get shaken out with coins, and they will always be 1 oz of gold each.
 
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