Zero Hedge making cases for physical gold

[jtabeb]

Re: Zero Hedge making cases for physical gold

word.

all gold is fool's gold.

AU: the element of sissies.

That's funny. 400% returns over a decade makes me a Sissy? That's a new one.

I thought it made me NOT an Idiot for holding stocks, bonds, or houses.

Oh well, I guess a 400% return is just for sissies. In that case, I'm a sissy and I recommend that for your own financial well-being that "wouldn't you like to be a sissy too". (Drink, Doctor Pepper...)

In summary, Sissy, maybe, IDOT no.

Take your pick.

It's a fine day when people are calling gold bugs sissies, that means (IMHO) that some folks are just know catching on to how dire things are.

Enjoy, (the nice thing about being a sissy is that you get to sleep like a baby while watching your 30% annualized returns roll-in for simply holding onto a sissy yellow colored piece of metal).

What's in YOUR portfolio? (and can IT BEAT 30% annualized returns?)

Here is a little hint to those of you that haven't figured it out yet. Buying gold isn't investing, it's SAVING. And I personally prefer to use a savings vehicle that appreciates at say 30% a year, vs one that DEPRECIATES every year (even if it Does pay .5% interest). Got it?

P.S. Why not just buy gold and then use it to buy one of those nice businesses that you talk about for say an 90% discount when it goes bankrupt and the previous owner is forced to liquidate? Seems much better than buying an overpriced business and sinking all of your money into it, and to only have it suck you dry as demand is destroyed during this (hyper) inflationary depression. Naw, you are right, only sissies use common sense.

P.P.S. I guess Central Banks the world over are the BIGGEST SISSIES in the world, since they own the lions share of available gold bullion, Huh?

[Morelia]

Re: Zero Hedge making cases for physical gold

In summary, Sissy, maybe, IDOT no.

Take your pick.

It's a fine day when people are calling gold bugs sissies, that means (IMHO) that some folks are just know catching on to how dire things are.

Enjoy, (the nice thing about being a sissy is that you get to sleep like a baby while watching your 30% annualized returns roll-in for simply holding onto a sissy yellow colored piece of metal).

now that you've admitted to being a sissy, may i ask if you are also a government employee?

What's in YOUR portfolio?

i am my "portfolio".

P.S. Why not just buy gold and then use it to buy one of those nice businesses that you talk about for say an 90% discount when it goes bankrupt and the previous owner is forced to liquidate? Seems much better than buying an overpriced business and sinking all of your money into it, and to only have it suck you dry as demand is destroyed during this (hyper) inflationary depression. Naw, you are right, only sissies use common sense.

i started my own business and, as blaze mentions, nourish it daily. it provides value to me, to my employees (or so they think, though i pay them above the going wage), and to my customers. i find enough satisfaction in that.

P.P.S. I guess Central Banks the world over are the BIGGEST SISSIES in the world, since they own the lions share of available gold bullion, Huh?

gold mining is poorly regulated and causes environmental damage. safety standards are poor. mine workers are exploited by large corporations focused on monetary profits. there have been many fatalities.

[jpatter666]

Re: Zero Hedge making cases for physical gold

now that you've admitted to being a sissy, may i ask if you are also a government employee?

i am my "portfolio".

i started my own business and, as blaze mentions, nourish it daily. it provides value to me, to my employees (or so they think, though i pay them above the going wage), and to my customers. i find enough satisfaction in that.



gold mining is poorly regulated and causes environmental damage. safety standards are poor. mine workers are exploited by large corporations focused on monetary profits. there have been many fatalities.

Morelia --

1 ) jtabeb is pro-gold (actually PMs). Not miners. In fact, the iTulip position is against miners (note: that's not *my* position). Besides -- mining *in general* causes all the problems you've mentioned.
2 ) Regarding gold itself -- I guess everyone was a sissy until 1971 when Nixon took the US (and essentially the world) off the dollar/gold standard?

Investing in a business is great if you've the knack for it. Most don't.

Many of us see PMs as a hedge against continued government financial incompetence. Jtabeb is more bearish than most, but his arguments tend to be coherent and thought out.

[jtabeb]

Re: Zero Hedge making cases for physical gold

now that you've admitted to being a sissy, may i ask if you are also a government employee?



i am my "portfolio".



i started my own business and, as blaze mentions, nourish it daily. it provides value to me, to my employees (or so they think, though i pay them above the going wage), and to my customers. i find enough satisfaction in that.



gold mining is poorly regulated and causes environmental damage. safety standards are poor. mine workers are exploited by large corporations focused on monetary profits. there have been many fatalities.

Wow! All I can say is wow.

Because there is so much swiss cheese in the above, I will just let readers draw their own conclusions, Ok?

WOW!

[Morelia]

Re: Zero Hedge making cases for physical gold

...I will just let readers draw their own conclusions, Ok?

i conclude that i pay your salary, too.

[jtabeb]

Re: Zero Hedge making cases for physical gold

i conclude that i pay your salary, too.

First,


Full disclosure: View my profile

Second: Enjoy sparring off against yourself, may the best man win.

[Morelia]

Re: Zero Hedge making cases for physical gold

Morelia --

2 ) Regarding gold itself -- I guess everyone was a sissy until 1971 when Nixon took the US (and essentially the world) off the dollar/gold standard?

i understand the perceived value of gold. it is sometimes referred to as "the fourth currency". its intrinsic value is limited to jewelry and some electronics, afaik.

profits on gold trading are taxed at a relatively high level. this level will only increase if gold's perceived value increases. there's no free lunch, as they say.

i say, don't live in fear. put your money to some good, productive use. some people obviously disagree, or feel safer hoarding gold. to each his own.

[Morelia]

Re: Zero Hedge making cases for physical gold

Full disclosure: View my profile

you teach plane flying? very cool. i learned out here. nearly killed myself on my first solo cross country. the instructor sent me over the Sierras (i'm on the east side of them) to Fresno, then Bakersfield. i'm kinda ground shy, especially in the mountains with the crazy downdrafts, so i went up to 14,500. but got dizzy from hypoxia (no O2 on board) and fear of heights so turned around to return to home base.

tried again the next week at 5 AM when the air was smooth as glass and completed the mission. but FAT was difficult to find in all the haze. wasn't allowed to use GPS or Loran, either. dead reckoning all the way.

the guys at nellis AFB are cool. they always offer me flight following, but send me in crazy directions. just having fun with me, i suspect. now i just tell them i'll stay west of NV 95 when i return from vegas (out of their airspace).

[aaron]

Re: Zero Hedge making cases for physical gold

Gold is savings. Where else do you suggest I put my savings?

Investments are not savings.

Investing is not saving.

That is the lesson I have learned over the past 3 years. It has been a very, very expensive lesson.

Of course, if you have a knack for it, a business can be awesome. However, I would not consider it a savings vehicle. Nor am I inclined to commit capital to a new business in this climate. What can you count on?

--> Taxes may or may not rise.
--> The economy may or may not tank.
--> Regulations may or may not be changed.
--> Financing may or may not be available.
--> Customers may or may not have money.


Starting a business is a large risk to start with. When you add the extra risk in today's environment, it does not seem like a good use of a nest egg.

[Rotwang]

Re: Zero Hedge making cases for physical gold

Morelia has all the classic indications of a 'troll'.
Adulteration of physical gold (in their various incarnations), from naturally occuring nuggets to Good Delivery Bars (upholding the financial edifices) is no longer discussed.

[swannmex]

Re: Zero Hedge making cases for physical gold

I conclude that you may not have a firm grasp on history's lessons or macro economics and you sure as hell don't pay my salary. As you say, to each his own. Good luck.

[flintlock]

Re: Zero Hedge making cases for physical gold

My 2 cents. I'm also a believer in starting a business and providing yourself with a job you cannot be fired, laid off, or downsized from. But at some point hopefully we all make enough money to have some left over to save. Putting everything I have in my business would be just as unwise as doing the same with any investment. You say "put your money to good, productive use." What exactly does that mean? Are you saying you merely reinvest every penny in your business? :confused:

Most here do not go to the extreme on gold like jtabeb, but simply have some gold holdings. If not gold then what? Saying something like " start a business" is easy to say, but every day I pass the empty shells of businesses that were started and failed. Like someone else mentioned, not exactly a hot time for start ups. Especially for those who think they can spend their way into a business right now. (Retail can be the kiss of death people, be careful)I recently encouraged a buddy who lost his job of 11 years to try self-employment. So far its working out well for him. But most who have been used to sucking that corporate or govt tete for so long are going to have a real hard time transitioning to self-employment.

And I don't agree Gold hoarders as you call them are paranoid and living in fear. They just well may turn out to be the ones with the stones to see things as they really are, not how they want them to be.

[strittmatter]

Re: Zero Hedge making cases for physical gold

They just well may turn out to be the ones with the stones to see things as they really are, not how they want them to be.

jtabeb-ian wisdom? I'm down with it.

Morpheus

[BadJuju]

Re: Zero Hedge making cases for physical gold

Saying something like " start a business" is easy to say, but every day I pass the empty shells of businesses that were started and failed.

I would like to start a home-based bakery business, but there are significant hurdles for even that. Attempting to start a business outside of the home that requires an even larger investment would be quite daunting, if not impossible, for most people.

[flintlock]

Re: Zero Hedge making cases for physical gold

I would like to start a home-based bakery business, but there are significant hurdles for even that. Attempting to start a business outside of the home that requires an even larger investment would be quite daunting, if not impossible, for most people.

Local codes can be the biggest impediment for that type of business. A lot of jurisdictions frown on any food type business run out of the home.

Some people with substantial savings need to be wary of trying to spend their way into a job. By that I mean, buying a business that may not actually be profitable, just because they can't stand being unemployed. A patient person may be able to find some bargains. Lots of businesses for sale out there now. I see very few I would consider worth even close to what they are asking. Most small businesses are really only as good as the entrepreneur who started it. When they leave often the business does also.

You should have seen some of the businesses my friend was being shown by brokers. Some really stupid stuff, at ridiculous prices. They all claimed to make a fortune but could never really explain why they wanted to sell it. There are valid reasons, but most of these people were looking to get out of bad lease deals or sinking commercial RE. Or just a business that they have to be at 24/7. And Pizza franchises:rolleyes:. Tons of Pizza franchises for sale. Only a $600-700k entry price. :eek: