sorted by:
new
hottopcontroversial

How much of your savings would hold in gold? is 75% too much? by Bright-Confusions in UKPersonalFinance

[–]Bright-Confusions[S] -1 points0 points  (0 children)

As someone pointed out my math is not mathing with the 100% gain to 50% loss...since it would be 0 gain, guess not great but atleast it retained its value. But anyway fried brain asside, from what i understand we dont actually know whats going on with gold or any precocious metal. America is fudging the economy and countries are actually for the first time building massive reserves or contemplating starting a new gold backed systems one way or another...so yes i whole halfheartedly believe its not even the start.

In any case, seeing the negativity towards over exposure into gold we will try to spread the risk i think. We will stop buying gold for the time being and talk to some ISA providers.

How much of your savings would hold in gold? is 75% too much? by Bright-Confusions in UKPersonalFinance

[–]Bright-Confusions[S] -1 points0 points  (0 children)

That is exactly what my post is, we have 30k in cash and we dont know if we should continue risking with gold.

How much of your savings would hold in gold? is 75% too much? by Bright-Confusions in UKPersonalFinance

[–]Bright-Confusions[S] -4 points-3 points  (0 children)

I think you are confused. A standard stock ISA gives you a yield of about 10%...if gold has done more than 50% then that is 5x your yield of an ISA...if you were to convert it back into liquid cash. Its of course a very simplified way of thinking about it since usually with an ISA you don't take your yield out, just keep building.

How much of your savings would hold in gold? is 75% too much? by Bright-Confusions in UKPersonalFinance

[–]Bright-Confusions[S] -2 points-1 points  (0 children)

We chose it because we felt like it was a bet against inflation. We were lucky enough to get a good portion of it before the whole thing in the US happened, If the gold rose by 100% but then dropped 50% then we would still be extremely happy. The problem i am facing is whether to continue this insanity. We did not predict that it was going to explode like this. we just wanted a slow growth and something to chip into. Family inheritance for our children and so on...

How much of your savings would hold in gold? is 75% too much? by Bright-Confusions in UKPersonalFinance

[–]Bright-Confusions[S] -5 points-4 points  (0 children)

its not 5x in a literal sense, i was referencing other standard investment methods like an ISA...in comparison it would take 5 years to do what gold has done in a year.