Financial question #2.

JR · Posted: Sat Jul 03, 2004 3:40 pm Post subject: Financial question #2.

Concerning the purchase of gold. When someone tells you to invest in gold...does that mean buying jewelry??????

Sorry if this is a stupid question.

Thanks.

Jodi

Guest · Posted: Sat Jul 03, 2004 3:55 pm Post subject:

See my reply to your other post and yes it can mean jewelry though that is a more costly way usually.

Aaron · Posted: Sat Jul 03, 2004 4:03 pm Post subject:

It could be jewelry...

Or anything else made of precious metal.

Or the refined metal in bars or coins (like Krugerrands)

You can also buy futures for most commodities, which is like a bet against the future price. Like I buy 10,000 barrels of oil at a set price today, hoping that in a couple of years, the price of oil will rise, and I make money. I don't actually receive the oil, or whatever, although I suppose I could.

Related Posts... there's another one with really good info, but I can't find it.

http://peakoil.com/fortopic527.html

http://peakoil.com/fortopic212.html

http://peakoil.com/fortopic87.html
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JR · Posted: Sat Jul 03, 2004 5:50 pm Post subject:

Thanks, guys...and thank you, guest. I hadn't read your reply to my other thread. Buying gold boullion may be difficult for me living in a small farm town. But, I do plan on looking into it.

Jodi

Pops · Posted: Sat Jul 03, 2004 6:41 pm Post subject:

I do know some about jewelry; I worked in an administrative position for a jewelry store chain for a dozen years. The price of chain for instance is pegged to the market, but is WAYYY inflated at retail. The same for diamonds.

Like any other prep item look at it for good times and bad. A nice chain could be traded based on its intrinsic value if necessary in bad times, that would certainly be less than one paid for it’s decorative value during good times. However if bad times never come you still have a nice chain.
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Carrie · Posted: Sat Jul 03, 2004 6:41 pm Post subject:

I've heard that you should stay away from jewelry, if you are investing in gold, as jewelry has a very high mark-up. I've also heard that individual (or inexperienced) investors should stay away from futures, as it can be extremely risky & you could easily lose a lot.

As for purchasing gold bullion & coins, you could check out http://www.kitco.com

Also http://goldmoney.com - this is where you can purchase gold that is held for you in allocated storage in a vault in the UK. I think holding physical gold would be better, but they're very reputable & it's a way that you can easily purchase small amounts & accumulate it over time.