Quote:
Originally Posted by usshelena725
I’m not a believer of precious metals as an investment. It’s a commodity, which translated means it creates no revenue. I invest in things that create revenue. Bricks don’t create revenue, so I don’t buy bricks. I don’t buy cloth. I don’t buy commodities, and I don’t buy little gold or silver bricks either. The point is that the only thing which drives the market price of gold is demand. The only things that drive demand for gold are speculation or fear. The only way gold goes up in value is if more people want it. If less people want it, it goes down.
Are there some reasons to be afraid? Yes. That’s been driving the gold market for the last 10 years. Gold has done very well during that time. But it hasn’t done very well because gold has intrinsic value. It’s done very well because people are afraid. If you want to see a return of 8% or 15% over the long run, it doesn’t happen. It’s a commodity, and it’s based on demand.
Here’s another hint: If your investments are advertised right after a Snuggie ad, you are probably not in a good category of investments. If Snuggie is on, and then right after that, catheters and then gold coins, something is wrong.
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What do you mean.
If you bought a lot of bricks when bricks were invented at 1$ and were able to sell your bricks after a year for like 3$. The bricks made you money.