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re: Physical silver

Posted on 2/5/15 at 9:26 pm to
Posted by I B Freeman
Member since Oct 2009
27843 posts
Posted on 2/5/15 at 9:26 pm to
quote:

It's not that they are great investments in and of themselves just more a hedge against catastrophe. For example I lost nothing in 2009 because I did not sell any stocks,


Uhh how did that hedge work out for gold bugs through the eighties and nineties when the dollar was strong? I remember $3 silver not too long ago.

Look gold and silver are commodities. They are gambles. Physical gold and silver is really a big gamble. It cost to store it--do you hide it in your underwear draw?? Who wants $100k in silver in their house? Commissions to buy it and sell it are high. Most people do not have it insured against lost.


Posted by cave canem
pullarius dominus
Member since Oct 2012
12186 posts
Posted on 2/5/15 at 11:37 pm to
quote:

Uhh how did that hedge work out for gold bugs through the eighties and nineties when the dollar was strong?


Why in the name of Christ would anyone want to sell on a strong dollar or late 80's or 90's type economy? Just like stocks a profit or loss is not realized until a sell is made.

quote:

I remember $3 silver not too long ago.


horseshite, but even if true would you not have liked to buy some then.


quote:

Look gold and silver are commodities. They are gambles. Physical gold and silver is really a big gamble


So is a share of Microsoft WTF?


quote:

It cost to store it--do you hide it in your underwear draw?? Who wants $100k in silver in their house?


You do realize a few shoeboxes would hold that amount of silver right? I mean it's not like it takes up much room.

quote:

Most people do not have it insured against lost.



Again WTF


I would not recommend silver for a person who would have be liquidating his position do to need. For a buy and hold position to be sold at the right time metals excel. For the same reason I typed above silver can be an important part of a portfolio and is the reason almost every sovereign wealth fund and central bank on the planet holds some. Most reputable advisers will advise a small percentage for the same reason.
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