NOT ALL GOLD IS CREATED EQUAL - PRE-1933 GOLD LESS VOLATILE THAN BULLION

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Most would agree that the daily spot price of gold is impacted by several factors, not the least of which is the U.S. Dollar Index and global market conditions.  Since 2001, these have been the driving forces in gold's climb from $265/oz. to over $1,000/oz.

Recently the dollar has rallied and oil prices have dropped sharply, resulting in the pull-back of gold prices. Yet most analysts remain bullish on gold long-term. In the words of world-reknowned economist Jean-Marie Eveillard, "Value investors must be  willing to suffer short-term pain for long-tern gain."

Holders of Mint State Pre-1933 U.S. gold coins do benefit from rising spot gold prices, however, the volatility of corrections reflected in the spot price are tempered by limited availability of pre-1933 investment grade gold, making it the perfect form of gold to own for long-term capital appreciate and wealth preservation.

The "privacy factor" adds to the appeal of certified pre-1933 gold coins, creating more demand that the supply can accommodate, which can result in an appreciation in the value of these coins even when gold bullion prices depreciate.

Ultimately, a new breed of financial advisors and investors see the diversification, risk management, and hedge offered by mint state pre-1933 gold coins as a necessity in every portfolio, regardless of the short term movement of the spot price of gold.

Capital Gold Group, gold group, gold, gold prices, gold news, gold coins, gold bullion, gold IRA, IRA gold

About this Entry

This page contains a single entry by J. Ryman published on September 11, 2008 12:35 PM.

Capital Gold Group Report: WILL WAMU SURVIVE LOSSES? was the previous entry in this blog.

BLOOMBERG BREAKING NEWS HEADLINES - U.S. GOVT. TO ARRANGE SALE OF LEHMAN BROS is the next entry in this blog.

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