No matter what the current price of gold is, there is no one answer for this question. Often, personal finance articles tell you that individuals may want to invest anywhere from 10% of their portfolio to 30% in gold.
Someone who is more optimistic about the economy would be more likely to want to invest toward the lower 10% level. Gold is much like an insurance policy against the economy and someone who feels that good times are ahead would want to have less "insurance". Someone who feels there are dire times in front of us whould be interested in investion more toward the 30% level or even higher.
Gold investment will alway be a secure alternative to stocks and bonds. Traditionally, gold has been a favorite of wealthy European and Asian families who have opted to keep a significant percentage of their wealth in gold. This investing style has also become a favorite of many U.S. upper class families who want to make sure their future is secure.
With stocks going down for much of 2008, many are turning to gold and gold stocks for security. Gold investing has been getting more and more attention as investors flock towards safety. The current price of gold may still have many years of upwards growth if this trend continues.
What Percentage Off My Assets Should I Invest In Gold?
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