Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Gallup Poll: Gold Is Best Longterm Investment

Published 05/03/2012, 01:24 AM
Updated 07/09/2023, 06:31 AM
CASP
-
GC
-
SI
-
BETI
-
IMOB
-

Yes, hard to believe it, but roughly 30% of Americans polled felt that gold was the best longterm investment. Not real estate, not stocks, not bonds, but gold.

You might think that this is an indication of a real bubble in the price of the precious metal. Until you realize that if 30% of Americans actually put 5% of their money into gold, I doubt very much that the price could stay where it is. Globally, American investors have to compete not only with other people around the world, but also foreign central banks, who continue to buy more gold than they sell (in stark contrast to just 5 or 6 years ago.) Globally, there is maybe 1 trillion dollars of gold for sale to the public, and I bet this number is being generous. Financial wealth in the world? Probably 100 trillion dollars.

Yes, 30% of Americans think gold is a good investment, but they have received little help or encouragement from financial advisers or other professionals in terms of being led to actually put any money into the yellow metal. But this reminds me (and others) of the early 1990s with the stock market. It took time not only for the word to get out about the great returns in equities (after most Americans were in fixed income), but it also took time for people to actually take the plunge.

As I never tire of repeating, people should have learned from 2008 that the joke was on them as a taxpayer, investor, and dollar holder. One set of rules for the bankers and one set of rules for the little people. To be further insulted by a purposeful policy of attacking savers with zero interest rates should have led more people to push back (peacefully, mind you) and simply say, thank you and goodbye to playing in the bankers’ casino. I was taught to stand up to bullies. I think the most powerful reason to buy gold and silver is out of a sense of self-respect. We can’t change everything about ourselves or about our world, but we can do some small things to make a statement.

I think buying gold and silver is that statement.

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.