Skip to main content
No. of Recommendations: 2
I know gold and silver have been huge lately but i think it's good to have a bear chime in occasionally. While I often disagree with Cramer on many topics, his advice on thinking of gold a currency makes a great deal of sense (though he is very bullish gold). Unfortunatly this means that gold does not build value by itself like a corp but changes in price relative to other currencies as macro trends make some monies appear stronger or weaker. During the inflation driven bear market of the 70's gold took off as it was the strongest currency around but durring the 80's it took a major hit when the economy strengthened. Once gold re-priced to a lowwer value it practically road rails flat or slightly down for almost 20 years!

Gold can be a good/great hedge when you think the economy might take an ugly turn like it just has but might be a losing bet if you are thinking of holding some over the course of decades. If you want an element of really long term stable growth in your portfolio I would look at TIPS or FDIC insured CD's.

If you really want metals/commodities I like things like lithium or palladium because I see possible increased demand for the metals in high tech auto and industrial applications. These new batteries and efficient engines could fundementally restructure the value of these materials over the next decade or so.
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.