LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

GoldSeek.com to Launch New Website
By: GoldSeek.com

Is Gold Price Action Warning Of Imminent Monetary Collapse Part 2?
By: Hubert Moolman

Gold and Silver Are Just Getting Started
By: Frank Holmes, US Funds

Silver Makes High Wave Candle at Target – Here’s What to Expect…
By: Clive Maund

Gold Blows Through Upside Resistance - The Chase Is On
By: Avi Gilburt

U.S. Mint To Reduce Gold & Silver Eagle Production Over The Next 12-18 Months
By: Steve St. Angelo, SRSrocco Report

Gold's sharp rise throws Financial Times into an erroneous sulk
By: Chris Powell, GATA

Precious Metals Update Video: Gold's unusual strength
By: Ira Epstein

Asian Metals Market Update: July-29-2020
By: Chintan Karnani, Insignia Consultants

Gold's rise is a 'mystery' because journalism always fails to pursue it
By: Chris Powell, GATA

 
Search

GoldSeek Web

 
Gold Investment Is the Ultimate Guide for Tech Investors In 500 Words


 -- Published: Thursday, 18 May 2017 | Print  | Disqus 

By Jan Skoyles, Editor Mark O’Byrne

Tech is the umbrella word for all things fashionable to invest in right now. Take the recent flotation of Snap Inc. (parent company of teen and narcissists’ favourite app SnapChat), everyone wanted in on the $20 billion flotation.

Snap is likely a sign of a tech bubble that will cost a lot of savers and investors huge amounts of money … again.

Before putting your savings into the likes of SnapInc we think there are some major lessons wannabe investors need to learn. Lessons not just from experienced tech investors but also from gold investment. Lessons which should lead one to consider investing in physical, allocated, segregated gold to secure your portfolio in a world of massive financial bubbles, significant geopolitical uncertainty and huge investment hype.

Is this an investment in a product or an application?

In tech, there are two main things – the product and application.

For example, blockchain is the application, bitcoin is a product. Linux is an application, a website built using Linux is the product. Both blockchain and linux have shown they have endless use-cases and carry significant value in their fields. But the products can vary.

In a similar vein there are many different gold products, whether ETFs, digital gold, gold futures however these all rest on the application of physical gold. However there is much intermediation and they are many tech and legal layers away from the real thing.

In a world of massive technological and systemic risk – as seen this week – why not own the real thing?

Is there competition?

SnapChat, like any new company, faces a battle here as Facebook and Instagram successfully copy the very things that drew first-movers to the application.

When it comes to gold, there is competition between gold investment products, but there is no competition to real, physical gold.

Physical gold cannot be mimicked by fiat money nor can gold products mimic the qualities that direct ownership offers to investors looking to protect their portfolios.

Is this something others are likely to buy?

New tech companies can rarely demonstrate a proof-of-concept. When it comes to SnapChat the jury’s out. The company is built around a single product and it’s losing users and money daily.

Gold is a different story, for thousands of years gold has been used in a variety of ways but primarily as money and a store of value. Increasing numbers of people around the world and especially in Asia want to own it. It crosses many international borders – economic and even political.

Demand continues to increase and yet supply is anaemic at best – so much that we are facing peak gold. Never can a tech company state that they are at ‘peak share’ or ‘peak application.’

Conclusion

When over $20 billion is flowing into just one tech company that has no profits, it is clearly not about real value but instead that there is an abundance of credit in the system and rampant speculation.

Savers get nothing from depositing their hard earned cash in banks (maybe less than nothing with near negative rates and increasing charges) and so whilst they perhaps wouldn’t normally invest in companies like SnapInc they are doing so, with risky consequences.

Gold investors can be assured that not only is it a form of insurance against financial bubbles but that it has no competition, it has a variety of use-cases, is hugely in demand and that it holds its value over time.

We’re pretty sure no tech stock can guarantee those things.

Now might be a good time for tech investors to reduce their allocations to tech stocks and increase allocations and hedge their tech stocks with a gold investment.

News and Commentary

“Political mess in the U.S. is finally impacting U.S. and global markets” – GoldCore (MarketWatch.com)

Gold holds gains as U.S. political worries hit dollar (Reuters.com)

Billion-Dollar Gold Dream Lures Mining Maverick Out of Hiatus (Bloomberg.com)

Buyers Flee VanEck Gold ETF as Barrick Slip Dims Mining View (Bloomberg.com)

Ex-FBI chief Mueller named special prosecutor for Trump-Russia probe (Reuters.com)

Prudent retirees are saving for a rainy day (Bloomberg.com)

The Deep State Moves on Trump (DailyReckoning.com)

Financial Bubbles To Burst as Washington Completely Dysfunction and Heading for Combat (DailyReckoning.com)

What the Heck’s Going on With Cryptocurrencies? (WolfStreet.com)

EU grab on euro clearing would be “vastly damaging” for Europe and global financial system (CityAM.com)

Gold Prices (LBMA AM)

18 May: USD 1,261.35, GBP 968.21 & EUR 1,133.95 per ounce
17 May: USD 1,244.60, GBP 961.70 & EUR 1,122.13 per ounce
16 May: USD 1,234.05, GBP 958.98 & EUR 1,117.93 per ounce
15 May: USD 1,231.50, GBP 952.32 & EUR 1,124.61 per ounce
12 May: USD 1,227.90, GBP 955.06 & EUR 1,129.55 per ounce
11 May: USD 1,221.00, GBP 945.66 & EUR 1,122.95 per ounce
10 May: USD 1,222.95, GBP 944.61 & EUR 1,124.99 per ounce

Silver Prices (LBMA)

18 May: USD 16.81, GBP 12.90 & EUR 15.10 per ounce
17 May: USD 16.90, GBP 13.03 & EUR 15.22 per ounce
16 May: USD 16.72, GBP 12.97 & EUR 15.13 per ounce
15 May: USD 16.59, GBP 12.83 & EUR 15.12 per ounce
12 May: USD 16.30, GBP 12.68 & EUR 14.99 per ounce
11 May: USD 16.37, GBP 12.70 & EUR 15.06 per ounce
10 May: USD 16.29, GBP 12.59 & EUR 14.99 per ounce

http://www.goldcore.com/us/

 


| Digg This Article
 -- Published: Thursday, 18 May 2017 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2019



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


Map

The views contained here may not represent the views of GoldSeek.com, Gold Seek LLC, its affiliates or advertisers. GoldSeek.com, Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, Gold Seek LLC, is strictly prohibited. In no event shall GoldSeek.com, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.