Magnificent Kinkakuji
Last week during his tour of Kyoto Japan, President Bush visited the Golden Pavilion (Kinkakuji) and described it as “magnificent”. He was probably referring to the 1398 Japanese architecture but may just as well have been referring to gold prices which are at an 18-year high. Gold has been a magnificent investment and still has considerable upside.
It is a rare portfolio that I build for a client that does not have some allocation to gold and other precious metals. There …
Buying Gold – The Logic
Humans have been fascinated by gold for thousands of years, by the way it never tarnishes and by its unique color.
Sadly, gold is useless in engineering terms, except for plating electrical contacts, to ensure they never tarnish and lose their conductivity. The metal is too soft, with too low a tensile strength to be used for much besides necklaces and rings.
As an investment though, gold is a different story altogether. Why do people buy gold? It has zero intrinsic val…