Gold is often described by many as the “barbarous relic” of the past. It’s a favourite phrase of gold-bashers everywhere trying to make gold the object of derision. Even legendary investor Warren Buffett criticized gold this way: "It gets dug out of the ground in Africa or someplace. Then we melt it down, dig another hole, bury it again and pay people to stand around guarding it. It has no utility. Anyone watching from Mars would be scratching their head." Gold not only doesn't earn you interest, you even need to pay storage cost for your gold. Furthermore, many speculators got burnt speculating gold. The long-term total returns of gold are not that fantastic and therefore should have discouraged most investors.
Indeed, gold is one of those investments that attracts extreme viewpoints. Are there still good enough reasons to include gold as part of your investment portfolio? Or should you just forget about investing in gold altogether and focus on other investment vehicles instead?
Kelvin Wong is a millionaire investor, author, and landlord in 3 countries. He currently owns a multi-million dollar property portfolio in Singapore, Australia and Malaysia. With his assets generating multiple streams of income to sustain his desired lifestyle, Kelvin became financially free at 39. He holds a Bachelor of Business (Dean's List) degree and a Diploma in Business Management. Kelvin writes about building wealth and achieving financial freedom in his free time.
Copyright © 2011 Kelvin Wong
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