Investors Multiply Their Gold Holdings
In this article, it is laid out how and why Investors Multiply Their Gold Holdings. It is clear to them that gold is a good investment. And they have been doing this for years. What’s more interesting is how official gold reserves are also being doubled, tripled, and so on. Even the government know this secret. Gold is the ultimate investment that can sustain a stable future for anyone. It is indeed the universal currency that will last generation after generation.
Read the selection below from Money News.
Gold’s 12-year rally, the longest in at least nine decades, is poised
to continue in 2013 as central bank stimulus spurs investors from John
Paulson to George Soros to accumulate the highest combined bullion
The metal will rise every quarter next year and average $1,925 an
ounce in the final three months, or 12 percent more than now,
according to the median of 16 analyst estimates compiled by Bloomberg.
Paulson & Co. has a $3.62 billion bet through the SPDR Gold Trust, the
biggest gold-backed exchange-traded product, and Soros Fund Management
LLC increased its holdings by 49 percent in the third quarter, U.S.
Securities and Exchange Commission filings show.
Central banks from Europe to China are pledging more steps to boost
growth, raising concern about inflation and currency devaluation.
Investors bought 247 metric tons through ETPs this year, exceeding
annual U.S. mine output. While both sides said talks last Friday
between President Barack Obama and Congress over the so-called fiscal
cliff were “constructive,” the Congressional Budget Office has warned
the U.S. risks a recession if spending cuts and tax rises aren’t
“We see gold as a hedge against the follies of politicians,” said
Michael Mullaney, who helps manage $9.5 billion of assets as chief
investment officer at Fiduciary Trust in Boston. “It’s a good time to
garner some protection in portfolios by having some real asset like
Gold advanced 10 percent to $1,723.79 in London this year, headed for
a 12th consecutive annual gain, the longest streak in data compiled by
Bloomberg going back to 1920. Prices reached a record $1,921.15 in
September 2011. The Standard & Poor’s GSCI gauge of 24 commodities
gained 1 percent and the MSCI All-Country World Index of equities
climbed 7.9 percent. Treasuries returned 2.8 percent, a Bank of
America Corp. index shows.
Bullion held through ETPs, the first of which listed in 2003, reached
a record 2,603.7 tons on Nov. 16, valued at $144.3 billion. That
exceeds the official reserves of every nation except the U.S. and
Germany, World Gold Council data show. The SPDR Gold Trust alone holds
Soros increased his investment in the trust to 1.32 million shares in
the third quarter, the most since 2010, a Nov. 14 SEC filing showed.
The stake, with each share representing about a 10th of an ounce, is
valued at $219 million. Prices advanced 59 percent since January 2010,
when Soros called gold the “ultimate asset bubble.” Michael Vachon, a
spokesman for the 82-year-old who made $1 billion breaking the Bank of
England’s defense of the pound in 1992, declined to comment.
There are a lot of supporting documents, news, articles, etc that validate gold’s longstanding & exemplary value not just in finance but also in society in general. The idea of buying gold coins, gold bullion, silver coins, silver bullion or any other form of precious metal as a cautionary investment against economic crises is not a far fetched idea. It is in fact a wise and plausible thing that any responsible person would & should do. that is why Investors Multiply Their Gold Holdings every time.
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