Gold, Silver, Real Estate and Crypto

[slip]

My company 401K didn't start until a year into my employment. So I have been funding it all that time with a company 100% match up to 3% of my contributions. I have been invested in the same 2 funds the whole time. I never changed anything and rode out the rough times. I just watched it grow over the years. While I increased my contributions over the years. I never exceeded 15%.

The automatic deduction helps and because I was able to stick with it, I am retiring in 96 days at 58. I never really made big money compared to many people but I did fine. My first year there in 1984 I made $21,000 and I was as happy as a clam.

I still say luck has a lot to do with it though. Both my wife and I are lucky that we both will get small pensions also. We were working when those were going away and both of ours were frozen fairly early in our careers but we will both have nice monthly payments from them. Even with them being frozen years ago.

So if an average Joe like myself can do well anyone can. Especially, with a little bit of luck.

 

[Ralph Sir Edward]

"Buy a sound investment this is out of favor." J. P. Morgan Sr.

Gold runs a 36 (or so) year cycle. We are in the mid-range of the cycle. (The cycle - divide the price of gold into the Dow Jones Industrial average.) A high number (above 30) is a long term gold buy signal. Below 5 is a sell signal.

Crypto is a mania. Sooner or later, it will burst. (Don't ask me, I can't say when.) It has no physical utility.

As to stocks. save your money and buy when the "blood" is running int the (Wall) street. Then follow the quote above. Recession are the proper time to buy. When the Fed starts squeezing interest rates, is usually the good time to sell. (watch the leading economic indicators - they are often a good tip-off.)

Stocks have an annual cycle, a 3-4 year cycle, and a 8-10 year cycle, any of which cane be shortened or stretched. Right now we are at the end of the 10 year cycle, but the Fed money pumping has stretched it. (For how much longer, I don't know.)

Real estate is a alligator - always biting you. It has an inherent negative cash flow (taxes), and the location, location, location risk - and the good locations don't always stay good. Be warned.

 

[Brett]

"Buy a sound investment this is out of favor." J. P. Morgan Sr.

Gold runs a 36 (or so) year cycle. We are in the mid-range of the cycle. (The cycle - divide the price of gold into the Dow Jones Industrial average.) A high number (above 30) is a long term gold buy signal. Below 5 is a sell signal.

Crypto is a mania. Sooner or later, it will burst. (Don't ask me, I can't say when.) It has no physical utility.

As to stocks. save your money and buy when the "blood" is running int the (Wall) street. Then follow the quote above. Recession are the proper time to buy. When the Fed starts squeezing interest rates, is usually the good time to sell. (watch the leading economic indicators - they are often a good tip-off.)

Stocks have an annual cycle, a 3-4 year cycle, and a 8-10 year cycle, any of which cane be shortened or stretched. Right now we are at the end of the 10 year cycle, but the Fed money pumping has stretched it. (For how much longer, I don't know.)

Real estate is a alligator - always biting you. It has an inherent negative cash flow (taxes), and the location, location, location risk - and the good locations don't always stay good. Be warned.

I'm not sure anyone can predict these "cycles" with the different assets

Probably why I am diversified with index funds, real estate, bonds, CD's, .....

 

[PigsDad]

Yeah, I'm not so sure basing your investment strategy of historic cycles is a good idea for the common investor. Just look at the current stock market -- how many times here, on TUG, have people claimed "It's time to get out", "It's over valued", "It's going to burst", "It's ripe for a big correction" just since the crash of 2007? If I had listened to any of those self-proclaimed "experts", my portfolio would be nowhere close to what it is today. Instead, we bought a vacation home this year and we are on plan to retire very comfortably next year at age 57 after working 34 years. No pensions (except SS in 10 years), just "boring" investments.

Started saving for retirement when we started working, and kept our discipline through all the ups and downs. "Slow and steady, stay the course" worked well for me. Some may call that "luck"; I call it sticking to a plan.

Kurt

 

[am1]

"Buy a sound investment this is out of favor." J. P. Morgan Sr.

Gold runs a 36 (or so) year cycle. We are in the mid-range of the cycle. (The cycle - divide the price of gold into the Dow Jones Industrial average.) A high number (above 30) is a long term gold buy signal. Below 5 is a sell signal.

Crypto is a mania. Sooner or later, it will burst. (Don't ask me, I can't say when.) It has no physical utility.

As to stocks. save your money and buy when the "blood" is running int the (Wall) street. Then follow the quote above. Recession are the proper time to buy. When the Fed starts squeezing interest rates, is usually the good time to sell. (watch the leading economic indicators - they are often a good tip-off.)

Stocks have an annual cycle, a 3-4 year cycle, and a 8-10 year cycle, any of which cane be shortened or stretched. Right now we are at the end of the 10 year cycle, but the Fed money pumping has stretched it. (For how much longer, I don't know.)

Real estate is a alligator - always biting you. It has an inherent negative cash flow (taxes), and the location, location, location risk - and the good locations don't always stay good. Be warned.

I pay $300 a year in taxes on 13 properties. Two apartments I am charged on my share of the land taxes.

 

[PigsDad]

I pay $300 a year in taxes on 13 properties. Two apartments I am charged on my share of the land taxes.

That's great, but clearly not in the US.

Kurt

 

[am1]

That's great, but clearly not in the US.

Kurt

Yes Thankfully.

 

[MULTIZ321]

Squid Game crypto plunges to $O after scammers steal millions of dollars from investors.

Squid Game crypto plunges to $0 after scammers steal millions of dollars from investors

A digital currency based off the popular Netflix series "Squid Game" is trading at $0 after its creators cashed out, effectively stealing an estimated $2.1 million from investors.

www.cnn.com

Richard

 

[MULTIZ321]

'Trillions Of Dollars' - Bitcoin Braced For A Massive Earthquake As The Price Of Ethereum, Binance's BNB, Solana, Cardano And XRP Soar.

‘Trillions Of Dollars’—Bitcoin Braced For A Massive Earthquake As The Price Of Ethereum, Binance’s BNB, Solana, Cardano And XRP Soar

Michael Saylor, a bullish bitcoin buyer, has predicted "trillions of dollars" will flow into bitcoin once the U.S. regulator approves a fully-fledged bitcoin ETF...

www.forbes.com

.


Richard

 

[Brett]

'Trillions Of Dollars' - Bitcoin Braced For A Massive Earthquake As The Price Of Ethereum, Binance's BNB, Solana, Cardano And XRP Soar.

‘Trillions Of Dollars’—Bitcoin Braced For A Massive Earthquake As The Price Of Ethereum, Binance’s BNB, Solana, Cardano And XRP Soar

Michael Saylor, a bullish bitcoin buyer, has predicted "trillions of dollars" will flow into bitcoin once the U.S. regulator approves a fully-fledged bitcoin ETF...

www.forbes.com

.


Richard

But what about $CAT coin

 

[MULTIZ321]

Gold price powers to 2-mo. high on inflation concerns.

Gold price powers to 2-mo. high on inflation concerns

(Kitco News) - Gold and silver prices are modestly up in early U.S. trading Monday, with gold notching a two-month high.

www.kitco.com

.


Richard

 

[MULTIZ321]

All big banks will seriously consider starting crypto trading soon, says former Citigroup CEO Vikram Pandit.

All big banks will seriously consider starting crypto trading soon, says former Citigroup CEO Vikram Pandit

Former Citigroup boss Vikram Pandit said the biggest banks will be seriously weighing up a leap into the crypto world.

markets.businessinsider.com

.


Richard

 

[MULTIZ321]

Bitcoin hits new all-time high above $68,000 as cryptocurrencies extend rally.

Bitcoin hits new all-time high above $68,000 as cryptocurrencies extend rally

These record-breaking moves come amid a wider rally in the crypto market.

www.cnbc.com

.


Richard

 

[csodjd]

I find the discussion interesting but lacking what to me appears obvious — the “best” approach is to have some of all these assets. Stocks, ETFs, funds, gold, crypto, real estate. They are not mutually exclusive, they are parts of a portfolio. The allocation should match with one’s risk tolerance. And as the economy changes you shift that allocation a bit, but always remaining invested in all these asset classes.

 

[bogey21]

I own no stocks or bonds. For the last year or so I have been buying gold in the form of Liberty Half Eagles. A few years ago you could buy one in excellent condition for roughly $450. Toady they are going for about $600. There is roughly $425 - $450 gold in a Half Eagle. The difference between $600 and $450 is their numismatic value. My raw gold is in PaxGold, a crypto stable coin on Ethereum's block chain backed by gold in a Brink's vault in London. Buying bullion via PaxGold rather than from a dealer massively cuts transaction costs...

George

 

[MULTIZ321]

Forget Gold: These Assets Are Your Best Bets as
Inflation Hedges.

Forget Gold: These Assets Are Your Best Bets as Inflation Hedges - SmartAsset

While gold has traditionally been viewed as a hedge against inflation, Russ Koesterich of BlackRock says you may want to lower your exposure to gold.

smartasset.com

.


Richard

 

[csodjd]

I own no stocks or bonds. For the last year or so I have been buying gold in the form of Liberty Half Eagles. A few years ago you could buy one in excellent condition for roughly $450. Toady they are going for about $600. There is roughly $425 - $450 gold in a Half Eagle. The difference between $600 and $450 is their numismatic value. My raw gold is in PaxGold, a crypto stable coin on Ethereum's block chain backed by gold in a Brink's vault in London. Buying bullion via PaxGold rather than from a dealer massively cuts transaction costs...

George

I too have a number of gold coins, purchased a couple years ago, They are $20 MS64 Saint Gaudens Double Eagle coins. I also have GLD, RGLD, GOLD, GDX, PSLV, and SLV - gold and silver trusts and miners. But also some BTC and ETH (which is up 450% in a year). I also have a fair amount in VTIP (low return but very safe and inflation protected) and BXMT, a mortgage REIT that has a consistent roughly 7.5% dividend. The bulk of my investments, however, are in dividend stocks that I’m reinvesting to compound the dividend, and right now, a good sized amount of cash (about 20%). I have no bonds, I’ve sold them all off. They are money losers in an inflationary environment, and I believe we are in just that and will continue to be so for at least another year. With some trepidation, I’m also starting to fund buying Gemini Dollars (from Gemini.com) with 8.05% interest. I have a small Roth with five dividend aristocrats.

 

[csodjd]

Forget Gold: These Assets Are Your Best Bets as
Inflation Hedges.

Forget Gold: These Assets Are Your Best Bets as Inflation Hedges - SmartAsset

While gold has traditionally been viewed as a hedge against inflation, Russ Koesterich of BlackRock says you may want to lower your exposure to gold.

smartasset.com

.


Richard

Interesting that they don’t mention real estate or REITS. Mortgages are GREAT to have during inflation. That mortgage becomes cheaper and cheaper (assuming it is a fixed rate) as the dollar becomes worth less and less. And with the inflation, the underlying asset goes up in value.

 

[bogey21]

I've told my Son, who had to close out his IRA when he got laid off, that his retirement nest egg is now his $300,000 (original cost) house and 2.50% mortgage. I told him if he doesn't Refi with cash out and with a continuing increase in Real Estate values, after he retires he should be able to sell it, move into something smaller and have a bunch of cash to help him pull through...

George

 

[MULTIZ321]

Bitcoin for Beginners: Understanding the Future of Cryptocurrency.

Bitcoin for Beginners: Understanding the Future of Cryptocurrency

You’ve probably been hearing a lot about bitcoin and cryptocurrency in the news these days. On October 20, 2021, bitcoin shot up to an all-time high of $66,975. If you’ve been wondering what all the hype is about or if it’s time to dip your toes in the cryptocurrency waters, I&rsqu

www.quickanddirtytips.com

.


Richard

 

[Brett]

Does Costco still sell gold bars?

Maybe it's time to start hoarding gold in your bunker

 

[billymach4]

Does Costco still sell gold bars?

Maybe it's time to start hoarding gold in your bunker

View attachment 107469

Yes Costco does indeed sell gold bars. They sell quickly!

 

[4TimeAway]

Be warned.

Its income vs expenses for most people. The simple math is where they get hung up and have decades of setbacks.

Mark Twain's notion of the return of my money more than the return on my money is something that we should not lose sight of. Buying high and selling low are definately risks we all face. I think there's a correlation with everyone "talking" and heaven forbid they "know" that something is going up.....

I personally don't have an issue buying stuff. Its the selling that is tough.

 

[Tia]

I've told my Son, who had to close out his IRA when he got laid off, that his retirement nest egg is now his $300,000 (original cost) house and 2.50% mortgage. I told him if he doesn't Refi with cash out and with a continuing increase in Real Estate values, after he retires he should be able to sell it, move into something smaller and have a bunch of cash to help him pull through...

George

I miss George aka bogey21 participation in the investment conversations, was easy to understand what he was talking about.

 

[rapmarks]

I miss George aka bogey21 participation in the investment conversations, was easy to understand what he was talking about.

Me too. He would be in his nineties now. So much experience and knowledge