The most common mistake most financial advisers make is they consider gold an investment and use standard investment methods to place a value on it. GOLD is NOT really an investment, it's more of an INSURANCE against a failing government currency and financial system.
This is why there's so much controversy about gold investing, people should not buy gold to make money, you buy gold to protect your purchasing power vs the cost of living and a financial system gone bad. Gold is misunderstood from the beginning because it's compared to other investments. Unfortunately many in the financial industry cannot distinguish between the two, investment or insurance. Gold has been the ULTIMATE store of value for thousands of years, and this fact CANNOT be changed because the "VALUE" of gold lies in the amount of "LABOUR" required to produce one ounce of gold. Some say it would take one man 500 years of labour and technology to produce one ounce of gold. Gold essentially does nothing, but it's the measure of which currencies compete against it that change. Think about the amount of energy and ingenuity required to remove the earth to find that RARE vein of gold, and then think about the amount of energy required to refine that gold into a one ounce coin? BK
Please watch this video and we hope it helps you understand. VIDEO
