2007-09-18 21:43:46 · 5 answers · asked by X 3 in Business & Finance ➔ Investing
Precious metals are a highly volatile investment vehicle. Most advisers recommend no more than 10% in precious metals.
2007-09-18 21:54:10 · answer #1 · answered by Bostonian In MO 7 · 4⤊ 1⤋
I believe that investing in commodities and precious metals is a good hedge against inflation, this is why commodities and gold have been going up so strongly over the past years. An easy way to invest in commodities (apart from futures) is through an ETF (Exchange Traded Fund), examples are:
DBC PowerShares DB Commodity Idx Trking Fund
DJP iPath Dow Jones-AIG Commodity Idx TR ETN
If you strictly want to invest in Gold or Silver consider:
GLD streetTRACKS Gold Shares
SLV iShares Silver Trust
GDX Market Vectors Gold Miners
However also watch the inflation (inflationdata.com), which has actually come down since 2005 and 2006.
2007-09-19 19:48:25 · answer #2 · answered by fred 2 · 0⤊ 0⤋
Yes, they are considered a hedge against inflation. Hard assets in general are a hedge against inflation. They tend to increase in value while securities and financial assets tend to go down as inflation goes up.
2007-09-18 23:31:56 · answer #3 · answered by jeff410 7 · 0⤊ 4⤋
Yes, the classic investment for that is gold. And your wife or girl friend will be fully in favor of that.
2007-09-19 00:30:47 · answer #4 · answered by Anonymous · 0⤊ 4⤋
Yes.
2007-09-19 08:04:24 · answer #5 · answered by Anonymous · 0⤊ 2⤋