Should You Buy Gold?
I am quoted in an AARP Magazine (February/March 2015) article discussing gold as an investment:
“Gold is an emotional investment, and not one that I would recommend for those approaching retirement or in retirement,” says David I. Kass, associate professor of finance at the University of Maryland, College Park. “The price of gold can drop as quickly as it can go up.”
Warren Buffett is also quoted in this article:
Billionaire Warren Buffett, one of the world’s most successful investors, has a more colorful argument against gold. In a letter to shareholders in 2011, the Oracle of Omaha said all the gold mined would amount to a 68-foot cube, the money equivalent of all the cropland in the U.S., 16 ExxonMobils and a trillion dollars in cash. “A century from now, the 400 million acres of farmland will have produced staggering amounts of corn, wheat, cotton, and other crops—and will continue to produce that valuable bounty, whatever the currency may be. ExxonMobil will probably have delivered trillions of dollars in dividends to its owners and will also hold assets worth many more trillions (and, remember, you get 16 Exxons),” he wrote. “The 170,000 tons of gold will be unchanged in size and still incapable of producing anything. You can fondle the cube, but it will not respond.”
The entire article is available at:
