Investing

Helping My Mom Buy Gold Certificates - CIBC Investor's Edge?

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  • Dec 24th, 2020 3:58 pm
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May 11, 2014
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ukrainiandude wrote: Past performance doesn’t guarantee future performance. No one knows the future including yourself. And finally for some people your evidence might not be convincing enough and you have to learn to live with it. Cheers.
But we already know the problems with gold compared to other assets. Your argument that "past doesn't guarantee future performance" is a simplistic argument. Gold in the form of certificates via the brokerage is high cost and will further erode value.

Ultimately it is the choice of the OP's mom, but it is courtesy to raise issues and critiques especially as the price of gold and silver momentum is high at the moment.
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[OP]
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Dec 27, 2013
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Clacker wrote: Why is she fixated on Gold? Looking long-term gold isn't even close to whole market investments when dividends are included.
Oh, I know. And I've mentioned that, but she just feels more comfortable with this at the moment.
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Mar 4, 2011
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OntEdTchr wrote: Oh, I know. And I've mentioned that, but she just feels more comfortable with this at the moment.
in the same boat, were you able to buy the certificate, I am curious how much markup does bank charges and when you buy and when you redeem or give back gold certificate.
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May 22, 2003
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xgbsSS wrote: She does, but again, with track record and the clear evidence we have discussed ad nauseum, @Clacker 's question is very valid
I think with all the stimulus being released, it would be prudent to hold some gold (or other hard assets like real estate or even bitcoin now) in your portfolio as hedge on inflation and devaluing of fiat.

However, I'd rather own physical gold than gold certificates
[OP]
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Dec 27, 2013
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hasmu wrote: in the same boat, were you able to buy the certificate, I am curious how much markup does bank charges and when you buy and when you redeem or give back gold certificate.
August 6th, exchange 13,493.65 @ 1.3571 to 9,943.00 USD to buy 5 certificates for 9,943.00 USD which have a current value of 9,362.94 USD. If I'm reading this right, she lost about $1200 right away in the exchange.
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notenoughsleep wrote: I think with all the stimulus being released, it would be prudent to hold some gold (or other hard assets like real estate or even bitcoin now) in your portfolio as hedge on inflation and devaluing of fiat.

However, I'd rather own physical gold than gold certificates
Wholeheartedly disagree. Central banks in solid economies don't even produce that much cash in circulation. Physical gold is even worse than electronic due to the cost of holding and margins for trading.
I totally respect your investment choice, but for me it's a drag on the portfolio and doesn't really provide much an effective hedge on a portfolio
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^No offense taken. We all have different investment strategies, it's good to discuss our different investment thesis!
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Mar 4, 2011
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OntEdTchr wrote: August 6th, exchange 13,493.65 @ 1.3571 to 9,943.00 USD to buy 5 certificates for 9,943.00 USD which have a current value of 9,362.94 USD. If I'm reading this right, she lost about $1200 right away in the exchange.
thanks yeah that's what I have understood to the date that after all said and done you pay 10-12% more and remember there is certificate keeping fees

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