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flota

04/02/09 1:07 PM

#25594 RE: FinancialAdvisor #25593

sure, so gold gains somehow have not been eaten by inflation? I have a hard time to believe that. I would rather own gold companies than the actual gold. I go back to 1980s to show an example that gold can face the same faith as any other asset. A bust. Nothing goes up forever. I just think certain assets can outperform in a short period of time, but not longterm. Gold from 1914 to 1970 was pretty much dead money. You have to thank Bretton Woods.


"To store wealth" you need to outperform real inflation.

As far as the market is concerned in 2000, no one in their right mind who studies financial history would hold stocks in that period.

Not too many people will talk about it, but the major reason for the stock market crash of 1929 was the amount of worthless securities that were sold to naive investors, so the 2000 market crash is more reflective of 1929 period than the 2008 in respect to the quality of equities. 2008 market crash IMO was the result of deleveraging, mutual fund holders panic and other issues.