Super investors, get ready to take a bath
Superannuation, shares and gold prices. See what Roger thinks.
Roger Montgomery is the Founder and Chairman of Montgomery Investment Management. Roger has over three decades of experience in funds management and related activities, including equities analysis, equity and derivatives strategy, trading and stockbroking. Prior to establishing Montgomery, Roger held positions at Ord Minnett Jardine Fleming, BT (Australia) Limited and Merrill Lynch.
This post was contributed by a representative of Montgomery Investment Management Pty Limited (AFSL No. 354564). The principal purpose of this post is to provide factual information and not provide financial product advice. Additionally, the information provided is not intended to provide any recommendation or opinion about any financial product. Any commentary and statements of opinion however may contain general advice only that is prepared without taking into account your personal objectives, financial circumstances or needs. Because of this, before acting on any of the information provided, you should always consider its appropriateness in light of your personal objectives, financial circumstances and needs and should consider seeking independent advice from a financial advisor if necessary before making any decisions. This post specifically excludes personal advice.
Lucien Heffes
:
Some evidence of gold stocks in value? How many A1 and A2 Australian gold stocks in value of a self sustaining size with rising intrinsic future values are there? The time to invest in gold and gold stocks was when everybody hated them from 1998 to 2007. From 2007 to 2011, in AUD$ terms, gold stocks were, at best, trading stocks (on a monthly chart). Gold and gold stock investment performance since 2011 speaks for itself.
Sure, QE and all it’s global iterations and have pumped mega-money into the system and I have no doubt that at some time, sooner or later, the so called “hot money” may very well find it’s way into gold stocks. But isn’t this “speculation” rather than value investing?? Examine the chart of any gold stock over the last 6 or so years. If you didn’t take a profit when it was there, the outcome could have been pretty horrible. Again, isn’t this speculating rather than investing?? Also, gold stocks pay very poor dividends, if any. They need the cash they generate to find more ounces and to maintain the highly capital intensive nature of their business. I believe it takes something like 6 mega dump trucks at the Kalgoorlie super pit to extract ONE golf ball size amount of gold. All care, no responsibility, do your own due diligence!
alan bolton
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well I suppose we sell all our shares