Tuesday, February 17, 2009

Buy GOLD NOW!!!!

Dear all,

Gold's inflation-adjusted price — $2,270 — has not yet been reached, indicating the price of gold can nearly TRIPLE from current levels.

If history is any guide, then there is nearly a 100% certainty that gold will reach $2,270 before gold's bull market is over. And quite possibly, even higher! Here's why.

Keep in mind that throughout history, asset classes always reach their inflation-adjusted price. They wax and wane, falling behind the inflation curve at times, and at other times, catching up and exceeding their inflation-adjusted prices.

That's true of all asset classes, be they bonds, stocks, commodities.

This is especially true in the post-1971 period when paper money's relationship with real money has been severed via the elimination of the gold standard.

Supply and demand fundamentals support a continuing bull market in gold.

In fact, demand for gold in dollar volume reached a record high in the second quarter of this year. Meanwhile, supplies seem to be tightening further.

South African gold production plunged more than 12%. And many major gold miners are now forecasting a slide in production for the second half of this year.

Plus, central bank sales of gold are running at their lowest level since 1999.

Both short and long term, the demand/supply equation in gold favors a long-term bull market
So, now that you have decided to invest in Gold. My advise is Do not invest in Gold ETFs.
In Gold ETFs you give your money to a fund manager and the fund manager buys gold only from certain place and keeps it at a certain place which is mandated by the law. So it is the only investment made by the fund company and the NAV of the fund that one owns, moves in line with the market price of the gold; less the expenses. So in that sense all gold ETFs are equal; they just do as well or as bad as any other. So fund selection of ETF is not important.
The Better alternative would be to invest in Funds like DSP BlackRock World Gold Fund and/or AIG World Gold Fund. Both these funds invest in Gold Mining Stocks Worldwide and have a terrific track record. As the Stocks tend to have a higher co-relation to Gold, they tend to rise higher than Gold and Fall faster than Gold. But, with Gold forming a Bottom and Looking Very Bullish, these Are the Funds you MUST invest in.
Don't miss this Golden Opportunity.
Best of luck,
Srikanth shankar Matrubai.

Visit http://goodfundsadvisor.blogspot.com for More Detailed Mutual Fund Advise.

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