Executive summary of gold demand trend (Q1 2013) by World Gold Council. The decline of investment demand was the "culprit" of overall decline of gold demand.
Q1 saw a strong resurgence in demand for gold jewellery, bars and coin; however, overall demand was down 13%. Outflow from ETFs accounted for the bulk of this decline; excluding these outflows overall demand grew year-on-year. India and China propelled growth in both jewellery and bar and coin demand once again, with both markets growing by at least 20%. Central bank demand exceeded 100 tonnes (t) for the seventh consecutive quarter, slightly below the exceptional pace of purchases throughout 2012. Technology demand contracted on further losses in bonding wire and continued erosion of dental demand.
i'm just curious why some regards gold not as investment simply because it does not generate income but equity gain.
Isn't this the same as property investment here in SG for most people ?
property investment will still generate some rental income which is why Buffett calls farmland, real estate, stocks prouductive assets whereas gold is known as a BarBaric relic. After 100 years, gold produces nothing for you ... well you do get some psychological happiness as you stare at your gold Bar BUT it is not going to produce anything for you
when i say gold investment is similar to properties here in Sg - i mean many bought for own stay and hope to gain capital appreciation. They are not renting it out (unless 2nd or third pty). So in that scenario, isn't it the same as buying gold , hoping it to go up.
At least the gold bar is much more liquid than property imo.
(23-05-2013, 12:08 PM)byfaith Wrote: [ -> ]i'm just curious why some regards gold not as investment simply because it does not generate income but equity gain.
Isn't this the same as property investment here in SG for most people ?
If you are talking about property as an investment, then it is more likely to be rented out for rental income, meanwhile waiting for appreciation gain.
If you are talking about property for own stay, which most people do, then they benefit from not renting from a landlord, meanwhile waiting for appreciation gain.
(23-05-2013, 01:36 PM)byfaith Wrote: [ -> ]when i say gold investment is similar to properties here in Sg - i mean many bought for own stay and hope to gain capital appreciation. They are not renting it out (unless 2nd or third pty). So in that scenario, isn't it the same as buying gold , hoping it to go up.
At least the gold bar is much more liquid than property imo.
Property for own stay is generating income by not paying rental.
Not long ago, just after the sub-prime loan / CDO in USA surfaced, i think renting were so much cheaper then owning properties outright. Maybe it is still more or less the same. Are there "public housing" for rent in USA?
What about HDB 99 years property in Singapore? The problem here is most of us can't rent "public housing" even if we want to. i have been pondering why we are not allow to rent if we want to? Is it cheaper? Is it nobody will want to defend the country if we are not owners (99 years only)? Is it ????
Someone sent me a recent advert,
[Image: nfhbuc.jpg]
I went down to BOC to check with them on the advert. For Gold Panda, only have 1oz. In fact, they're getting their stuff from sgcoins.com I subsequently headed down to sgcoins.com office at Suntec Tower 1 to talk to them. Have not checked if they're reputable...