Why Gold Is Better Than Gold Mining Stocks

Gold is always a better investment than gold mining companies. This is because unlike physical gold gold miners involve more risk. For example, miners are exploration firms who do no know if and how much gold can be extracted from the ground. Even if gold is mined efficiently prices of the precious metal can be …

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Gold vs. S&P 500 Since 1999: Chart

Gold has outperformed the S&P 500 Index and S&P 500 Total Return Index since 1999 by a substantial margin. According to a post by By Frank Holmes of U.S. Global Investors, stocks have lagged gold even when considering returns with dividends reinvested. Click to enlarge Source: Could the Stars Be Aligned for $1,500 Gold?, U.S. Global Investors Related Posts: …

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Performance of Gold vs. Other Asset Classes: Chart

Gold is an important asset to own. During times of capital market contractions gold can act as a cushion and help protect a portfolio from severe declines. The following chart shows the performance of gold over other asset classes in different time periods: Click to enlarge Source: The Many Uses of Gold, US Funds Related ETF: …

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Gold Offers Protection During Market Downturns

Gold is an important asset class that investors should not avoid. Though gold does not produce income such as dividends from stocks for example, they offer many other advantages. For example, gold has low co-relation to equities and traditionally offer downside protection to a diversified portfolio during adverse market conditions. When equity markets crash investors …

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