Thanks for this great article. As we already discussed in the Discord channel, Gold had a lot controversial thought. I think this clarifies the whole point.
I personally use the gold as a liquid saving. We all say that we should have some funds or 6 months of financial securities saved on side in case of emergency. Considering today's high inflation environment, we can save gold ETS, or physical gold instead of keeping those emergency funds as printed money.
That's true, it has been slipping for the last few months. Gold has had a negative inflation adjusted return in 2 out of 6 recessions since 1971, but on average the returns have been positive. (And it's not clear whether we are in a recession yet)
Thanks for this great article. As we already discussed in the Discord channel, Gold had a lot controversial thought. I think this clarifies the whole point.
I personally use the gold as a liquid saving. We all say that we should have some funds or 6 months of financial securities saved on side in case of emergency. Considering today's high inflation environment, we can save gold ETS, or physical gold instead of keeping those emergency funds as printed money.
Noob here. I thought gold had been underperforming as a hedge against inflation these past few months. Is that not true?
That's true, it has been slipping for the last few months. Gold has had a negative inflation adjusted return in 2 out of 6 recessions since 1971, but on average the returns have been positive. (And it's not clear whether we are in a recession yet)