Most of us personal-finance “experts” have been saying this for a long time — and it’s made us look stupid over the past few years. But if you’ve been holding gold for a while, this might be a good time to lock in at least some of your gains. It’s true that “hard assets” like gold often do well when people are scared, but the truth is that in the event of a true economic doomsday scenario, gold won’t do you much good. (Try nonperishable foods, bottled water and ammunition.) The fact is that gold as an investment has a terrible long-term track record, as Wharton professor Jeremy Siegel explained in his book Stocks for the Long Run. One dollar invested in gold in 1801 was worth $32.84 in 2006; that same money would have grown to $12.7 million in the stock market — and it should not be a significant part of anyone’s portfolio at these record prices.
15 Financial Moves to Make Right Now
Sell (at Least Some of) Your Gold
Full List
Financial Moves to Make Now
- Refinance Your 30-Year Mortgage into a 15-Year Loan
- Buy Stock in Companies with More Cash than Debt
- Get Comfortable with Your Portfolio
- Buy Stocks with the Highest Credit Rating
- Open an Online Bank Account
- Apply for a New Credit Card (if You Have Great Credit)
- Buy Top Consumer Brand Stocks
- Transfer Outstanding Balances to a Credit Card with a Better Rate
- Buy Telecoms That Have Exclusive Deals with Apple
- Renovate Wisely
- Buy Oil Stocks
- Sign Up for Alerts
- Buy Residential Real Estate
- Sell (at Least Some of) Your Gold
- Buy Natural Gas Pipeline Stocks