All depends what kind of safety you are after... are you after "I don't want to loose any currency safety"? The Gold it is not and cash it is. Are you are after "I don't want to loose it all safety", then Gold it is and cash it is not.
I think he explains the answer quite nicely to a question I have, during another 2008 like event, will gold go up or down? Will the flight to safety be to gold or US$?
a stackers strategy is different to the hedge funds. If an event like that happens hedge funds willl sell and price will drop but stackers who are in it for long term know that the gold value has not diminished its number value has. It is true that it would be nice to get out of an asset quickly when it starts to drop and get back in as soon as it starts going. All we need to know is to keep some spare cash if it does to buy more when it drops because whatever crash happens there are 2 possibilities the confidence returns and so does the price of gold and other assets or it gets destroyed and people realise that fiat is worthless and get into something tangible
I've always stacked gold, and though I may have lost a bit here and there through spot crashes or cash flow needs, I've done a helluva lot better than channeling my assets into real estate or banking. I lost around $30k in the 2008 UK property crash, and I'm very dubious about property investment again. There's been a lot of talk around of late around gold or silver being a disappointment in terms of generating income. I think that honestly, if your stacking in order to make $'s - your a bloody fool. I stack to keep my hard earned $'s out of the bank, and losing value every year in the form of inflation.
Is gold a safe haven in a financial crisis? Probably no. But what about a currency crisis? And that is what we will be dealing with the next time things go south.
please that to hard for me just much easier to stick money in bank and then when i retire wonder why i cant buy that loaf of bread for same price as i did many years ago u strange cookie and PARANOID to do you have qualification in finance??? see my bank manager has qualifications and he says property is best investment he also says blue chips can only go up... he must be right cause he has a job as a bank manager .
Gold does crash along with other assets, but such short-term liquidation shouldn't define gold, which eventually does manifest its 'safe haven'-ness, as we saw happen after its 2008 drop.
