What is, or would be your other liquid investment of choice these days if you do not want to go 100% on gold and silver? Anyone has better investment idea than bank deposit in the 100-500 thousand range? I am not looking for business ideas here, only passive investment for dividends on the money invested.
Daily Reckoning had this snippet today: Felix Zulauf, famed Swiss money manager, likes the thought of safety and insurance as well. In a recent interview in the 'Barron's Roundtable' investor forum, Zulauf nominated cash, gold and Aussie Government 3-year bond futures as his top investment picks. He likes Aussie bonds because he doesn't like China's economic prospects...
But everyone says that we are linked to China's economic performance? If China stumbles doesn't that mean that out bonds will stumble as well? Hmmm....
Nothing is risk free. Even cash. Your international purchasing power is tied to AUD rate if most of your cash is in AUD. If you are trying to preserve purchasing power, then diversification is the way. If you want the least risky option then cash in bank.
I would go ANZ,Westpac and NAB in Banks for 12 months with 50 K in each. 100K in cash deposit 6 months. 50K cash on call. 25 K in BHP for 12 months. 25K in Origin for 12 months 50K in Duet Group for 12 months If you got some left over. 30K in Silver. All liquid with most cashable within 48 hours except for 100K IMO You would get a return of about 6-8 % with some serious imputation credits that may take it to 7-9%.
Personal education is generally a good investment (but not for that amount). I'd consider "defensive" shares but not before a significant correction. That amount should get a decent amount for a short-term term deposit. Contrarian options may be considered... I looked at buying the Greek index but had no practical way to do so... it went up 10% in day!