Talking Finances

[espanol]

New individual and employer-based retirement plan limits for 2023:
https://www.bloomberg.com/news/artic...flation-surges

Pretty significant boosts coming next year.

[LSU-MOOSE]

Originally Posted by huncho

honest question, what's the point of buying gold anymore? worst performing asset of the past decade and when it mattered most and was supposed to protect people's money with high inflation/equities collapsing it still didn't do what it was meant to. obviously there's no safe haven and everything is getting hit hard right now but it's performing like the s&p on this downturn while underperforming vs everything else on the up trend

for reference - gold hit highs in march when the s&p was down 3-4%. since then gold is down 21% and the s&p is down 19%. since jan 2010 s&p is up roughly 300% while gold is up 75%. both are nearing 2019/early 2020 pre covid levels so i just don't see the argument for gold anymore

My reason for buying gold:

My net worth is between 35-40 Million. I was advised a few years ago that high net worth individuals should have 1-2 % in real gold(bullion in your safe) as an ultimate fall back.

I don’t invest in gold as an investment but as an ultimate safe haven. Not for everyone. There are many “investment” strategies better than gold. As currencies falter gold has remained.

As I researched I found that the lower the weight of the item the more premium you pay. You can buy 1/100 oz. Gold bars. The premium is high versus the price of gold but are easy to carry and exchange and is probably worth about $25 right now. I buy 10oz. Bars and the going rate is just under $17,000.

[GB-man]

Originally Posted by LSU-MOOSE

My reason for buying gold:

My net worth is between 35-40 Million. I was advised a few years ago that high net worth individuals should have 1-2 % in real gold(bullion in your safe) as an ultimate fall back.

I don’t invest in gold as an investment but as an ultimate safe haven. Not for everyone. There are many “investment” strategies better than gold. As currencies falter gold has remained.

As I researched I found that the lower the weight of the item the more premium you pay. You can buy 1/100 oz. Gold bars. The premium is high versus the price of gold but are easy to carry and exchange and is probably worth about $25 right now. I buy 10oz. Bars and the going rate is just under $17,000.

[albertf]

Are you guys buying individual muni bonds or going with a bond fund?

The yields being presented on individual muni bonds look amazing but i'm worried that i'm missing something. No state income tax where i'm from so mainly focused on yield.

[StackLexus17]

Originally Posted by LSU-MOOSE

My reason for buying gold:

My net worth is between 35-40 Million. I was advised a few years ago that high net worth individuals should have 1-2 % in real gold(bullion in your safe) as an ultimate fall back.

I don’t invest in gold as an investment but as an ultimate safe haven. Not for everyone. There are many “investment” strategies better than gold. As currencies falter gold has remained.

As I researched I found that the lower the weight of the item the more premium you pay. You can buy 1/100 oz. Gold bars. The premium is high versus the price of gold but are easy to carry and exchange and is probably worth about $25 right now. I buy 10oz. Bars and the going rate is just under $17,000.

Own any miners in the market right now?
Thinking it’s a good time to buy with gold slowing and the market taking a big it.

Fellow LSU Alum
Geaux Tigers


Sent from my iPhone using Tapatalk

[7sins]

Originally Posted by albertf

Are you guys buying individual muni bonds or going with a bond fund?

The yields being presented on individual muni bonds look amazing but i'm worried that i'm missing something. No state income tax where i'm from so mainly focused on yield.

Individual muni bonds have a set maturity and call date when your principal is returned. This is not the case for bond funds that run into perpetuity with no maturity. Just be careful you aren't taken advantage of when buying individual muni bonds, ask your broker what the bid/ask spread is before purchasing and verify via the CUSIP on MSRB EMMA.

IE lets say you buy a 2 year individual muni bond at $101, you will receive $100 (par) back when the bond matures in two years. If the coupon is 5%, you receive 2.5% semi-annually until maturity. You have to factor in the premium you paid for the bond, thus you back out the $1 and that calculates your purchase yield to worst aka book yield. If you buy bonds at a discount, below $100, then your book yield is higher than your coupon as you amortize the discount back to par. IE a 4% bond purchased at $96 has a true book yield higher than 4% as you are getting $100 back at maturity, even though you only paid $96. As you would expect, the higher the coupon typically the higher the price depending on the maturity of the bond.