In 1980 the price of gold was $875. The inflation rate from 1980 to 2010 is 3.24 percent. So, gold would have to be selling at $2,208 just to keep up with inflation.
Gold is also Tax Disadvantaged in that gold bullion is taxed at a collectible rate of 28% and not a capital gains rate.
We think “Gold” is not a good long term investment vehicle.
John Qingdao, Ph.D., Overseas Registry, Shanghai, China
Gold has unique characteristics other than its luster. Gold is a valuable metal that is treasured for its beauty,purity,and durability…but "Gold" is also "money," a "commodity," and a "store of value.