Your Questions About Invest In Gold Stock

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Donald asks…

im 21 and have a couple of hundred i can invest monthly. Would be better to invest in Gold or Stock Market?

and why????

financi4 answers:

Start out small. Go to and look for highly-rated funds that let you start with small amounts of money, and add to them every month. At this point, you want no more than two funds, a large cap (large companies) growth fund and a small cap (small companies) growth fund. At your age, you need growth funds. When each fund gets to about $5,000, that’s when you can start diversifying into other fund types, international, value, etc. In the meantime, start reading books and articles about mutual fund investing. Learn what ‘asset allocation’ is, and understand the importance of keeping the proper balance. One particular sector of the market may beat all the others for a short time, pushing higher the percentage of the fund(s) that hold that sector. No sector stays hot forever, so this is the time to take some of those profits and move them into your other funds. Let’s say you start out with two funds, opening each with $100 and adding $100 a month to each. A year from now, the large cap fund has done okay, gone up maybe 4%, and you have $1350 in that account. But the year has been good for small caps, up 20%, and that fund is worth $1550. Your asset allocation started out at 50/50. Now it’s 46/54. That’s not really out of whack, so you wouldn’t have to rebalance to 50/50, but you might want to anyway. The chances of the small cap continuing to outperform the large cap for another year are much lower than the other way around. Of course, this is a hypothetical situation intended to illustrate the principle. You will need to track the performance of your funds at least monthly, and decisions on rebalancing should be considered at least quarterly.

You don’t want to invest directly with individual fund companies. You want a ‘master’ account that can buy funds from any company, and then when you want to move money from fund to fund, it’s much easier. I recommend a Schwab account. Also, you do not want all of your funds from the same company. Example: Fidelity and Vanguard are large fund companies with large ‘families’ of funds. Some of those funds are great, and some are real dogs, and the rest are middle of the pack. No one company has the best funds in every category. You want good funds in every category you own, so investing in only Fidelity or only Vanguard is the wrong thing to do. In a Schwab account, you can have any funds you like, and the expenses are low.

Robert asks…

Investing in gold stock’s??

Just about a week ago, gold stocks hit a record of $1000/pound
It it worth to invest in gold stocks now, or is it better to weight till the price drops a bit??

financi4 answers:

Money and will give you the best info…i feel 1600 to 2000 is on the move starting next week…

James asks…

gold stocks to invest in?

i have money in a traditional ira account and i want to invest in gold. how do i roll over some money to invest without getting hit with penalities from uncle sam????????

financi4 answers:

You can buy/sell within an IRA brokerage account without taxes. Your IRA is tax sheltered until you start to withdraw money.

You can buy gold ETFs like GLD or AAU that track the price of the metal.

You can buy mining stocks like FCX — they’re volatile but can pay dividends.

By the way, buying straight-up gold in physical form or in ETFs isn’t an investment — it’s a hedge. If you don’t know what this means then you should consult an advisor.

George asks…

Best gold stocks to invest in?

What are the best gold stocks to invest in?

financi4 answers:

I found a good website with information about gold stocks and investing. I recommend checking out You can sign up for a weekly newsletter with advice on the what gold stocks to invest in.

William asks…

What is the best way to invest in gold mining stocks?

Companies like Barrick etc. Should I get an account at Vanguard. I have a financial advisor but i want to branch out a little on my own

financi4 answers:

DONT TRADE PAPER GOLD AND SILVER! Whats the point? JPM prints paper silver out of thin air(shorts) without having the metal to back it up!!!

Buy physical gold and silver

Ken asks…

how can i invest in gold on the toronto stock exchange.?

i would like to invest in actual gold not in a gold mining company or a fund with gold in it. can i trade gold like any other stock buying and selling through an online brokerage firm. also if the price of gold is (example) 850$ is that in us dollars and if it is how am i trading it in canadian dollars on the tsx. can i also do the same with silver and other metals. i an not sure if what i am asking is even possible. i would like some help. thank you

financi4 answers:

It can be very very confusing to invest in gold bullion, but it definitely is possible. If you want the easiest way to buy gold, and the lowest prices available to regular people, read up about this company:

John asks…

What’s a good way to invest in gold other than gold mining stocks?

Not the physical stuff itself…
Some sort of an ETF that tracks the price of gold.

financi4 answers:

Central Fund of Canada (American Stock Exchange:CEF) holds nothing but gold and silver bullion so you get exposure to the physical, and you don’t have to worry about storage/delivery/insurance. An ETF that hold gold is the iShares Comex Gold Trust, symbol IAU. Another ETF is GLD.

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