While gold is slightly more volatile than the Dow 30, on average, all of the individual components are more volatile than gold and only half are less volatile than silver and platinum. [So much for] the prevailing myth…that they are risky investments due to their volatility. [Let’s take a closer look at the specifics.] Words: 250
So reports www.bmgbullion.com in an article* which Lorimer Wilson, editor of www.munKNEE.com, has reformatted and edited […] below for the sake of clarity and brevity to ensure a fast and easy read. (Please note that this paragraph must be included in any article re-posting to avoid copyright infringement.) The article goes on to convey the following:
No one would argue that the Bank of America is more risky than precious metals yet it has the second lowest return and the highest volatility. Only Caterpillar surpasses gold and platinum in performance but at much higher volatility than any of the precious metals.
Conclusion
[To repeat, so much for] the prevailing myth that precious metals are risky investments due to their volatility. [Do you own any?]
*http://www.bmgbullion.com/document/891
Editor’s Note:
- The above article consists of reformatted edited excerpts from the original for the sake of brevity, clarity and to ensure a fast and easy read. The author’s views and conclusions are unaltered.
- Permission to reprint in whole or in part is gladly granted, provided full credit is given as per paragraph 2 above.
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Gold