Investing in Gold: Gold in 2020. Could it be the best investment?

Investing in Gold: Gold in 2020.
Investing in Gold: Gold in 2020. Could it be the best investment?

They will slither their way in, and they will cheat.’

That’s how I described China a few months ago. It’s bleak, but it was a fair whack to the communist country.

But don’t act as if you’ve had your head in the sand…

You witnessed this yourself this week as we learnt that China tried to infiltrate Australia’s parliament.

PM Scott Morrison said this plot was ‘deeply disturbing and troubling’.

Before reassuring us that Australia has the resources to not only protect against, but also weed out foreign interference.

Well, that’s good to hear…

But who’s going to protect us from a declining Aussie dollar?

You need gold and silver in your portfolio

That’s a genuine question.

I’m not sure if you’ve seen the Aussie dollar recently.

But its performance has been rather lack-lustre. That’s especially the case when we compare it to say, gold.

Actually, despite gold’s decline from $2,308 to $2,121 on 12 November, it’s still managed to outperform the old Aussie dollar — which has just been heading lower and lower, all year.

Here, I’ll show you what I mean. Take a look at the chart below.

Gold Price in AUD - Investing in Gold

Source: Optuma

What you are looking at above is the price of gold, silver and the Aussie/US dollar (that’s in blue) since 2014.

That’s around six years of data.

And since the low in November 2015, gold (and silver) has outperformed the Aussie dollar quite considerably.

In one way or another, these metals have acted as a very good store of wealth.

Perhaps this alone is not enough to entice you into owning some yellow and silver metal?

Maybe this will…

Countries are importers

Serbia just bought nine tons of gold.

Turkey finished the quarter buying 71.4 tons of gold.

And China just recently finished a 10-month stint of buying around 105.8 tons of gold.

The reason I’m telling you this is because, at a recent gold conference in Sydney, investors were urged to follow the banks.

If gold is being mustered up by the banks, then you should be buying as well.

Of course, you need to be cautious when it comes to gold sellers urging you to buy gold.

I recorded this video for you

As you know, I don’t like to talk about anything that I wouldn’t consider worth your time.

And I’m a gold buyer. Not a seller. I don’t speculate on short term moves. It just sits in a vault, like it’s meant to.

Anyway, back to the conference…

At the conference, John Mulligan from the World Gold Council said, ‘The gold price has finally decoupled from the US dollar which indicates investors are becoming more risk-averse.

He went onto say that ‘central banks are buying gold’.

Before discussing how private investors across Europe, Asia and India are now a driving force behind private gold demand.

The point here though is simple.

If central banks are buying, then it’s reasonable to ponder why. It could be a matter of urgency.

And that’s why I wanted to sit down with Shae Russell this week.

She’s the editor of The Daily Reckoning Australia. She’s been quite bullish on gold for a while…and for good reason.

Look at the chart above.

Anyway, I wanted to get Shae’s latest analysis on gold.

So, I asked her a few of the tough questions in a video we recorded for you.

One’s like…

  • Why anyone would care about gold in 2020? What does, if anything, the extinction rebellion means for miners in 2020?
  • Why Shae believes now could be the best time to literally load up on gold.
  • Plus, a lot more!

Now, if you don’t know of Shae, you may not be familiar with her work…

But her answers to my questions were nothing short of exciting. And she’s been working on some pretty amazing stuff behind the scenes recently.

You’ll get a big glimpse of this in the video below.

Until next time,

Jonathan Evans Signature

Jonathan Evans,
Analyst, Profit Watch