The relationship between the internet social media and the stock market has reach a crescendo recently with a hacked twitter message causing a stock market crash and authorities becoming concerned a how quickly the stocks move with online trading. If I were holding a stash of dollars in my portfolio, I would want to own some gold or palladium – probably not rhodium because the market is not liquid. Metals can move down but if they stay relatively high, these companies make profit and their stock appreciates. Indeed, and the market – certainly stocks is fundamentally broken, IMO the PMs are by far the safest choice at this point.
If people are saying something is a great investment because of how well it’s done in the past few years, that’s probably a market you want to move away from. I think apartment buildings, duplexes and houses are a good investment right now, following the wisdom of buy low…people always have to have a place to live. If you buy and sell gold like a stock (which you do with a ETF) there will be less given up when you trade it. GLD (There are more ETF’s) chart looks very similar to that of gold.
As many of the baby boomers are facing retirement age they are becoming scarred with the stock market The problem is that People that moved their money out of the stock market since 2008 into bonds and /or banks for interest have lost at least 2!/2 % income they could have made had they started in the market in safe dividend stocks and stayed put. These can be purchased through the individual company or through a low cost stock purchasing plan like share builder. If the market falls you hold onto the stock and reap the benefits of the dividends.
Almost every household is dependent on one or more of it’s medical products You can either buy the stock directly from prizer or go through a discount investing website such as Scottrade or Sharebuilder. All 10 of these stock have DRIP plans or rather dividend reinvestment plans with the companies. One of my all time favorites is CVX or Chevron an oil stock that pays a dividend of 3.60% and has a P/E of 7.17%. I believe for now this is a safe way to play defensive if the market were to go into another free fall. It can be hard to live with someone with Chronic Urticaria, ensure you BOTH have a good support network.
Any one of these stocks would also make a great graduation or baby gift and allow the parent to watch it grow adding more stock on each birthday. I think by now most of us get the idea that it is better to purchase a stock paying a dividend than not. Back a year ago the dividend investor made 1.5 % in the down market while the non dividend portfolio lost somewhere around 7.5%. Us Treasuries, corporate bonds, CD’s and savings accounts are paying so little that the investor must get into the market to see some return on his investment. Finally CLCT is a dividend paying gold stock which actually holds other collectables but primarily gold.