best place to have paper gold invested now

Discussion of the Gold portion of the Permanent Portfolio

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DONALD
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best place to have paper gold invested now

Post by DONALD » Tue Nov 13, 2018 10:00 pm

I have 1/2 invested in K RANDS and other half in PHYS. Where is a better choice if there is one other than PHYS. Thanks
boglerdude
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Re: best place to have paper gold invested now

Post by boglerdude » Tue Nov 13, 2018 10:48 pm

Perth mint
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Cortopassi
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Re: best place to have paper gold invested now

Post by Cortopassi » Wed Nov 14, 2018 7:15 am

Considering PHYS currently has a discount, not a bad choice. But I used to own CEF, and wasn't really crazy that there wasn't any rhyme or reason to the discount/premium. I like something that tracks directly.

In my older trading days I actually did a few round trips on CEF, bought at a discount, sold at a premium, but that was just luck.
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sophie
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Re: best place to have paper gold invested now

Post by sophie » Wed Nov 14, 2018 11:39 am

That reminds me of gold ETF trading strategy we used to talk about: buy gold ETFs at discounts, then sell when they show a premium. Trade between ETFs as needed. I'm too busy/lazy to do this, but it's kind of a fun hobby if anyone wants to give it a shot. Would be nice to report premium/discount levels here to help out the rest of us too.

Of course, I now realize this only works if there are significant differences in premium/discount to NAV between funds.
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pugchief
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Re: best place to have paper gold invested now

Post by pugchief » Wed Nov 14, 2018 11:50 am

sophie wrote:
Wed Nov 14, 2018 11:39 am
That reminds me of gold ETF trading strategy we used to talk about: buy gold ETFs at discounts, then sell when they show a premium. Trade between ETFs as needed. I'm too busy/lazy to do this, but it's kind of a fun hobby if anyone wants to give it a shot. Would be nice to report premium/discount levels here to help out the rest of us too.

Of course, I now realize this only works if there are significant differences in premium/discount to NAV between funds.
The problem with this is that generally all closed end gold funds trade at a premium at the same time when gold is in favor and, likewise, they all trade at a discount when gold is out of favor. So it would be tough to sell one fund at a premium while simultaneously buying another at a discount.

I suppose you could wait in a IAU or GLD for the sentiment to switch back, but I doubt it's worth the bother.
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