What’s your personal opinion regarding buying gold? Do you remember how the last cycle played out? I still don’t get all the gold bugs – they don’t consider that gold is the next fad. The rising price validates their long-held belief that gold is the only true store of value. They perceive that the markets have finally priced gold at its true value.
I think the gold bugs are just as foolish as the people who were buying tech stocks 6 years ago.
I observed that fad, with utter astonishment, just as I’m observing this RE fad. I’m getting too cocky though. It will serve me right if the goldbugs turn out to be right. Until then, I’ll feel like a scientist who observes his mice, knowing they are going to be eaten by a cat if they do nothing, and watching for signs they will finally decide to run for cover. Human psychology and the role it plays in investing is fascinating. So much for rational markets!
Do you remember what companies did well in the last recession?
