Why You Shouldn’t Trust The Experts

In August, 2011 I closed out a small Stock account and purchased 3 gold coins.  I had been advised that the stock market was going down drastically and gold was going up in proportion.  The “experts” predicted a rise to $2000 per ounce by the end of 2012.  That sounded like pretty good advice.  The price of gold has steadily gone up since the price was held at $35 per ounce.

I was able to purchase 3 gold coins, ¼ ounce each, for a total of $1,556.25.  Each coin cost $518.75.  I figured that the price of gold would have to reach $2,075 per ounce for me to break even.  It is now nearly the end of 2012 and the price of gold today is $1,694 per ounce.  It goes up a little and down a little every day.  The highest it has been was in September of 2011 at $1,890.  The lowest it has been was $1,539 in May, 2012.  At today’s price I have lost $285.75.   So much for the experts.  I should have kept the money in the stock market.  I am not planning to sell these coins.  They will be gifts to my 3 children after my death.  But I believed the “experts”.