Is Gold Worth Looking Into as an Investment?

What doe value investors usually think about gold as an investment? I have heard mixed reviews from many individuals regarding gold as part of our investment portfolio. From a value investor’s viewpoint and particularly from a conservative investor’s viewpoint I would not want to invest in gold simply for... show more What doe value investors usually think about gold as an investment?

I have heard mixed reviews from many individuals regarding gold as part of our investment portfolio. From a value investor’s viewpoint and particularly from a conservative investor’s viewpoint I would not want to invest in gold simply for speculative purposes but in general, is gold feasible to have as a portion for our portfolio.

On the one hand, I know that individuals like Dave Ramsey and Warren Buffet have spoken against investing in gold particularly because it isn’t something that is productive in nature and hence won’t grow as an investment. On the other hand, other individuals have spoken about the nature of gold as a hedge against inflation and think that having a small portion of gold in our portfolio is crucial to curtailing the effects of inflation.

For those that think that gold is something worth looking into are there any books or further resources that you recommend? Also what are the best, and most affordable ways to invest in gold? Should we stick to physical gold or would it be better to look into ETFS, index funds, stocks, or any other investment vehicle? I have heard of a fellow by the name of Mike Maloney, Is he worth looking into? Or is he someone we should generally avoid as far as his advice on gold from a value investor’s point of view?
8 answers 8