While waiting for my drink at the bar, a stranger strikes up a conversation with me. I appease him, Manhattans take a while to make.
After mentioning I am passionate about personal finance, I learn his friends told him to invest in gold during the last election cycle, so he did. And has lost $$.
He also invested in Bitcoin, because another friend told him to, and he has lost $$.
After I told him to get new friends, I spared him my lecture on Bitcoin, and I explained the pros and cons of investing in gold.
Pro: Gold can hedge against inflation and create certainty in times of uncertainty.
Con: Gold doesn’t produce any value to determine its own value, instead other’s determine its value.
Good luck with all investment decisions!
(Originally published on Amanda Stanhaus’s financial literacy blog: XO, Bettie.)