Billionaire Investor Says He’s Buying Gold “For the First Time in My Life”: Here’s Why
More and more investors are becoming attuned to the numerous benefits offered by gold. And it isn’t just novice investors who are just starting out and cutting through the Wall Street stock and bond propaganda who are discovering gold either. Sometimes even seasoned investors who wouldn’t have given gold a second thought before are discovering that gold is a great investment.
Cue Sam Zell, the billionaire founder of Equity Group Investments. In a recent interview Zell stated, “For the first time in my life, I bought gold because it is a good hedge.” That hedging property is a property of gold that we write about constantly and a property that numerous investors have taken advantage of over the years. Gold has always served as a hedge, against inflation, against financial crisis, and against economic turmoil, and millions of investors know that.
In Zell’s view the gold price is set to soar because the supply of gold is set to shrink. Zell stated that mining companies are more interested in buying their competitors rather than attempting to discover new mines, which means that supply will contract in the future. That should put upward pressure on prices.
Of course, gold demand is set to spike anyway, what with increased investor demand in the face of a falling stock market. Decreasing supply plus increased demand plus the prospect of a worldwide recession could see gold challenging its all-time high prices.
But that doesn’t mean that you have to be a billionaire to invest in gold. With a gold IRA you can even roll over existing retirement assets into gold while maintaining the same tax advantages of a traditional IRA account. So if you’re looking for a asset to serve as a hedge against financial risk and protect the value of your existing retirement assets, look no further than gold.