Amount of precious metals owned based on age brackets.

gecko109

There have been multiple posts recently concerning amounts of PMs owned and whether it is adequate or not. Typically the correct response to these questions have been based on relativity. However, there are some standards in place when it comes to a stock portfolio based on one's age. It basically implies that the older you become, the fewer high risk assets you should have in your stock portfolio. Conversely, the younger, the more aggressive you should be. Can we assign some type of "table" or "chart" applying this same concept to ownership of precious metals? As an example:

Age 18-25....you should have "x" amount of value in PMs
Age 26-35.....etc, etc.

Is a chart such as this practical yet? Or would one just default back to the "10% of your assets should be in metal" advice thats heard so often? The reason Im asking about this is that with any endeavor, be it investing, eating, or any other activity, people are prone to over indulge. I'd like to be sure im not devoting too much of my money or effort in aquiring the pretty shiny metal trinkets I have grown to love spending my fiat dollars on.

gsa1fan

Personally all I ever heard was 10% of your investments in PM's came from stock brokers/sellers.

I'm thinking there not selling PM's???

They are saying it's a good investment to hedge wealth.

I feel a lot better about my PM's in my total control, than I ever will about stock market. JMO

roadrunner

Applying percentages to portfolios based on age alone is missing a huge factor, current investment cycles. I don't care what your age is because if the stocks, bond, or commodities are nearing an end of their cycle, one should be divesting in them going forward (or shorting them). Most of the investment malarky over the years has been created by stock brokers when times were good. They have no thumbrule for the current environment other than to say the sun will shine again, stay the course.

roadrunner

Weiss

Interesting topic, Gecko.

I guess that the nice thing about percentages is that they're relative to your portfolio. A younger person with $5k in savings would have $500 in metals at 10%. Maybe a roll of eagles and a couple of 2.5 pesos? That doesn't sound like a bad place to start.

MoneyLA

I look at age demographics differently when it comes to owning gold. I think OLDER people are more like to own gold than younger people.

older people can remember being told that gold is precious, and they should have some for safety.

young people? theyre more concerned with iPods and blackberry phones and netbooks. gold is the furthest thing from their minds.

I remember when my grandfather died about ten years ago at the age of 101. we found in his safe deposit box cash (green money) and double eagles. he went thru the depression and the bank failures and was wiped out. which is why he kept cash -- and a lot of it -- and gold coins in a safe deposit box and at home.

when I was a kid -- this goes back to maybe 1962 -- I remember his home was burglarized and he was surprised that the crooks didnt take gold pieces he had in the house -- but they took jewelry.