gold etf in the event of a 87 style crash, page-6

Orlando,

I don’t know what is a good investment if indeed we have a 1987 style crash --- although in many respects we have equaled 87 already.

What I do believe however is that this is no 1987 (especially with Gold stocks) --- in my opinion it bears little resemblance.

By August/Set/October 1987 the gold index had reached 4000 points --- I haven’t got the records but would from memory think it had far more than quadrupled to get to this level --- after a big run that had virtually started 10 years earlier --- maybe even go back to 1973 – 15 years.

I do know that post October 87 the index fell to the 1000 level ---- but we had been in an extraordinary market in which gold shares had made us a lot of money.


This time we made good money on gold stocks 2000/2003 --- but since then gold equities have generally been a shocker.

If you thing 1973 and 2003 --- some similarities between these 2 years ---- good gold equity prices and then in the years after both 73 and 03 --- a pretty rugged time for gold shares.

So if you were looking for similarities --- with gold stocks at least --- 2008 could be close to 1978 ---

If that is the case ---- gold shares would be the way to go.


-- Just thoughts --- If you were talking Banks and Resources --- well that is a different proposition.

Regards, cy7