Comment by spwa4

I think the point is that when it comes to investment vehicles, gold generally beats cash. Oh and that means that in the last 20 years or so (ie. including the period where it didn't appreciate much), physical gold beats a balance in bank accounts.

Inflation means "interest" on gold, measured in reliable currencies like USD or EUR, is at least 4%. Far more than you will get from any bank.

Of course this goes for anything, so you might want to select something with less regulation attached to it. On the other hand, gold is really dense and "liquid" (easy to sell), which are great advantages to have for a store of wealth. And then there's the recent history of gold prices (which is due to the third world attempting to use anything but dollars but not succeeding at it, but one assumes it will end)

But yes, gold makes less than you'll probably get on the S&P500.