Stock Market Analysis and Personal Finance Mr. Bernstein Precious Metals, Gems and Collectibles, pp 361-369 May 2017

Stock Market Analysis & Personal Finance Mr. Bernstein Gold and other precious metals Often purchased as a hedge against inflation Gold is often considered a currency which is not affiliated with any particular country or government Gold often rises when people believe war or other political uncertainties are on the horizon

Many believe that Gold will rise over long periods of time Gold, 1994-present Many believe that Gold will rise over long periods of time

Gold and the USD, 1981-present A negative correlation: Gold and the US Dollar often move in opposite trends …does this increase or decrease risk?

Stock Market Analysis & Personal Finance Mr. Bernstein How can one invest in Gold or other metals? Stocks whose price moves with the metal (ie gold mining companies) Gold bullion Coins or jewelry ETFs

Stock Market Analysis & Personal Finance Mr. Bernstein Other Precious Metals Silver, Platinum, Palladium May have industrial uses which can affect price

Stock Market Analysis & Personal Finance Mr. Bernstein Precious Gems Diamonds, Sapphires, Rubies, Emeralds Wear as jewelry or store in safe deposit box Get stone certified by independent laboratory* Thought to be inflation hedge Can be illiquid, with high transaction costs *- Note ratings can be inconsistent and are not guaranteed to relate to market value

Stock Market Analysis & Personal Finance Mr. Bernstein Collectibles Examples: Rare coins, art, antiques, stamps, rare books, sports memorabilia, rugs, ceramics, guns…cars?...wine? The internet has made buying, selling and following collectibles efficient and convenient Quality can be difficult to determine online Learn all you can before buying and work only with reputable dealers or auction sites Beware of fraud!