Sunday, November 22, 2009

GOLD VS SGD (20 Nov 09)

In my last post on gold "GOLD VS SGD Chart. Why Gold might be a good investment in Singapore? ", I mentioned that Gold is might be a good investment/hedging for inflation in Singapore. We shall do a update for gold price in term of SGD.

The closing price of GLD 10US$ has reached $112.360, and the USD/SGD is 1.3888 on 20 Nov 09. So if we multiple both the value together, we will get S$156.0456/GLD. In the beginning of 2009, I have calculate the value to be S$121.18/GLD. So GLD has actually increased by 28%.

But having say that, I am not a fan of gold is because it doesn't give me dividends. I treat it as a hedge for inflation. And one more thing, gold is not meant for shorting. Shorting gold has no meaning at all and you are exposed to high risk as you are dealing with both GLD price in USD and the exchange rate in term of USD/SGD in singapore.

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