5 Reasons George Soros is Wrong to Sell Gold Now

If you follow gold, you have probably heard of George Soros. Not only is he a billionaire, Soros Fund Management is one of the biggest gold traders around. And you may have heard that in February, 2013 the crazy billionaire sold off over half his shares in the gold EFT, Kinross Gold Corp and Freeport-McMoran. There are many reasons that, as a gold investor, you should not do the same.

Reason #1: He’s Done it Before, and He’ll Do it Again

Soros Sells His Gold

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Maybe Soros is picky. Maybe he is nervous. Or maybe he just has a thing against gold. However, the 2013 purge of gold shares isn’t the first time the billionaire has played this trick. In 2011, he sold off about $800 million worth of gold, gold-related shares and investments.

Reason #2: Gold Prices Fluctuate

Gold Prices Fluctuate

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Let’s be honest, the price that Soros sold his stocks at is a dipping price. Since he sold, the price has started rising again. In fact, many predict that the price will continue to rise. There is a trick to buying and selling gold. You don’t want to sell at the lowest price. Don’t get scared just because you see a dip in the market.

Reason #3: There’s a Reason it’s Called the Gold Standard

The Gold Standard

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Gold has been around for a really long time. Much longer than our paper money, our stock market, or even our current society. So think about it. Do you really, truly think that gold is going anywhere? Not only has this precious metal been used for centuries as currency, it is also used in medical equipment, scientific experiments, artistic works, and more. Companies may come and go; stocks may rise and fall, but gold… well, gold is forever.

Reason #4: It’s Gaining a Global Market

Global Gold Market

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In the United States, there may be less demand for gold jewelry. However, this does not mean that there is less demand throughout the world for gold in general. Other countries are clamoring for jewelry-quality gold. On top of that, there is gold that is used in a variety of other products. Remember, gold is not a local market, it is a world-wide commodity.

Reason #5: Blindly Following Anyone in the Stock Market Game is a Bad Idea

Investment Choices

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Assuming you don’t have millions of dollars to throw around, you probably don’t have the kind of money to make a crappy decision on the stock market and come out unscathed. To be honest, blindly following anyone, even someone who is supposed to be a ‘guru’ in the stock market, is simply stupid. Instead, weigh your options, talk to your financial advisors, and make a well-informed decision. Soros sold his stock to make a quick buck. If you are looking to make a good profit from your gold investment, do so smartly, not by following Soros.

When you invest in gold, you are making a great long-term investment. It is important that you don’t get scared out of the market simply because someone with a prominent name decides they want to sell off some of their shares.

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