Super-Rich buy gold by the ton

06-Oct-2010 The "Super-Rich buy gold by the ton" announces the Telegraph (5.10.10). No doubt this will bring a smile to the face of every member of the Inner Circle. What a warm feeling to know that we were all ahead of the game. I have always told members to "follow the money" but now it looks as if the money is following us.

"They (the super-rich) don't only buy ETFs or futures; they buy physical gold," said Stadler, who runs the Swiss bank's services for clients with assets of at least $50 million to invest.

UBS is recommending top-tier clients hold 7-10 percent of their assets in precious metals like gold, which is on course for its tenth consecutive yearly gain and traded at around $1,314.50 an ounce on Monday, near the record level reached last week.

"We had a clear example of a couple buying over a ton of gold ... and carrying it to another place," Stadler said. At today's prices, that shipment would be worth about $42 million.

No doubt there will be corrections along the way, as there always are, but right now the precious metals certainly seem to be one of the best places we could have our money. My forecast for an end of year gold price of $1,500 seemed ludicrous just 10 months ago - but now it looks like a real possibility.

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