1st time in 152 yrs. Northwestern Mutual Life Ins. Co. is buying gold

[ensho]

http://www.atimes.com/atimes/Global_Economy/KF18Dj01.html


The only true insurance


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Maybe this ease of investment decision-making is why the Chinese are buying gold, the Russians are buying gold, all the smart people are buying gold, all the good-looking people are buying gold, and why Bloomberg.com reports that "Northwestern Mutual Life Insurance Co, the third-largest US life insurer by 2008 sales, has bought gold for the first time in the company's 152-year history to hedge against further asset declines."

In case you were wondering, they bought about $400 million in gold, which is interesting in that later, the article quotes CEO Edward Zore as saying that "In the Depression, gold did very, very well."

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[Statistical]

1. Nah.

Buy oil instead.
Oil directly correlates with inverse of the dollar PLUS it actually has some use as the economy heats up.

[Kip Humphrey]

3. Nah. Nah.

Buy semi-precious gemstones instead. My return on investment over the last 18 months is 305% and inflation hasn't really hit us yet. Semi-precious gemstones have several advantages over gold, oil, and diamond. Gemstones have along history of not falling in value and are: intrinsically valuable, untraceable, portable, nontaxable, aesthetically pleasing, and unregulated by cartels or governments. The lower priced gemstones in particular (such as amethyst, citrine, and topaz) have the advantage during economic downturn because they are affordable and are mined in conjunction with commercial mining commodities such as metals. As commercial mining operations are curtailed during recessions and depressions, shortages in the supply of the gem quality quartezes leads to a doubling, tripling, and quadrupling in prices (a phenomenon already under way). That said, gem-grade garnet, tourmaline, spinel, zircon, ruby, sapphire, tanzanite, peridot, kunzite, iolite, etc. continue to appreciate as the threat of inflation continues to loom on the horizon.

[ensho]

2. kicking before I leave - this is important news

nt