Feb 29, 2012

Warren Buffett' Views on Gold: "Gold Speculative Instrument"

Many people always wanted to know about the legendary world investors or investment saint, as he is also known, Warren Buffett’s views on gold.
Warren Buffet on gold: Recently Warren Buffett has given some controversial views on gold. Buffett, in his latest remarks, has said gold is inferior to stocks and bonds and more of a speculative item than investment instrument.
In his annual letter to Berkshire Hathaway shareholders, published Feb. 25, Buffett states:
“Today the world’s gold stock is about 170,000 metric tons. If all of this gold were melded together, it would form a cube of about 68 feet per side. (Picture it fitting comfortably within a baseball infield.) At $1,750 per ounce — gold’s price as I write this — its value would be about $9.6 trillion. Call this cube pile A.