Investing in Gold
The Financial Times reports that a German company plans to install gold vending machines in airports and railway stations. The owner of the company says Germans prefer to hold a lot of their wealth in gold. But they'll have to pay a big premium to get it from his vending machines -- 30% more than market price. That's a high price to pay, no matter how much you value gold.
There are valid reasons for owning gold, but remember that its price can be incredibly volatile. In fact, historically, gold has been 50% more volatile than the Standard & Poor's 500-stock index. So before you start loading up on the precious metal, test your gold IQ and read Kimberly Lankford's column on How to Buy Gold.