Agreed. How much future cash flow does a kilogram of gold generate?
Gold has very little "intrinsic" (industrial) value. Most of its value is pure speculation. Would you say gold and bitcoin are rather similar then?
Gold has very little "intrinsic" (industrial) value. Most of its value is pure speculation. Would you say gold and bitcoin are rather similar then?
The thing about gold is that its price appears to to be negatively correlated with the economic cycle. Because of this some people argue that it makes sense to include it in a portfolio of stocks and bonds, so that the volatility of the portfolio is reduced, although personally I would advise against it.