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4 expert-backed gold investing tips all seniors should know
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Over the last few years, persistent inflation has caused the price of everything from homes to food to increase drastically. This, in turn, has put a strain on many households’ budgets, as these higher costs can have a big impact on how far your budget will stretch.
That’s one reason why some seniors and older adults may be thinking about investing in gold. After all, gold can act as both a safe-haven asset and a hedge against inflation, both of which are important benefits in today’s economic climate. And, the price of gold also hit a new record high recently, climbing to $2,472.46 per ounce, helping to stir up even more interest from investors.
While gold’s value has somewhat moderated in the time since — the price of gold is $2,421.42 per ounce as of July 31, 2024 — it remains high compared to last year’s prices. So, many seniors may be wondering whether to buy gold now to take advantage of what this type of investing can offer. Before you add gold to your retirement plans, though, it’s important to consider these expert-backed tips.
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4 expert-backed gold investing tips all seniors should know
If you want to become a successful gold investor as a senior, here’s what to focus on, according to the experts we interviewed.
Purchase gold from a reputable dealer
One major factor to consider is the need to research any company you’re considering before buying gold. Scams can happen when buying gold — and counterfeit gold products can be an issue — so it’s important to make sure that you’re buying it from a reputable gold dealer.
Peter Thomas, chairman at precious metals dealer Ausecure, says seniors should look to buy from a well-established dealer that has been in business for at least 10 years. Choosing a firm that has been in business this long increases your chances of successfully receiving [authentic] yellow metal, Thomas says.
Another reason to do your research, says Hanna Horvath, a certified financial planner, is that there are many scams around investing in gold.
“Seniors should be cautious — especially if someone is promising unrealistic returns,” Horvath says.
After all, unrealistic promises could be a sign that a gold investment opportunity is a scam.
Find out how the right gold investment could boost your retirement portfolio today.
Limit gold to 10% or less of your portfolio’s value
While investing in gold as a senior can be beneficial as it can provide a hedge against inflation and help diversify your portfolio, experts say you should only invest a small percentage of your portfolio in this asset. That’s because other types of investment assets can provide more consistent income for retirement, especially compared to gold.
Horvath recommends limiting gold investments to no more than 5% to 10% of your portfolio. After all, gold can be volatile, Horvath says, and it isn’t income-producing in the traditional sense.
As a result, gold shouldn’t be the main investment for seniors who often need stable, income-producing investments like bonds or dividend stocks, according to Horvath.
Understand your liquidity needs
Before investing in gold as a senior, you should be sure to understand your liquidity needs, experts say. After all, some types of gold investments are more liquid than others, meaning you can sell them for cash more quickly than the other gold assets.
For example, if you want to sell your gold investment quickly, a gold exchange-traded fund (ETF) or a gold mutual fund can provide more liquidity than investing in physical gold, such as a 1-ounce gold bar, says Horvath.
“For many seniors, a low-cost gold ETF may be the most cost-effective option — it’s easy to buy and sell,” Horvath says.
Know the potential drawbacks
Before investing in gold, experts say you should make sure to understand the potential risks, such as the possibility of losing money.
“There are countless advertisements geared towards seniors that tout gold being a safe investment,” says Melody Brady, certified financial planner and founder and principal financial planner at Beechmont Financial. However, gold, like any other investment, has risks, Brady says.
“Gold prices can fluctuate significantly,” says Horvath. And while gold can be a hedge against inflation, Horvath says it doesn’t always perform this role reliably in the short term.
“Gold is often thought of as a hedge against inflation, but it’s not a direct hedge,” says Bryan Minogue, certified financial planner, chartered financial analyst and founder of Kardinal Financial.
“When inflation surged over 9% in 2022, gold was flat on the year. Over the long run, gold may work as a store of value, but there is no guarantee that the price of gold will match inflation in any given year or month,” Minogue adds.
The bottom line
Adding gold to your retirement accounts could be a smart move as a senior. After all, it can help preserve your wealth, resulting in it stretching further during retirement. But before you add gold to your portfolio, experts recommend contacting a financial advisor to make sure it fits within your overall financial plan. And, if you decide to purchase gold, only invest a small percentage of your retirement portfolio in this asset. “Gold should be part of a diversified portfolio that includes stocks, bonds and other assets,” says Horvath.
NEW YORK — Drones have been banned from flying over several New Jersey towns, the Federal Aviation Administration confirms to CBS News.
The FAA order covers nearly two dozen towns, including Jersey City, Harrison, Edison, Bayonne and Camden. It will be in effect until Jan. 17.
The order says no unmanned aircraft can operate below 400 feet within one nautical mile of the airspace specified in each area. Additionally, it allows the government to use “deadly force” against the drones if they pose an “imminent security threat.”
“Pilots of aircraft that do not adhere to the procedures in the national security requirements for aircraft operations contained in this section may be intercepted, and/or detained and interviewed by federal, state, or local law enforcement or other government personnel,” the order reads in part.
Several of the zones are centered around infrastructure, like power substations. Others cover areas like the Kearny, New Jersey port and airspace around military installations like Joint Base McGuire-Dix-Lakehurst in South Jersey, or airports such as Newark-Liberty International Airport.
Earlier this month, the Florham Park, New Jersey police chief told residents drone sightings had been reported above “water reservoirs, electric transmission lines, rail stations, police departments, and military installations.”
Where are drones banned in New Jersey?
North Jersey:
- Cedar Grove
- Bridgewater
- North Brunswick
- Metuchen
- South Brunswick
- Edison
- Branchburg
- Sewaren
- Jersey City
- Harrison, Essex County
- Elizabeth
- Bayonne
- Clifton
- Kearny
Central Jersey:
South Jersey:
- Burlington
- Evesham
- Camden
- Gloucester City
- Westampton
- Winslow
- Hancocks Bridge, Salem County
See the full order from the FAA here.
Mysterious drones over New Jersey and beyond
Drones sightings have been reported all month long, first over Morris County, New Jersey and then over several other East Coast states.
Federal, state and local officials have been demanding more information about where they are coming from and what’s being done to stop them. The FBI is leading the investigation and tells CBS News it has received thousands of tips.
While the White House says there is no known threat, New Jersey Gov. Phil Murphy recently sent a letter to President Joe Biden asking for more federal resources.
On Wednesday, a push from Sen. Chuck Schumer to give local law enforcement more ways to track drones was blocked in the Senate.
Check back soon for the latest updates on this developing story.
contributed to this report.
Two highway crashes in southeastern Afghanistan killed a combined total of 50 people and injured 76, a government spokesman said Thursday.
One was a collision between a bus and an oil tanker on the Kabul-Kandahar highway late Wednesday, said Hafiz Omar, a spokesman for the governor of Ghazni province.
The other, also late Wednesday and in the same province, was in a different area of the same highway, which connects the Afghan capital with the south.
MOHAMMAD FAISAL NAWEED / AFP via Getty Images
Hamidullah Nisar, the provincial head of the Taliban-run Information and Culture Department, told the Reuters news agency the other accident involved a cargo truck, adding that some of those injured in both collisions were in critical condition.
Omar said many of the injured were taken to hospitals in Ghazni and patients in more serious condition were transferred to Kabul. Women and children were among the casualties, he said.
Authorities were in the process of handing over the bodies to families, Omar said.
MOHAMMAD FAISAL NAWEED / AFP via Getty Images
Crash survivor Abdullah Khan, who was being treated in a Ghazni hospital, said he didn’t know how many people had either died or were injured.
“I got out from the bus myself and heard the sound of moaning. There was blood everywhere. Some people had head injuries and others had hurt their legs.”
MOHAMMAD FAISAL NAWEED / AFP via Getty Images
Traffic accidents are common in Afghanistan, mainly due to poor road conditions and driver carelessness.
MOHAMMAD FAISAL NAWEED / AFP via Getty Images
CBS News
France’s President Emmanuel Macron tours cyclone-battered Mayotte, meets survivors pleading for help
Mamoudzou, Mayotte — France’s President Emmanuel Macron traveled Thursday to the Indian Ocean archipelago of Mayotte to survey the devastation that Cyclone Chido wrought across the French territory as thousands of people tried to cope without bare essentials such as water or electricity.
“Mayotte is demolished,” an airport security agent told Macron as soon as he stepped off the plane.
The security agent, Assane Haloi, said her family members, including small children, are without water or electricity and have nowhere to go after the strongest cyclone in nearly a century ripped through the French territory of Mayotte off the coast of Africa on Saturday.
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“There’s no roof, there’s nothing. No water, no food, no electricity. We can’t even shelter, we are all wet with our children covering ourselves with whatever we have so that we can sleep,” she said, asking for emergency aid.
Macron got a helicopter tour of the damage and was to spend Thursday night on the far-flung French territory. After flying over the destruction, he headed to the hospital in Mamoudzou, Mayotte’s capital, to meet medical staff and patients.
Wearing a traditional Mayotte scarf on his white shirt and tie, sleeves rolled to the elbows, the French president listened to people asking for help. A member of the medical staff told him some people hadn’t had a drink of water for 48 hours.
Some residents also expressed agony at not knowing about those who have died or are still missing, partly because of the Muslim practice of burying the dead within 24 hours.
LUDOVIC MARIN/POOL/AFP/Getty
“We’re dealing with open-air mass graves,” Mayotte lawmaker Estelle Youssoufa told reporters. “There are no rescuers, no one has come to recover the buried bodies.”
Some survivors and aid groups have described hasty burials and the stench of bodies.
Macron acknowledged that many who died hadn’t been reported. He said phone services will be repaired “in the coming days” so that people can report their missing loved ones.
French authorities have said at least 31 people died and more than 1,500 people were injured, more than 200 critically. But it’s feared hundreds or even thousands of people have died in total.
Abdou Houmadou, 27, said emergency aid was needed immediately, not Macron’s presence.
“Mr. President, what I’d like to tell you… is I think the spending you made from Paris to Mayotte would have been better spent to help the people,” he said.
Another resident, Ahamadi Mohammed, said Macron’s visit “is a good thing because he’ll be able to see by himself the damage.”
“I think that we’ll then get significant aid to try and get the island back on its feet,” the 58-year-old said.
LUDOVIC MARIN/POOL/AFP/Getty
Macron’s office said four tons of food and medical aid, as well as additional rescuers, were aboard the president’s flight. A navy ship was due to arrive in Mayotte on Thursday with another 180 tons of aid and equipment, according to the French military.
People living in a large slum on the outskirts of Mamoudzou were some of the hardest hit by the cyclone. Many lost their houses, some lost friends.
Nassirou Hamidouni sheltered in his house when the cyclone hit.
His neighbor was killed when his house collapsed on him and his six children. Hamidouni and others dug through the rubble to reach them.
The 28-year-old father of five is now trying to rebuild his own house, which was also destroyed.
He believes the death toll is much higher than what’s officially being reported, given the severity of what he lived through.
“It was very hard,” he said.
Mayotte, located in the Indian Ocean between mainland Africa’s east coast and northern Madagascar, is France’s poorest territory.
The cyclone devastated entire neighborhoods and many people ignored the warnings, thinking the storm wouldn’t be so extreme.
Mayotte has more than 320,000 residents according to the French government. Most are Muslim and French authorities have estimated another 100,000 migrants live there.
Mayotte is the only part of the Comoros archipelago that voted to remain a part of France in a 1974 referendum.
Over the last decade, the French territory has seen a massive influx of migrants from the neighboring islands – the independent nation of Comoros, which is one of the world’s poorest countries.
