Marc Faber Thinks Investors Should Buy Gold as an Insurance Policy

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Jan 08, 2013
I still don't "get" how to value gold, other than to know it is a proxy for the confidence people have in our fiscal system.

I do know that I wish I'd owned it over the last ten years.

Marc Faber discusses his latest findings:

- Smaller Asian markets have performed very well since the March 2009 low and likely won't do well in 2013.

- He thinks the loose money that is sloshing around the world will find its way to Asian markets that have underperformed (China, Vietnam, Japan).

- Faber is very negative on 2013, so he doesn't think investors have to own stocks.

- Government intervention in the financial markets are making it extremely hard to make predictions about direction of the markets.

- He doesn't particularly like any asset class at this point in time.

- Faber thinks gold could drop 10% in the short term, but he keeps owning it as an insurance policy.