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Property Developers Thailand

HAve you ever considered buying property from a developer in Thailand? Some people may think this is a risky exercise, and they are probably right in a number of ways. You can check out this great blog post to help guide you in the right direction, when dealing with Thailand property developers.

Negotiating with developers in Thailand

Thailand Property Advice

Interesting read for anyone that is looking to invest in the Thailand Property market. Thai Property Advice

http://thaipropertyadvice.com/

Advantages of including gold in your investment ...

Advantages of including gold in your investment portfolio - Using diverse investment vehicles/products helps in creating a balanced portfolio. For centuries gold has been held as the best store value and a strong hedge against currency fluctuations. Gold is also the lone asset class that is well protected from inflation and infirmities associated with fiat currencies.

Global economic conditions in current times call for great caution and informed investments so that your wealth is not eroded. The debt crisis both in the U.S. and the Euro zone are far from over and the financial markets are potentially in for larger trouble. The Fed and the Euro Zone are trying to calm down the bearish trend through cosmetic measures. Unfortunately these measures cannot last a life time and sooner than later, the cracks are bound to show up again.

Investment in gold and silver are more like an insurance against potential storms that can strike the financial markets any time.  Insurance protects you from perceived risks though the elements of risks may never visit you during the currency of the policy. But, if it does visit, then the insurance comes in as a huge measure of relief. Similarly investments in gold will keep you insulated from the events that cause extreme volatilities in the financial markets. While the premiums you pay for an insurance never comes back to you except when you prefer a claim, investments in gold can add to your wealth, particularly over longer periods of time.

During late September and most of October, 2011 the global financial markets witnessed extreme volatility. Several large players were compelled to liquidate their positions in gold to pay for losses suffered in the financial markets. This is among the major reasons that pulled gold down by nearly $300 an ounce.  Beginning the last few days of October, gold has once again started its northward journey notching up decent gains on the way and moving up close to the $1750 mark.

As at the beginning of November, 2011, the Euro zone is a bigger worry and with several of its constituents facing weak economies and/or challenging sovereign debts, gold can swing either way. But, the dips, when they do occur present the retail/marginal investor with an excellent opportunity to acquire more or average out existing investments. On the other hand, if gold continues on its northward journey, you can consider liquidating the whole or part of your investments in gold at prices closer to the $1,900 per ounce levels. Given the volatile scenario, it is more likely that gold will keep moving between the $1,650 and $1,900 range for some time to come.

Using Gold volatility to enhance your profits

Gold volatility to enhance profits - Investors who track the financial as well as the bullion markets on a continuous basis can still make great use of wild price fluctuations when the markets are extremely volatile. Undoubtedly, if you decide to get into the waters during a high tide, you also know how to keep yourself afloat and play it safe. An in-depth knowledge of the fundamentals, and your ability to read into the causes for volatility during a specific time frame will determine the final results from your actions in the market.

Often times, it is the large transactions that take prices up or down sharply. Retail/marginal investors can  benefit from these price movements only when they keep themselves glued to major events in the financial markets and make good use of that knowledge to act at the right time in the bullion market. In modern times, with the internet providing live price movements by the minute, the exercise is a lot easier than in the past.

When Federal banks or hedge funds sell large volumes of gold on a given day, the prices come down significantly  because several large players will tend to be sellers . Interestingly, there are buyers at the lower levels and we need to ponder why they are buying when most people are selling. These buyers are not speculating and know for sure that the prices will move right back and move northwards. The markets use several terms like overbought position, correction or oversold position etc. to describe volatility in the market.

For the layman, volatility is nothing but price manipulation. The larger players can effectively manipulate the markets because they hold physical stock of gold by the tons and access to cash by the millions. A hedge fund for instance can book losses running into several million dollars on a given day and yet keep their cool because they know how to wipe out the losses and even make a profit.

Playing volatile markets can be extremely risky. However, a thumb rule that is often helpful is to sell at the peak and buy at the lows. Selling at the peak will call for some quick and focused action while buying at the lowest ebb can be easier because the markets would have stabilized at the lower levels for the day.

It is important that you are in total control of your financial resources and have a clear understanding of your ability to absorb temporary losses. Know also that just one mouse click can either bring you a fortune or seriously impair your financial health. It is a game that seasoned players with robust financial health love to indulge in.

Rest of 2011 will see more volatility in gold

Rest of 2011 will see more volatility in gold Mid September saw gold nose diving from its historic high to the $1,600 levels, shedding over $250 per troy ounce in the space of a few trading sessions. Hedge funds played a major role in this bear phase because they were compelled to liquidate their holdings and find cash to pay for losses suffered in the financial markets. But for the sovereign debt issues of both the U.S. and the Euro Zone, October brings more buyers into the bullion markets particularly for the physical stocks.

India and China are major gold buyers during this part of the year to meet important festival demands in their respective nations. The lower prices should have in fact attracted more buying and helped the prices move up in the process. To prevent a major collapse in the global financial markets, both the U.S. and the Euro Zone have been quick in finding some cosmetic measures to stem the rot at least for now. It is important to note however, that the under currents continue to be weak and the financial markets can experience more turbulence as we move into the New Year.

Consequently, the bullion markets will also be volatile at least until the New Year arrives. For investors who are looking to average the cost of their holdings or make fresh additions, this volatile phase presents a fine opportunity. The macro economic conditions in the west as well as in some of the major emerging markets do not point to an immediate turnaround in the financial markets. At present, the U.S. dollar is artificially propped up and it would be extremely difficult to hold the dollar index at current levels for long.

For the retail/marginal investor, the best option would be to stay on the sidelines and carefully track the developments on a daily basis. The only exception is that the dips can be used to make fresh purchases. Your ability to hold on to your investments in gold and wait for the prices to move up is important to safeguard your wealth at this juncture.

High Demand For Physical Gold

October 2011 to see more demand for physical gold - After intense volatility during the passing out phase of September, gold has stabilized around the $1,600 mark. For now, the immediate concerns on the U.S. and the Euro Zone debt crisis have been calmed through temporary if not long lasting measures. From a free fall situation, the bullion markets have steadied themselves. Silver however, has been a major exception and failed to regain the lost ground.

Week beginning October 5 is expected to be buoyant with more demand for physical gold coming in. October marks the beginning of a major festival season for India. For centuries, Indians are known to have consistently added to their stock of physical gold during this season. 2011 cannot be different and people are already gearing themselves to launch into gold shopping.  On specific days during the festival, some gold must be bought irrespective of the price. From the rich and famous to the man on the street, almost everyone will be shopping for gold. Over a 48 hour period, more than 150 tons (not ounces) of gold will move into private homes and vaults in India during the last week of October.

Gold imports into India have already been brisk with some 600 tons and the seasonal demand for October is expected to add another 250 tons with the 2010-2011 imports projected to total about 1,000 tons.

Though the prices in dollar terms are softer compared to September, the currency factor will take away much of the gains from the hands of the Indians. Nevertheless, this will not be a dampener when people take to the streets for gold shopping.

Apart from the Indian enthusiasm in gold, events during the last few days of September have helped in arresting the volatility in the bullion markets to a large extent. Gold and silver have not lost any fresh ground and managed to follow a steady course. The break-out from here must therefore show sharp upswings in the immediate term.

Gold – The difference between investment and ...

Gold – The difference between investment and speculation - Until the final week of September, most market analysts were predicting that gold has a clear upside from the $1,800 levels per ounce and that the year end should see gold at around the $ 2,000.  But, the final days of September disproved all these predictions and gold shed nearly $300 to an ounce or about 15% from its historic peak during the same month.

All through 2011, gold has been steadily rising and the goal post of $2,000 has been on the horizon for some time now. Investors who opened their positions in August or even early September are still in the comfort zone because prices are very close to the opening price in September. For them, it is simply a question of waiting for the high tide to arrive before they can book profits. Speculators on the other hand often wait for the peak and expect to create positions closer to the peak so that they can make quick bucks and exit.

A major cause for the slide in gold prices can be attributed to heavy selling by hedge funds. With the dollar strengthening, though marginally, the financial markets perked up resulting in significant losses for some of the key players. Gold came in as a handy means of raising cash to meet these losses.  The bigger players know their game plan much better than the retail investors. Retail investors react after an event rattles the market while the bigger players have the ability to predict or rather control the market movements.

Most of the hedge funds have sold significant volumes at the $1,700 mark between the 21st and 23rd.  Consequently, the markets opened significantly lower on 26th and staged a mild recovery towards the closing sessions for the month. Most sales between the 26th and the end of the month can be traced to retail investors in a panic mode.

Speculation and investment are two different game plans altogether. Speculators are always in search of quick opportunities and are willing to take bigger risks. Investors on the other hand consider medium to long term horizons and have the ability to wait for real profits. For investors, markets going on a tail spin present opportunities. With a tinge of caution they can determine the right moves. Compare the one month gold price chart with the 5 year chart and the story becomes loud and clear to you.                                                          

Has gold finally lost all its sheen?

Has gold finally lost all its sheen? The last leg of September, 2011 has witnessed significant volatility in almost every class of assets.  This period also saw the U.S. Federal government engaging in some much needed repairs on the sovereign debt causing the U.S. dollar to strengthen against other currencies.  For the seasoned pair of eyes, the repair is more in the nature of a quick fix rather than finding more effective solutions that can contain the menace in the long run.

With the dollar gaining strength, large investors in gold – such as the hedge funds and high net worth individuals went about on a selling spree in the bullion market liquidating much of their positions and converting the investments into cash.  For these investors, gold became the handy whipping boy to offset some of the losses suffered in other financial markets. In cumulative terms, gold went into an oversold position.

In the space of 20 days gold registered a loss of $280 per ounce dropping from $1,880 on 7 Sept to $1,600 on 27 Sept.  However, it is interesting to note that the dip has been pegged at just about 15% and no more. At end July, 2011, gold was quoted at $1,620 and most analysts had predicted that gold is well on its course to the $2,000 mark. August did prove many of them at least half correct since gold did register historic highs.

Thus far, true investors have no cause for concern because all positions created before August continue to be in the green territory. Speculation being entirely different from investment, if you joined the gold rally in September at its peak, you do have a loss to content with at least in the immediate term.

September also brought into focus the growing concern over Euro zone debt woes. Here again another quick fix has now been applied. The European community as well as the United States of America will need far more than a few weeks or months to address the larger issues to tame the debt.  Raising taxes, ushering in austerity measures on the expenditure front and a debt management of the interest rate regimen are measures that will follow.

In the middle of the September crisis, there were many prediction of an imminent dollar collapse. For those who can see the larger picture of the U.S.dollar, these predictions can hardy cut ice. The U.S. dollar has remained the global reference currency for long and the economies in the developed as well as emerging markets are, to a large extent dependent on the strength of the U.S. dollar for their own survival. China, for instance was quoted as being a strong contender to displace the pre-eminent position of the dollar. But, the Chinese economy depends significantly on its export performance for survival and growth. Inter-dependence of economies therefore will therefore be the major driver to prevent any long lasting damages.

The West, particularly the U.S. suffers from an excessive emphasis on consumption and a correspondingly weak thrust on savings. Sovereign debt, in the U.S. and the Euro Zone is a genuine problem. The undercurrents will remain weak for several years to come.

The store value of gold and its status as the best hedge against currency fluctuations cannot be wished away. Gold will therefore continue to shine though some dust collects at the top on account of frenzied volatility whenever the financial markets are in turmoil.

For the true class of investors, every dip in gold prices presents an opportunity to add or average out their investments. Gold therefore, is bound to peak again sooner than later.

Choosing Between Silver and Gold

Choosing between Silver and Gold  - With many global currencies coming under serious threat of depreciation, the traditional hedge has always remained the precious metals. In 2011, the choice between gold and silver as an investment vehicle has been rendered difficult. Some investors continue to rely on gold because silver has traditionally played the second fiddle to gold.

When the safety of your wealth is more important than the returns from the wealth, gold is perceived to be less risk prone. This conviction can be largely true too because gold has always moved up. The only exception is that during 2010-2011 both silver and gold have made significant strides. It is in this context that making a choice between gold and silver becomes difficult.

One of the major factors that kept silver from making rapid strides is the large percentage of silver going into industrial consumption. The big brothers in the game have all these days managed to artificially keep silver down to help the industrial sector. But with Europe and the US on amber light with their economy and the chances of shifting into the red brighter than the green coming on any time soon, the game plan cannot remain unaltered.

If you consider return on investment in recent times, during 2009 and 2010 silver has produced an ROI more than twice that provided by gold. Add to this the fact that a huge retail investor segment is waiting on the wings to launch into silver, the stage is all set for silver to make strident moves upward.

At less than $40 an ounce silver today offers the opportunity to double your wealth in about an year if not earlier. On a long term perspective too, the upside for silver is well in excess of $100 an ounce which means that your investment in silver will not only be safe but also fetch you juicy returns. Many experts have predicted that once the silver rush starts any time soon, silver may just not be available because investors would have grabbed all the available volumes on the very first day. Unlike gold, central banks globally do not hold much silver as store value and this will further add to the demand supply imbalance.

At present, silver is on an extremely strong wicket. You have the option to join in at current levels or wait for the prices to reach peak levels. But, if you create positions at the top of the chart, you are simply safeguarding your wealth and adding little to that. You must make an informed choice now.

Investment demand for gold in China the emerging ...

Investment demand for gold in China –the emerging scenario, The Asian appetite for gold is well known to most people who follow the bullion markets. Until recently, India lead the pack of gold importers around the globe and most of the gold imported went into jewelry than as an investment vehicle. China did not pose a threat to this position because private ownership of gold was severely restricted until about an year ago. Now with the Chinese opening up private investment in gold, 2010 has witnessed a surge demand taking China’s import to 187 tons. In 2011, Chinese gold imports are slated to cross the 200 ton mark though that is still way behind India’s projected 1,000 tons for 2011.

In comparing the volumes between China and India, it is important to consider the time line. China opened up private investment in bullion only about two years ago and the volumes are already an impressive 200 tons for a market that is still in its infancy.  As of now, all the gold mined so far totals to about 166,000 tones and the annual trade volume globally is of the order 4,000 tons. With one third of the total volume available for trade being absorbed by just two nations, there will always be more buyers chasing less gold.

Apart from the growing number of individual investors in India and China, several Federal banks including China, Russia and other nations are on record with their immediate term intentions to add to their existing gold reserves. Obviously the federal banks go out with a large enough shopping cart to mop up substantial volumes on a given day or a chosen time frame.

The absence of other attractive investment vehicles in China will act as a major driver in pushing up the demand for gold and as that happens, the prices can only move in one direction – north, up north. For those who create their positions at the $1,800 level, the New Year should bring lot of cheers because they are creating a strong fence around their wealth and even looking at some decent returns.

If you find the Chinese story overwhelming, don’t forget her neighbor India, because there is money, and plenty of it waiting to move into gold. Together, that is going to create a double whammy effect on gold taking the prices beyond the $2,000 mark per troy ounce. Be there, before the party begins and you are assured of a happy and prosperous New Year.


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