Decision time?

My gold investing hasn't gone too well so far!

I think I need to remind myself why I have been buying the stuff. Either my reasoning will still feel valid and stop that dull pain I get when I remember I own this plummeting-priced asset... or I it will appear wrong-headed and I will need to re-evaluate what I am doing.

One of my reasons for buying gold was the possibility that it could rise in value if my income and my home fall in value. An attempt, I suppose, to turn my job, home and investments into an 'absolute return' fund - which sounds horrible and ambitious at the same time.

Sebastian Lyon on gold and BBC on the Fed

Personal Assets Trust: http://www.investegate.co.uk/personal-assets-tst---pnl-/rns/half-yearly-report/201311211642576716T/

"Recent weakness in the price of gold has been unwelcome, but just because an insurance policy does not pay out for one year in thirteen it does not mean we should not hold it. The opportunity cost of holding gold is now low. Negative real interest rates are here to stay. Beggar-my-neighbour policies, reminiscent of the 1930s, instigated by central banks to keep their currencies competitive will lead to an on-going debasement of paper currencies. The rigging of financial markets by central banks will not end well. Gold, therefore, is not a short term trade but long term portfolio insurance."

I don't know if I should be buying something.

Just listening to this too:  http://www.bbc.co.uk/radio4/  Simon Jack