{"id":4684,"date":"2019-10-22T07:00:09","date_gmt":"2019-10-22T11:00:09","guid":{"rendered":"https:\/\/howigrowmywealth.com\/?p=4684"},"modified":"2022-04-03T21:43:08","modified_gmt":"2022-04-04T01:43:08","slug":"five-reasons-why-you-can-own-too-much-gold","status":"publish","type":"post","link":"https:\/\/howigrowmywealth.com\/five-reasons-why-you-can-own-too-much-gold\/","title":{"rendered":"Five Reasons Why You Can Own Too Much Gold"},"content":{"rendered":"\n
I previously wrote an article, “I Own Too Much Gold<\/a>” and I’ve gotten several replies on twitter such as, “Impossible” and “No Such Thing”. <\/p>\n\n\n\n I strongly suspect (although I can’t prove it) these folks didn’t read the article. But in case they did and still aren’t convinced here are five reasons why you don’t want to own too much gold as a percentage of your asset allocation:<\/p>\n\n\n\n In the US, gains on physical gold are taxed as ordinary income, which could be a lot higher for you than the capital gains rate. <\/p>\n\n\n\n Even if you were an uber-gold bull and thought it was going to $100,000 per ounce would you really want to pay all your taxes on those gains as ordinary income? <\/p>\n\n\n\n Why not invest in some gold mining stocks (which would certainly go up as well if gold skyrocketed) and pay the capital gains tax rate? Why not hold some of those gold mining stocks in a Roth IRA<\/a> so you pay zero capital gains taxes?<\/p>\n\n\n\nReason 1: Lack of Tax Benefits<\/h2>\n\n\n\n
Reason 2: Diversification<\/h2>\n\n\n\n