Forum Archive Index - February 2003

["gooner" <nickk@quicksilver.net.nz>]

People who have criticised Gold investment due to the rising exchange rate tend to overlook the fact that all NZ commodity stocks also lose out because of the same rising rate.

 

Snoopy's beloved WRI will suffer..........it may have to shred its dividend.  CAH will suffer as will FFS etc.

 

Also, if WRI pays a good divvy yet the share price goes down (which it may well do in the near future) then surely that negates the effect of the dividend?  If you make 10% return on divvy per annum and the share price goes down 10% then your return does not look quite as nice. 

 

----- Original Message -----

From: soarer2

To: sharechat@sharechat.co.nz

Sent: Tuesday, February 04, 2003 10:28 PM

Subject: [sharechat] Gold

 

 

There has been discussion on this site re US$ / NZ$ / Gold price and how no money would have been made in NZ$.

 

 

If you purchased one Gold futures Gold contract last year at US$ 310 ( it traded at this level for months and months ) and sold this month at $365 ( currently $375 )

Your profit after currency adjustment and brokerage would have been aprox NZ$ 9268.18 before tax.

 

 

The initial margin outlay and brokerage totalled NZ$ 3,591.09. Return on money invested  258%