"Should I invest in gold?"
By Lew Nason
Insurance Pro Shop
Recently, one of the advisors we work with asked, “How would you respond to a client (or advise an advisor to respond to a client) if he told you he wanted to invest in gold? Not everything, but even a small percentage of his assets. How would you handle this, or have you handled these types of requests before?”
Our answer: Ask questions like, "Why are you thinking of investing in gold? (real estate, rental property, etc.) Why do you want to invest in gold? Have you invested in gold before? How much do you know about investing in gold?"
You want to have a real conversation with your client. Most of the time, they will come to the conclusion for themselves, that it doesn’t make sense. Then, based on their responses, help them in any way you can, even referring them to someone else who can help. I'm a great believer in having a team of experts (whom I trust) to help me and my clients.