Tuesday, June 21, 2011


Below is the Chart of Prices of Kijang Emas 1oz for the period over 2 years.

Source : Bank Negara Malaysia

The maximum price for Kijang Emas 1 oz was recorded on 21st June 2011 at RM4968. The minimum price was RM3439 on 9th July, 2009. Over the period of 2 years, the Kijang Emas has an increase in price of RM1529 ie 44.5%. The spread for Kijang Emas is 4% currently. Should investor sells their physical Kijang Emas, net return is 40.5% or 20.25% per annum.

Below I shall show you Public Gold Prices :

If you buy PG 20g gold bar on 22nd June, 2009, you have to pay RM2,234 at 'We sell' price. If you want to sell now, you will receive RM3,188 ie at 'We buy' price. Your profit will be RM954 and return of investment is 42.7%. If you annnualised the return, the return of investment is 21.35% per annum (42.7% diivide by 2 years).

Average 20 - 25% return is very likely for physical gold investment. It is certainly worth to diversify your asset portfolio. Bear in mind, the return will be more if you take the opportunity to become PG dealers as you can create you home business from it. You gain more by getting the spread.

In a Hadith, Rasulullah saw mentioned that 9 out of 10 sources of livelihood are to be found in the pursuit of trade, commerce and business. Well, physical gold business may be your additional source of passive income.

I will give you an example. You have a pool of customers. Those buying from you after some time will want to sell. If they are selling today, you buy their gold at today's price 'We buy'. Another customer wants to add more to their investment, you can sell the same gold at 'We sell' price. Instantly you gain the spread (difference between 'We sell' and 'We buy').

Using today's price above :
Customer A is selling 100g gold bar at RM15,959.
Customer B wants to buy 100g gold bar. You sell at RM16,799.
You gain RM840 (sometimes without using you own money).

It is indeed a good source of income. Daily prices are always updated in this blog (at the right hand side of the blog, if you have not notice) or the official website of Public Gold www.PublicGold.com.my and www.PublicDinar.com



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