It is an interesting idea to grapple with. Are the 'rich' taking the right trade? I think the result is likely a coin toss skewed ( I would say) away from their favor, dependant entirely on other factors. Titles like this always carry an implication the rich are right, because of course they are rich to prove it. You could've posted an article a few years back which said "The rich are buying subprime bonds for 6% yield at par" and that would've been just as correct. PS: Just finished watching... Laughing my ass off. Fools willing to sell 50g of gold for $417. Thats 1.6toz. Even if that was 14karat, that is 20% below spot... Goofy dumbasses... forget my above comment. I bet it was 18k+... Those cash4gold people pay next to nothing for their product. People basically give away their 'bling' to pay the rent...
Looks like normal folks sell it too...On TV and on street corners I see adds: "we buy gold"...get "real cash" for that "junk"... Wonder what drives those buyers? Pure speculation or good knowledge of supply and demand?
At 1:17, one female gives a quote of $460 for 50.7 grams which is $9 per gram. Gold is currently trading at $900 per oz(28.5 grams) which works out to $31.58 per gram. These women are selling gold for 30 cents on the dollar(70% off). Of course, this calculation doesn't include storage and processing costs. Some people will always find ways to make money of not so intelligent people.
Why are they crooks? Those housewives are total idiots, it's not like there are not other routes, which are faster for them to sell the jewelry for a much better price. Whose fault is it that they have no idea how much their jewelry is worth?
At least its not one of those put your garbage gold into an envelope and we promise to weigh and grade accurately and pay market value companies.
Wealthy my ass. Nobody wealthy is applauding and acting like a happy 8 year old as they're being ripped off in a distressed asset sale.