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Sunday, September 5, 2010

Leveraged gold position……HELOC?

Been thinking about using my home equity line of credit to purchase physical bullion, either physical in hand, or in an unallocated account at a reputable dealer to keep costs down. I am fairly sure housing prices will fall and the fed will keep rates low (in the short term), and would like to protect my equity stake. Anyone done this or thinking about doing this? What would be the advantages and disadvantages to doing this? I have an emergency fund of cash and have no other debt. What other hedges could you take to protect yourself from falling housing prices?


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