Do you have an eccentric uncle who lives in a rural Arizona trailer park? Has he recently gone on a rant about hyper-inflation and the economic ideas of Glenn Beck? Did he just spend half an hour talking about how he put all of his life savings into some sort of exotic gold bullion recovered from an 18th century Spanish galleon?
If so, you should make him read this. It’s Warren Buffett’s annual letter to Berkshire Hathaway shareholders. This year’s letter included a shockingly simple explanation for why gold is a terrible investment. Continue reading