GLG News Analyses of the following article:

Saying 'I Love You' With a Metal Alloy

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Published at: online.wsj.com

Gold

March 9, 2009

Analysis by: GLG Expert Contributor

When national currencies and corporate paper goes down in value for a number of natural reasons, traditional monetary instruments - such as Gold - naturally picks up in value and stabilizes anyone's portfolio. As an established investment banker in real estate and capital markets, I do have select investment opportunities in Gold mining in the area of the world in Russia that boasts the largest gold reserves in the world - with the experienced local operators that are looking for serious equity partners.

Jack LiftonCo-founder and DirectorTechnology Metals Research, LLC

The Price of Gold, Since Its Previous All Time High In 1980, in Constant 1980 Dollars Has Declined Dramatically; Gold Is Today Neither A Hedge Against Inflation Nor A Level Store Of Value For The US Dollar.

February 8, 2008

The last time that gold reached an all time high price, prior to last week, was in 1980 when  its price reached $847 per troy ounce. Since then inflation has taken the 1980 dollar to $2.67 in 2008 dollars; this means that for gold to sell today at the same price it reached in 1980 it would have to be priced at $2228 per troy ounce. Since gold, last week, only reached a price of less than $950 (2008) and has since dropped back to the $900 (2008) level it is clear that gold is not a hedge against inflation nor is it a store of value. It is, in fact, a jewelry manufacturing material, which is now already too expensive to be used in a pure state. It is possible that within a few generations gold will only be remembered as a once important means of exchange once used on account of a perceived and generally agreed upon and accepted intrinsic value