Dirty Little Secret: Picking winners is relatively easy compared to controlling losses. Once an investment has racked up gains for an investor it's extremely difficult to sell. When a position has been a loser since day 1 it can be even harder to get rid of it, if only because doing so is tantamount to confession of defeat.
Such has been the case with gold. Over the last decade an investment in the SPDR Gold Trust ETF (GLD) has risen 200% compared to about 50% for the Dow Jones Industrial Average (^DJI). What really set the hook for gold lovers were the five years of relative performance of the GLD over the five years ending at gold's peak in September of 2011. Over that terrifying period of global economic history gold rose 200% while the Dow was virtually flat.
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