Markets3d ago·37 sources

Warren Buffett, in an excerpt from his forthcoming Annual Letter, discusses gold as an investment, likening all the world's gold to a cube approximately 68 feet per side, valued at $10 trillion. He argues that gold is a poor investment because it produces nothing, pays no interest or dividends, and does not grow earnings. Buffett contrasts this with investing $10 trillion in U.S. cropland and 16 Exxon-Mobils, which would generate trillions in dividends over a century and retain their value. He concludes that gold's value relies solely on convincing others to buy it at a higher price, whereas productive assets offer intrinsic returns.