We indirectly owe our Money Management to King Midas. How so? Please read on:
The Midas Touch
As we reminisced over our school days, many of us would have heard or read about King Midas, his initial greed and his distaste for the yellow metal when everything he looked upon and touched, turned to Gold, including his beloved daughter.
Now, Midas hated the gift he had coveted. He prayed to Bacchus, begging to be delivered from starvation as his food also turned to gold. Bacchus heard, and consented; he told Midas to wash in the river Pactolus.
Midas did so, and when he touched the waters, the power flowed into the river, and the river sands turned into gold. This explained why the river Pactolus was so rich in gold, and the wealth of the dynasty claiming Midas as its forefather no doubt the impetus for this aetiological myth.
Midas also angered Apollo the god who turned his ears into ‘donkey ears. He attempted to hide his misfortune under an ample turban or headdress, but his barber of course knew the secret, so was told not to mention it. However, the barber could not keep the secret; he went out into the meadow, dug a hole in the ground, whispered the story into it, then covered the hole up. A thick bed of reeds later sprang up in the meadow, and began whispering the story, saying “King Midas has donkey’s ear.
All these may be just myths but from King Midas, we learn about the Midas Touch which is the lesson to remember.
The Midas Touch is just really good Money Management.
Gold is so important that it is synonymous for wealth. But having gold nuggets, coins, or futures contracts does not mean your portfolio value is rising or safe.
Most of the gold supplied to the market each year goes into manufactured products; the remainder goes to private investors and to monetary reserves. Gold has a long history of use as currency or as a reserve backing for other forms of money; however, the gold standard is not currently used by any government, having been replaced completely by fiat currency.
Investing in the financial markets demands the ability to change perspectives over time. If gold bars or Krugerrands (a one-ounce South African gold coin) are purchased, then the physical possession of that gold remains the same regardless of the market price. Investment is a choice to risk capital with the hope of gain; however, ownership is for the sake of ownership regardless of whether there is a gain. Unquote.
With gold punching the $1,300 mark, thoughts of what a gold mania will be like has crossed many minds, including mine. We could see a gold rush of historic proportions looming ahead of us. So tread carefully.
I reiterate: The Midas Touch is just really good Money Management.
Idkit aka Ana