Gyroscopic Investing

I was introduced to the Permanent Portfolio years ago (not long after the Great Recession) after listening to some old Harry Browne podcasts. For the gold portion, I went with GLD due to its simplicity and invested in it for my Roth IRA and Brokerage accounts, not being aware of the tax implications. Since then have discovered that there seem to be better options. Am I pretty much stuck with it at this point? Or should I consider selling while prices are up and take the tax hit? I think I'm going to have to sell some of it in the Roth anyway as the account is out of balance due to the recent run up.

I really don’t think you made a mistake.
I sold my paper gold (not GLD but close enough) because I didn’t want to deal with it at tax time. While I don’t do my own taxes, my accountant charges extra for all the little calculations that were supposed to be made for my gold etf. Sometimes I did them.
A friend of mine who held GLD said, “I just put all my papers in a box and hand them to my accountant.”

You mentioned “tax implications” by which you probably meant a tax hit, not the trifle I mentioned above.
It’s not that bad, is it?
I’m sure someone will chime in, at least after the holidays, with more efficient choices if that’s what you’re looking for.

Since I don’t really trade gold, I didn’t want a hassle to just hold it.
But there’s always a tradeoff: I pay for safe deposit box insurance and update that annually. And the coins that I keep at home could be stolen or could just go missing. So for many, paper gold brings peace of mind that is worth a few minutes of work when tax time comes.

turbo8214 wrote: ↑Tue Dec 23, 2025 1:20 pm I was introduced to the Permanent Portfolio years ago (not long after the Great Recession) after listening to some old Harry Browne podcasts. For the gold portion, I went with GLD due to its simplicity and invested in it for my Roth IRA and Brokerage accounts, not being aware of the tax implications. Since then have discovered that there seem to be better options. Am I pretty much stuck with it at this point? Or should I consider selling while prices are up and take the tax hit? I think I'm going to have to sell some of it in the Roth anyway as the account is out of balance due to the recent run up.

I have a now huge position in GLD. It’s in my taxable holdings and I’m stuck with it. Selling would be very expensive. I know, cry me a river. If I had it in a Roth, I would sell it and buy the low expense ratio version.

what i find is when you have big positions to sell the spreads on gld are smaller than the cheaper etfs .

it can actually cost more in spread difference than expense difference.

gld is a more liquid for big positions.

many times i had only a portion go in gldm and the rest went at lower prices

mathjak107 wrote: ↑Mon Dec 29, 2025 10:40 am what i find is when you have big positions to sell the spreads on gld are smaller than the cheaper etfs .

it can actually cost more in spread difference than expense difference.

gld is a more liquid for big positions.

many times i had only a portion go in gldm and the rest went at lower prices

I never sell gold, that's my problem.

it’s only a problem if it goes down

I try to remember that as "storage", it's cheaper than most or all of the vaulting arrangements. Of course, it's still paper gold.

mathjak107 wrote: ↑Fri Jan 02, 2026 6:43 am it’s only a problem if it goes down

I can survive it going to zero. I don't know what that would mean for the world, but whatever. I for one would welcome our new insect overlords.
I don't view it as a rebalancing item. When it comes to gold, I'm a hodler. (For Vinnie, that means hold on for dear life.)

dualstow wrote: ↑Tue Dec 23, 2025 2:04 pm You mentioned “tax implications” by which you probably meant a tax hit, not the trifle I mentioned above.

That's what I meant.

dualstow wrote: ↑Tue Dec 23, 2025 2:04 pm Since I don’t really trade gold, I didn’t want a hassle to just hold it.

Yeah, that's why I went primarily with the paper version as the real thing is a hassle to deal with.

Thanks for the replies.
I've thought about selling before the end of the year but decided to just stick with it. If I were to do it over again, probably would have done something different, but held this long so might as well stick with it. Taxes will be an issue regardless of when it is cashed out.

turbo8214 wrote: ↑Fri Jan 02, 2026 12:10 pm

dualstow wrote: ↑Tue Dec 23, 2025 2:04 pm Since I don’t really trade gold, I didn’t want a hassle to just hold it.

Yeah, that's why I went primarily with the paper version as the real thing is a hassle to deal with.

Ha. Not what I meant but fair enough. Definitely subjective.

You mentioned part is in a Roth IRA - you can sell in the Roth without any tax implications.

I Shrugged wrote: ↑Fri Jan 02, 2026 6:53 am

mathjak107 wrote: ↑Fri Jan 02, 2026 6:43 am it’s only a problem if it goes down

I can survive it going to zero. I don't know what that would mean for the world, but whatever. I for one would welcome our new insect overlords.
I don't view it as a rebalancing item. When it comes to gold, I'm a hodler. (For Vinnie, that means hold on for dear life.)

On page 398 of Nate Silver's latest book, I just read him using the term: HODL. Following up with: "...essentially an admonition not to ruin the party by selling your crypto too soon."

Had to follow up and this is what I got ...

https://www.perplexity.ai/search/is-hod ... d81eWAEg#0

HODL originated in the cryptocurrency community, stemming from a 2013 Bitcoin forum post where a user drunkenly misspelled "hold" during a market dip, turning it into a rallying cry for long-term holding.
​

Core Usage
HODL primarily describes a buy-and-hold strategy for Bitcoin and other cryptocurrencies, where investors resist selling amid volatility, often interpreted as "Hold On for Dear Life". This approach suits crypto's high-risk, speculative nature, emphasizing faith in assets like Bitcoin despite extreme price swings.
​

Broader Applications
The term has extended beyond crypto to stocks and other investments, akin to traditional buy-and-hold tactics for blue-chip shares or ETFs. Investors sometimes apply "HODL" to any volatile asset held long-term to avoid timing mistakes and capture growth, though it retains a crypto-centric meme vibe.
​

HODL only makes sense as an investing strategy for income producing assets. If you never sell non-income producing assets, you never make any money.

Jack Jones wrote: ↑Mon Jan 05, 2026 9:32 am HODL only makes sense as an investing strategy for income producing assets. If you never sell non-income producing assets, you never make any money.

Isn't it one of those things that literally does not mean what it means?

Dividends are priced in to what you pay up front for the asset. You can hold vacant land in an urban core and if you guess demographics right, goes up. (and why we need a Georgist land value tax)

unrelated content, commies in shambles. Socialist paradise questions The Science? https://old.reddit.com/r/news/comments/ ... hedule_to/

Jack Jones wrote: ↑Mon Jan 05, 2026 9:32 am HODL only makes sense as an investing strategy for income producing assets. If you never sell non-income producing assets, you never make any money.

the dividend doesn’t mean you made money .

it means you made withdrawals of your own money .
dividend payers have paid dividends out right in to the blue chip graveyard.

it all depends why one is holding an asset for dear life .

i can see holding berkshire which pays no dividends forever in my taxable account , then pass to heirs at a stepped up basis.

or i could create my own dividend off the total return . so pretty irrelevant which withdrawal method is used

mathjak107 wrote: ↑Tue Jan 06, 2026 4:33 am

Jack Jones wrote: ↑Mon Jan 05, 2026 9:32 am HODL only makes sense as an investing strategy for income producing assets. If you never sell non-income producing assets, you never make any money.

the dividend doesn’t mean you made money .

it means you made withdrawals of your own money .
dividend payers have paid dividends out right in to the blue chip graveyard.

it all depends why one is holding an asset for dear life .

i can see holding berkshire which pays no dividends forever in my taxable account , then pass to heirs at a stepped up basis.

or i could create my own dividend off the total return . so pretty irrelevant which withdrawal method is used

I didn't say anything about dividends, but thanks for jumping in with a tired, oft-repeated perspective on dividends. Berkshire is an income producing asset. Look at its income statement.