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“Shark Tank” investor Kevin O’Leary has made plenty of headline-grabbing bets on the popular reality TV show. But when it comes to what he considers one of his best investments of all time, it isn’t a flashy startup or a high-tech gadget. In fact, it’s something anyone can buy.

“People always ask me about my best investments and everyone is always surprised when I tell them that gold is one of my top investments of all time,” O’Leary said in a recent post on Instagram. (1)

That might seem unexpected coming from a man who’s backed everything from kitchen innovations to cat DNA tests — and made plenty of lucrative exits along the way. Gold, by contrast, is a centuries-old store of value that’s helped people preserve wealth for thousands of years.

“I like gold because in a way it’s a stabilizer, it’s an insurance policy,” he explained. “I’ve owned gold for decades and gold is popular for a whole host of reasons. It’s worked for me in portfolio management. It’s the only security I own that doesn’t pay a dividend.”

While gold doesn’t generate income like dividend-paying companies, it has timeless appeal. Unlike paper currency, gold can’t be printed at will by central banks — making it a natural hedge against inflation. It’s also widely seen as the ultimate safe-haven asset. Gold isn’t tied to any single country, currency or economy and when financial markets turn volatile or geopolitical tensions flare, investors often flock to it — driving prices higher.

Over the past 12 months, gold prices have surged by more than 50%.

But rather than taking profits, O’Leary is doubling down.

O’Leary says sticking with gold through its peaks has paid off handsomely.

“It’s hit all-time highs and I’m still buying, but why? Because if I had stopped buying in 2023, at its all-time high of $2,078, I would have missed out on a [around] 82.7% return in just 2 years,” he said. “Lucky for me, I’ve been buying gold for decades, even at all-time highs.”

Gold’s powerful rally in recent years has driven the metal past key milestones — first $2,000 an ounce, then $3,000 and most recently, $4,000. And O’Leary isn’t the only heavyweight investor singing its praises.

Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, told CNBC earlier this year that “people don’t have, typically, an adequate amount of gold in their portfolio,” adding that “when bad times come, gold is a very effective diversifier.”

One way to invest in gold that also provides significant tax advantages is to open a gold IRA with the help of Thor Metals.

Gold IRAs allow investors to hold physical gold or gold-related assets within a retirement account, which combines the tax advantages of an IRA with the protective benefits of investing in gold, making it an attractive option for those looking to potentially hedge their retirement funds against economic uncertainties.

To learn more, you can get a free information guide that includes details on how to get up to $20,000 in free metals on qualifying purchases.

Read more: Warren Buffett says you can’t buy time — but real estate investors have found this 1 loophole. See how they’re buying back hundreds of hours a year (for absolutely free)

O’Leary has long been known for his love of cash flow — which is why gold stands out as the only asset he owns that doesn’t pay a dividend. That conviction stems from what he once called a turning point in his investing philosophy.

“When I started to do some research, I found out one interesting fact that changed my investment philosophy forever,” he said in a Forbes interview. (2) “Over the last 40 years, 71% of the market returns came from dividends, not capital appreciation.”

O’Leary didn’t break down the math behind that figure, but the takeaway became a golden rule for him — with gold as the lone exception. “So rule one for me is I’ll never own stuff that doesn’t pay a dividend. Ever,” he said.

Dividend income — and steady cash flow in general — can be a powerful cushion during turbulent markets. Even when stock prices dip, investors who hold quality dividend-paying assets can continue collecting income, giving them both a tangible return and peace of mind through the storm.

These days, many sectors offer income-generating opportunities. Real estate is a classic example: When you own a rental property, tenants pay you rent each month — providing a steady stream of cash flow. It’s also a time-tested hedge against inflation, since both property values and rental income tend to rise along with the cost of living.

Of course, purchasing a property requires significant capital — and finding the right tenant takes time and effort. But thanks to new investment platforms like Arrived, you don’t need to own a property outright to gain exposure to real estate.

Backed by world-class investors like Jeff Bezos, Arrived allows you to invest in shares of rental homes with as little as $100, all without the hassle of mowing lawns, fixing leaky faucets or handling difficult tenants.

The process is simple: browse a curated selection of homes that have been vetted for their appreciation and income potential. Once you find a property you like, select the number of shares you’d like to purchase and then sit back as you start receiving any positive rental income distributions from your investment.

For investors seeking monthly dividends, the platform also offers the Arrived Private Credit Fund, which allows you to invest in short-term loans that finance real estate projects, such as renovations, property rehabs or even new home construction.

The fund generates cash returns by collecting interest payments on the loans and distributing monthly payouts to investors. All of the loans are secured by residential housing as collateral, so even if the borrowers default, the underlying property can be sold to keep the fund healthy.

Historically, the Arrived Private Credit Fund has paid 8.1% annualized dividends to investors.

Another option is Homeshares, which gives accredited investors access to the $35 trillion U.S. home equity market — a space that’s historically been the exclusive playground of institutional investors.

Homeshares allows accredited investors to gain direct exposure to a portfolio of owner-occupied homes in top U.S. cities through their U.S. Home Equity Fund — without the hassles of buying, owning or managing property.

The fund focuses on homes with substantial equity, using Home Equity Agreements (HEAs) to let homeowners access liquidity without taking on debt or interest payments. This creates an attractive, low-maintenance investment vehicle for retirement savers, with a minimum investment of $25,000.

With risk-adjusted target returns of 14% to 17%, the U.S. Home Equity Fund offers investors access to America’s largest store of household wealth.

And for a limited time, Homeshares will provide Moneywise readers an exclusive 5% bonus for IRA investments.

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@kevinolearytv (1); @Forbes (2)

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.