The pursuit of financial security is hardly a modern invention. Even in antiquity, people understood the power of investment to grow and protect wealth. As the Roman poet Juvenal observed, a comfortable annual income of 20,000 sesterces—roughly equivalent to $300,000 in modern investment returns—was a highly desirable goal. The methods used to achieve it, though different from today’s financial instruments, were remarkably sophisticated.
Precious Metals: The Original Store of Value
Before stock markets existed, the primary way to invest was through tangible assets, especially gold and silver. These metals served as a hedge against currency devaluation and inflation, much as they do for some investors today. Wealthy individuals stored bullion in the form of bars, ingots, or crafted into jewelry. However, this was not without risk; theft was a constant threat. The poet Virgil described estates with “lofty houses” where “talents of silver lie deeply hidden,” a testament to the need for secure storage.
A talent, the largest ancient currency unit, was roughly 25 kilograms (55 pounds) of silver. Cicero recounts how wealthy women like Clodia withdrew gold from secure cupboards to lend money, exchanging it for coinage when needed.
Boom and Bust: Early Market Volatility
Even ancient commodity markets weren’t immune to volatility. When a new gold vein was discovered near Aquileia, Italy, the sudden influx flooded the market, causing prices to plummet by a third within two months. The solution? Monopolization and regulation, demonstrating an early form of market intervention. Metals were sold by weight, and jewelry could be melted down into bullion.
The mindset toward these metals was one of insatiable desire. As Xenophon noted, “no one ever yet possessed so much silver as to want no more.” Wills from the period often list inheritances including silver and gold bars, plates, or ingots.
Diversification: Beyond Precious Metals
While metals served as a store of wealth, they generated no income unless sold. A diversified portfolio included agricultural commodities—grain, olive oil, and wine—which provided a steady revenue stream. Cato, a Roman statesman, advocated for investing in these “essential goods” that were “resistant to unpredictable movements in the economy.”
Art as Investment: A Luxury Market
High-value art also served as an investment vehicle. After sacking Corinth in 146 B.C., the Romans auctioned off the city’s famous artwork. Attalus II, the King of Pergamon, purchased a painting by Aristeides of Thebes for an astonishing 100 talents (2,500 kilograms or 5,500 pounds of silver). This demonstrates that even then, masterpieces commanded immense value.
Political Risk and Imperial Manipulation
Instability and imperial overreach introduced additional risk. During the Roman civil war (32–30 B.C.), commodity prices surged due to unrest. Emperors like Caligula imposed arbitrary taxes, while Vespasian openly manipulated markets, buying up goods to resell at inflated prices. These practices highlight how political forces could disrupt even ancient economies.
Investing in ancient times, like today, was not without its dangers. From theft and market crashes to imperial interference, wealth accumulation required both foresight and a degree of luck. But the fundamental principle remains unchanged: strategic investment, whether in metals, commodities, or art, has always been a path to financial stability.
