The Advantages of Investing in Gold
Money is important and we all want to have a lot of it. It’s hard to picture yourself as Bill Gates when you don’t have enough money to begin with. When you do have money, you want go make sure that it lasts by saving it or investing it in something.
You can expect some returns from the interest earned when you save your money at a bank. Investing in stocks might give you higher returns, but investing in stocks is tricky and risky.
Most Investment managers prefer to put money in stocks because they offer a quick return but they are extremely unpredictable and volatile. Gold, on the other hand, is much more stable. It’s a safer hedge for your money.
The price of gold increases over the long term, but during financial crisis, the price can go to greater heights. Gold has value all over the world.
The same method employed to price gold when you buy gold bullion Brisbane for instance, will be the same in the UK, Africa or Europe.
This is because there is one spot price that everybody uses. You can think of gold as a global currency because it is accepted by everyone, everywhere.
Alternative Investments
One thing that stocks and bonds and other investment vehicles don’t do is to maintain their purchasing power.
Gold does that over long periods of time. An ounce of gold is an ounce of gold regardless of the year it was created.
For people who like tangible assets, gold gives a sense of being grounded in reality. You can invest in small-cap or large-cap stocks, index funds and various international stocks, real estate, but these assets depend on the financial markets doing well.
You should diversify your investment portfolio by including some non-financial assets like gold.
Gold Bullion
When you buy gold bullion Brisbane you should keep in mind that gold is not the kind of investment that will make you rich overnight. Its value might increase over time, but ultimately it is good at preserving wealth.
The great thing about investing in gold is that you don’t have to be a Billionaire to so it. You can start small with purchases of gold bullion coins or small- sized bullion bars.
Gold Jewellery
Gold is heavily used in the jewellery industry. Can you call buying lots of gold jewellery an investment? Probably not, but it can come in handy when you need a bit of cash quickly.
The thing with Jewellery is that its resale value declines over time. It would have to be jewellery made from the highest quality gold.
If you buy gold jewellery because of its gold content, then you can look at your jewellery as a form of bullion.
Gold Coins
If you are buying gold for its investment value, then coins and bars are the best options. However you need to consider that turning raw gold into a coin costs money, this is passed on via mark-ups. You have the voice to buy your gold from a gold dealer or directly from the mint.
When buying coins you should be aware of the fact that gold bullion coins and collectible coins or Numismatic coins. Collectible coins are sold for the gold content, but their value is affected by the demand and supply of that specific coin.
The bottom line is gold is a safe and viable investment that is available to anyone.
http://www.bullionmark.com.au/gold-silver-investment-hedge
https://www.providentmetals.com/knowledge-center/precious-metals-resources/coins-vs-bars.html
Category: Investing
