Recent stock market volatility and worldwide financial markets in
turmoil, more and more people are looking to expand their financial
portfolios and retirement funds with investments in gold. Gold is a
universal currency; it is traded 24 hours a day, throughout the world.
Many countries offer guaranteed minted gold coins in a variety of
weights from 1/10th of an ounce to a full 1-troy ounce weight. These
coins can be used as currency. Gold helps to balance a portfolio and it
is never too late to learn how to invest in gold.
There are many ways to invest in gold: minted gold coins, gold bullion bars, jewelry, gold mutual funds, shares of gold mining companies, gold options/futures, and exchange traded funds. Finding the right mix for your portfolio takes research and understanding in the gold market, with a balance of what your long term and short term returns are.
Exchanged Traded Funds (ETFs) are basically mutual funds that physically hold the commodity, in this case, gold. The value of the fund reflects the going rate for gold bullion better than gold-mining stocks and offers investors an easy way to invest in gold. However, brokerage fees for buying and selling ETFs can be high.
Another option for investors that don’t actually want to secure and hold physical gold are shares of gold-mining stocks. Most companies pay a dividend, however it is typically modest. This is a long term strategy with minimum investments required.
Just like other options and futures trading, gold options and futures are recommended for experienced investors only. Investors speculate on what gold prices are going to do – higher and lower. It is a very volatile and complex investment.
Some investors desire to actually hold their gold. This is referred to as “Direct Ownership”. Typically investors buy bars, coins or jewelry at retail prices and sell at wholesale prices. Direct ownership is a long-term investment strategy and great as a defensive asset in a financial or retirement portfolio. Beware of companies that offer specially minted “Collectors” gold coins. Rare coins and “Collector” editions are for collectors, not investors and cannot actually be used as currency. When considering gold as an investment, shop around and be sure to take into account the premiums charged. They can range from 2% to over 28% and the premiums can really hinder an investment’s legitimacy.
Learning how to invest in gold and what is best for your overall financial plan will take some time. Research the companies you are considering doing business with and learn about the market not only in the United States, but across the world.
The best thing to do, is to do what most people are not. Since most people are selling their stock now, I will be buying. In fact of that, I actually do recomment some of your assets maintain gold. I say this to have an entirely different reason than investing though. Mentioned previously earlier I can’t believe gold is undoubtedly an investment, however i do believe it is a currency that should always be universally accepted, and once the United States prints to much money as a way to pay off the huge amounts of needless debt it has been creating for itself, the value of america dollar will sink so low you need a wheelbarrow full of money to buy a loaf of bread, and once that point comes it is actually nice to get some gold to trade for passage into a place much better off.
There are many ways to invest in gold: minted gold coins, gold bullion bars, jewelry, gold mutual funds, shares of gold mining companies, gold options/futures, and exchange traded funds. Finding the right mix for your portfolio takes research and understanding in the gold market, with a balance of what your long term and short term returns are.
Exchanged Traded Funds (ETFs) are basically mutual funds that physically hold the commodity, in this case, gold. The value of the fund reflects the going rate for gold bullion better than gold-mining stocks and offers investors an easy way to invest in gold. However, brokerage fees for buying and selling ETFs can be high.
Another option for investors that don’t actually want to secure and hold physical gold are shares of gold-mining stocks. Most companies pay a dividend, however it is typically modest. This is a long term strategy with minimum investments required.
Just like other options and futures trading, gold options and futures are recommended for experienced investors only. Investors speculate on what gold prices are going to do – higher and lower. It is a very volatile and complex investment.
Some investors desire to actually hold their gold. This is referred to as “Direct Ownership”. Typically investors buy bars, coins or jewelry at retail prices and sell at wholesale prices. Direct ownership is a long-term investment strategy and great as a defensive asset in a financial or retirement portfolio. Beware of companies that offer specially minted “Collectors” gold coins. Rare coins and “Collector” editions are for collectors, not investors and cannot actually be used as currency. When considering gold as an investment, shop around and be sure to take into account the premiums charged. They can range from 2% to over 28% and the premiums can really hinder an investment’s legitimacy.
Learning how to invest in gold and what is best for your overall financial plan will take some time. Research the companies you are considering doing business with and learn about the market not only in the United States, but across the world.
The best thing to do, is to do what most people are not. Since most people are selling their stock now, I will be buying. In fact of that, I actually do recomment some of your assets maintain gold. I say this to have an entirely different reason than investing though. Mentioned previously earlier I can’t believe gold is undoubtedly an investment, however i do believe it is a currency that should always be universally accepted, and once the United States prints to much money as a way to pay off the huge amounts of needless debt it has been creating for itself, the value of america dollar will sink so low you need a wheelbarrow full of money to buy a loaf of bread, and once that point comes it is actually nice to get some gold to trade for passage into a place much better off.
