5 Reasons Why You Should Invest in Gold

Let’s face it, the economy stinks and there isn’t an end in sight.  So what should we do about this situation when it comes to investing our hard earned money? Well, some investors have turned to gold.

The Benefits of Gold Investment

You’ll be surprised to learn about all of the benefits of gold. I didn’t believe it myself until I started to research it and then discovered how lucrative it can really be compared to investing in paper. Check out these benefits:

Stable and Steady Increase History

If you look at the chart below, you’ll see how gold prices have remained either steady or increased over the last 10 years. Even when the economy was doing better than it is now, gold remained at a stable price. That means, the people who invested in gold, still didn’t lose much money when the economy was doing well.

Why is the economy such a huge factor in gold? Well, when the economy drops, gold prices soar. Investors have found comfort in gold when paper lost its value and this has been the case throughout the last decade.

Experts Report Increase Well Into 2014

While there has been a slight decrease in gold prices in the start of 2012, experts report that gold will bounce back and will continue to increase all the way up to 2014 and possibly beyond.

More Options to Invest In

If you want to invest in gold, you have many more options than with paper. You can invest in gold coins, gold bullion or gold stocks. Deciding which type of gold investment to pursue will take some research on your part. There are benefits and disadvantages to each of them and it really depends on what type of investor you when you make the choice.

Add Gold to Your IRA

Have you looked at your 401K and almost choked because of its decline? You could always invest in a gold backed IRA. People with gold backed IRAs have seen either steady worth or increases in the past few years. That sounds much better than what you’ve been seeing with your IRA investment, right?

Portable Investment

Gold is accepted all over the world. You can take your gold and sell it to just about anyone 24 hours a day. You can also buy gold whenever you’d like. With the ability to purchase gold online, you can simply jump on the Internet, choose the amount of the investment you want to make and then purchase it.

Just know, that if you do intend to purchase gold online, always research the institution you are buying it from. The Internet is filled with scammers and with this type of investment you want to choose a company that you can trust.

Making the Decision to Invest In Gold

If you’re new to the gold investment world, it’s common to feel apprehensive about it. It’s not something everyone does, but it is something that many wise investors do.

If you aren’t sure about it and just want to dip your toes in the gold waters, you can always purchase gold coins. These gold coins are normally worth less than investing in other forms and you can then see how your investment does because you decide to invest further.

The other benefit to gold coins is that they are very easy to pass down to other generations. So, if you decide to, you can hand them over to your grandchildren so they can learn the amazing benefits of gold investment for themselves.

So, do you invest in gold? If so, how? Please share.

Guest Post Author Bio: This guest blog was written by Marcelina Hardy, a personal finance blogger spreading the knowledge of gold investing.


Comments

5 Reasons Why You Should Invest in Gold — 29 Comments

  1. As you can see by the graph, the time to invest in gold was in January of 2000. Gold rises in value as the economy declines. We are at a low point in the economy and once it bounce back, the demand for gold will diminish and subsequently the value. My 2 cents 🙂

      • That’s true if we do have another big dip. I don’t like that there is such a premium you pay over the spot price if you buy coins. And I’m leary of buying the other types of gold. Maybe someday. I do fantasize that someday I’d like to put a gold coin in each of my kid’s & grandkid’s Christmas stockings and watch their reaction! Now if only I had a crystal ball, I’d know exactly when to buy!

  2. Interesting article, however I’m in Warren Buffet’s camp when it come to gold. It doesn’t produce or do anything. I think investing in food production is a better way to go right now.

  3. To anyone reading this post: I HIGHLY recommend googling “FOFOA” and reading his stuff. This site offers a unique and very insightful perspective into gold that I have not read anywhere else.

  4. My grandmother always said to invest on gold: its value only increases in time so you can’t go wrong with this kind of investment.
    Sure you have to make sure to also place your money in medium and high risks funds, but for safekeeping gold is king.

  5. I write to share my two cent worth opinion that we should include gold as one of our financial hedging tools against inflation.

    with increasing pressure on high inflation throughout the world, there is much opportunity of reaping profit is much higher than loss in the mid and long term.

    Thanks and wishing you all the best,

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