Gold for Your Long-Term Investment

In addition to bank deposits, stocks, and bonds, gold is also a good choice in investing your money. History has proven over the years that gold has a value which tends to be stable and reliable. It’s an investment product that doesn’t suffer the effect of inflation in the long run. But, the return from investing in gold is often considered less exciting than other type of investment. Therefore, gold should be viewed as a type of long-term investment. We have many more Gold Bullion Investing Help Articles Now Available.

Therefore, gold investment is a very suitable way in preparing fund for your children’s education. This is because the money you save in form of gold will not decrease in value, not like saving money in bank that can decrease in value due to inflation. Allocate some of your income to buy gold. When you need to pay your children’s college tuition, you can sell the gold that you have been saving.

Gold is a commodity traded around the world, therefore the price of gold in a country referring to world prices. There are two causes that can affect the price of gold, which is high inflation rate due to a state of uncertainty and the availability of an uninterrupted supply of these commodities.

There are many different forms ranging from gold jewelry, coins, and bullion. Of all the forms, the highest value of investment is called bullion or gold bars. Usually, it has level of purity of 24 carat and high price. Gold coins have equal per gram value to gold bars, but the numbers are limited, therefore is harder to find in the market. Gold bullion sold in bars weighted 20 grams, 25 grams, 50 grams or 1 kilogram, while gold coins in the size of 1 gram, 2 grams, 2.5 grams, 5 grams, and 10 grams

Make sure you buy certified precious metal from authorized seller. The accompanying paper has a serial number. Match the serial number that is printed on the paper with the serial number printed on the physical gold bullion.

For safety precaution, it would be better to store your gold in safe deposit box in the bank, especially if you keep a significant amount of gold. However, this will not fully guarantee its safety. When disaster struck, such as earthquake, typhoon, or tsunami, you might not be able to collect your gold from the bank, or even lost it. It has become one of the drawbacks in investment in gold.

Form of jewelry is less inclined to invest in it because there is the cost of manufacture. When sold, these fees are no longer taken into account so that your sale value could be lower.

It can be concluded that gold investment is a low-risk long term investment. Obviously, this is very good for those who have both conservative and moderate risk profile. Although, it still has drawbacks such as the need for secure storage in form of safe deposit box and risk of losing when disaster struck. We have many more Long Term Investing Help and Bullion Investing HelpArticles Now Available.