Major Benefits of Investing in Gold

There are many benefits of investing in gold these days. Regardless of the form of gold investment you will choose, the advantages are similar. The major benefits are as follows:

The benefit of stability

Unlike other forms of investments including monetary currency, gold had proven to be more stable against economic problems and inflation rates. During the recession in economy experienced by progressive countries in the past few years, investments in gold as well as other precious metals have remained stable. For example, if the value of currency crashes, the value of gold would remain the same, if not higher.

The effect of inflation on gold in general is either minimal or none at all based on exchange rates. In fact, among all stocks in the market, it is one of those which even increases in value, thus, making it a very stable form of investment.

The benefit of constant demand

The increase in gold’s value can be attributed to the constant demand for it due to its use in many industries and products. These include jewelry, arts, coins, dentistry, medicine, computer, electronics, manufacturing plants, and even for space projects. Gold has always been a valuable metal ever since its discovery. It has not changed until today. In fact, the demand for gold keeps increasing.

One of the benefits of investing in gold in association to constant demand is the increase in value. Gold has been recorded to rise in value since 2001 and has been constantly rising as the decade ended.

The value of gold rises because demand is constant while supply is scarce. Although there are numerous deposits of gold all over the world, associated costs involved in the recovery of gold in such mines are costly. There are even gold deposits that have not been discovered yet. Other expenses include purification and refinery of gold into industry standards as well as storage and transportation to clients.

The benefit of tangibility

Although some forms of gold are beyond physical perception such as gold mutual funds and gold exchange trade funds or ETFs when stored by the sponsoring company, physical gold such as bars, coins, and jewelry are tangible items. Storage can be done personally at the security of one’s own home. Safekeeping can also be accomplished through financial institutions and services which offer security for valuable items such as gold. You can also have your bank keep it safe for you.

The benefit of privacy

This is again applicable only to physical form of gold. Those who own gold bars or bullion as well as coins or jewelry can be able to privately keep such properties from the public eye. When stocks, bonds, and funds require them to be reported to the federal government, tangible gold does not need to do so.

With an economy which is still recovering from losses, investing on properties which are most likely able to return earnings is necessary. Buying gold as an investment proves to be a stable way to earn money now and even in the future. It is enough reason to secure and stabilize your future finances. Its effectiveness in gaining profits from investing had been proven over the past decade.

The need for the item is also continuous regardless of the rarity of the item due to its many important applications. One of the benefits of investing in gold also includes its ability to be able to withstand any type of economic downfall including the ups and downs of inflation rates. Gold will always be a valuable type of investment, better than any type so far. So if you are looking for something to help you secure your future financially, gold is the best investment there is.

Aaron Kutchinsky is a writer, lecturer, and committed financial activist.

In 2010 Aaron created and founded Guardian Gold & Silver as a definitive and groundbreaking alternative to the gold industry norm, a mission-oriented and revolutionary precious metals company with 3 specific goals in mind:
• Do the right thing.
• Lead others to understanding.
• Get as many into the boat as possible.

It is extremely important to understand the current world financial paradigm shift, which is now well underway. Please visit www.guardiangoldandsilver.com for more information and insights.