gold

Let’s face it, we all love gold. If we get a chance to hold one bar of the gold this is a dream come true. For the longest time the precious metal gold value has been held highly. This is why it has a very successful market where one can sell or buy gold.

Here are some of the reasons why you should invest in gold:

The gold price is not affected by the dollar which is an important currency in the world. If the dollar value goes down the gold price hike up. This is because people tend to shift to gold security. This was the scenario in the year 1998 to 2008 where the dollar had fallen and at this time the gold price had tripled. So basically you make much money.

Gold is known for its price inflation. It has a higher chance of price increasing than reducing. In fact the only time the gold deflated was in 1930. Compared to the currencies that have collapsed several times for the gold it is very rare.

When it comes to investment we risk the future. We buy commodities hoping the next day or year the prices will be higher hence getting profit. When it comes to the gold investment, one can invest without worry this is because there is an increasing demand for the gold. Gold has many uses including making jewels. Did you know in October, India usually has a high demand for gold? This is because this time of the year is usually the wedding season, Indians love jewelry. Lately gold trusts are opening up and they are rising in this industry.

Compared to many assets in the market, gold steadily increases in price. Being the best asset you can attain. This has been seen in many generations. It is independent to other asset meaning you can sell it as a liquid asset if you are incurring losses from other assets.

This is one of the asset that not many can have. In fact many investors who have invested in gold has only 1% of the total asset as gold. This is because the supply is limited. The gold mining industry has declined in the production of gold. Most of the gold being supplied in the market comes from bullion vault. We all know if the supply is limited the price hikes up. Hence the asset becomes even more valuable.

Diversity is also something we cannot ignore. It is more than ever accessible to the society this is because there are many products that are made of the gold. The different range attract investors. With many investors within the gold market there is risk tolerance.

In investing it is good to diversify in the commodities you investing in. Gold can be a good start this is because it does not correlates to other assets. Hence if one of the asset is experiencing a drop in price. You as the investor is not majorly affected because you have invested in the gold stock.