Gold is and has been a much sought after commodity, because of it’s almost indestructibility, rarity and beauty, plus its status as a vehicle of exchange and known for its universal currency through out the ages.
Many empires and nations have sought to possess gold, as a storehouse of wealth, a means of international trade, to preserve power and increase status. It is also used to insure against economic and political fluctuations in currencies. It’s a stabilising force when markets show geopolitical and macroeconomic risks.
Over the ages of history in the world no other metal has had such a universal appeal
To be successful as an investor you need to diversify and manage your investments. To put it in simple terms, don’t put all your eggs in a single basket. Spread over a variety of portfolios you minimize the risk if one goes down you still have the others to fall back on.
It goes without saying; a healthy portfolio will include a variety of equities, many investors will look to property, stocks and gold to spread their equities in various sectors, which will give you the edge and ensure you don’t go belly up if one fails.
- If you wish to invest you will need to open a bank account.
- Deposit funds into the bank account; keep your investment bank account separate from your normal day to day account. Set aside the amount of money you wish to invest, bearing in mind that you might lose so be sure you can afford to lose it.
- Do research on the subject, the internet is a good source where you can obtain plenty of knowledge about investments, gold, and gold related articles, good knowledge will put you in a position of making informed choices, instead of blundering in the dark not knowing what you are doing.
- Engage the services of a broker to assist you in your choice of investment, look at different brokers some specialize different areas, such a penny stocks, ordinary stocks, gold investment so look at companies like Superior Gold Group, who can advise you and help you in all areas of gold trading.
- Open an account with your broker and give the broker authorisation to be able to withdraw money from your investment account. Set limits to the amount that can be withdrawn.
- Make provision for fees that may be related to gold bullion or stocks purchases.
Bullion coins will allow an investor to own investment grade gold, as legal tender at a small premium to the price of gold on the markets. Bullion bars and coins are determined by the gold price. These bullion coins and bars are not held in residence by the investor but instead they are stored in vaults for safekeeping, thus eliminating the risk of loss by theft or other means.
To give you some idea of how large an investment gold bars can be, judging on prices a bar could weigh 400 troy ounces and will cost approximately $400,000, therefore, would mostly attract large companies to invest.
Apart from increasing your assets, one of the greatest assets is to have good expert knowledge that is obtainable from a brokerage house where expert advice is available and help can be obtained to increase your portfolio.
Source by Bruce Sands
Gold 101 - A Beginner"s Guide the Gold Market
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