Is Gold Investing Worthwhile?

It is quite unlikely that the value of gold with be weakening any time soon. Many investors who like the idea of hard assets appreciate the fact that gold can protect against currency debasement and inflation. With the incredibly high prices of oil today, many investors turn to investing in gold, which is separate from the US dollar in terms of being worth something. Of course, if the US dollar gains strength once again, this could cause a decline in the price of gold. With all these round-about looks at investing in gold, is it really worthwhile?

Before you decide that any kind of investment is right for you, it would be wise to speak with a qualified financial advisor to hear their words of expertise. Be sure to ask your financial advisor what your return on an investment in gold would be like and what the time frame for investing in gold in looks like to get the biggest return possible. Your financial advisor will tell you that there is more than one way of investing in gold. While most people think of investing in physical gold bullion, jewelry, bricks, or coins, there are two other popular ways to make money with this kind of investment, which are in exchange traded funds (ETF) or exchange traded notes (ETNs).

The amount you can get from your gold investment will depend on several things. These include the rise and fall of the US dollar, the stock market, consumer spending, supply and demand of gold, currency-related misfortune, interest rates, international issues, and the increase or decrease in value of other commodities. This means that your return from investing in gold relies on many different aspects of the world market that you should be aware of.

The average person looking to put a little of their money into a hard asset can go to any gold dealer or bank and purchase physical gold there. It does not tarnish, and there are no quality grades to take into account like other commodities and investments. In this way, gold is straight-forward and fairly easy to understand the price of. When investing in gold bullion, you can choose to turn around and sell it any time you would like, which is not true of other hard assets like real estate and gemstones. In this way, because of the stability and liquidity of gold, many investors see it as a worthwhile opportunity.


Does It Still Pay to Invest in Gold? – Investopedia