Long before we had pockets full of shopping cards, even before we had the old ‘paper’ money, the most common way to buy things was with gold. The total amount of gold someone possessed was a step up in status in society. A few hundred decades ago, it was rare to own anything more than a small amount of gold jewelry. Since we now use paper money as cash, gold has become an investment tool, and unfortunately, mainly by the rich. But let me give you excellent reasons why you should consider investing in gold right now. Read more on https://theminimillionaire.com/which-gold-ira-companies-are-the-most-noble/.
Fastest Growing
Since any straightforward utility does not back this money, it is easy, but not good, to keep printing more of it. All this debt puts tremendous pressure on the value of a country’s currency. This signifies that investors are worried and are trying to find a haven for their money. As with any service, when demand increases, costs eventually rise. Limited distribution and increased demand equal an increase in the price of gold. Unlike the gold rush era, when gold was discovered in large quantities, there have been no new large gold mines in the last decade.
There are not many people trying to make a fortune from looking for gold. This supply constraint will start to affect the price, especially if spot markets experience some scare. So far, I have looked at reasons to buy gold-related to what is happening in world markets.
Holds Up a Long Investment
I’m sure you’ve heard TV talk show hosts mention the phrase “diversification.” In Australia, almost every household’s assets are heavily tilted towards land and, to a lesser extent, the stock market. Just this week, we noted that the cost of housing in Sydney fell by 6% in the last calendar year. Melbourne hasn’t done much better. And although the stock market is getting closer and closer to all-time highs, the concern is that it is now increasingly difficult for companies to grow and therefore drive up share prices. While real estate and equities are not generating above-average returns, large financial institutions seem to be generating returns elsewhere. This is where gold and other precious metals such as silver become attractive.
Safe Investment
Whenever there is a threat of terrorist attack or trade war, investors talk about moving money into a haven. Because it is a physical asset and has a predetermined value, traders understand that they can put their money in gold in times of uncertainty, such as war or terrorism, and its value is likely to rise. This is how inflation works. Imagine having the opportunity to buy your parents’ house at the price they had it. This is called an ‘inflation signal’ because it is very likely that their purchasing power will remain intact. We may not be going back to the old days of using gold to get services and products. Still, if you feel like a wealthy person and consider these reasons I …
