Should you buy gold?
Smart investors realise the importance of gold when it comes to having a well-balanced portfolio. Gold is a globally recognised haven for investors against turbulent economic times. Throughout history, gold has consistently proven to be the ultimate financial asset. High and steadily rising gold prices paired with record high demand has made gold one of the safest and most lucrative investments on the market.
Why buy gold?
We are currently living in a time of both economic uncertainty and instability. With confidence in the economy and the global banking system declining at record rates, investing in gold is an excellent safeguard to have on hand, a form of economic insurance if you will.
When to buy gold?
One of the first questions people have when considering embarking on gold investing is will the price of gold continue to rise? Sadly, there is no definitive answer to this question. However, the price of gold has increased by 200% in the past five years alone.
Most experienced investors watch for things like negative economic or political unrest, especially in the US, China and Eurozone economies. Other investors simply opt to buy gold on a continuous basis to create a virtual stockpile of financial insurance to have on hand.
It's also a good idea to constantly keep a close eye on the gold price. The price of gold constantly fluctuates; keeping a close eye on posted gold prices will give you the opportunity to strike while the iron's hot.
Where to buy gold
Luckily gold is very easy to come by. Most areas across the UK have several local dealers to choose from, all of whom are competing with one another for your business, so it’s imperative to research and shop around before you buy. Gold coins are also widely available online from various well-known dealers such as coininvestdirect.com and Thegoldbullion.co.uk.
Where to store purchased gold
There are no legal standards in the UK on how and where to store gold. That being said the physical possession and control of your gold is of great importance, but is ultimately up to your own discretion. Fortunately there are many options available as to where you can safely store your gold. One of the more popular options is allocated storage. Allocated storage is considered by many investors to be the safest storage options for gold and valuables. Places such as Brinks offer insured vaulting for that extra piece of mind.
Safety deposit boxes are another safe and popular choice. Using a safety deposit box located in the security of a bank can be a very safe option.
The downside to safe deposit boxes is that in the event of a robbery where your box has been compromised you are NOT insured. This is because you do not declare the contents of your safety deposit box, which in turn makes the contents uninsurable.
If you prefer to keep your gold close at hand then there is always the option of storing it at home, either in a safe or hidden somewhere else. If you really want to get creative you could keep the gold in the safe and then hide the safe as well. Best of luck in your gold investing endeavours!