Saturday, 2 July 2011

Gold investment – different methods

Gold is a precious metal and one can invest in gold in different ways. Gold is used for making ornaments and also kept gold in the form of gold coins, gold bars etc. Developed and Developing countries keep gold as a reserve against their paper currencies which make the currency valuable. There are many ways to invest in gold. Let us examine some important methods.

Gold Coins and Gold Bars

This is the common form of gold for investment purpose. The benefit in investing these form of gold is that when we resale we will get the full market value, if the gold is pure without deducting any making charges or scrap. When buy gold in the form of gold coins and gold bars buy only form reliable sources.

Invest in Gold Ornaments

Gold ornaments are attractive and it believes that the gold ornaments enhance the beauty of the person who wears it.  But for investment purpose gold ornaments are not advisable. Because when the gold ornaments are made copper or silver should be added with it for convenience and these additions reduce the purity and the value of gold.

Exchange Traded Funds (Gold)

Now we can invest in demat form of gold through gold exchange traded funds and it is convenient for the investor. He should not store the real gold and can buy or sell with a few mouse clicks or over phone.

Online trading of Gold

Most of the stock broking or forex trading platforms allow you to buy and sell gold through their online trading platform as a commodity. You can join such trading platform to trade gold and other commodities.

Shares of Gold mines

You can invest in shares of gold mines and can become a co owner of the gold mine and can make profit out of gold in an indirect way.

The above mentioned methods are some common form of investment in gold and one can invest in gold through any of these methods or any other convenient methods. But we strongly suggest that you should keep at least 10% of your investment in any form of gold which will act a cushion to protect your investment from utter loss or market volatility.

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  1. [...] Investment & Money Matters presenting its 15thedition of the Investment News letter. While global share markets fall continuously the price of gold is skyrocketing. Some investors turn to gold. The experts say that the gold price will go upwards till the end of this year. In this scenario we wish to include more articles about gold this week. With the help of these articles you can get an awareness  about how you can you invest in gold and how can you get profit out of gold. Gold investment – different methods  A part of your investment must be in gold to avoid market loss. Here you can see various convenient investment methods in gold and you may choose any of such methods.Continue reading ? [...]