As the U.S. Dollar and other world currencies are falling, the value of gold and related gold investments continue to rise. The protracted deterioration of today’s global economy is being accelerated by governments in Asia, Europe, and the United States printing currency with reckless abandon. This unrestrained printing of currency combined with artificially low interest rates and their financial mismanagement has resulted in economies teetering on the brink of collapse. Meanwhile, tangible assets such gold and precious metals are becoming the only genuine refuge to protect personal portfolios from economic catastrophe.
Gold and the Recession
In truth, the value of gold doesn’t actually rise or fall to any great degree; it is the value of the currency used to buy it that is so volatile. As mentioned previously, it is the unabated printing of money that is a major contributing factor to the significant fall in the value of the world’s major trading currencies (USD, GBP, and the Euro), and the concurrent rise in gold prices we have seen in recent years.
Watch this video to understand the situation better…
Sadly, irresponsible money managers in government do not appear to be going anywhere but in the same direction they have been going for the last 100 years. Their mantra has been, and will continue to be: Spend more, print more, deficits be damned. The silver lining is there are safe havens to flee to protect you assets from total decimation.
Types of Gold Investments
There a wide variety of ways to invest in gold, chief being physical gold in the form of ingots and bullion, beyond that there are numismatics (collectible coins). In addition to physical gold, the markets also offer gold and gold-related equities such as mining companies, which may be included with an ETF or Mutual Fund. Although, in times of economic strife there is nothing better to own than physical gold.
When To Buy Gold
The obvious answer to the question, “when to buy gold?” is two-fold, first — when the price is low or undervalued, and the other side of that coin is when it’s on the upswing pricewise. However, for the novice investor, determining and undervalued commodity, such as gold and precious metals, isn’t always an easy task. It is for this reason it would be a good idea to consult with a professional commodities trader for up-to-the-minute market intelligence. The latter, when the price is on an upswing, can be difficult to time — one day or week you may see the price increase by eight or 10%, and you see no reason is should continue in that direction so you acquire a few ounces. But during the next few days’ market conditions cause the price to drop, don’t be scared it will recover and likely surpass the previous high. These are buying opportunities. Once again, a professional trader can help you navigate these uncharted waters.
When to Sell Gold
Much like buying gold, selling gold at the right time can be a minefield. Again, an experienced professional can help you navigate this minefield; proper professional guidance and market research will save you a lot of time and even more money. You may be inclined to sell after gold experiences a significant price drop, but that is not among the indicators you should be considering.
Among the best reasons to sell gold are issued by the Federal Reserve and other central bankers around the world; when these bankers begin to print money haphazardly to payoff government debt as is being done by the EU on behalf of the Greeks it devalues the underlying currency. Therefore, more of that currency is required to acquire the same amount of gold. So in order to maintain the buying power of your portfolio you need to have a good portion of it weighted in precious metals such as gold to maintain its value.
How to Invest in Gold Online
Bullion Vault is the #1 choice for investors worldwide
Today there are a variety of ways to purchase gold; you can turn on the TV or radio at any given time and you will most likely hear a commercial promoting one precious metals broker or another. However, these firms aren’t always the best choice since they will raise their prices to cover their extremely high marketing and staffing fees. One gold dealer you can depend upon to provide quality gold bullion at an affordable price is BullionVault.com; their prices are among the lowest in the industry. When you purchase your gold online through Bullion Vault, they will automatically store it for you in one of their secure vaults (You can choose between London, New York or Zurich). Bullion Vault has been one of the best choices for investors in over two decades. They provide an online gold investment platform on which you can buy/sell gold in 3 different currencies: USD, EUR and GBP. Check them out today!
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