Why Invest in Gold?
Until recently, gold wasn't a great investment.Now with a weakening dollar and a combination of other factors golds prices have been going higher and higher. The best news is it's not too late to join the gold rush. It's also easier than ever to invest in gold now.
Gold is renowned as a hedge against inflation. The most consistent factor determining the price of gold has been inflation - as inflation goes up, the price of gold goes up along with it.
India is the largest gold-consuming nation in the world. China, on the other hand, has the fastest-growing economy in modern history. Both India and China are in the process of liberalizing laws relating to the import and sale of gold in ways that will facilitate gold purchases on a mammoth scale.
Investing in Gold
1 comment:
On the short term, I agree, equities generally outperform gold, but on the long term gold outperforms a lot of stock market averages.
You may be suprised to hear that
"gold has outperformed the benchmark S&P 500 and Dow Jones since 1971. This is a truly long term time frame of 37 years which is the lifetime of your average investor."
Via Gold Investments Market Update.
Also, a good way to invest in gold is through the Perth Mint Certificate Programme, since it is stored in unallocated storage there is no storage costs, which make it ideal for this long term holding.
"Our favourite holding period is forever."
Warren Buffett
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