Invest in gold for beginners

Invest in gold for beginners

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Gold has a good reputation as an asset for preserving wealth throughout history. Investment in gold remains an appropriate tool for those who have a great fortune and want to preserve it against the actions of central banks and the impact of inflation. In spite of the fluctuations in prices, it remains a long-term value, so financial advisors often recommend making it part of the investment archives. But what are the types and ways of investing in gold.

Ways to invest in gold

How did money invest gold? What are the methods of investing in gold for beginners? Whether for investment or savings, depends on how much money you want to invest, your investment objectives, and the amount of risk you can afford.

Here are six ways in which any individual can invest in gold

Figure 1

The most traditional and direct form is the gold bullion and its value varies according to its weight. It is suitable for the smallest investors, and although it is more difficult to keep bullion with its weight and quantity, it is one of the most valuable types.

Figure 2

EFTS traded funds are a more flexible option, which is an investment fund on the global stock exchanges that includes a variety of sector-specific indices.

Figure 3

The gold coins are reflected in their valuation, in addition to their weight and gold quality, their technical value, their scarcity or their uniqueness, and are often sold at a price higher than the price of the gold market. They are also very suitable for collectors of art pieces.

Figure 4

Is a gold swap, a contract often used as a central bank to provide liquidity from its gold reserves.

Figure 5

It is one of the most effective and economical ways to buy gold in an intangible way as gold coins are calculated on the basis of silver or ligram and there is often a fixed ratio between the gold gallery and the material gold it represents.

Figure 6

It is gold certificates of deposit, certificates issued as an alternative to the actual gold, which allows the investor to buy or sell gold at its specified price per day without the need to buy or store gold and issued in multiple categories, and are recoverable value of cash or gold.

Some may choose to store gold in the form of jewelry and jewelry, but it is not the best way to invest in gold for several reasons, including that the price of the gold piece depends on the design and implementation and other stones added, so there is no direct and accurate relationship between the price of gold ounce in international markets and the price Articles made of gold

Gold prices could go through financial bubbles as the purchasing power of the dollar fluctuates. It is possible to speculate on the price of gold, such as stock speculation, without risk investment in gold and loss of part of the capital.