Should You Invest in the Gold Market?


Silver and gold. Silver and gold. Are you interested in making the singing snowman’s song a reality in your life?

From the earliest of times when indentured servants would mind for precious metals for the kings and queens of the land, owning gold and silver has always been a goal of many investors. These precious commodities have always been valued, treasured, collected and saved.

In times of great economic swings, many investors realize that investing in a limited quantity resource like gold is a wise choice. If you decide to invest in gold, you need to realize that gold bars can be classified into one of two categories: minted bars and cast bars. Gold cast bars have the lowest fabrication cost so many investors looking to purchase with the lowest premiums make this choice. Minted bars, on the other hand, are cut from rolled gold. They also have a better finish and appearance, and can be stamped with various designs on a minting press. Minted bars can also be more expensive, but some investors think they are worth it.

Gold bullion coins are often the favorites of many small investors. These coins are issued and guaranteed by governments, and are available in a variety of sizes. This form of gold is difficult to counterfeit because of their thin size, and because they are issued with distinctive and very detailed designs. These details also add another incentive to collectors.

While land ownership and stock market purchases can fluctuate wildly, investments in precious metals tend to be less volatile. The precious metal market is less volatile because it is tied to a tangible and limited resource. While 70% of the current gold in circulation has been found and extracted since 1910, gold mining is still going on today. Did you know, for instance, that U.S. mines produced slightly more than 200 tons of gold in the year 2014? Discovering and mining new gold adds to the amount available for purchase and therefore produces new tangible product for people to buy.

If stocks and bonds make you nervous in times of economic uncertainty, investing in a commodity that you can hold in your hand might increase your financial security. The fact that you can keep a precious metal in your home is also important to some investors.

How long will you wait until you make the decision to invest in the precious metal market?

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