Gold Investments

Gold is used as an investment in order to reduce the overall risk on an investment portfolio. The precious metal has in the past—and continues to do so—provided investors with safety against currency devaluation; it acts as one of the best hedges against inflation and provides safety in times of uncertainty. Gold is not only used by investors to diversify their risks; central banks around the world also use the yellow metal to reduce the volatility in their foreign exchange reserves.

There are many different kinds of gold investments investors can use to protect their portfolios. They may consider buying gold bullion—in the form of bars and coins (with this, they will have to keep storage costs in mind). Investors may choose to buy gold certificates, futures contracts, or exchange-traded products (with this, they will have to keep the expiry date and other specifications in mind). They can also buy gold mining stocks to diversify their risk in their portfolio. By buying mining shares, investors have to become very knowledgeable about where the mining is being done and how much does it cost to extract one ounce of gold from the ground.

Since early 2013, gold investments haven’t performed well. This is mainly due to the lower precious metal prices. However, the fundamentals suggest that gold prices will head higher. As a result, gold-related investments will see a rise as well.

How to Invest in Gold: 3 Key Ways to Invest in Gold

By Wednesday, March 25, 2015

Gold investment
With many of our experts here at Profit Confidential … Read Moretouting gold as a wise investment at this time, readers are wondering exactly how to invest in gold. To offer some general information on this topic, here are three key ways you can invest in gold.
Buying Gold Based on Portfolio Diversification
Before deciding how to invest in gold, you may first want to consider how much of your portfolio should be devoted to this precious metal.

Is the Gold Trade Over? Not According to These Metrics

By Thursday, February 5, 2015

Gold TradeAsk anybody about why gold was in a bull market between 2002 and 2012, and they will most likely tell you that it was due to declining interest rates. Now, if you ask anybody if gold is even worth looking at as an investment, you’ll likely be told that it’s useless and does no good for an investor’s portfolio. The rationale given for this argument generally includes the sentiment that interest rates are going higher…. Read More

Basic Supply and Demand Factors Will Drive Gold Prices Higher

By Tuesday, December 2, 2014

Basic Supply and Demand Factors Will Drive Gold PricesRegarding gold, there’s a daunting question going around these days: is the yellow metal worth buying? If you listen to the mainstream, you will hear them say it’s the worst investment possible for your portfolio. According to them, instead of protecting your wealth, this precious metal is doing the opposite. Some are going even further, saying the “gold trade is dead” or “the metal’s going down to $800.00.” They all have their convictions, but as the number of bears increases, I am turning more bullish towards it…. Read More

Gold Market Setting Up to Reward Investors

By Wednesday, November 19, 2014

Gold Market Setting Up to Reward InvestorsI’ve been singing the same song to my readers all year: look at dips in the price of gold bullion as an opportunity to buy more of the metal.
When gold fell below $1,150-an-ounce in early November and so many analysts came out with the prediction of $1,100 or $1,000-an-ounce gold, I was writing about what a bargain gold stocks had become. (See “Prices of Gold /Silver Companies to Double from Here.”)
Pay close attention to the circled area in the gold spot price chart below…. Read More

Stock Market Correction’s Here—Put Dividend Paying Stocks on Your Radar Screen

By Wednesday, May 9, 2012

earnings seasonThis is the correction we’ve been expecting and it’s affecting stocks as well as commodities. The stock market has been due for a correction after a solid first-quarter earnings season and, because share prices moved so strongly since the beginning of the year. It doesn’t really matter what the catalyst is for the correction; it is well-deserved and a healthy development in my view…. Read More

×