Buying and investing in physical gold requires you to make more than a few decision. The answers to these questions depend upon your financial and personal goals and reasons for buying gold. What kind of gold should you buy? Where can you buy physical gold and get the best price? How can you safely have gold delivered to your home and keep it safe?
Investing in gold or buying some gold has many benefits. Other than the financial benefit of being a good investment in a tangible asset that you can hold in your hand, buying gold is a good way to circumvent inflation. One of the most overlooked reasons why you might want to buy gold is simply for the experience. Owning gold and holding it in your hands is an experience that most of us have on our bucket list. This shiny gold metal will make you smile and many of us experience a feeling of wealth and security thanks to owning just a small amount of this precious metal.
The type or form of gold that you will buy will depend upon a few factors. You should think about the future and what you might possibly do with your gold. Will you hold onto it and cash out when the economy gets better or are you hoping to use it as an investment that you will draw from over time? Your options are to buy either coins, of where there are many different types, or bullion or ingots. All different types of gold and ingot or bars of gold are readily available to you but you will wind up paying more for gold coins than you will for ingots, typically. The minting process and the collectible value often dictates a higher price than gold bars. You might consider a combination of both coins and bars to diversify your portfolio of precious metals as well as look into different metals to capitalize on the price fluctuations and growth potential of each kind of metal. Owning various weights or values of coins or bars is also recommended. This allows you some flexibility in the future if you decide to sell some of your gold.
An easy way to look at this would be to imagine that your investment is a ten dollar bills. While having ten dollars is great, imagine that if you wanted to buy something you would need exact change or else pay someone to break that ten dollars into change. As a forward thinking investor you might ask for a five dollar bill, a two dollar bill, two singles, two quarters, three dimes, three nickels and twenty pennies or some combination such as this. Your initial investment might be a little more expensive because you're buying several different assets but in the long run, if you are planning on selling some of your gold it will be easier. On the other hand, if you have no plans of selling until the time is right and then liquidating your entire stock of gold then buying larger bars will be more economical.
You can buy physical gold in many different places in the country. You can talk to someone at your local bank or a local store that sells gold but if you are a serious investor you will want to talk to a gold investment company. They will often be able to give you the most competitive price as well as help you to make the right decisions based upon your investment needs and strategy. Many of these gold investment companies will only sell gold to you if you meet their minimum threshold for a sale. This might seem unfair but they offer competitive prices only because their profit margin is smaller so they have to make it up by selling higher quantities. Try not to get upset. It's nothing personal and they will be happy to do business with you at a later date.
If you have a smaller investment that you want to put into gold then you can look for a local store that sells gold. The price that you're going to pay might be higher per ounce but it's a good way to begin investing in gold. Alternately, you can search auction sites for certified gold. Be careful and do your homework, though. Investing in gold can be thrilling but avoid the temptation to buy something that looks too good to be true when dealing with faceless names or companies that are unknown.
Storing your gold once you've purchased it leaves you with a few options. Depending upon how much gold you buy, you can choose to store your gold in your house, in a safe-deposit box at your local bank or with the gold company that you purchased your gold from. If you are buying gold and other precious metals in the form of an IRA, the gold is held by the gold company and you are charged a low yearly fee for this service. Look for a company that charges a low flat fee and you will save a lot of money over the lifetime of your retirement account. There are companies out there that offer this service so be wise and look for this option.
If you choose to store your gold in your home, you may want to consider adding it to your insurance policy. If you store it in a safe-deposit box at your bank, there is no need for insurance. The same holds true for storing your gold in an IRA. A few small gold pieces kept on hand for the pleasure of a visual motivation might not make you worry but if you continue to accumulate gold pieces, you should think of investing in a safe-deposit box or a small home safe.
Investing in gold might sound a little complicated at first but learning about investing in gold and precious metals is interesting. You might find that as your knowledge grows you wish to learn more about the precious metals market. Owning such metals is a unique experience and one that every investor should experience. Whether you're hoping to make a profit from investing in gold or you simply wish to hold an investment that you can feel with your hands and see with your eyes, gold is the perfect investment vehicle. Experience what it's like to own gold and you will never look at investing the same again.
Investing in gold or buying some gold has many benefits. Other than the financial benefit of being a good investment in a tangible asset that you can hold in your hand, buying gold is a good way to circumvent inflation. One of the most overlooked reasons why you might want to buy gold is simply for the experience. Owning gold and holding it in your hands is an experience that most of us have on our bucket list. This shiny gold metal will make you smile and many of us experience a feeling of wealth and security thanks to owning just a small amount of this precious metal.
The type or form of gold that you will buy will depend upon a few factors. You should think about the future and what you might possibly do with your gold. Will you hold onto it and cash out when the economy gets better or are you hoping to use it as an investment that you will draw from over time? Your options are to buy either coins, of where there are many different types, or bullion or ingots. All different types of gold and ingot or bars of gold are readily available to you but you will wind up paying more for gold coins than you will for ingots, typically. The minting process and the collectible value often dictates a higher price than gold bars. You might consider a combination of both coins and bars to diversify your portfolio of precious metals as well as look into different metals to capitalize on the price fluctuations and growth potential of each kind of metal. Owning various weights or values of coins or bars is also recommended. This allows you some flexibility in the future if you decide to sell some of your gold.
An easy way to look at this would be to imagine that your investment is a ten dollar bills. While having ten dollars is great, imagine that if you wanted to buy something you would need exact change or else pay someone to break that ten dollars into change. As a forward thinking investor you might ask for a five dollar bill, a two dollar bill, two singles, two quarters, three dimes, three nickels and twenty pennies or some combination such as this. Your initial investment might be a little more expensive because you're buying several different assets but in the long run, if you are planning on selling some of your gold it will be easier. On the other hand, if you have no plans of selling until the time is right and then liquidating your entire stock of gold then buying larger bars will be more economical.
You can buy physical gold in many different places in the country. You can talk to someone at your local bank or a local store that sells gold but if you are a serious investor you will want to talk to a gold investment company. They will often be able to give you the most competitive price as well as help you to make the right decisions based upon your investment needs and strategy. Many of these gold investment companies will only sell gold to you if you meet their minimum threshold for a sale. This might seem unfair but they offer competitive prices only because their profit margin is smaller so they have to make it up by selling higher quantities. Try not to get upset. It's nothing personal and they will be happy to do business with you at a later date.
If you have a smaller investment that you want to put into gold then you can look for a local store that sells gold. The price that you're going to pay might be higher per ounce but it's a good way to begin investing in gold. Alternately, you can search auction sites for certified gold. Be careful and do your homework, though. Investing in gold can be thrilling but avoid the temptation to buy something that looks too good to be true when dealing with faceless names or companies that are unknown.
Storing your gold once you've purchased it leaves you with a few options. Depending upon how much gold you buy, you can choose to store your gold in your house, in a safe-deposit box at your local bank or with the gold company that you purchased your gold from. If you are buying gold and other precious metals in the form of an IRA, the gold is held by the gold company and you are charged a low yearly fee for this service. Look for a company that charges a low flat fee and you will save a lot of money over the lifetime of your retirement account. There are companies out there that offer this service so be wise and look for this option.
If you choose to store your gold in your home, you may want to consider adding it to your insurance policy. If you store it in a safe-deposit box at your bank, there is no need for insurance. The same holds true for storing your gold in an IRA. A few small gold pieces kept on hand for the pleasure of a visual motivation might not make you worry but if you continue to accumulate gold pieces, you should think of investing in a safe-deposit box or a small home safe.
Investing in gold might sound a little complicated at first but learning about investing in gold and precious metals is interesting. You might find that as your knowledge grows you wish to learn more about the precious metals market. Owning such metals is a unique experience and one that every investor should experience. Whether you're hoping to make a profit from investing in gold or you simply wish to hold an investment that you can feel with your hands and see with your eyes, gold is the perfect investment vehicle. Experience what it's like to own gold and you will never look at investing the same again.
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