Investing money in precious metals attracts newcomers and experienced investors. Historically, gold has enjoyed great confidence among the population. Why is this so? How to invest in gold? The main methods of buying and selling precious metal are in this article.
Let's take a look at history
From ancient times to the present day, gold is one of the most reliable means of preserving wealth. Over many thousands of years, new peoples and governments arose, and then - went down in history. New currencies appeared and disappeared, helped by wars, inflation and other factors. However, gold remained unchanged. As then, millennia ago, and now, it occupies a special, honorable place. No one questions its status and value.
Today, gold is an ultra-reliable, highly sought-after asset. Investing in it is easy enough, and it can be done in different ways. Below, consider the main ways to invest in the popular precious metal.
How to invest in gold
People can invest in gold, preferring coins, bars, as well as through an impersonal metal account (CHI). Some people add another option, which is to buy jewellery. But, I must say, such a decision is very controversial, since after wearing the products lose value. If you do not wear them, then the meaning of the purchase is lost at all, and it is better to consider other ways to invest money in gold.
The easiest way to purchase precious metal is to buy ingots. To do this, just come to the bank, provide a passport and choose the desired amount of precious metal. In this case, the buyer must be ready to pay a mark-up to the financial institution, and then - annually pay for the storage of metal in the bank storage.
Another way is to purchase commemorative or investment coins. Banknotes are sold in specialist stores or banks. The buying process is not complicated. However, there are several nuances.
Firstly, coins must be stored somewhere without compromising the integrity of the package. Secondly, finding a buyer on them can be somewhat more difficult than on an ingot. That is why this method of investment is often chosen by those who are not indifferent to money signs.
Those who get a real pleasure from collecting them join them, and at the same time invest free money with the expectation of making further profit. If the circumstances are successful, the owner of the coin will be able to break the double jackpot - to make a profit by increasing the cost of gold, as well as thanks to the demand from collectors.
The simplest solution for an investor who wants to purchase gold is to open an impersonal metal account (MHI). Its essence is that the client will have a set amount of precious metal on his account. We add that not only gold is available, but also, for example, platinum, etc.
According to the type, compulsory medical insurance is divided into urgent and so-called "on demand." Profit from it adds up as a percentage on the balance, plus the difference between acquisition and sale.
The compulsory medical insurance system is attractive to investors. One of its characteristic features is that the value of gold is represented in US dollars. In addition, the account holder does not need to think about how to store gold. The responsibility for the safety of the metal lies with the financial institution.
We add that one gram of metal is enough to open an account. However, there is a minus - the lack of compulsory medical insurance insurance by the deposit insurance agency. If something happens to the bank, you will not return the money. It is impossible to obtain physical gold at account closing. Only the cash equivalent is paid.
There are many ways to buy and sell gold. Among them, each investor can choose the most suitable one. The main thing is not to rush to make a decision.