Many investors consider gold and silver as good forms of investments due to the opportunities they offer. Unlike currencies which diminish in value when there is an economic crisis, gold and silver are not readily affected by economic instabilities. For instance, gold increases in value when there is inflation.
Gold investing becomes even more profitable because of the scarcity and the continuing demand for gold. Since there is a need to mine gold, its value increases along with the increase in its demand. This results in the rise of the value of gold over time, since it is impossible to create gold while its potential sources diminish.
Another reason why gold is a profitable form of investment is the appreciation of its value over time. If one has to look at a short-term basis, the price of gold can rise and fall. However, this is not the case with a long-term consideration because of the inherent value of gold as time passes by.
Gold can also be easily bought from different dealers who sell gold coins and gold bars. Online transactions with gold are also becoming popular, where a buyer simply has to specify the amount of gold and its form. The ease of transaction provides more opportunities to buy and invest in gold.
- Growth Potential
- Hedge Against Inflation
- Hedge Against Deflation
- Hedge Against Risk
- Tax Benefits
- Total Transparency
- Geopolitical Uncertainty
- Tangible Asset
- Stellar Track Record
- Portfolio Diversification
- Increase Demand
- Supply Constraints
- and much, much more
Silver investing, on the other hand, offers the same potential benefits as gold. Silver provides industrial and investment benefits due to its strategic value. There is also an increasing demand for silver. This is especially so within the chemical, auto, solar and electronics industries, thus resulting in an increase in value as the supply of silver becomes scarce. Aside from industrial demand, silver has an increasing investor demand as well.
Although silver is more volatile than gold, its volatility can work to its advantage. Despite the possibility of losses, it is also open for higher profits specifically with silver exchange traded funds. However, silver, along with other metals, is more independent from economic changes, which helps in decreasing the portfolio volatility of it.
The affordability of silver is another factor which makes investing more possible. Silver coins can be easily collected and stored. There are coin shops which sell coins with silver deposits. Silver also provides 10% to 15% of asset location.
The decreasing merit of the paper market and the flux in the stock market make more investors switch to gold and silver investments. The diversity of opportunities offered by gold and silver further makes them appealing for investors.
When panic and fear dominate financial markets, gold and silver will rapidly rise to the surface – will rise in price. This is a fact. We witnessed this same phenomena during the last financial crisis, and it is already starting to happen again. Many believe gold and silver will be the ‘last man standing’ investment when the next crisis hits, and the country begins to unravel.
More specifically, gold IRA’s are without a doubt, the best place to put your money. Why? Well, here is a ‘short’ list of why Gold IRA’s stellar characteristics. We will first list them and then delve into each one to help you make your decision.