There are many benefits that come with purchasing gold coins, especially in this time and economy. Experts seem to agree as well:
In today's volatile financial climate, the value of gold, as compared to other international currencies is bound to soar, said the gold investment advisor for Lear Financial, Kevin DeMeritt.
If if you haven't already invested in the shiny metal, here are some reasons why you should consider doing so:
Benefits of Purchasing Gold
The current situation of the financial world is unstable. This means that currencies can go through drastic changes due to trade issues without any warning whatsoever. During such unsure economic times, gold coins retain their value.
Global trade imbalances as well as volatile oil rates make the market unstable and unpredictable. Despite these uncertain situations, the value of gold remains stable.
In fact, it has reached its highest level during the pandemic, which doesn't really come as a surprise to investors since we know that gold is considered a safe haven during a recession, which is just around the corner.
Other than its obvious stability, a few other benefits of purchasing gold coins include:
Falling Value of Dollar As Opposed to Gold
Most of the gold in the world is bought and sold in USD. Thus, the declining value of the dollar actually increases the value of gold.
The Dollar isn't fully gold-backed. Every day, more and more paper currency is being printed without enough gold backup. The purchasing power of the Dollar is constantly declining and in such times, the only reliable and stable option left is gold.
The USD might suffer even more especially now that China and Russia have decided to stop using the USD for international trade.
Surging Demands for Gold
As mentioned above, the value of paper currency is quickly declining. In addition to this, more and more people are realizing the true value of gold and are rushing to accumulate their own gold.
Many countries including China had previously imposed bans on the purchase of gold. However, with the ban now lifted, it is expected that there will be a surge in the demand for gold.
Considering this, now is the perfect time to accumulate gold as its value is bound to increase with more demand over the coming years.
A great thing about purchasing gold is how easy it is to store and transport. You can buy gold in the form of bars, coins, and futures.
Gold As A Preserver of Wealth
Like any commodity, gold is prone to a few ups and downs in its value. However, it remains more stable than other options.
Safe Investing Option
A good way to protect your investment is to invest in gold. It might not double overnight like some stocks but it can save you against losses since it isn?t as volatile and unpredictable as other markets.
Other than the benefits mentioned above, collecting gold coins is also a favorite pastime of numerous collectors. There are always new gold coins to add to your collection.