Have you ever heard about gold investment? If you have been looking into putting your money into something profitable, then for sure you have heard about gold. Ever since the stock market started, gold has also gained a strong reputation. Though it is believed to have a negative correlation to stocks, it does have a positive correlation when it comes to inflation. So if you want to learn more about investing in gold, you have come to the right place.
Short History of Gold Investment
It was back in 550BC when gold coins were first minted and used as currency. But even before that, gold has always been known to be a sign of wealth as well as its relevance to power. Then in the 1800s, gold gained more value in contemporary finance. Nations started adopting the gold standard and developed the price for its value. Even up to this day, gold prices are rising alongside inflation.
Investing in Gold
Investors are able to invest in gold through ETFs or exchange-traded funds. They can also buy from gold miners, or buy physical products. Compared to other investment opportunities, gold is easier to get into and is less volatile than others. Now that you know a little bit more about gold, the question is, should you invest? Let’s go ahead and take a look at its benefits.
- Gold Preserved its Value. Remember that gold is not directly impacted by the depreciation of currencies. In fact, it has retained its value over time. For decades, it has proven its worth. That is why gold became the insurance policy for some investors as they consider this a safe haven.
- Can Preserve Wealth. Gold and its preservation qualities are known to investors. Gold has increased in value over time. So for example, you bought a certain amount of gold two decades ago and you have also kept money of the same value in your safe. The value of that gold today is way higher than that of physical money simply because of inflation.
- A Good Hedging Asset. The gold prices increase alongside the rising inflation rates even when the value of the government currency falls. And because of this, it has become one of the reasons why investors are looking into investing in gold – as a hedging asset. This is beneficial especially when they are starting to lose money.
Learning more about good investments is extremely beneficial if you want to make a good profit, so if you are looking for the latest news about what’s new in investments, then go ahead and visit The Rum Rebellion website. Here, you can learn more as you educate yourself about money, stocks, politics, and economics. So start getting your daily dose of informative information at The Rum Rebellion.