Towards the end of the summer the gold spot market has been gathering a lot of tension, only to show that of all the precious metals both as an investment and as a hedge, harbor against economic, political or social currency crises. Gold buyers always experience market declines, rapidly increasing national debt, currency devaluation or failure due to inflation, social unrest, or even war.
Gold is rare, precious and durable. It does not wear out, in the manner of lesser metals, both metaphorically and literally. It does not lose its charm or its substance when passed from hand to hand, from generation to generation. It is universally accepted, and can be easily bought and sold around the world.
Along with real estate, gold has traditionally been the way to transfer wealth from one generation to the next. Many people pass down heirlooms within the family, to children, grandchildren or other heirs on a regular basis.
Gold is much better than cash as a gift, as gold has a permanence that plain money doesn’t have. Money is to be spent, gold is to be saved. A gift of gold presents a young person with the idea of savings, a sense of permanent wealth, as opposed to some numbers that simply flow through a checking account. Gold has a weight, a presence, and a brilliance, that distinguishes it from other financial assets a person might own. It gives a sense of savings and thrift. And certainly, it will make more of an impression than just another cheque.
Gold buyers for long or short term profit
However, buying gold to keep, or as a gift, does not mean you are not looking for the right price. By studying the markets, you may be able to make good timing decisions. That being said, gold is at the same time subject to speculation, as are other markets.
This speculation is mainly exercised by profiteers who use the spreading both credible and incredible news together with unsubstantial rumours to manipulate the market, and they often succeed in making a profit whether the market goes up or down.
Thankfully, the gold market is not as volatile to such information as other markets since gold carries considerable internal value and has been acknowledged as an asset of significant importance for long. Since 2000 gold has been a better investment than stocks. Long term, reasonable profit is what investors should seek from gold and the market shows that now is the time to buy, although at the time we are walking on uncharted ground since the gold market has not seen such variations since the late 70’s and things are now different. Caution is gold
The most important thing that has changed is that the gold market is accessible to all, and gold investment companies such as coininvest.com offer their services in such manner that the only thing you need, if you do decide to buy gold, is to use common sense.