4 reasons to invest in gold as a starter
As a start-up investor, investing in gold is a smart move. After all, gold is an alternative investment with a lot of advantages. Still hesitating? Below we discuss four key reasons why investing in gold is a good idea.
1. Gold as an inflation-proof investment
Gold is resistant to inflation. In times of inflation, when the prices of goods and services rise, gold usually retains its value or increases in value. Hence, buying gold can be very beneficial in economically uncertain times.
2. Limited supply and growing demand
Today, there is significantly less gold being produced than in the past, which is a big advantage if you are investing in gold. Indeed, this means that the quantity of gold is only steadily increasing. Unfortunately, this is not the case for the demand for gold, which continues to grow rapidly. So if you buy gold, its value will most likely continue to rise. This is because the demand for gold is high, while the supply remains limited. As a result, the price of this precious metal is rising and selling gold can become increasingly attractive.
3. Why the value of gold remains steadfast
Although the price of gold can fluctuate, it is generally more stable than, say, the price of shares. Gold has proven over the years to be stable in value and is therefore considered a safe investment. Even in times of war or economic crisis, gold retains its value. In comparison, the price of shares or crypto-currencies can fall sharply, making these investments riskier. If you buy gold now, chances are the value will be about the same in a few years' time.
4. Gold as a reliable resource in economically uncertain times
Owning gold in times of economic uncertainty, gives you a lot of advantages. This is because gold cannot "collapse" like currency can. During the last financial crisis, there was a lot of concern about the stability of the euro, which led many people to invest their money in gold. This is because this precious metal can easily be converted into other currencies in case the euro collapses. Therefore, during a financial crisis, central banks often buy additional gold to strengthen their reserves.
So plenty of reasons to add gold to your investment portfolio. It is a wise choice if you are looking for stability and protection against inflation. Do not wait any longer and start exploring the possibilities of investing in gold today