James Cook - March 24th, 2022
Investing in Gold Bars: Why It’s a Great Idea
Do you want to start investing but do not know where to start? One of the easiest investment options is investing in gold bars.
In fact, investing in precious metals like gold and silver is the easiest way to gain exposure to commodities.
Do you want to learn more about the process of investing in gold bars and why it is a good idea for anyone looking to invest? Keep reading these top benefits to see why you should invest in precious metal today!
It Holds Its Value
One of the biggest benefits of investing in gold is that it holds its value. Other types of currency, like papers or coins, are weak. They can change value over time and may not be worth as much in the future.
However, gold has a history of holding its value! This is why many people pass on gold from generation to generation as a way to preserve their wealth. Because gold does not corrode and comes in many forms, it is easy to work with and stay valuable.
By investing in gold, you can be sure that the value of your investment will not decline over time!
1/10 oz (3.1 grams) of pure gold from Switzerland.
Protects From Inflation
Similarly, gold protects you from inflation. As the cost of living increases, your dollar will not buy as much as it once used to. This inflation of prices can lower the value of your other assets, like stocks, cash, and more.
However, gold has historically proven to be a good hedge against inflation over time. This is because the price of gold typically increases as the cost of living increases as well. Even if your local currency loses value, your gold will always be worth the same amount or more.
If you find yourself worrying about the value of your investments or worry about losing money on stocks, investing in a liquid asset like gold is an easy way to protect yourself!
Offers Supply Constraints
Something else that makes gold so valuable is that there is a limited amount in the world. In fact, much of the gold that is currently on the market has been circulated since the 1990s.
The production of new gold from mines across the world also has been declining over the past 20 years. This decrease in output creates supply constraints. Whenever there is a reduction in the supply of precious metals, the prices will increase and it will become more valuable.
Because it takes so long to open new mines for precious metals, you can safely assume that gold will stay in low supply and will provide a great return on investment.
1/2 oz Gold bar available only at Investor Crate.
Increasing Demand for Precious Metals
Not only is gold low in supply, but it is increasing in demand as well. Many nations around the world use gold bars and gold jewelry as a way to save. However, the demand for gold has also increased due to increased investment in precious metals.
With a low supply of gold and high demand, the prices will continue to rise. If you want to invest in an asset that will continue to provide you with value, you should find a precious metal, like gold, that will continually increase in demand.
Easy to Diversify Your Portfolio
Many people who invest in gold or other precious metals do so because it makes it easy to diversify your portfolio. Diversification is vital for any investor, as it can protect you from risk or from losing your investments.
Because gold can hedge against inflation and the declining U.S. dollar, it is an easy way to diversify your portfolio and protect your wealth. While there are other options for portfolio diversification, like stocks, bonds, and real estate, investing in precious metals is a sure way to protect your investments.
10 gram gold bar from Valcambi Suisse.
Many Ways to Own Gold
Another great benefit of metal investing is that there are many ways to own gold! In many countries, gold bars are a common form of saving. However, Gold bullion can come in the form of coins, bars, rounds, and even jewelry.
Because of this, it is easier to invest in gold and find a form of gold that works best for your investment strategies.
Plus, with companies like Investor Crate, you can choose gold investments that fit your pricing tier, bullion preference, and more.
Liquid Asset
Finally, gold is a liquid asset, meaning it is easy to sell for cash. Liquid assets are necessary for most financial strategies, especially those who may need fast cash. In times of financial uncertainty, having your money tied up in stocks and other investments may result in financial ruin.
However, you can easily sell your gold investments to pay your debts and have your cash available for use whenever you need it. Gold is a liquid asset because many people want to buy and invest in it.
Having gold as a liquid asset can provide you with great peace of mind and can help you stay prepared for an emergency.
Start Investing in Gold Bars
Investing in gold is provides many benefits to owners. It is a simple way to start diversifying your portfolio while hedging against inflation.
Whether you want to start investing in gold bars or any other form of gold, Investor Crate can help! We offer a subscription-based option for investing in precious metals.
You can choose the type of asset you want to invest in, the gold bullion type, and the price tier that best fits your budget. Contact our team today to learn more about our investment options and to get your precious metal starter pack!
This is in no way to be considered investment advice. Past performance is no guarantee of future results. Asset allocation and diversification do not ensure a profit or guarantee against a loss. Keep in mind that any form of investing involves risk and you should always consult with your financial advisor before making any financial decisions. Investor Crate, LLC., it's subsidiaries and staff will never advise you on any asset as our aim is to provide a fun and affordable service should you decide to purchase Precious Metals.
Keep in mind that investing involves risk. The value of your investment will fluctuate over time, and you may gain or lose money.
I love that it holds its value!
About to to buy an ounce. First full one. Hyped
A little gold is a good hedge against inflation
Interesting that gold production is down.
It’s proven itself over and over year after year.