Are You Safer Investing in Gold vs Stocks?
More recently, investing in gold has also become a much more discussed investment play.
Gold prices have more than doubled since the Federal Reserve launched its first bond buying programs in Nov. 2008, while silver prices have nearly tripled, according to CNN Money. Meanwhile, stocks remain a popular option because of investors’ prior experience in buying and selling stocks. Investors see the long-term value in stocks if held over the long run. For that reason, stocks are usually the first option that come to mind for investors.
However, when the value of the dollar drops, stock markets look less attractive, as has happened over the past few years. With a U.S. Presidential election looming, however, some investors are standing on the stock market sidelines waiting to see the decision of the electorate. That’s when attention turns to precious metals, like gold and silver.
Gold and other precious metal investments are quickly gaining in popularity. According to MSN Money, some investors have experienced up to 45% gains since late July, while others see ‘a surge in investment’ in gold.
There are many different options when looking to invest. According to Equities.com, investors can currently seek out 20 various gold investments which have over $85 billion dollars of investor assets. These gains have been found in silver, but even gold and platinum are boasting gains. With the current momentum in precious metal investing, many experts are predicting that the best time to invest in gold has yet to be seen.
Do some work yourself. Research online for investment opportunities in gold, or rely on companies like US Money Reserve, seen by some as the nation’s largest distributor of U.S. gov’t- issued gold, silver and platinum coins. Strategic analysts at the firm can help individuals with understanding their best investment options for precious metals.
Is gold really the best investment?
Is gold really the best investment for individuals? According to a recent Gallup poll, 28% of Americans believe that gold is the best long-term investment. Investing in real estate (20%), stocks/mutual funds (19%) and savings accounts/CDs (19%) were almost tied in terms of investment preference.
However, others still point to stocks as being the better investment strategy. How is this possible? It is all about timing. If you invest at the right time, whether in gold or in stocks, you can make money. However, if your timing is off, you can lose money in either investment as well.
What are your next steps?
The best advice for young investors is to keep a diversified portfolio, and consider the risk and the length of an investment. Conduct research on the current trends. What is your experience investing in gold or stocks? What tips do you have for others looking to choose a new way to diversify? If you put a little bit of your money behind each investment you will ensure that you will have a solid chance at making impressive gains.