Ever wondered why more and more people are becoming inclined towards the gold industry when it comes to making sound investments?
It’s because even with its widespread reputation of being volatile, gold manages to be one of the most stable forms of long term investment assets. Over the past 17 years, the price of gold has climbed up from below 500 AUD to more than 1,600 AUD. TThis singlehandedly makes up for 7% average annual growth since the beginning of the 21st century.
However, this alone is not the only reason for more people opting in favour of investing in gold bullions. There’s more to it. Read on.
It’s Always in Demand
This particular precious metal has distinctive properties that contribute to its active trade. It’s durable and malleable. Plus, gold has a wide range of applications, be it industrial or specific to the art of jewellery making. This precious metal is always in demand and since it’s limited in supply, the price of gold is usually pushing upwards.
When it comes to comparing different long term investment assets, putting your money in gold happens to be far safer than other forms of investments. Over the years, as mentioned above, god prices have shown a steady increase. The average 7% growth in the value of gold is far more than what one would earn if they deposit this amount into a savings account. Currently, the maximum variable saving account return you can earn is 2.65% per annum.
It’s Easy to Trade
As if that wasn’t enough, the fact that trading gold is easier than ever makes it an even more attractive option when compared to other forms of investment. The entire process is simple and straightforward. Plus, there is not much to worry about as long as you’re taking care of the following aspect.
- Always make sure you buy your gold from a well-established and reputed bullion dealer like goldbullionaustralia.com.au.
- It is always better to do your research and shop around for the best deals when it comes to the price and premium you pay for your gold.
- Make sure you are able to safe keep your gold bullion with the same dealer you’ve purchased it from or, if required, register for a private vault to keep it secure.
- Buying all your gold bullions at the same time isn’t smart. Stagger your purchases. This way, you may be able to purchase some gold at lower prices owing to short term price fluctuations.
- Gold prices are volatile, but only in the short run. Don’t go on a panic-sale spree simply because the gold prices fall. There is a good chance the prime decline will be short lived.
- Always pay your gold taxes. You don’t want to be a part of the gold industry tax fraud!
As long as you’re patient and speculative, gold trading is probably the simplest form of investment that can bring sustained lucrative returns to you. Make the most of it while you can!