How to Invest in Gold? The Ultimate Guide to Gold Investment
For centuries, savvy investors have been aware of the importance of gold as part of a well balanced portfolio. In addition to offering wealth diversification, gold is a world renowned safe haven for investors offering the ultimate insurance and protection against turbulent economic times.
History illustrates that gold is a timeless asset, not only proving to be a successful preserver of wealth, but high gold prices and record demand has ensured it has outperformed most other forms of investment.
Following the financial crisis of 2008, the world is once again faced with unprecedented economic uncertainty with the global Covid-19 pandemic. The response of central banks to this threat has seen money-printing reach new levels, with national debts spiralling to peace-time records for many countries, and creating a new risk of inflation.
Gold climbed to a new all-time high in August 2020, and despite pulling back since remains high on the back of investor demand. Low interest rates and inflation both offer good support for gold to make further potential gains in the months and years ahead that could see 2020s record beaten.
Meanwhile, the fallout of Brexit, the US-China trade war, deteriorating relationships in the Middle East and climate change all present major economic challenges still to come for the global economy. Gold then offers a vital safe haven, and is a welcome addition to any diverse portfolio.
How to Buy Gold?
The guide provides essential reading for all investors. If you’ve never bought gold before
then we can help explain how to invest in gold for beginners. Even seasoned investors
can benefit though, and this guide is packed with must read information and advice on
how to invest in gold coins and bars, including why buy gold, and where to buy gold.
The guide also looks into bars vs coins, gold vs silver, the benefits of owning physical gold
over paper and electronic gold, and much more.
Why Invest in Gold?
In order to know if gold is a good investment, it is important to understand why people buy gold. In times of economic uncertainty and instability, buying gold makes more sense than other assets. With confidence in the banking system and worldwide economy at an all-time low, gold bullion could be the ultimate insurance and should act as an essential part of everybody’s investment portfolio.
With the famous yellow metal in greater demand than ever, there are many reasons why people should buy gold. Owning gold could be the ultimate way to preserve your wealth, and possibly make a healthy return in these uncertain times. It’s an age old question which people have been asking for centuries – where is my money really safe? And more and more people are now choosing the oldest answer: GOLD.
Why Buy Physical Gold? Physical Gold Vs ETFs
As the old saying goes; if you don’t hold it, you don’t own it. There really are numerous benefits of physically holding your gold in your hands, as opposed to buying electronic gold (ETF) or paper gold. In these unpredictable economic times of banking instability, low interest rates, underperforming currency markets, volatile stocks and repeated rounds of printing money, gold offers a welcome safeguard to the turbulence.
However not any form of gold, but physical gold. Physical gold is a timeless asset which will always have a value and always lasts the test of time. Holding physical gold bars and/or gold coins provides the ultimate control and insurance for your wealth against financial crisis in an underperforming wider economy.
Where to Buy Gold?
Research is everything. Your decision to buy gold online wouldn’t have been taken lightly and should be backed by your own research. Much the same, when it comes to selecting your chosen bullion dealer, again research is vital. The Internet is the best place to conduct your research. The Internet holds information about the impartial experiences, opinions and recommendations of millions of people all around the world. It sounds obvious, but why not start your research by simply typing in the bullion dealers brand name into Google.
The Internet really is the world’s largest open forum in which companies have no control. It will become quickly apparent if a bullion dealer has a negative online reputation, in which case they should be avoided at all costs.
When to Invest in Gold?
Looking back at historical data, in hindsight it is easy to identify 2005/06 as a great time to buy gold bullion before the constant rises when the price of gold stood at just £250 T/OZ. Again in 2007/08 the UK banking crisis offered another great opportunity to jump onto the gold bandwagon with the gold price standing at around £350 T/OZ. Some of the most common questions heard now on a daily basis are; is it too late to buy gold? And; how much longer can the gold price continue to rise?
Unfortunately, there’s no exact science to knowing when to buy gold, but there are lots of effective and timeless techniques and indicators that most successful investors use to help them and look out for.
Gold Bars Vs Gold Coins?
Whether you’re new to bullion investment or not, deciding whether to invest in bullion bars or bullion coins should take some consideration. Before making this decision, it would be advisable that you conduct your research as there is no definitive right or wrong answer, it will vary depending on the needs and circumstances of the individual investor.
However, as when making any other investment there are several factors to consider including: the value of your investment and the product premiums, how long you plan on holding your gold, how you will store it, taxation and how you plan on realising the value of your investment.
Should I Buy Gold & Silver?
Many investors spend time deciding whether to buy gold or buy silver, however the savviest investors own both. Whereas gold could offer the ultimate insurance and protection against uncertain economic times, silver is a more speculative investment. Despite gold and silver both being commonly invested precious metals, silver is an entirely different investment which can realise substantial profits despite the initial VAT outlay. It’s because of these differences that owning both gold and silver together can be of benefit.
Is Gold Subject to VAT?
The good news is investment grade gold is VAT-free. This includes all the gold bullion bars and coins on our website. However, unlike gold, VAT is payable on silver at your local tariff rate, making silver a more long term, speculative investment. However, due to the volatile nature of the silver price, returns are often quickly realised. If you are VAT registered and think you may be able to claim your VAT back, then we advise you speak to your Accountant.
Where Should I Store my Gold?
The physical possession and control of your bullion is one of the main benefits of investing in gold bullion bars and coins over electronic or paper gold, however you must consider where to store your gold. There really is no one correct answer, the truth is you can do with it as you please and can store it where you like; it really is down to personal preference. Storing gold bullion really isn’t anything new; people have been successfully storing gold and silver bullion for centuries and is particularly common in Germany and India.
We offer you the storage service in our highly secure individual safes in Geneva to store your gold.
Why Buy Gold Online at Swissbancor?
Swissbancor is a trusted gold dealer in Europe, dispatching thousands of parcels for free fully insured next day delivery every month. Swissbancor is a fully authorised distributor of London Bullion Market Approved (LMBA) Umicore, Heraeus and Metalor bars as well as an authorised distributor for the British Royal Mint.
How to Buy Gold Online ?
Buying gold online at Swissbancor is quick, simple and secure. You can create and register your account online in as little as two minutes. Once your account is setup, you can buy gold and buy silver bullion online 24 hours a day at the click of a button. Your online account will also allow you to track the performance of your gold investment against the current price of gold as well as providing you with the latest product news and a safe place to store your invoices. With a comprehensive range of gold bullion products available at low margins, buying gold has never been so safe and easy.
Register your FREE online Account today and receive a host of benefits including our Gold Price Alert Service, 24 hour access to buy gold quickly and safely, access to your invoices and full order history to monitor your investment performance, monthly insight and offers direct to your inbox, plus much more.
Related Links: If you have any questions about investing in gold, please feel free to contact our knowledgeable and friendly team on +49 121 634 8082 who will be happy to talk your through any queries you may have. Alternatively, you can email us at info@swissbancor.com and we will get back to you as soon as possible.