Investing in gold is still heavily promoted as a promising retirement fund but there is some confusion over whether or not this precious metal is still the best option in the current climate. This brief guide aims to show how being wise with investments opportunities can ensure that gold is still the most viable option over cash IRAs and other traditional funds. More reasons why you should invest in gold.
Why should investors continue to look towards gold and precious metals for the best opportunities and returns?
Lots of brokers and companies are encouraging people to invest in gold and try precious metal IRAs at the moment but while this alternative investment was originally met with hope and promise, concerns over some 2013 forecasts and reports have led to a little uncertainty and confusion. One such story from June reported that gold had dropped 27% and warned investors of the volatility of the commodity and the potential for swings in value of up to 50%.
There is no doubt that gold is variable in its worth and market value and this is not some 100% reliable alternative; however, it is important to remember just how bad a state the economy is in and put the situation into perspective because the dollar shows no sign of any significant recovery and the debt ceiling is still a hot topic. Gold has a historic trend of performing well when the dollar is in trouble and IRA hunters should not forget about the other precious metals that can be included alongside gold; recent reports have suggested that silver is on the rise, in both popularity and performance.
Opportunities for investing in gold.
This volatile nature could make investing in gold a little off-putting for many first timers but there are options available that make gold and precious metals investing the best choice.
Standard metal purchases, bullion and coins:
This is the basic option that many investors go for because of the simplicity of buying and storing goods via a broker and the reliability and security of physical purchases, particularly if there is a risk of another downturn. Here the options are only as limited as the local tax laws and current restrictions and it is therefore worth looking into palladium and platinum items too.
Mining stocks, gold shares, certificates, futures and ETFs:
There are also alternative gold-based stocks and exchange transfer funds that can be bought to help to diversify a portfolio in uncertain times. This form of investment can provide a route into precious metals that feels more secure and familiar for those who are keen to switch to gold but are worried by the fluctuations in the market and foreign nature of dealing with physical goods and brokers. Certificates are another way of enjoying gold ownership without the potential problems of physical ownership and futures can offer a great chance at a profit but the latter can be a little risky.
Summary: why investing in gold is still the best option for the current climate.
In short, even though investing in gold can be seen as a bit of a risk, and the potential down-swings can be as large as the potential gains, once investors look at the bigger picture and the many benefits of physical gold, shares and other means of investment, it is still a viable and appealing alternative to cash IRAs.