Should I buy Gold?

Should I buy Gold?

'Should I buy gold?' is a very important question. The short answer is yes, but it is important to understand why and to look at what form of gold you want to buy.

Traditionally the wealthy aristocrats would keep a large portion of their wealth in gold, usually in gold coins, bars and jewelry. Gold has always had a fascination for man and seems to invoke a desire to possess it. It is not the rarest of materials, platinum is rarer and so are diamonds. But it is gold that holds that magical undefined quality, that desire to be owned, which other precious metals and stones do not all seem to have.

If, like the aristocrats, you want to preserve some of your assets in gold, or you are keen just to have some gold bullion in the form of gold coins as a hobby there are various types of gold to suit any purpose.

Stocks and derivatives are popular with business people who do not want to spend the time searching for that appropriate gold coin or bar and are not interested in storage or even aesthetic appeal. One does not see one's gold but only bits of paper that represent one's gold assets. May be profitable but not quite so much fun.

Gold held in trust, such as in GoldMoney.com is useful for using gold as a transactional medium or for short term gains perhaps.

Gold Bullion in the form of gold coins and bars is popular with collectors and investors alike. The advantage with coins and small bars is that they are easy to transport and store, the value is retained and even increases over time and they are easy to sell. Gold coins, being a medium of exchange and legal tender in their country of production, rather than a investment vehicle, attract less tax problems as well.

It is also important that you work out how much or what proportion of your assets you want to diversify into gold. Of course you can split the funds you are committing to gold between different gold types as well. Not putting all your eggs into one basket is always a sound policy.

The answer to the question, 'should I buy gold?' of course is yes and provided you know what mix you are going to buy and how much you are going to spend, any investment you make in gold is sure to result in a bright golden future!