Gold Prices And Gold Investment

The gold market is considered to be one of the most promising investment options available today. Realizing this lucrative opportunity, many companies have come up with attractive investment schemes for customers. They possess extensive experience in this field and are among the top players in precious metals IRA rollovers.

Gold has been considered as a very versatile commodity right through the human history. Its various unique features have ascertained its supremacy over other commodities. The huge reserves of gold were often considered to be a status of power and authority among the kings and nobles. It is also being used as a currency for international trade. It has maintained its value all these years and therefore considering it as an investment is definitely a wise choice.

As with every investment plan, one should be aware of all the pros and cons of the same before investing in it. Investment in the gold market should only be done after gaining adequate information about the gold prices and the market. It won’t be easy for a beginner to obtain all the information at first. In such cases, he can make use of various websites and companies which offer help in gold investment. One would find a large number of companies which offers various investment schemes, but it is extremely important to select your company carefully.

Even amidst these tough times of recession, the gold investment sector has stood out as an excellent investment option. This has made people all the more attracted to this safe investment sector. Transparency is a major factor that drives people to this field. The fluctuating gold prices are made available to the customers in a timely manner.

There are various factors which accounts for fluctuating gold prices. Since it is used as an international currency, these fluctuations have far reaching effects. Therefore it becomes essential for an investor to be up-to-date with these gold prices regularly. Yet, gold investments are considered to be more stable than stock market investments and other similar ventures. The gold price has witnessed a whopping rise of more than 40% in the last few years. This is a clear indication of the growth in this sector.

There are various gold investment schemes available. An expert will be able to help you choose the best scheme for you. Since this is a very sensitive sector, it is always recommended to utilize the services of an expert company before investing in this market. Such companies will also be able to help you with purchasing gold from the market. There are many metals which resembles gold but are inferior in value, therefore such companies can make sure that you do not make a mistake while making the purchase. With proper guidance and information, one would be able to lead a very successful career in the gold investment business.

Let’s look into the future to see what will happen to the US economy as well as the rest of the world’s economies. Got your crystal ball handy? Let’s be blunt, no one has a crystal ball and can know for certainty what the future holds. If these so called “economic experts” really knew what was going to happen in the future, wouldn’t they be richest of all people on the planet? Like most people, they make the majority of their money from their jobs and not investments. Especially those you see on T.V. or read their material.

Will gold be a good investment? Will real estate? Will stocks and bonds? Will the economy recover as the Obama administration claims it will?  All you can say for sure is the US and much of the world is walking on egg shells when it comes to an economic recovery any time soon. They are moving slowly and with caution.

Think About This

Think about this…. another big bank failure. A blow-up in China. Another 9-11, another war… it wouldn’t take much to cause a panic today, would it?

Inflation, deflation are inevitable according to most economic experts. No matter what you believe, is your money at risk if you do nothing? By doing nothing or putting money into real estate, stocks and bonds, you are gambling on the economy recovering. You are making a prediction and taking a risk based upon your beliefs. Is it smart to believe one way or another or should you be prepared for the worse case scenario?

Prepare For The Worse – Hope For The Best

Rather than guessing, gambling or listening to what the economic experts say about the future of the economy, wouldn’t it be smartest to prepare for the worse and hope for the best? If you invest in gold you are not gambling. Why, you ask? Because a well diversified gold portfolio is a solid rock foundation to any investment portfolio. It is your escape clause, your answer to liquidity if times get really bad. It becomes the greatest of all insurance policies you ever owned. Gold is real money. That will never change. And real money is your guarantee to financial stability.

No matter what happens to gold prices, a well designed gold portfolio will always hold it’s value. With time, most of your gold holdings will see solid gains. But let’s assume it doesn’t. That means the economy is thriving, the stock markets are at a all time high and real estate is booming like you have never seen it before. On the other hand, if the economy goes into the toilet, gold will sky rocket. Nobody, no so-called expert, will disagree with that statement. Show me one expert that does and ask what their solution would be if it’s not gold or any other precious metal.

So, here is my gold investment prediction. It may go up or it may go down. But one thing is for sure… I have a safe haven during the worst economic times. I’m insured against the worse and most importantly, I am protected against economic disaster. Are you prepared for the worse and hoping for the best? If not, it’s time you get the free gold investment guide. The gold investment guide will help you save as much as 10% on your gold purchases. We cover all shipping and handling.

Gold experts agree, “You should have several types of gold in your investment portfolio”.

Bullion & Investment Grade Gold – 25-30% allocation. 1-3 year hold. This provides a conservative, high liquidity investment. 1 oz. gold bullion coins currently minted by the U.S. Mint. These coins move more according to spot price.

Mint State Gold – 15-20% allocation. 2-5 year hold. This provides a faster growth potential and higher overall returns for the long term. U.S. Gold coins minted between 1890 and 1933. These are Indian and Liberty coins and can be purchased separately or as 4 coin sets. These coins rise in value over time due to historic importance, quality and demand.

Rare Coins – 50-60% allocation. 5+ year hold. This is for those looking for the greatest return provided they are held long-term. The higher the quality, the more historically significant, the rarer the coins, the more potential for gains. It is noteworthy, these coins are not subjected to gold spot price for their value.

Free Gold Investment Guide

I urge you to get the free gold investment guide. The gold investment guide will help you save as much as 10% on your gold purchases. We cover all shipping and handling.

Bullion Coins

Bullion coins are a safe, convenient and portable way to buy, hold and liquidate gold. Gold coins are minted for investment rather than for their face value. Gold coins are valued based on the current gold spot price. These coins can be readily sold around the world for their current market value. An investor can buy a bullion coin in the U.S. and easily resell it virtually anywhere in the world.

The Million Dollar Gold Coins

In 2009, the US Mint brought back the one of the most sought after coins ever. The High Relief Gold $20 Saint Guadens Coin.

Of the top 100 highest priced coins, 10 are the 1907 St. Gaudens High Relief!

PCGS PF-69 $2,990,000 – sold Nov. ’05

PCGS PF-68 $1,840,000 – sold Jan. ’07

PCGS PF-67 $1,210,000 – sold May ’99

2009 Ultra High Relief Gold Coin

The United States Mint has issued the 2009 Ultra High Relief Double Eagle Gold Coin. This coin promises to fulfill Augustus Saint-Gaudens’ vision of an ultra high relief coin that could not be realized in 1907 with his legendary Double Eagle liberty design. At the top of this article is a picture of this gold coin. It is truly spectacular. It is made of 24 karat gold.

Be sure to request our FREE “Gold Investment Guide”. The guide will not only educate you about gold opportunities but will also show you what to avoid in gold investments.

Typically, most people look at a gold investment the wrong way. As pure speculation. Savvy investors look at a gold investment as a hedge against inflation and a way to protect their other investments from losses. But the smartest of all investors don’t speculate on gold prices at all. They purchase gold coins that are not going to diminish in value based on the spot price of gold. They understand that gold coins are valued upon history, quality, scarcity and demand. These gold coins investors are seeing profits that far exceed the spot prices in a bull market.

Gold Investment

If you’re still thinking about Gold Investment, and you are not sure what gold investment is right for you, get the free gold investment guide. The gold investment guide will help you make the best decision based upon your needs and could save you as much as 10% on your gold purchases.

Review of the Gold Investment Market

Gold investment worldwide has grown dramatically in the last ten years. Several factors are now stimulating gold investment by new pension fund money, as well as by private investors and governments worldwide.

Demand from New Gold Investment Markets

Sales of gold across Asia are surging due to their local economies booming and private investments grow. China’s gold investment demand grew by 20% in 2007, while Indian consumers bought a record 900 tonnes – well over one-fifth of the total world market.

Gold Mining Fails to Meet Gold Investment Demand

Gold mining companies throughout the world have failed to meet the growing demand from gold. The world’s No.1 gold mining nation, South Africa, has seen its annual gold output produce slashed in half since 1998, and new operations in the the world have failed to pick up the slack. Gold investment analysts don’t forecast in change in the output.

Gold Investment vs. the US Dollar

As the US Dollar devalues, gold investment has risen against all major world currencies. In the five years to 2008 buying Euros to defend against the Dollar’s decline has returned 47%. Gold investment, on the other hand, has returned 131%.

When Inflation Occurs, Gold Investment Shines

The money supply in the United States has doubled in the last seven years. In Europe, growth in the money supply hit a near-30 year record in late 2007, increasing the appeal of gold investment.

Gold Investment: The Bedrock To Investment Portfolios

As the US and European governments struggle with recession and their economic strategies fail, a gold investment becomes the bedrock of investors portfolio’s. Never since the great depression has it been more important to protect your wealth by having 10-20% of your investment portfolio in gold holdings. Be sure to request our FREE “Gold Investment Guide”. The guide will not only educate you about gold opportunities but will also show you what to avoid in gold investments.

Gold Questions & Answers...

What kind of gold should I buy?

Answer. The most asked question of all. What type of gold you buy depends upon your goals.

If your goal is simply to capitalize on price movement, then bullion coins or just bullion is the answer. If you are interested in long-term asset preservation then you might want to include a variety of pre-1933 European and American gold coins. These gold coins are historical items and afford the investor a greater degree of safety than gold bullion.

Q. When should I buy?

A. When you need it. Don not think of gold purchases as you would traditional investments such as stock or real estate. The real goal is to diversify so that your overall wealth is not compromised by economic disaster.

Q. Why not wait for the necessity to arise, then buy gold?

A. During the course of 2009, when concern about the financial crisis was peaking, there were periods of gold coin bottlenecks and actual shortages. The national mints could not keep up with public demand, and the flow of older gold from Europe was slowed by accelerating demand both there and in the United States. Premiums shot-up and a wild scramble developed for the available gold, even at rapidly escalating prices.

These events pointed up some of the problems inherent to the contemporary gold market. During times when demand for is strong, you cannot call and order gold coins like you can most other consumer items. Even running at full capacity, the manufacturers (the national mints) cannot keep up with demand surges like the one we had in mid-2008 and again in early 2009. This is true of older gold coins too. They are swiftly bought up and become hard to acquire. Since these coins aren’t being made anymore, their demand become greater.

Q. What percentage of my assets should I invest in gold?

A. 10% to 20% of your investment portfolio should consist of gold. How high you go depends upon how concerned you are about the current economic, financial and political situation.

Q. Can you briefly describe what you believe to be the biggest mistake investors make when starting out as gold owners?

A. The biggest trap investors fall into is buying a gold investment that bears little or no relationship to his or her objectives. Take safe-haven investors for example. That group makes up 90% of our clientele, and probably a good 75% of the current physical gold market. Most often the safe-haven investor simply wants to add gold coins to his or her portfolio mix, but too often this same investor ends up instead with a leveraged (financed) gold position or a handful of exotic rare coins (often costing five or six figures). These have little to do with safe-haven investing, and most investors would be well served to avoid them — except as a sideline.

Q. What is your view of gold stocks?

A. Many people own gold stocks and that is fine for many investors. However, it should be emphasized that gold stocks are not a substitute for real gold ownership, that is, in its physical form as coins and bars.

Q. What about gold futures contracts?

A. Futures contracts are generally considered one of the most speculative arenas in the investment marketplace. The investor’s exposure to the market is leveraged and the moves both up and down are greatly exaggerated. Something like 9 out of 10 investors who enter the futures market come away losers. For someone looking to hedge his or her portfolio against economic and financial risk, this is a poor substitute for owning the metal itself.

Q. Please summarize: What is the best approach for the safe-haven investor?

A. If you want to protect yourself against inflation, deflation, stock market weakness and potential currency problems — in other words, if you want to hedge financial uncertainties, there is only one portfolio item that will serve you in all seasons and under most circumstances — gold coins and bullion. Gold is the bedrock to any investment portfolio.

Be sure to request our FREE “Gold Investment Guide”. The guide will not only educate you about gold opportunities but will also show you what to avoid in gold investments.

“Gold will get to $5,000 – it’s eighth-grade math,” market analyst says

“I am saying gold will get to $5,000 – it’s eighth-grade math,” declares market analyst Jim Rickards of Omnis Inc. in an appearance on CNBC’s “Squawk Box” along with George Dowd of Newedge Inc. “Just look at the amount of gold and the amount of paper money. Do the division. That’s where gold has to get to.”

“Bullion is trading at a 7-month high and for good reason”

David Rosenberg with Bank of America said in February 2010 “As we have said time and again, we like gold because it is a hedge against global instability; it is a hedge against deflation since that condition triggers financial market setbacks and it is inversely correlated to global short-term interest rates and there is a race right now towards 0%. Bullion is trading at a 7-month high and for good reason: it’s called supply and demand. Production is down 4% YoY while fiat currencies globally are being created at a double digit rate by the world’s central banks, and we see that according to the World Gold Council, even with recession in India, gold demand soared 26% YoY in the fourth quarter.”

Gold Could More Than Quadruple By 2012

Robert McEwen, chairman of U.S. Gold Corp. says gold prices will more than quadruple to $5,000 by 2012. He says investors will reallocate capital to real money as the dollar loses its viability and money printing causes money to move into gold.

The world governments are buying record amounts of gold

Central banks continue to reshape the very structure of the gold market by actively amassing gold reserves. Like China before it, Saudi Arabia became the latest nation last week to reveal effectively clandestine purchases of gold by “restating” its hoard by 125% from 143 tonnes to 323 tonnes. This increase is nearly as large as India’s 200-tonne purchase of gold last October that helped spark another major breakout in gold prices. Alongside purchases by Russia, the Philippines, and others, sovereign purchases have emerged as a powerful force in the surprisingly small-scale global market for physical gold.

Whether you believe the experts or not, one important point that nobody can dispute… the US government is printing trillions of dollars in an attempt to pay off deficits. Any person with a rational mind understands that this will cause inflation or even hyper inflation. Gold always rises in value when the dollar becomes weaker. And investors are protecting themselves against the dollar weakening. Investing in gold is not speculation these days. It is the best way to preserve your wealth.

Be sure to request our FREE “Gold Investment Guide”. The guide will not only educate you about gold opportunities but will also show you what to avoid in gold investments.

Not all gold is created equal.

Pure gold is .999 percent pure or also known as 24 karats (the letter “k” representing karats). Most gold jewelry is 14k. It can be less or more. The purer gold is the more malleable and therefore jewelry can be easily damaged if it is 18-24k. That is why most jewelry is 14k, it can withstand more abuse than higher karats..

Gold bullion is .999 percent pure. Most coins minted today are 91% – 100% pure.

If you buy gold bullion, the price is determined by the spot price of today’s market. That said as an investor, you are speculating that gold prices will go up from what price you purchased it. That also holds true for gold stocks.

Older gold coins are not a speculation. Their value is determined by their age, demand, supply, rarity, history and condition. There are only so many older gold coins available that are in mint condition. As time goes by, their value increases regardless of the gold spot price. When you have something of historic importance, something that is rare, something that is in very good condition, you will always have something that is in demand causing the price to far exceed it’s cost in today’s market. That is why not all gold is created equal.

Many would argue that you will pay more for older gold coins, that there is a high premium to be paid. That the premium will prevent you to reaching profits quicker.  That is true if you are looking strictly at a short-term investment (1-4 years). However, if you are looking long term, 5+ years, gold coins have out performed any other investment in the gold market hands down. Many coins increasing in value over 7000%.

Buying old gold coins is no different than buying any gold that has historic value. The gold found in King Tut’s tomb is priceless. If you could buy the gold artifacts, image how much it would cost you. It’s not the gold that makes it so valuable, it’s the fact it is 1000′s of years old, in perfect condition and it’s from a pharaoh, giving it great historic importance.

Any gold coins recovered from shipwrecks like the Atocha, Consolacion, 1715 fleet, Vliegenthart, Princess Louisa, Reijgersdaal, El Cazador, Maravillas, that are in mint condition, are sold at a higher premium that newer coins. That goes without saying, but I am making a point that not all gold is created equal and many will argue the case that you shouldn’t buy old gold coins… they want you to buy today’s bullion as an investor.

The trick to finding the perfect investment with gold coins is something that isn’t too old or too new. Coins minted in the late 1800′s – 1933 offer more opportunity for the value to escalate the fastest.

If you are going to speculate, buy gold bullion for protection against an economic disaster.

If you are looking to make big profits and can hold on to your investment long term, buy gold coins.

Be sure to request our FREE “Gold Investment Guide”. The guide will not only educate you about gold opportunities but will also show you what to avoid in gold investments.

For instance, 10% of all gold mined is used in manufacturing electronic goods.

Without gold, thousands of products such as satellites, space vehicles, cell phones, car components, computers, flat screen TV’s would not exist. Over 400 tonnes of gold per year are used to create these products. Gold is also used in the medical profession. Life support systems, cancer treatments and arthritis are just a few examples of how the medical profession uses gold.

To say gold is not a good investment is naive. Here is why…

1. All US currency was once backed by gold and silver. Why was our dollar backed by gold? Because gold is scarce. If something is scarce it has worldwide value. And for more than 5000 years gold and silver has been used as money throughout the world.

2. The US went off the gold standard in 1971. Use of gold in coins ended in 1933 when the government outlawed private ownership of gold and increased its controlled price as part of efforts to end the Great Depression. In 1971 President Nixon ended all controls on the metal’s price, allowing it to float and ending its use as backing for the US dollar.  What is backing our US dollar now? Your property and labor. That is it. As the government continues to escalate our national debt, we face the prospect of bankruptcy and allowing foreign governments to confiscate our property and freedom.

Gold has risen 20% in value each year since 2000. As the US government continues to print more money and devalue the dollar and go further in debt, gold will continue to rise. Gold and silver are a hedge against inflation. That is fact.

To invest in gold purely as speculation is not advisable. Gold should be used as a safety device to protect yourself from inflation. It is your investment from a collapsed economy. If your other investments plunge such as real estate, the Dow Jones or your business, gold will be the one investment that saves you from complete financial disaster. 5000 years of history proves that point.

A well rounded investment portfolio would have at least 10-20% in gold.

So what type of gold should you invest in? After all, you could choose gold stocks and bonds, gold bullion, gold jewelry or gold coins.

Of all the gold investments, gold coins have appreciated the most. Since the year 2000, many gold coins have risen 7000% in value. Compared to 20% for gold bullion, coins can be a much better choice. But beware of new coins. The fact is coins minted today are plentiful compared to coins minted prior to 1933.

Gold coins are more valuable when they become scarce. The better the quality and the rarer the coin, the more it will increase in value.

If you are buying gold strictly as a hedge against the economy, then bullion would be a safe investment. If you want to catch the wave of the gold bull market and make higher returns, older gold coins is a proven winner.

Be sure to request our FREE “Gold Investment Guide”. The guide will not only educate you about gold opportunities but will also show you what to avoid in gold investments.