Investors purchase gold for many reasons. It could be for a hedge, for security, or an immediate investment. What actually are the best reasons to invest in Gold? Studies affirm that gold is a better hedge from a crashing stock market.

Gold (Au) as a Hedge

Hedges are actually assets that counteract deficits within another asset category. Various investors purchase gold to hedge from the drop of a currency exchange, generally the U.S. dollar. When a currency declines, it produces excessive rates in imports and so as inflation. Consequently, gold is likewise a security from inflation.

To illustrate, the cost of gold doubled (or even more) between the years 2002 and 2007. Right from $347.20 and $833.75 an oz.. That is since the dollar’s worth as assessed next to the euro dropped 40% in that exact time.¬†Watch the video below by Ben Felix about Investing in Gold

Investing In Gold

Post Author: Fiona Nadine

RSS Feed

  • Foreign Exchange Struggles that All Import and Export Companies Face
    In our increasingly connected world, it is simpler than ever for individuals to get their hands on products from throughout the world. However, for importers and exporters, that connectedness has generated plenty of fresh and a few not so new challenges. Check out latest Forex brokers at https://www.forextraders.com/forex-brokers/ to learn more about foreign exchange. Here […]
  • The Benefits of Investing in Precious Gems
    Investments have been a staple to many people and businesses all over the world because it provides both present and future long-term financial security. The rise of new investment plans and types have been increasing in recent years but Investing in Precious metals has been and will always be on the top of the list. […]