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

  • Gemstones As Alternative Investment
    People have known how to use this expensive currency for more than 5000 years. Gemstones are gaining traction these days when it comes to alternative investments. And the reasons for this are obvious. Advantages of investing in gemstones Gemstones don’t just have the sparkling appearance that catches the eye. Above all, these precious stones stand […]
  • The Impact of Blockchain on Diamond Trading
      Blockchain technology is mainly known in connection with the cryptocurrency Bitcoin. It is mainly earned through mining or from trading using platforms like Bitcoin 360 AI and is now being accepted worldwide as a viable digital currency. But it can also be used in a completely different way, for example when trading diamonds. Diamonds are […]
𐌢