Gold has known to be a great insurance method during economic crisis situations throughout the decades. It has even helped people through complete economic crashes. Gold is a strong assets to own because it is not backed by a third party promise or responsibility. With popular capital asset, such as bonds and bank savings, they rely on the responsibility of said individual to pay and other underlying factors that are not within the actual owners control.
Finding out what type of gold to buy is one of the most asked question to this date. It is not always easy to answer this question as it greatly depends on the individual’s needs. People have quite a hard time deciding what is better for them to invest in, gold coins or gold bars. These two options are completely valid choices to pick from, but very few actually know what the difference is between them. To simplify the process for you, below is a quick explanation of the two:
Gold coins are smaller amounts of gold, but can easily be traded. It is a world wide accepted currency and many are more familiar with the gold coin than the gold bar. The premiums can greatly vary vs gold bars depending on the market of that time. Gold coins are ideal for those who are bulking down for a complete economic crash and want to still be able to get the necessary things via gold payment. Also, for the first time gold investor, it is also recommended that they test the wasters with the gold coin rather than gold bars. You can learn more about the best gold coins to buy for investment at InvestorTrip.com
For a large investor, it is more beneficial for them to invest in bulk. Gold bars are a simple and efficient method for a serious investor looking to capitalize on the best price. Large bars offer the lowest premiums over the current market value for gold. It can be greatly beneficial for these investors to buy in bulk, however buying in bulk does have its downsides. It is a lot harder to sell a gold bar in a time of economic crisis. You can not simply slice off 100 grams of your one kilo gold bar. If you choose to sell your bars, it would have to be with another large scale investor which can be difficult. Private buyers are not as likely to buy your gold bars because of the same reasons – it is hard to trade in every day life.
Buying older coins or rare coins for an investment is typically a bad idea – especially if you want to see some return on your money. These coins are typically priced a little higher than more modern coins of less quantity and therefor will take a longer time for you to make a profit off them. However, sometimes when buying older coins in large quantities they start to show that they are selling for the same premium prices as the modern coins. When this happens, it is defiantly worth considering