For centuries, gold has been used as a common form of currency. Cast into coin or bar form, it is easily transportable and, depending on the form bought, hard to forge. Most people today are finding themselves buying gold bullion not as a form of currency but as a way to both store and grow wealth. Because of its practical uses in industry and retail along with its rarity, it has been a solid source of value. There are lots of ways to get started in investing in gold.
Online are a variety of sources that sell gold bullion in both coin and bar form. Investing in gold is one of the easiest ways of planning for one’s future and, as a result, there is a plethora of vendors to choose from. Not all of them offer the best prices so shopping around are the best way to guarantee the best bang for your buck.
As you’re buying gold to make money, it is best to study the markets beforehand. Once you are familiar with the ups and downs of the market, you’ll have a better understanding of how gold is traded and how the markets are influenced. True that some details are so complicated a PHD would have trouble knowing left from right, but the axiom you need to know is that markets are controlled by supply and demand. As long as there is more demand than supply, the price will continue to rise.
The most important thing to know if you buy gold, buy it from a reputable dealer. One way of buying gold bullion bars is through the London Bullion Market Association (LMBA) which, if kept within the LBMA traceable records, is the easiest way to buy gold, sell gold and protect against fraud. Tungsten cored gold bars have been discovered worldwide and could result in an investor losing his shirt if not prepared. Anti-counterfeiting techniques such as holographic technology are being used to deter further fraud.
If buying on-line, check out the dealer you want to business with. Make sure they have market rates up on their site and that common makers of gold bars are available from them. If you see these, chances are the vendor is legit. Most vendors are solid businesses but there are those out there interested in doing nothing more than separating you from your money. A little bit of caution can go a long way in protecting yourself. A simple background check with the Better Business Bureau can help avoid any missteps.
Remember this old adage: "Put 10% of your money in gold and hope you never need it." Recently, CNBC television commentator Jim Kramer strongly advocated a 20% diversification. It has been suggested by many experts that between 10% and 30% of your portfolio should be in gold. With gold going up, up, up, invest today and watch your portfolio soar.