Is Gold A Good Investmemt

Is Gold A Good Investmemt

People always wonder if gold is a good investment for them. Gold should be looked at as a long term investment, if you are looking to get rich overnight by trading gold, you will have as much chance of making money as you will have losing it. An investment in gold should always be treated as a medium to long term investment.

Gold since the early times of man has always been sort after. Gold has been used as a form of currency one way or another up until the early 1970′s when the US dollar was taken off the gold standard. Since this time the price of gold has been allowed to float, and has gone from $35 p/oz up to $1,500 p/oz today. Gold it’s self in terms of inflation hasn’t risen really, but what gold does do allows yout to hedge against inflation and secure your hard earn dollars in a safe asset.

A simple strategy for first time gold investors would be to simply buy some physical gold, coins or small gold bars and simply hang onto them. Other option if you are a little more savvy would be to pick some good gold companies that are trading on the stock exchange, and then buy shares in those companies.
There is no real right or wrong way to trade or buy gold, the best practice would be to make sure that you had 10-20% of you investment portfolio secured in gold. This allows for a solid hedge against any nasty inflation.