Investing in Gold - Your Options

There are many precious metals to invest in, but gold still remains the most popular. Historically, gold is purchased as a hedge against any economic turmoil. This is why gold is so popular right now. Many parts of the world are in a financial crisis and many people are looking towards gold as a safe investment. The more in debt our governments become, the more money they print. This reduces the value of the currency and increases the value of gold. If you are interested in investing in gold, there are quite a few ways you can do it.

1. Bars - When you think of gold bars, you may think of photos you have seen of Fort Knox where there are stacks and stacks of gold bars. Gold bullion bars are the most traditional way to invest in gold. Gold bars are still popular and you can get them in many different sizes. They also carry a lower price premium than gold coins, but beware they are also easier to forge. Be very careful when buying these bars. Make sure you are getting them from a trusted source.


2. Coins - Investing in gold coins is very popular. Coins are valued based on their weight as well as their rarity. Some coins are worth more than others because there was a smaller circulation made. You can find gold coins from many places including banks and large and small coin dealers. Fakes are more rare when dealing with coins, but when they are faked is usually in the form of gold-plated lead.


3. Certificates - Some people don't want to have to store physical gold and instead turn to purchasing gold certificates. If you are worried about having to store your gold in a safe place to protect it from being stolen then you would probably feel safer with a certificate. Gold certificates are basically a guarantee that your gold is being held in a safe location and are usually matching with specific numbered gold bars. It is difficult to know exactly what the banks are doing though and whether or not you do actually have a numbered gold bar in a vault somewhere.


4. Mining Companies - Another way to invest in gold is to purchase stock in a gold mining company. As the price of gold moves up, your stock usually moves up with it. This is not always the case as each company's situation is different and there may be other factors that hold your stock's price down or makes it soar. There are all sorts of risks when investing in a mining stock, some are: management, weather conditions, natural disasters, accidents etc. All of these factors can greatly affect the price of your mining stock