Demand The demand for gold is soaring and analysts predict that the price could at some point break through the $2,000 an ounce barrier.
"If you want gold that has an intrinsic and potentially rising investment value, your first options are gold bars or coins, which can be bought over the counter at a gold or bullion dealer" - The Telegraph, November 2008.
Demand for gold rose to $102bn in 2008, which was an increase of almost a third on the previous year.
The main areas of demand for gold have been in the making of jewellery (jewelry), industrial applications including medicine and electronics, governments and central banks to increase their official reserves and private investors.
The True Value of Gold Gold is the most popular type of precious metal compared to others when it comes to investment.
It was first discovered as shining, yellow nuggets.
Gold has been seen as an important commodity throughout history.
It is measured in troy ounces and the price of gold is typically stated in terms of the cost of one ounce.
One ounce is equivalent to 31.
1 grams or .
07 pounds.
"Gold coins are viewed as a strong investment vehicle during times of economic uncertainty, a money expert has suggested.
" - Gold.
org Gold has been used by investors as a safe haven during times of economic crisis.
It is referred to as a "safe-haven" and should be a part of every smart investor's portfolio.
New buyers are attracted to gold everyday, not only for its beauty, but because gold is the uniquely private, personal, and portable way to hold some real wealth.
Gold bullion coins in the last twenty years have become the most liquid, divisible, and accepted form of gold bullion worldwide, and they enjoy a much more favorable 'spread' than bullion bars.
In the U.
S, they are simply the smartest way to buy gold if you are going to take physical possession of the bullion yourself.
Gold always does very well in a downturn and the last recession has been no different.
Very recently shares on global stock markets lost around $14 trillion in value and safe havens such as gold became an attractive option for low-risk investment.
Gold will never go to zero value whereas many other investments have that possibility.
In the same way that the family home should not be regarded as an investment, gold is not really an investment per se, rather it is a form of 'saving for a rainy day' or of financial insurance.
It is to be taken possession of or stored with a secure third party and should not really be traded like stocks and shares.
One does not trade an insurance policy and thus as a form of financial insurance, physical gold should not be traded.
Gold bullion is the ultimate safe haven asset and a great way, if not the best way, of ensuring wealth preservation and for passing wealth from one generation to the next.
Once the solid base or core holding of gold bullion is achieved in a portfolio then other investments in gold such as mining stocks and mutual funds and other more speculative gold investments can be considered.
Buying Gold When buying gold, make sure that the gold you purchase is hallmarked with a specified weight and is certified for authenticity.
A very reliable supplier of private 999.
9 pure gold is a company in Switzerland, Agros-Heraeus.
They have retailers all over the world that give the option of purchasing gold and silver bullion bars and coins, individually or in bulk.
They also offer an opportunity for anyone to be one of their retailers.