Why buy gold? Gold is often viewed as a recession-proof investment because it repeatedly increases in value when the stock market is experiencing a pullback. Adding gold to your portfolio can help you diversify your portfolio. This can help you more effectively weather a recession, but gold does not generate cash flow like other assets.
In times of inflation, gold is a safer investment, as it retains its value better than currency-backed securities, which may appreciate in value but fall in price. Gold is a better safety against a financial crisis. Financial experts often recommend that you have a portion of your assets in gold as a general rule of thumb. If your other stocks are lost in a crash, your gold should follow historical trends and increase in value.
Here are some of the many reasons why purchasing gold is a good investment. Owning gold could provide the ultimate insurance for turbulent times. It’s an age old question that people have asked for centuries: “Where is my money really safe?”
It is often said that there is never a bad time to own gold. It is a physical and timeless asset that can not be devalued in the same way money can, when any government simply decides to print more. Gold is a low-risk security asset for you and your family’s future.
The unpredictable nature of the world economy suggests that gold prices will continue to rise over the long-term, but they shouldn’t be the main reason for investing in gold.
Having gold in your portfolio is a unique and attractive way to spread risk among other investments, such as stocks, property and currencies.