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Investing in Gold and Silver – What Is Numismatics

When you are investing in gold and silver, you hear a lot about people telling you not to invest in numismatics unless you are looking for a new hobby or pastime. However, you might not be very well aware of what numismatics is and therefore you can’t figure out why they are such a bad investment. In order to better understand these coins and how they differ from traditional gold and silver investments, it is important that you take the time to learn a little bit about them before investing anything.

Numismatics refers to the gold coins that are created that are worth more than their own weight in gold. For example, you might have a small gold piece that is only worth $50 in gold price but because of its age, grade, denomination and/or rarity, it is worth around $4,000. This market is very unique because it has many factors that affect the value of the coin and those factors can change over time. Unlike gold bullion (coins or bars that are not graded and are only worth their inherent weight value), numismatic coins change significantly over time. Gold and silver bullion is a much more steady investment because the value is only based on the market value of bullion by weight, which means there are fewer variables and fewer risks.

If you were to spend $2,000 buying the gold piece mentioned above because it is predicted to be worth $4,000 in the near future, and then the collectibles market or the rarity of the coin changed due to some element, you could easily lose money. In the end, you could wind up with a coin that is only worth about $500 because of the current market situation for numismatics, which means you are out about $1500 in your investment. If you spend that $2,000 on gold or silver bullion instead, you will almost always get a better return on your investment in the future because the market price of precious metals is steadily increasing over time.

If nothing else, bullion at least holds value better than numismatic coins, even if it doesn’t gain anything. Therefore, you really need to take the time to consider your options. If you are looking to become a collector, numismatics is a great area to get into. If you are trying to protect your wealth with a secure type of investment, bullion is the obviously better solution.

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Investing in Gold – Understanding the Market

While gold is nice to look at and it makes great jewelry, it also makes a wonderful investment vehicle for people who need wealth protection. Protection investments are not uncommon among investors who understand the need to protect their assets over time. So many people talk about how safe gold is no matter what the economy looks like. Of course, while this is very true in most cases, there is the occasion where gold is actually not going to be the best investment in every single situation. You need to understand the market and learn about gold investing so that you can make the best move possible.

The current market in gold investing is based on people’s confidence in currency lacking in light of the recent economic recession. Also, the failing banks and stock market values have affected the price of gold significantly. People want a safer investment, so they choose gold. As more people invest, the value of gold increases substantially because there is a greater demand. In the past few years, the price of gold has increased almost double. That hardly happens, but gold actually has gone from $600 an ounce to well over $1,000 an ounce, which is quite a change for such a short time.

Gold is more stable than stocks and other investments. It has a better market outlook because it is a simple, tangible investment. At the same time, it also offers wealth protection, which is what makes it such a valuable asset to so many people. You need to take the time to learn about gold and what it can do for you. Keep in mind that graded coins (known as numismatics) are NOT a great investment if you are trying to turn a profit. While these are great for collectors and people looking for a new hobby, bullion is better for turning a stable profit.

Before you buy gold, you need to check it for authenticity. Buying bullion or scrap is easily the best way to go about investing in gold because it allows you to trust that you are getting pure gold as long as you get it from a reputable source. If you buy coins, they could be faked or gold-plated or mixed with other metals, decreasing their actual gold weight value. If you are careful about your selections, you can protect your wealth significantly by investing in gold.

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Gold Investing – Learning How to Invest Wisely in Gold

In the recession, people are looking for alternative investments that can help them to be more financially secure now and in the future. One of the options that is available to you as an investor, and yet is oddly often overlooked, is gold investing. During times of complete financial turmoil, gold actually happens to be a really popular investment vehicle. In recent years, in fact, gold has been rising to its highest price in several decades. Buying silver on the web is an option as well. It is important to consider that there are both benefits and drawbacks to any type of investing, and so investing in gold is no exception to the rule.

It is vitally essential that you do your homework when it comes to gold investing, and any other type of investing for that matter. This is going to help you to make sure that you are making educated and informed decisions about your investments. Gold traditionally moves in a different direction than the dollar, meaning that when the dollar should happen to decline in value, then gold generally begins to rally at that point. In other words, typically when the market is down for regular currencies, gold is soaring. Gold is not the same as paper money, it always has actual value and it cannot simply be printed.

Many investors are beginning to see that gold investing can be a safe-haven investment since it has maintained its value historically in situations where the dollar was not able to. Gold is much more likely to actually maintain its value, meaning that it can actually be quite a cushion for your savings in situations of inflation. There are always going to be drawbacks for you to consider when it comes to investment vehicles like this, so make sure that you are considering all sides of the situation before you make any investments.

There are several different ways that you can get into gold investing. If you have storage capabilities, then you can actually buy the physical gold, such as gold coins or gold bars for example. If you don’t have the type of storage that you would need to actually buy the gold you want to invest in, then you may want to go with EFT investments instead. Numismatic coins can be extremely collectible and you can typically purchase them from coin dealers. Here you will really want to do your research, comparing prices and exploring the different options that are available to you to make sure that you actually invest wisely.