Gold Investing

Article Sponsored By: Gold Coins

One of the oldest and most stable investments is gold. Historically, gold investing has been a method for saving value when local currency was losing value and allocating a portion of your portfolio to gold assets was similar to a financial insurance policy. There are several assets that allow you to hold this precious metal. You could buy gold itself, buy gold stocks, or buy gold derivatives such as futures and options . Whether you are a conservative investor or a daring speculator, there are abundant gold investment opportunities available to suit the unique risk tolerance of any potential gold investor.

Each year, the gold mines of the world produce about 2,500 metric tons of gold. Recently, this mined gold supply has been not been sufficient to meet the growing global demand for gold. Estimates today indicate that worldwide purchases of gold reach 4,000 to 5,000 metric tons each year. This recent imbalance in gold demand and supply has created an acute structural shortage situation and a steady increase in the price of gold bullion and related gold investments. However, prior to the past here years, gold investing faced a bear market since 1980.

Gold investments are traded in many markets around the world. Two of the most important world markets are in London and New York . At any time of the day or night a current market price is being established somewhere.

You can buy gold coins or gold bullion through a gold dealer or coin collector. I suggest you keep any gold you possess to be held in a safe deposit box in a financial institution. You can also buy gold that is held by a secure third party. Most large commercial banks will buy gold for your account. Because gold is a worldwide standard, you can find gold bullion prices on the Internet at any financial reporting web site or in any newspaper.

In an effort to eliminate some of the costs and risks of physically possessing gold investments, StreetTRACKS Gold Shares offers investors a simple opportunity to participate in gold investing. StreetTRACKSGold Shares are intended to offer investors a means of participating in the gold bullion market without the necessity of taking physical delivery of gold.

As a gold investor, you can buy and sell Gold Shares through the trading of a security on a regulated stock exchange.

Source: http://www.financial-guide-savvy.com/gold.html