Humans have cherished gold more than any other precious metal throughout history. For centuries it was used as legal tender and it backed legal tender in the United States. Gold adorned kings, pharaohs and in recent years became a sign of opulence among the world's very wealthy as they coated cars and weapons with the expensive metal. Human beings have been attracted to gold throughout the ages and this trend shows no sign of stopping any time in the near future.
When times get tough economically, banks, countries and wealthy individuals often turn to gold to preserve their riches. Gold gives people and societies the security of knowing that no matter what happens in the world, they will still be wealthy. While money in the bank can suddenly become worthless in times of trouble, gold in the hand will always be able to buy you the things you need to survive and live the life you have grown accustomed to. People might think that we're crazy to think this way or prepare for something that might never happen but it's often better to be safe than sorry. There are many countries where after a war their currency becomes as worthy as the paper its printed on. It is the wise investor who is prepared and the savvy person who is realistic about the future possibilities and invests at least a portion of his savings in a material that will hold its value as well as be liquid enough to turn into money no matter where he is in the world.
There are some that feel that gold simply lacks the liquidity that other investments have. Stocks can be sold quickly and money in a savings account can be withdrawn easily. Owning gold is probably difficult to turn into spendable cash, right? Actually, precious metals are very liquid and it is possible to exchange gold for currency in many countries. You would simply walk into a bank with your gold and ask for it to be exchanged for money. Selling your gold back to the source of your investment or another investor is also an option and this is often the route that most owners go when they decided to liquidate their portfolio or a portion of their investment. Gold is actually more liquid that many other investment vehicles.
Many other traditional investment vehicles such as antiques, art or real estate are actually less liquid than gold. Even though real estate has been historically a very solid investment that rarely loses value, your ability to liquidate this asset quickly while preserving any gain is very difficult to do in any situation other than a booming market. Real estate might be a great way to invest but in the event of a market collapse it lacks the liquidity and security that you might be looking for. Gold doesn't have this problem and it is as liquid as stocks, when you delve into this investment.
Gold is often viewed as one of the most stable and logical long term investments. While there might be days, weeks or months when the price of gold goes down, overall, gold retains its value and historically goes up in value over time. There are people that trade gold the same way that people trade stocks. They buy and sell gold short term hoping to ride the highs and lows in the market. Overall, though, most investors look at gold for security as well as a way to avoid inflation that is prevalent in an economy where money is printed and injected into the economy, this making the existing money worth less. All of these aren't the only reason why we might want to invest in gold.
As children, many of us played games or imagined that we were kings and queens. We ruled the land and lived in castles. Part of that fantasy or role playing probably involved wearing a gold crown and other finery. Others bowed down before us and we were admired. We had rooms filled with riches which included a lot of gold. Even many of our fairy tales revolved around gold. We were Midas with his Midas touch or we read about Rumpelstiltskin who turned hay into gold. We dreamed of gold and we knew that it was a sign of wealth, prosperity and security.
It very well might be your secret desire to have at least a little gold of your own to give you that feeling of security. You will probably show it to your friends or when you're feeling uncertain about the future you can feel it in your hands. No other substance on earth can give you that feeling and no other metal is so widely recognized as being valuable. While you might logically desire the stability and security that gold affords you, nourish that kid inside, smile and remember these words the first time you hold your own gold in your hands.
When times get tough economically, banks, countries and wealthy individuals often turn to gold to preserve their riches. Gold gives people and societies the security of knowing that no matter what happens in the world, they will still be wealthy. While money in the bank can suddenly become worthless in times of trouble, gold in the hand will always be able to buy you the things you need to survive and live the life you have grown accustomed to. People might think that we're crazy to think this way or prepare for something that might never happen but it's often better to be safe than sorry. There are many countries where after a war their currency becomes as worthy as the paper its printed on. It is the wise investor who is prepared and the savvy person who is realistic about the future possibilities and invests at least a portion of his savings in a material that will hold its value as well as be liquid enough to turn into money no matter where he is in the world.
There are some that feel that gold simply lacks the liquidity that other investments have. Stocks can be sold quickly and money in a savings account can be withdrawn easily. Owning gold is probably difficult to turn into spendable cash, right? Actually, precious metals are very liquid and it is possible to exchange gold for currency in many countries. You would simply walk into a bank with your gold and ask for it to be exchanged for money. Selling your gold back to the source of your investment or another investor is also an option and this is often the route that most owners go when they decided to liquidate their portfolio or a portion of their investment. Gold is actually more liquid that many other investment vehicles.
Many other traditional investment vehicles such as antiques, art or real estate are actually less liquid than gold. Even though real estate has been historically a very solid investment that rarely loses value, your ability to liquidate this asset quickly while preserving any gain is very difficult to do in any situation other than a booming market. Real estate might be a great way to invest but in the event of a market collapse it lacks the liquidity and security that you might be looking for. Gold doesn't have this problem and it is as liquid as stocks, when you delve into this investment.
Gold is often viewed as one of the most stable and logical long term investments. While there might be days, weeks or months when the price of gold goes down, overall, gold retains its value and historically goes up in value over time. There are people that trade gold the same way that people trade stocks. They buy and sell gold short term hoping to ride the highs and lows in the market. Overall, though, most investors look at gold for security as well as a way to avoid inflation that is prevalent in an economy where money is printed and injected into the economy, this making the existing money worth less. All of these aren't the only reason why we might want to invest in gold.
As children, many of us played games or imagined that we were kings and queens. We ruled the land and lived in castles. Part of that fantasy or role playing probably involved wearing a gold crown and other finery. Others bowed down before us and we were admired. We had rooms filled with riches which included a lot of gold. Even many of our fairy tales revolved around gold. We were Midas with his Midas touch or we read about Rumpelstiltskin who turned hay into gold. We dreamed of gold and we knew that it was a sign of wealth, prosperity and security.
It very well might be your secret desire to have at least a little gold of your own to give you that feeling of security. You will probably show it to your friends or when you're feeling uncertain about the future you can feel it in your hands. No other substance on earth can give you that feeling and no other metal is so widely recognized as being valuable. While you might logically desire the stability and security that gold affords you, nourish that kid inside, smile and remember these words the first time you hold your own gold in your hands.
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