How Gold can Save You and Your Finances?

Gold is a highly valuable and sought-after precious metal. In fact, gold has been engraved deeply in our cultures for as far as man can remember. Coins that contain gold had first appeared somewhere around 800 B.C. While the first coin made from pure gold were struck throughout the reign of King Croesus of Lydia for approximately 300 years later.

Time-Tested

As centuries go by, people kept holding onto gold for a number of reasons. Societies and today, economies valued gold so much which boosted its worth tenfold. It’s a very popular metal that we often fall back on when other kinds of currency fail to work. Meaning to say, it has always some form of insurance towards difficult times. In the next lines, you are about to learn about smart reasons why owning gold is a wise investment.

In comparison to coins, paper currency and other known assets, gold was able to keep its value throughout the years. People view gold as a means of passing on and preserving their wealth and pass it on from generations.

From the beginning of time, people immediately noticed the unique properties of gold – like the fact that it does not corrode and it could be melted over common flame which makes it easier to work with it and stamp as a coin.

Aside from that, gold has beautiful and unique color compared to other known elements.

Weakness in US Dollar

Despite the fact that US dollar is among the important reserve currencies of the world, when its value falls against other currencies like what happened between 1998 and 2008, this usually prompts investors to seek gold’s security, which then boosts its prices. As a matter of fact, during the same period, the price of gold almost tripled reaching over a thousand dollars per ounce in early quarters of 2008 and almost doubling between 2008 and 2012 making it hit the 1,800 to 1,900 dollar mark.

Inflation Hedge

Historically, gold has been a remarkable hedge towards inflation due to the reason that its price has a tendency to rise when there’s an increase in cost of living. For the past 5 decades, investors have observed how gold prices soar and stock market plunge throughout inflation years. This is when fiat currencies have lost its buying power to inflation, it then pushes gold’s prices to rise.

With these things in mind, many people and investors alike are convinced to make an investment to this precious metal. If you too are considering to make such investment, checking out reliable resources lets you view other options to grow your money even in these times of pandemic.