Why invest in Gold?
Investors normally buy gold or invest in gold for two fundamental reasons:
- Hedge or Safe Haven (Store of Value) – An investment in gold is known for being an excellent financial hedge or safe haven against adverse economic, political and social changes. Gold has proven time and time again that its an unbeatable store of value during the most trying of times.
- Wealth Accumulation – An investment in gold has proven to be an excellent means of accumulating wealth. Prudent investors normally buy gold (or invest in gold) during a bull market or market upswing when it is more affordable to do so. The reason for doing so is because the gold price has a tendency to increase substantially during a bear market or downward swing. In addition to this, the value of gold steadily increases over time, which makes an investment in gold an excellent means to accumulate wealth.
Other reasons why investors should invest in or own gold include: