No one can deny that gold’s popularity has surged since the Great Recession started. There are more people buying and trading gold, but a large number have no idea what they are doing. In this article we will share advice that will help anyone who wishes to invest in gold.
Know the meaning of different karat weights when buying or selling gold. Twenty four karat gold is worth more than fourteen, which is worth more than ten. If you understand the differences, you can make sure that you buy or sell for a fair price based on the true value of the piece.
If a deal seems too good to be true, then it probably is. Be leery of people who are selling their gold for way below the going rate. Chances are probably good that it is gold plated or brass. Even if it is stamped, it is always best to have it tested before you buy it.
If you are thinking about selling some of your gold jewelry, know what the going market price for gold is. You will then be prepared to negotiate. While dealers often give you market value, some are used to sellers wanting quick cash.
Consider futures trading if you have an interest in gold investing, but not a lot of cash. You can visit a local commodity trading firm and open a new account. The best thing about futures is that you can control amounts that far exceed what you actually have on hand in terms of cash.
Research gold buyers. If you decide to send your gold out of state, make sure your package is certified and insured. You will probably feel more confident selling your gold to a reputable local business that has a storefront. Either way, you should check with the Better Business Bureau.
If you’re going to get into gold, plan ahead for it. As fun and rewarding as it may be, accumulating wealth is also a very stressful thing if you’re not prepared properly. Consider things like storage and insurance long before you get your hands on any gold, and avoid unnecessary headaches and worry.
Remember that gold is not the only type of precious metal that you can invest your money in. Sometimes silver and palladium can actually be better investment that gold. In addition, you can also buy copper bullion bars and copper coins. Therefore, do not think that gold is your only option if you are looking to invest in metal.
When attending a gold party, watch the representative carefully. Your natural instincts are often correct. If you feel like the person is being genuine with you, they probably are. If, however, you feel like the individual is holding back a little, you may want to wait and sell your gold to someone else.
Do not purchase gold jewelry with the idea that it is an good investment. Because the gold in jewelry is not pure, it is unlikely it will ever be worth its purchase price. A much safer choice for investing in gold is to purchase gold coins, bullion or gold stocks.
When buying gold jewelry online, make sure to get written confirmation of your delivery date before finalizing the deal. Ideally, delivery should take place in a very short period of time. If it will be delayed, find out why and for how long. This protects you as the consumer, and it gives you information that would stand up in court if necessary.
To get the best deal and to protect yourself, always research the buyer of your gold. This is very important, especially if you’re mailing it to someone that doesn’t live in your state. Gold buying companies should be listed with the Better Business Bureau, where you can see if any complaints or issues have been filed against your buyer.
Consider throwing a “gold” party in your home for friends and neighbors. Tupperware and Avon parties have been replaced by gold events hosted in many areas. Invite friends and colleagues to your home to have their gold items appraised for free by a reputable local appraiser. Once appraised, they can exchange the item for cash or decide to shop elsewhere. For your time and effort, the appraiser would pay you a commission based on the amount of gold that is sold. Look for appraisers who have direct experience with such events since they will have developed the skills needed to keep the mood light and comfortable.
If you happen to be just starting out with gold, do not make things complicated. Don’t venture into complex investment strategies like gold futures right away. Futures are not only complicated, but they tend to change. When you don’t know about gold, you could end up losing tons of money. Let more experienced investors get into such complicated transactions.
If you plan on buying and selling gold often instead of making a long-term investment, consider buying GoldMoney or gold certificates from the Perth Mint. These are highly liquid forms of gold investment. The benefit is that you don’t have to worry about storing, insuring or mailing bulky gold coins and bars.
If you want a quick way to invest in gold, consider ETFs. You can buy them just like shares, and you are able to buy or sell them at any time you wish. They are backed by physical gold and the management fees are quite low. They are a great way to make a short-term profit on your investment.
Use dollar cost averaging to limit your risk in gold investing. That means putting a certain amount of money aside for gold investing each month. That way you buy at low and higher prices and don’t try to time the price. Over time, this insures you get a good price and limits your risk.
Following the global financial downturn, gold has become even more popular and important as an investment tool. When you have the correct information, you can invest in gold and make a fortune over time. This article has given you tons of advice, so make use of it.