If you would have purchased 10 grams of gold at Rs. 4,400 in 2000, you would have at least Rs. 31,000 today. The amount is almost 3 times of what you invested.
Does that ring a bell? It’s never too late to start investing, especially when you’re talking about precious metals like gold and silver. Here are 10 basic but worthy reasons why you must always keep a portion of your savings in the form of gold and silver.
1. Stability
In an unstable, shaky stock market, gold provides a constancy to your investments. Also, if you want even lesser risk and more stability buy gold more than silver as silver is more volatile than gold. In 2011, gold fell by 44%, silver followed suit, but fell lower by 68%.
2. Security
Gold is a permanent store of value. No matter what, it will always be there. If you’re scared of the risk of theft and the like, buy gold with Augmont app and your gold will be stored in secured vaults.
You can install the Augmont Gold app here.
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3. Scarcity value never goes down
There is always high chance gold and silver prices will keep on rising because of the scarcity factor. This is also valid because both these metals have practical and industrial uses as well. Thus, the scarcity value of gold and silver never goes down.
4. Selling is easier than other assets
In the times of need, selling gold and silver will always be a lot easier than selling a piece of land or shares.
5. Portfolio diversification
With myriad options of investments, gold is one thing you can trust with your eyes shut. However, the bigger advantage here is portfolio diversification and balance.
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6. Even if it falls, the fall will never be as steep as your other assets
We all recently saw the cryptocurrency bubble burst. One can be sure that gold is real money, which will help you come out of any financial troubles when the paper money leaves your back.
7. Gold can be your crisis currency
It can be your flight to safety in unstable market conditions. Like other investments, you can sell gold off when you see profit, and also, or let’s say especially, in your time of crisis.
And what can be better than a universally accepted money that is always by your side.
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8. The intrinsic value of precious metals
Gold and silver will never fail as such, and always have an intrinsic value that no one can take away.
9. Increasing Industrial usage
The industrial use of gold and silver is always increasing. Silver’s highest demand is in the area of industrial uses such as electronics and medical applications. Smart phones also have gold in them, which makes the demand soar every day.
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10. An investment outside of the banking system
“Never put all your eggs in one basket” is a rather smart saying. You must always have something other than just your bank account, for the time of need. Gold can be one of the best things to diversify your savings in.
Share your investment thoughts and opinions with us in the comments section. You may ask questions that arise in your mind with regard to investing in gold and silver. Our experts would be glad to help you out.