Everyone loves making quick money. Investing in gold is one of the best ways of making quick money. This new investment has gained popularity in the recent years owing to the amount one can make in a short span of time.
Earlier people tended to buy gold from shops and showrooms using cash as a method of payment. But, this has drastically changed in the recent years. Recent advancements in technology have led to an ease of making digital payments and people have gotten more acquainted with it. We now have computerized programs helping people invest in gold. Buyers today prefer to transact using these applications as it is hassle free, convenient and a safer way of buying gold.
To make money in gold, one needs to learn some basics. After learning the basics, you will slowly learn the intricacies of the field with time and will become an experienced gold buyer.
Here are some basics you should know before investing your hard-earned money in a pot of gold.
- Always check the latest prices of gold before buying it. People with lack of knowledge on the subject are often fooled into paying a large amount.
- Learn about the weights referred to when dealing with gold. The weight of a gold coin is generally one troy ounce. Troy ounce is a unit of weight used when dealing in precious metals and is different from an ounce.
- Gold coins are classified into two types, bullion, and numismatic coins. Buyers prefer dealing in bullion coins and bars.
- Gold is a soft metal. The higher the purity, the softer it gets.
- 1 Troy ounce = 31.103 grams (approx.)
- 1 Ounce = 28.349 grams
- Since the market for gold is huge, the chances of you being duped are also high. Before buying gold online, do a thorough research and gather as much information as you can about the seller.
Why Should I Invest In Gold?
This is a common question asked by people who have no idea about investing in gold. Here are some reasons why you should invest in gold:
- Gold is often referred to as the “crisis commodity” as it outperforms other investments in times of a financial crisis.
- The demand for gold has been ever increasing. This ensures that you will be able to sell your gold quickly when you intend to.
- Gold has maintained its value for ages. Since time immemorial, man’s love for gold is evident. This makes it a good investment.
- Gold is tangible. Unlike other investments, people here can actually see what they invested in and this gives a sense of satisfaction and relief.
- The prices of gold have shown an increase significantly over the last decade. They have also maintained stability when the stock market fell. This is another major reason to invest in gold.
- Never buy too much gold at once. Always begin with small investments and sell it when the market is good. Stocking of gold is not advised.
- Do not buy everything made of gold. All items made of gold don’t fetch you the same price, so it’s advisable to invest in pure gold coins or bars.
- Don’t sell your gold to anyone making attractive offers as they might dupe you. These people generally promise of high returns and take your gold for a much lesser price.
- If you plan to start investing in gold, do make sure you do not make these common mistakes which rookies do.
- Now you know why experienced gold buyers make more money than those investing elsewhere. Gold as an investment has pretty good returns, is safer and more reliable when compared to the other available options.