We have all seen during the last few years that the financial system is not at all stable. The whole of the financial system is under pinned by paper money which has no intrinsic worth. A government can decide to devalue the currency of a currency one day if it suits their purposes. Other things can take place, like the latest financial crisis that means that our paper money doesn’t go as far as it used to.
Another problem that people are finding now is that the money you put into a bank to save is coming out at the end of the year smaller than it went in. The banks are shrinking your money by giving a rate of interest that is smaller than the increase in inflation. I know that upsets many people especially when they see the bankers giving themselves big bonuses. You have to wonder at the cheek of bankers with the bonuses and they were just bailed out by the taxpayers too.
What can you do to have some sort of savings that will actually increase in value? I doubt if gambling money on forex is a good idea. Nor is it a great plan to buy stocks in a company when so many companies are going belly up due to this recession. There is only one place left for savings and that is in gold. You must have noticed all the little shops springing up offering to buy your gold off you. The age old metal that has an intrinsic value that also increases its worth in relation to paper monies of the world. Gold can be better than buying property more often than not. At least you will not be subject to the vagaries of the property markets with the inevitable boom and bust.
Gold prices can go down as well as go up when you look at the price of it on a daily or weekly basis. What you have to do is to look at the trend line for the last five years for the price of gold. It shows a very steady climb. On January 6th 2009 you could buy 1 kilo of gold for 20,680 Euro and now one kilo will cost you 33,313 Euro per kilo. You will have had an increase in value of over 50%. That is a very good return when you consider the interest being paid out buy the banks.
Buying gold bullion is easier than it used to be. You could buy jewellery but the gold is less pure and is not so good as a investment. There are coins you can buy if you want the gold physically but there is a cost in selling as they will have to be checked that they are the exact same as when minted. That will eat into the selling price when you want to cash in. The best option is to use a gold bullion exchange. The one that I have used successfully is BullionVault. You don’t take physical delivery of the gold and just pay a small storage fee. Then when you are ready to sell you will get the full value.
You will own proven, pure gold grams of approved bullion market gold bars. BullionVault have tonnes of gold that is owned by their clients which works out to about $1bn in client gold. So for gold investment I heartily recommend looking into BullionVault. if you are new there they will give you a gram of free gold. That was how I got started buying gold.