If you are looking for an investment that will protect you against future financial crises, and will remain solid in the face of inflation, UK bullion may be your best bet. Unlike investing in the stock markets, which fluctuate constantly and are entirely dependent on the exchange rate, gold remains fairly stable at all times. Granted, the price of gold does have its minor ups and downs, however it is the one precious metal that has stood the test of time.
Holding a gold investment is a fantastic way to diversify your assets . If you have a finger in several pies, you are guaranteed to be pleased with the results further down the line. There is no strict rule as to what percentage of gold any one person’s portfolio should contain. In fact, there are many investors who stick to precious metals alone.
Gold as the World’s Most Valued Precious Metal
For centuries, gold was used as a universal currency throughout the globe. While it may no longer be used as a primary form of currency, it still is still considered to be a lucrative long-term investment. It is interesting to note that almost all the gold ever bought or traded is still in circulation today — proving that it maintains its value over time.
Although the price of gold may drop by a fraction every now and again, economists maintain that its value holds strong. This is largely due to the fact that there is a limited amount of gold in circulation. Unlike modern currencies which are, in essence, “flat” and do not hold any real value, gold is a highly lucrative commodity.
Cash investments tend to be problematic in the face of inflation. When inflation takes hold many world currencies drop in value. When inflation becomes problematic, gold tends to increase in value. Any investment that manages to hold its own against inflation is worth looking into.
Consider the fact that gold is used in the production of various items across the globe. If there is an increase in demand for any of these products, the price of precious metals will increase. Jewellery and electronics are almost always in high demand, which further cements the global need for the valuable precious metal.
Gold Price Per Gram UK
The carat price (price per gram) of gold may vary slightly from time to time. Currently, however, the carat price of gold in the UK is particularly high. It is fairly easy to find the correct prices for 9 ct, 18 ct, 22 ct, 24 carat gold online. Naturally, these prices are entirely dependent on supply and demand ratios. Smart investors will always keep a finger on the pulse of these prices, investing when prices are lower and perhaps selling when prices peak.
International political events often influence the value of conventional investments and stocks. The price of oil, for example, tends to sky-rocket with any potential threat of war — particularly in the case of the United States and the Middle East. A gold investment is most certainly considered to be a safe haven for investors who need a smarter, safer way to look after their finances.
Investing in UK Bullion
While some people are perfectly comfortable to invest in “paper” gold in the form of company stocks, there are those who feel that a physical gold investment is safer. Exchange traded funds are another popular option, however these tend to fluctuate rather dramatically and as such are better suited to more experienced investors.
It is generally much smarter and more financially viable to invest in physical gold bullion. The advantage of investing in physical bullion is that investors are fully aware of the value of their investments, prices are relatively standard, and the gold is kept in a secure vault at all times. Knowing that your assets are 100% secure and safe from market instabilities is most certainly a plus.
Investing in gold also has significant tax advantages. In the EU, purchasing gold as an investment means that investors are exempt from value added tax. This means that there is a possibility of boosting one’s investment value instead of calculating the extra costs involved with VAT.
When buying gold it is important to choose a reputable gold company, and to ensure that you will receive a certificate of authenticity with your purchase. Keep an eye out for customer reviews as well, as this is probably the best way to gauge whether or not you will be getting the best possible price and service.
It may be a good idea to do a small amount of online research, perhaps even contacting potential investment companies in order to see whether or not their brokers are helpful and forthcoming with information. Brokers play a huge role in the investment process, as they are responsible for all the paperwork and the safekeeping of the investment.
The Real Asset Co Ltd
8-9 Talbot Court
|(203) 287 8130|
BullionVault (Galmarley Ltd)
Landmark House (12th Floor),
|+44 (0)20 8600 0130|
Centre City Tower,
7 Hill Street,
|(0121) 634 8060|