If you were dealing in
several stocks till now and want to bring some diversity in your investment,
gold investment might be a good option for you. Investing in varied fields has
various benefits one of which is staying safe at time of market fall or imbalance.
Gold market is always considered as a better option when the rest of the stocks
are not doing well. The reason for this is that gold has an inverse relation
from all other stocks. There are various ways how you can make an investment in
gold. Here are some ways how you can make an investment in gold.
Ways to Invest in Gold
ETF (Exchange traded funds): ETF’s have helped to make several commodities
available to the average investors and gold in one of them. These are easy to
deal with funds with high transparency, low tax and less expensive too. ETFs
have a variety of types to choose one investment module out of them.
Stocks: Manu
investors would prefer to directly deal in gold stocks. The mining and exploration companies are more
into such stocks and an individual who wants to invest in gold stock can buy
those stocks from these companies. These companies provide you with strong
dividend options and unmatched liquidity for traders.
Gold Bullion: Investing
in gold bullion would be the easiest and the safest way to invest in gold. This
is where you directly invest in physical gold. However, when buying physical
gold it would be costlier depending on the amount of gold you are buying. There
are certain advantages of such investment though. It allows you to know exactly
where you have invested and keeps you aware of the present worth of the gold
bullions you own. Moreover, it provides you instant access to the metal you
have purchased at any point of time. The only hectic task that comes along with
the bought bullion is the safety issue. You may need a safe place to store
those gold bullions as gold is a precious metal. You can buy bullions as coins
or bars. Coins may range from one ounce to more. Bars are dealt by big
investors. Standard gold bullion is of 400 troy ounces. If your money is
burning a hole in your pocket there are larger gold bars too.
Futures: Futures
are not meant for normal investors as it is a rather complex way of investing
in gold. It was the original method of getting exposure to commodities. It is
one of the most powerful tools of trading if you are well aware of the trading
methodology.