How to Invest in Gold?

First ask yourself these questions before you invest in gold. Why gold? Why not stocks? What is the best way to invest in gold?

Why Invest in Gold?

Most of us appreciate intuitively that gold has been highly valued at least as long as recorded civilization. In about 3000 BC, according to Egyptian lore, gold was cherished by the Pharaohs. In fact, gold capstones were placed on two of the pyramids. The crowns of kings have been fashioned from gold. The most prestigious award for the various Olympic games, as far back as 800 BC, has been a gold medal. In many cultures, gold has been used as a symbol of marital commitment in wedding ceremonies, whether with a simple gold ring in Western countries, or as an adornment on a bride’s wedding dress in India.

Gold’s history, then, predates the very first stock exchanges around the world by centuries. Over time, we’ve automatically come to trust the value and durability of our investments in physical gold.

How to Invest in Gold vs Stocks

The question remains — why should you invest in gold rather than stocks? After all, stocks are a widely accepted means of investment.

For sure, many investors have done very well in stocks. The Dow Jones Index and the S&P 500 have performed well. But you should always remember a stock could go to zero.

Take Enron, for example. A darling of Wall Street shortly after its formation in 1985, the multi-billion-dollar Houston energy company found itself without assets, and filed for bankruptcy in 2001.

The price of gold, on the other hand, has never declined to zero. Although gold’s price may vary, an investor can always depend on the yellow metal to retain value.

To maintain a well-balanced portfolio, don’t plan with the idea of gold vs stocks. Plan instead with the idea of gold and stocks. Use physical gold to hedge or fortify your stock portfolio.

This strategy can work well for you because gold and the U.S. dollar frequently sustain a negative correlation. And the stocks of U.S. companies are most often priced in dollars. Gold, then, often works as an automatic hedge that will protect your stock portfolio during temporary dips in the stock market.

The Best Way to Invest in Gold 

If you decide to invest in gold through the purchase of mining stocks, you’re automatically taking on the costs of mining gold. The better way to invest in gold is to buy the physical metal in the form of gold coins and bars in real time. In other words, invest in gold at a price close to what it trades for on the open market – the “spot price.”

Through Red Rock Secured, you can purchase gold coins and bars discreetly and securely for home delivery. Or you can opt for depository storage.

Should you choose depository storage through Red Rock Secured, you can feel confident your gold and other precious metals products are backed and insured by Lloyd’s of London.

To get started on your gold investment immediately, call Red Rock Secured at 844-824-5051, and ask to speak to a representative or get started with a Gold IRA here.

About the Author

60 Years Experience


By clicking the button above, you agree to our Privacy Policy and authorize Red Rock Secured or someone acting on its behalf to contact you by email, text message, pre-recorded message, or telephone technology on a recorded line, for marketing purposes. Consent is not a condition of any purchase.