Do you know, according to a survey done in 2021, a combined 10.8% of Americans owned gold while a combined 11.6 % owned silver?
Gold and silver remain the most prized assets for centuries. Both have managed to withstand the tumult and chaos of economic history.
With modern tech, gold and silver trading has shifted from physical to virtual trading. As a result, today most investors are looking for efficient ways to diversify their portfolios. But with rising inflation, most investors seem to pay attention to gold or silver prices.
If you plan on hedging your money or preparing for hard economic times, the question is: Is investing in gold or silver a worthy investment come 2022? If you have no idea, you are in the right place.
Here are reasons why you should invest in gold or silver in 2022.
They Are in High Demand
Silver and gold have managed to retain their value over the years. At no time has the value of gold or silver been down to zero over the years. This has made most investors hold gold or silver for years.
But due to environmental factors and safety reasons, the mining industry has been dwindling. As a result, miners are not actively mining gold and silver as they used to before. This means that the lower supply of gold and silver will lead to increased demand in the future.
Besides, gold and silver are some of the most demanded metals in the fashion industry. So, this might be an assurance that the value of these precious metals won’t decline any time soon.
In addition, due to uncertainties in financial transactions, savings, and investments, most industries are adopting the use of gold.
They Are Inflation Proof
Unlike other investments, gold and silver are not susceptible to inflation.
Whether the value of a currency increases or decreases, the value of these precious metals is never affected. Over the years, precious metals such as gold and silver have proven to perform well, even during economic devastation.
The value of these metals either increases or remains the same. So, if you want an investment that will either retain or increase value, gold and silver are good options.
But if you compare silver vs gold, the gold is more suitable for hedging. This is because gold has a higher value than silver.
They Have a Universal Value
Gold and silver are precious metals accepted all over the world. So whichever country you go to, gold and silver will be considered precious. In addition, the value of gold and silver is universal.
Whether in the USA or UK, the value of these precious metals is the same. If you invest in these metals, you will enjoy financial security even if you relocate to another country.
High Liquidity Rate
Gold and silver have high liquidity compared to other types of investments. In addition, both metals are highly valued and acceptable worldwide, making it easy to convert them to cash.
Besides, gold and silver don’t depreciate during inflation like other investments. Hence this makes them acceptable to other investors even during inflation. However, getting a buyer might be a challenge for other types of investments during inflation.
Gold and silver are easily accessible. You can buy gold coins from market dealers, banks, and bullion brokers.
Depending on your financial capability, you can acquire gold or silver. But to avoid losing your investment, ensure to deal with the certified and trusted market dealer and brokers.
Highly Valued Physical Possession
When you have valued possessions such as gold and silver, you will always be safe from a market crash, investment fraud, and internet blackout. In times of emergency, you can take your gold with you to safeguard it.
However, despite owning physical gold remaining a good choice, you must store it in a secure location. You should also ensure it is against theft. When you have insurance, you get compensated a certain value if it gets stolen.
Privacy
One shortcoming of modern investments is the lack of privacy. To invest, you have to involve financial consultants and other professionals.
This leads to time and money wastage. Besides, losing your investment to third parties is easy if they are scammers.
You can prevent this by investing in silver and gold. This is because only the buyer and seller are involved when a transaction involves these metals. Besides, external parties cannot assess your worth when you store your value in gold and silver.
Topnotch Generational Investment
Silver and gold are the best options if you have been thinking of the most secure investment to leave behind for your loved ones. Gold and silver don’t depreciate; hence, they can move from generation to generation without declining in value.
Besides, the value of gold and silver keeps increasing. This means your future generations will greatly benefit from the gold and silver you will leave behind.
Gold Requires No Knowledge
To successfully invest in bonds, stocks, and cryptocurrencies, you must have the required skills. You must keep track of the movement of these assets to determine whether to invest in them.
In most cases, you have to compare tedious chats and monitor bots to secure your investments. However, with gold and silver investment, it’s quite the opposite. You only need to purchase these precious metals from reliable dealers and store them.
Over time the value of the metal will either increase or remain constant.
Invest in Gold or Silver to Enjoy the Above Benefits
Gold and silver are some of the most prized assets that have managed to withstand the test of time. Their value continues to grow, making them the best investment option. Besides, they offer privacy and security, which are essential in investments.
If you are looking for a long-term investment, consider investing in gold or silver.
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