Posts Tagged ‘gold’

Investment Opportunities for the Coming Decade

Tuesday, October 11th, 2011

According to projections from industry analysts, three of the best investment opportunities for the next ten years may include gold, silver, and food.  These projections reflect the growing economic uncertainty becoming commonplace in many areas of the world.

Food as an Investment

All three of these investment opportunities are commodities, with food being the least specific as many different kinds of food are traded in the commodity markets.  This makes buying food futures as an investment strategy somewhat hard to implement.  Overall food price levels may rise but if, for example, sugar happens to decline due to local factors such as a particularly favourable growing season producing a bumper crop, those who invested in sugar will be left out of the general increase in food values.

Food is also a challenging investment option because its nature makes it difficult to hold directly for long-term investing.  Foodstuffs, after all, are organic products that are subject to decay.  Food investors must usually purchase investment vehicles rather than the product itself.

Precious Metals as an Investment

The situation is different with precious metals such as silver or gold.  The worldwide gold price is not subject to regional variations as food prices can be, and since precious metals do not decay, investors can purchase gold bullion and store it in a safe in their homes if they wish.  This investment strategy also has drawbacks, of course, the chief one being the possibility of theft.

One solution to the theft problem is to buy gold online.

Using this strategy, investors work with an online firm that helps them access various bullion markets around the world.  Such firms provide their clients with information about the current gold price, assist them with buying and selling as needed, and even help them store their precious metals investments in secure vaults in cities such as London, New York, and Zurich.  Clients who decide they would prefer to hold their gold directly usually have the option of withdrawing their bars at any time.

Buying gold online can also have other advantages.  Trading in coins, for example, may require investors to purchase gold in very limited quantities such as the quarter-ounce.  Investors who wish to purchase large quantities of gold may need to complete dozens of transactions, but working with an online firm enables clients to purchase any quantity of gold bullion they wish, any time they want.

With economic uncertainty increasing, investors should begin to consider which types of financial vehicles will best protect the value of their assets in the years to come.