Historically, gold has always been regarded as a good investment to make, especially in an uncertain economy. The world economy has never been as uncertain as it is now. According to the World Gold Council, the amount of bullion bought by gold buyers in the first quarter of 2017 rose by 9 percent compared to the numbers in the first quarter of 2016. The numbers seem to have risen more in Europe, which has seen a lot of political and economic upheaval. This trend is spreading across the globe as more investors seek safer assets to invest in.
There are several reasons why buying gold is a good investment:
– It’s an excellent way to hedge against fiat currency.
– Gold is a great reserve to have when you find yourself in situations where cash has limited value
– Storage of wealth and protection from Government
– Gold has been a great way to secure your money and to ensure that you have assets whose value does not depreciate because of economies. Gold is a universal currency that is valued by all governments and most cultures
Now that you have this physical asset how easy is it to sell? Finding a buyer to sell gold to has never been easier, but it is also very risky. There are a lot of buyers out there who will try and scam you out of your gold. Scammers are able to dupe people because most people don’t really know how to sell gold. Having someone who will buy your old or broken gold sounds like a good deal for someone who is desperate for cash. These dealers capitalize on that feeling of desperation and needing to make cash as easily and quickly as possible. Australia has had its fair share of gold scams and unscrupulous gold buyers.
You always hear about the scams that involve people being sold gold that turned out to be fool’s gold. How about the gold from Africa, where someone claims to have a large amount of gold they can’t sell in their country as a result of some political red tape. Just last year, the Australian Tax Office (ATO) made an announcement that there was a GST gold buying fraud that was costing the taxpayer more than half a million dollars. Turned out it was just bad law written by government.
This goes to show that governments have no business in the marketplace. The slightest distortion from government can affect the economy as a whole. This is one of the reasons why you should own gold when the price is right and also let go and sell your gold when the price is right.
Building a relationship with your local gold buyers you can help protect your wealth and hard earned savings. Once you have a relationship with your local gold buyers you can actively buy and sell gold jewellery or gold bullion and fetch a better price in doing so.