3% and 5%, owning Gold is seen as intelligent. And then there are those who simply believe the price of gold will always rise, which makes it the safest long-term investment in the world. The most obvious way to invest in gold is to purchase it as a physical asset. One risk of owning Gold is that if mining technology advances more rapidly than Gold demand, prices will fall, at least until demand catches up. Since his election and confirmation by the electoral collage, we have been busy in research. If we look at historical charts for guidance, we can conclude that the price of gold is almost certainly going to be higher in ten or twenty years than it is today. Another advantage to putting your money in an Exchange-Traded Fund is the fact that the fund manager is going to employ various buying and selling techniques to maximize the returns of the fund. Investors can buy stock in precious metal mining companies, or buy shares of Exchange Traded Funds (ETF’s), or buy shares of precious metal streaming companies or buy actual gold or silver bullion. You only invest when you think there is some element of mis-pricing between current prices and intrinsic market values. If you ever talk with a broker or a financial analyst, they are going to play up the inconveniences of investing in gold, but they are not going to tell you about how easy it is to buy some for investment purposes. They are not going to make any money if the bulk of your investment portfolio consists of physical gold, but they do have much to gain if you are buying stocks and bonds through them. There are plenty of dealers around the United States who are happy to sell gold, whether it is in the form of jewelry, coins, or bullion bars. In fact, the price of gold often goes up during such periods, because more people turn to such physical investments as they lose their faith in the financial markets. What makes the price of Gold so interesting is that unlike, for example copper, it is not driven primarily by industrial demand. Since it measures risk as volatility “beta”, your profit “alpha” can be maximized by owning different sectors and companies. Yvette Marshall from Houston, Texas on September 21, 2016: Dougwest1 thank you for an informative piece. In many Asian countries, holidays and other major celebrations are filled with the exchanging of Gold and Silver. Now move forward to 2010 where the average price of gold was $1118 per troy ounce. If you want to grow truly wealthy, then you want to buy an asset that produces a passive income while you own it so that you can then buy other assets that make you even more wealthy. We have assessed the pros and cons of investing a large chunk of your savings in physical gold bullion. Apparently humans assign value to gold since it has been a medium of exchange for 5,000 years. Of the four methods for buying precious metals, I would recommend investing through ETF’s or metal streaming companies. What is my gold bullion worth? One gold ETF that is commonly traded is SPDR Gold Trust with a stock symbol of GLD. Deposit them in Scotia i trade account. Counterparty Risk on All Levels While gold ETFs can be a fine investment, they come with a lot of counterparty risk inherent in their chain of custody. Whether you invest in 1oz, 100g or 1kg – you are allocated the corresponding fraction of a much larger bar. Larry Rankin from Oklahoma on September 21, 2016: Very interesting and well thought out analysis. If the world sees a “taking things slowly” attitude prevail, Gold will likely see a presumptive push upwards in value. 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