IFYOUMUSTWRITE.COM – 5 Guides How to Invest in Gold: Gold or precious metals is a form of investment that is liquid and not easily eroded by inflation. Because of that, gold is one of the most popular investment alternatives. How to invest in gold maybe it sounds scary, but in fact it’s quite simple. Buy within your budget when the price is low, and sell when the price increases. As simple as that. But with the development of investment today, sometimes investment becomes more complicated. However, this does not preclude you from learning it.
How to Invest in Gold Starting Guides
If you are interested in how to invest in gold, get to know how to start a good and correct investment like the following so you don’t lose money in the future.
- Set Goals
Before starting anything, you need to have a goal. Instead of investing, everything needs a goal. Imagine a running race but you don’t know the final destination. Are you looking forward to taking part in the competition? Do you believe you’ll be able to pull it off? Doing something without a goal has a high probability of failure. Why? Because you seem to be doing something without the satisfaction of achievement.
Thus, it is important to determine your goals before you know how to invest in gold. Consider carefully what you hope to gain by investing in gold. But don’t forget to always set real goals, aka reasonable ones. Goals that are lofty and impossible to achieve will only extinguish the enthusiasm to achieve them.
- Determine How Much Gold to Collect
After knowing the goal clearly, go to the next stage, which is planning. This planning is to determine how much gold must be collected to achieve that goal. For example, how to invest in gold for the education fund of your child who will be pursuing higher education in 10 years. You need to calculate the estimated education funds needed including the inflation factor. Thus, the value that must be achieved in the next 10 years will be obtained.
The next step is to divide this value by the estimated price of gold in 10 years. If that’s not possible, divide it by the current price of gold, but provide a reserve to cover any shortfalls. (With the pessimistic assumption that the price of gold will fall, but the tendency for gold prices to increase steadily).
- Determine how much gold to buy per period
Now is the time to determine how much gold to buy per period. Assuming the unit of time used is months, then you need to divide the amount of gold that was obtained in 120 months (10 years = 120 months).
- Think Storage Factor
After having the right plan and strategy to meet the needs of education funds by investing in gold, you must now start doing it. But a new question reappears, where do you want the gold to be stored? Put it under the pillow? High risk of loss. You need to carefully consider this storage factor so that gold is safe and easy to reach.
- Do it without the help and interference of others
The last guide on how to invest in gold is to always do everything yourself. Considering this is personal interest, involving other people will only cause jealousy and can end negatively for you. Even if other people offer help, always monitor it and don’t carelessly entrust gold investments to other hands. Only in this way can you invest properly and correctly. For example, now many MLMs offer gold at low prices or enormous cashback. It does sound interesting. But you will never know whether such investments are bogus or not. If you are deceived, what you have saved can just disappear.