How to Invest in Gold for Beginners
vemuda.com - Having a steady income doesn't mean your future is guaranteed. To ensure that your future becomes better, there is one action that should be taken early on, namely investment. Investing in any form is mandatory while you still have a steady income.
There are many types of investments to choose from, ranging from stocks, deposits, land, to gold. This last type is an investment option that is on the rise during the Covid-19. There are several ways to invest in gold that can be done.
Gold is not only popular as jewelry, but is also considered a very profitable investment option. What is the article? Because gold is an item whose price has a tendency to rise and rarely experiences a significant decline. One example is what is currently happening during the Covid-19 pandemic. The price of gold has increased significantly. Now gold is hunted as an investment tool so it is important for you to know how to invest in gold.
Due to its increasing popularity, many people are starting to turn to gold investment. There is no need to worry if you are one of those who want to invest in this precious metal but do not know how to invest in gold safely. But what exactly is a safe gold investment for beginners? Here's the review.
How to invest in gold safely for beginners
1. Determine the purpose of gold investment
Before you start investing in gold, make sure you know what you're investing for. A safe way to invest in gold is to know well the purpose of investing. Many goals can be targeted in investing in gold, whether it is for wedding savings, education, or old age investment.
Or for example, you have targeted that in the next 10 years you will stop working and start your own business. Then some of your salary will be set aside and invested in gold. If you already have a clear goal like this then you will know better how much gold to invest each month. That's the first safe way to invest in gold for beginners.
2. Monitor the development of gold prices regularly
The next way to invest in gold is to monitor the development of gold prices regularly. Nowadays, it is not difficult to monitor the development of gold prices. Many sites on the internet display the development of gold prices every day. Then there are also applications on mobile phones that can display the development of gold prices.
What is your goal in monitoring the price of gold? Gold, although known as the most stable investment tool, sometimes experiences price drops. Although it is rare, there is nothing wrong with buying it. Then when the price of gold suddenly jumps up, you also have the option to sell it later.
However, it should be understood that gold investment should be done for long-term investment, which is within 5-10 years. That's the second way of investing in gold.
3. Buy gold in a trusted place
The next way to invest in gold is to know where to buy gold. There are several places that sell gold bars for investing. But you should buy gold in places that sell officially and reliably. Official is selling gold by including the letters and certificates because there are gold sellers who provide the precious metal in a fast way but are not included with the certificate. Only the gold bars.
4. Safe gold storage
The next way to invest in gold that is easy for beginners to follow is to pay attention to the storage place. One of the tips or ways to invest in gold is that you also have to understand where to store gold safely.
The easiest thing is to store it at home in a safe or safety box. If you feel less safe you can also store it in a Safe Deposit Box (SDB) offered by the bank. Of course, if you choose to use an SDB, there are additional costs involved.
The price for using SDB is relatively dependent on each bank. In addition to gold, SDBs can also be used to store other valuable items and securities such as house or land certificates.
5. Focus on the future
The next way to invest in gold is to focus on the future. You must understand that investment is a savings for the future, whether it is short-term or long-term, which can be 10 to 15 years in the future.
So when making an investment, including gold investment, you need patience in seeing the results. Gold investment is very suitable as a long-term investment so that the results will only be felt at least 5-10 years in the future.
Remember, investing is different from buying and selling which aims to make a profit in a short time. Therefore, when investing in gold, you need to focus on your goals and the future you want to achieve. So, focusing on the future is a way of investing in gold that you can apply.
Those are 5 tips and ways to invest in gold that can be followed by beginners. Gold is still favored by most Indonesians as an investment tool. So it is important for those of you who want to invest to understand how to invest in gold.
As mentioned earlier, one of the reasons is that the price is fairly stable and even tends to rise. In addition to price stability, there are still several advantages in investing in gold. What are they? Here's the review.
Advantages of gold investment
1. Easy to cash out
The first advantage of investing in gold is its high level of liquidity or its easy to liquidate nature. This means that gold is easy to melt into cash if at any time you need cash for certain purposes. Compared to other investments such as land or houses, gold certainly has a higher level of liquidity.
2. Protect wealth
Next, investing in gold also means protecting wealth. This can be seen from its stable price that tends to increase. For example, if at any time there is inflation or an economic crisis, the price of gold tends to increase. This is very different if you only store money in cash. When economic conditions experience inflation or economic crisis, the value of the currency can weaken.
Those are the two benefits of investing in gold besides its price stability. After knowing how to invest in gold and its benefits, there is no harm in starting to invest in gold. The gold investment methods mentioned earlier are not difficult to implement.
One thing to remember is that investment in any form is important to ensure a better future. Apart from investing in gold, another investment option that can be used as an alternative is opening a savings plan at the bank.