Advice For Smart Gold Investment

Gold coins are almost guaranteed to have long term growth even though the rate of growth is slower than other types of investment products. Gold is not affected by consumer speculation, corporate irresponsibility, and other negative factors that can drive down stock prices. The reason gold is unaffected by these factors is that it is a world standard that has value and is used as backup currency in all countries and banks.

Those who put their money in bonds and stocks do not receive anything tangible to show for their investments except for yearly paper statements. While these types of investments are great to add to anyone's portfolio, tangible investments are also a great investment that gives a portfolio balance. Buying gold coins is fairly easy and can be purchased on the internet or through sellers in-person.

The fact that they are easily available and do not require the services of a broker make these coins beneficial to anyone looking to diversify their portfolio. In many cases, the average fee is approximately $10 and that does not include the 25% or more in commission they may take for profitable sales. However, these fees do not exist for those who decide to buy gold instead, which allows gold investors to put more of their money into their investment.

Because of uncontrollable fluctuations experienced by US currency, the United States decided to create the Gold Standard Act in 1900 as a way to determine gold prices and better control currency fluctuations. In other words, US currency was directly attached to and affected by the value of gold. However, former President Richard Nixon decided to remove the ties that bonded US currency to the gold standard as the Vietnam War and other international factors caused a huge decline in gold reserves.

Since the two were no longer connected, gold is now priced in the free market, allowing it to become increasingly valuable and useful for investors across the world. Although there have been some ups and downs in the 39 years that US currency has been released from the Gold Standard Act, overall the price per ounce has risen. In 1980, gold prices reached a brand new high than had been previously seen--$850 per ounce. Because of the all-time high, investors clamored to profit from their investments.

However, the gold market experienced a sharp decline with prices being at their lowest in 1999 at only $253 an ounce. Since the American attacks occurring on September 11, 2001, gold markets went through a drastic change and finally continued to rise after 19 years of declining. In 2008, gold prices finally reached and surpassed their previous 1980 value of $850 an ounce, quickly bringing back the popularity of gold investing. In March of 2008, its prices rose above $1,000 an ounce with the current value as of April 15, 2010 being $1,159.70. Now is the ideal time to make the move into the gold market. Find out everything you need to know about this profitable investment at http://goldtoday.org/.

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Michael Moore
http://goldtoday.org