Investments into gold and gold coins
The population of developing countries as investments often uses investments in jewels. So do, for example, in India or China, where the basic demand, both for gold, and for other precious metals, jeweler. In the meantime, in economically developed countries more favorable mechanisms of investment in precious metals for a long time are developed. These mechanisms set. They include both purchase of physical metal in bank, and purchase of coins from precious metals, the securities provided with gold, gold certificates, opening of metal accounts, an investment of money resources in mutual funds etc.
Purchase of gold ingots is one of the most widespread ways of the investment, having distinctions only depending on the legislation of this or that country. For example, in the USA ingots and coins are authorized for getting through large banks and broker offices, and also through specialized “gold” dealers. The investor himself chooses a way of purchase, storage of metal and the size of ingots (from 1 gram to several kg). One of few minuses – to invest in metal the small sums uneasy: the majority of the banks which are carrying out operations with gold ingots, do not make transactions in volume less than 1000 ounces (more than 25 kg).
Investments and in investment, coins are besides, popular. Their market price develops of cost of the gold maintenance, and also the small award on a covering of expenses on stamping and distribution which varies depending on coin weight. In many countries purchase of investment coins is released from VAT taxation. Investors can choose from a large quantity of the gold coins which have been let out in the different countries of the world. In a course American “Eagles”, “Maple leaves” from Canada, English the “Great Britain” and many other things. Gold coins seldom fall in the price, them it is very easy, both to buy, and to sell.
One of the most productive tools of investment, and also alternative of purchase of physical metal, the securities provided with gold are. Trade in them allows avoiding commission fee for purchase of physical gold which can reach 7 %, and not resort to risky operations with futures. Buy and sell securities individual investors can through the usual broker companies. One more plus – to open the account it is possible through a company site. Other way to earn on a rise in prices for metals is purchase of actions of the gold mining and mining companies. Actions of the large companies – American Newmont Mining, Canadian Barrick Gold, Brittany-Australian BHP Billiton, etc., bargain in New York. However at bankruptcy of the company or sharp depreciation of its actions the investor risks to lose all means enclosed in them. Therefore the action should not consider as the protective active which is carrying out function of the financial insurance. More likely, it is the speculative tool, capable to bring in the quite good income under condition of a correct estimation of risk and potential profitableness. The potential of growth of cost of actions is defined by not so much dynamics of the prices for gold, how many financial indicators of the company-emitter.
One more method of investment, the most widespread is now an opening of “metal” accounts which are subdivided into accounts of responsible storage and depersonalized. Concrete ingots (or coins) are in the first case at bank-keeper, and the investor pays their storage. Incorporated accounts which also name the depersonalized accounts of storage, concern deposits on which precious metals without instructions of their concrete characteristics are placed. Plus of similar investment in simplicity of operations: they can be carried out through the Internet in a mode of real time. Owners of the depersonalized accounts do not bear expenses on storage is main advantage. However, there is also a risk not return of ingots in case of insolvency of bank.
In whatever way the investor has taken advantage, it is necessary to remember – to gold, this of “eternal value» resort during crisis times when investments in traditional actives bring only disappointment and losses. Rough, but short-term lifting in the gold market can be replaced by the long periods of stagnation. Therefore gold inclusion in an investment portfolio should occur in the protective purposes, for its stabilization during the periods of high inflation and political and economic uncertainty, instead of with a view of a capital gain.