How to Trade the Gold Exchange Traded Funds (ETFs) Way

Up until the last few years the only practical ways for the retail investor to gain exposure to the gold market was to buy either the physical metal and/or coins or invest in gold mining companies.

Buying bullion and coins has three main problems for the investor to consider.

Of course they can be stored at home, but that gives rise to security problems and insurance costs, they can be stored in a safe deposit box or “bullion vault’ where access can be a handicap as well as incurring storage charges.

Your bullion sales are limited to the weight of the individual ingots you own, they cannot be ’sliced and diced’ to give you flexibility in the amount you wish to raise. Read more

Bullish News For Gold Continues To Mount

The bullish news for gold continues to mount up while hesitancy prevails in the market.

In Asia overnight the spot price again came under pressure dropping to near $920 an ounce down from $930 in New York late trading on Thursday.

As we write the price in Europe has staged a recovery to $925, no doubt due to the announcement by the Swiss National Bank of its intention to depress the value of the franc by selling it off to avoid domestic inflation. Read more

Gold Bullion Price Takes a Breather

Tuesday morning trading on the London Bullion Market saw gold drop back to steady at around $895 an ounce from Mondays high of $916.30 on profit taking and conversely the dollar weakening against the euro.

More evidence of the loosening tie between the US currency and the price of gold! The bullion price was driven yesterday to all time record levels in non US dollar currencies as investors worldwide sought the safety of buying gold bullion either directly or via an ETF holding the physical metal.

An alternative that can appeal to investors who prefer to have their assets under their direct control is to buy gold coins when they can be delivered to their home. The best approach to this market is to buy newly minted coins that will reflect the going price for the metal plus a premium.

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Simple Explanation of Gold Depositories

The simplistic definition of a depository is that it is a place where anything can be left for safekeeping.

The safekeeping of gold, because of its worldwide status as the traditional store of value, is of paramount importance internationally.

Again to put it simply, the wealth, importance and influence of a nation can be measured by the amount of gold it owns.

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Advantages of and Disadvantages of Investing in Bullion and Coin

The simplest and most efficient method of participating in the precious metals market is by the direct purchase of the physical metal in the form of bullion or coin.

For the serious and financially secure investor large bullion bars are usually available at lower premiums than smaller shapes and coins.

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