Top Reasons You Should Start Owning Gold Today

Times are changing – if you’re not paying attention to the economy, then you could find yourself with the short end of the stick. Many Americans are aware of this and are actively investing in various assets. But only a select few are spending their dollars on gold.

For thousands of years, gold has been held at a high standard, and it still is. But rather than carrying out gold coins, like we did in the the B.C. era, we can invest in gold bars and coins that is held by the bank. Then when things go awry with the economy, you can always have something to fall back on.

If you’re not convinced now is the time to start investing in gold, then continue reading.

The U.S. Dollar is Weak

Once upon a time, the US dollar was a gold mine of its own. But as of late, faith has been lost in the US dollar and so the value of it continues to decline. Currencies gain and lose value everyday, but over the years, the USD market has climbed lower and lower. Not to mention the growing US deficit isn’t helping much either.

To give you some perspective about gold’s value, look at this – between 1998 and 2008, the price of gold tripled. At this point, it was worth $1,000 per ounce. Then between 2008 and 2012, it reached the $1,800 to $1,900 mark.

Then There’s Inflation

The one commodity that holds up well against inflation is gold. This is so because gold prices rice whenever the cost of living does. Over the past five decades, gold prices have skyrocketed, while the stock market plunges during years of high inflation.

Don’t Forget About Deflation

During the period of deflation, prices start to decrease and business starts to decline. This is when the economy becomes burdened with too much debt. This occurred back in the 1930s during the Great Depression. Again, gold prices remained steady and high even when the prices of everything else dropped sharply.

It Holds Up During Geopolitical Uncertainty

It doesn’t matter what’s going on in times of financial and geopolitical uncertainty. When tensions rise around the world, gold tends to outperform other investments. This is what we saw when major price movements occurred during the European Union crisis. Gold faired pretty well.

Diversify Your Portfolio

As they say, you never want to put all of your eggs in one basket. If you’re investing in real estate, businesses and stocks, then you know how shaky the markets can be. With gold, you are able to have a backup plan that is actually sturdy. Gold will likely never lose its value, so you can’t go wrong with this asset.

At the end of the day, you want to ensure you are financially secure no matter what the world throws your way. Your family can have a cushion to fall back on in times of adversity and economic downturns.

Then with the extra money you conjure up from your gold investments, you can enjoy having the better things in life, such as food, clothing and a roof over your head. If you really handle your finances well, you can enjoy vacations at while staying in a room at Riu.