Gurmit has been investing in gold as an investment ever since he caught the gold bug as a 16 year old kid back in 1992. Since then, he has been keeping an eye on gold and silver prices and regularly buys gold bars adding them to his investment portfolio.
As more currency is created to bail out businesses and people from the devastating economic effect of Covid -19, it is more important now more than ever for all of us to recognise the importance of buying and holding precious metals.
Gurmit started noticing that during every economic crisis Gold appreciates against all other currencies. Even after the economy recovers, and Gold becomes cheaper, it’s still more valuable than what it was before the crisis. He was fascinated by this and wanted to understand why. His research led him to invest his savings into buying gold bars and he has seen the value of his portfolio increase dramatically.
If you want to secure your financial future, then Gold as an investment is the best hedge against the decreasing purchasing power of your currency. Gold is not just a commodity. It is not like Oil, and you shouldn’t try trading it as such. Once you understand Gold’s role in history, you’ll be able to predict with reasonable accuracy where the price is going over the long-term. And ultimately that’s what matters most.
Currency, think paper representing dollars, pounds, and euros, is something that in itself has no real value. It’s just paper, that people have agreed has value and is a tool to exchange for items of value such as products and services. It only has value as long as people agree that it does. It is also vulnerable to inflation or deflation which reduces the exchange value of the currency. In other words, what you can exchange it for is reduced.
Gold is unique for its durability (it doesn’t rust or corrode), malleability, and its ability to conduct both heat and electricity. It has industrial applications in dentistry and electronics, but we know it principally as a base for jewelry and as a form of currency.
The value of buying gold bars is determined by the market 24 hours a day, seven days a week. Gold trades predominantly as a function of sentiment—its price is less affected by the laws of supply and demand. This is because the new mine supply is vastly outweighed by the sheer size of above-ground, hoarded gold. To put it simply, when hoarders feel like selling, the price drops. When they want to buy, a new supply is quickly absorbed and gold prices are driven higher.
The price of silver swings between its perceived role as a store of value and its role as an industrial metal, Unlike gold. Therefore, price fluctuations in the silver market are more volatile than gold. So, while silver will trade roughly in line with gold as an item to be hoarded, the industrial supply/demand equation for the metal exerts an equally strong influence on its price.
It’s unclear whether, or to what extent, these developments will affect overall non-investment demand for silver. But the fact that remains is: Silver’s price is affected by its applications and is not just used in fashion or as a store of value.
But you need to know what you’re doing, or risk getting scammed, either through fake Gold, or huge premiums, or buying Gold bars from funds that don’t even own any Gold. You will learn about how to avoid problems like these and much more.
You will understand the various investment options that are available to you and what are the risks and rewards for each. You will be capable of deciding by looking at the gold and silver price for yourself how to best position your portfolio no matter which way the financial markets swing.
To find out more, Contact Gurmit Combo!