Gold is once again claimed as a safe investment. The price of the yellow metal rises about 15% since the beginning of the year and has exceeded the level of $ 1,200 per ounce. For many investors, it’s not just a classic option to shield savings; it is also one more mechanism for investment diversification at a time of enormous uncertainty because it has no correlation with the price of stocks or bonds.
But beyond the expectations of revaluation in the short and medium term and its strategic value in a portfolio, private investors have a wide range of possibilities to choose how to invest and sell gold in UK. The term, liquidity, custody, volume of purchase, storage costs, commissions or points of purchase and sale are decisive when making a decision. These are the keys to choosing the best option.
Purchase of physical gold. It is the favourite choice of private investors worldwide. Experts recommend buying physical gold from long-term buyers who are risk averse. One of the big problems for a foot saver is the cost of purchase and storage, but there are specialized companies that significantly reduce costs. London Gold Centre of the best-known selling precious metal firms in the industry that in practice allow investors to create a safe, liquid and physical gold deposit.
How to Avoid Scam in Gold?
The greater the weight of the ingot, the lower the price at which specialized firms can buy. Many of them allow you to make transfers or sell gold anywhere in the world and at any time in quantities starting at one gram, which guarantees the liquidity of the investment. These houses also solve the problem of metal storage. The big sellers have agreements with big multinationals like the American Brinks with competitive costs. Exchange Traded Fund or listed funds are the other great way to access gold. So if you want to avoid scam in gold buy then buy gold from registered company only.
Through ETFs. They use metal as the underlying replicating their behaviour. They are generally the best option for short-term investors who want to protect their portfolio when bond and stock prices fall. They guarantee transparency and prevent investors from making efforts to buy physical gold and to store it. Some of the best known are SPDR Gold Shares and ZKB Gold.
Although its correlation with the price of gold is high, it is far from the levels assumed by the physical purchase of the metal. These products invest in companies dedicated to the gold mining business, so their evolution also depends on external factors such as the quality of management or the location of the mines. Therefore it is a more speculative option.
Certificates and warrants. There are other avenues for seasoned investors. One of them is certificates. They are listed products that replicate the price of a raw material. A product of listed on the Troy gold ounce is listed on the Madrid Stock Exchange, the measure to set the price of gold on the market. For their part, warrants allow them to operate with leverage.
Where and How Can You Buy Gold
One of the main drawbacks of investing in precious metal is that you need to know where to go in order for it to offer the necessary guarantees, be certified, and not be ripped off. The quality influences a lot and it is important that they do not sell you a piece well below the market price.
In this sense, there are establishments such as London Gold Centre, where you can buy gold with all possible security and guarantees. In addition, it is essential that you know that the gold formats in which you can invest are exempt from VAT, although that does not happen with jewelry or collectors’ items.
In addition, it is advisable that you focus on establishments with pieces for sale, that follow the standards of the London Bullion Market Association (LBMA), and that have the certification of Good Delivery. But, with everything and with it, there are fake products, so it is always advisable to go to a specialist.