Since the dawn of modern financial markets, the growth of economic bubbles and the devastation that comes when they burst has haunted investors. In the past few months, Bitcoin has been a sobering reminder that when the value of a commodity rises dramatically without the secure underpinning of actual material development of resources, it is a sure sign of trouble.
For those who have the money to spend on risky financial adventures that may or may not pay off, this is a small concern. But for investors who are looking for a way to grow their retirement fund, or are putting away money for a nest egg they will rely on to maintain their lifestyle later in the future, high-risk high-reward investments are a dangerous gamble. While safer investments might not appreciate with the meteoric speed of the latest hot stocks, they are far more likely to be there when you need them.
For investors looking to expand their portfolios in ways that guarantee growth with a significant degree of security, one of the most popular options is hard assets like gold and silver.
Hard assets have a reliable worth, usually tied to a practical use value. Because gold and silver both have a range of industrial applications, and because they can be used to purchase other goods and services, the value of gold and silver is much more durable than that of soft assets (like brands, which may fluctuate wildly depending on the market). Regardless of what happens at the stock exchange, gold and silver will be useful because of their innate properties.
While there are many concrete benefits to purchasing gold and silver to shore up your investments, it can be a little daunting to enter the world of buying bullion. Many first-time investors can be put off by the dangers of holding physical gold and silver in their own homes (the downside of hard assets is they can be stolen). Fortunately, learning about investing in gold or silver is not difficult, and there are private equity companies that specialize in helping investors purchase gold and silver assets, and invest them intelligently.
Some, like Guildhall Wealth Management, will even hold your bullion for you, so you don’t need to worry about keeping large amounts of precious metals in your own home. This is one of the reasons why a growing number of investors are venturing into the bullion-buying market. And with the value of gold and silver growing steadily every year, this is the ideal time to invest.
Experts suggest that the political volatility facing much of the Western world is also likely to drive uncertainty in the markets. For investors who want to find a safe home for their money, there are few guarantees that trusted assets will be have as they should. This is why gold and silver are playing an increasingly prominent role in cautious investor’s portfolios. Because they have practical uses outside of financial markets, they are bound to be worth something even if the economy slows down and bubbles burst.