As an investment, gold bullion is the least expensive to buy. There are many reasons why people buy gold; it could be prestige, for future personal economic stability, or as a hedge against a failing economy. Many investors who are trading stocks in the stock market, will sell their shares and buy gold if they see signs of recession or if there is political, social or economic uncertainties. For many years, gold has been used as a safe way to keep ones wealth. Gold is easy to liquidate when needed. When there is a high demand, its price increases accordingly. Gold bullion bars can have premiums of up to $50 less than gold coins, making it an attractive buy for investors.
Gold bars come in different weights from 1oz, 10oz, 100g and 1kg. Gold bars can be difficult to move around and store. Investors who buy gold bullion have the choice of holding them directly and keeping them in a safe at their homes, or they can choose to hold them indirectly by keeping them in a vault at a bank. When buying gold, you should check for the later prices of gold using gold charts. With these charts, you can get historical data on past prices and movement of gold. This will allow you to do technical analysis on the market and forecast the direction it will move in.
The price of gold is driven by supply and demand, and speculation. Because the majority of gold mined still exists in its usable form, it means that it can re-enter the market and continuously be bought and sold at the current prices. Gold bullion can be bought through various dealers. However, care should e taken when searching for dealers. There are some that may not be above board and sell fake gold. Stick to the well known dealers, and make sure that they are certified in gold dealing. The same effort you would put in to stock picking should be done when researching the gold markets.
Find out what the costs are for storing your gold in a bank vault or safety deposit box before you start buying gold. If you have a place to keep it in your own home, then this will save you from storage costs. Whatever you choose to do, buying gold bullion will help you hedge against any declines in the economy, and will spread the risk of your portfolio.