We are definitely moving towards decentralized financial system, and many trends are proofs of that. Thus, investing in gold is a very good strategy as the financial system we know might change. It is a high time to know more about investing, especially in gold. Read my article and discover the best tips for gold investors!
Why to invest in gold?
Possible crush of traditional financial system
For example, let’s look on the blockchain - the trend is clear, there is no control from financial regulators. Another trend that we are seeing is that clients are moving funds between precious metals and cryptocurrencies as they are looking for stability.
1.Buy physical gold only
When you’re buying gold as an insurance against the crash of the monetary system, make sure that you own it physically and never buy it on paper. There are certain paper products that will never give you any guarantee that you are the owner of the gold.
If you buy the gold and go through the details in contract in the terms and conditions and you might see that they don’t even tell you if they actually have the physical gold. This means that you cannot take delivery of the metal if the need arises.
To sum up, you must be the owner of the gold, making sure that the gold belongs to you, and that the company you are dealing with cannot pledge it, hedge it, or lease it out.
2.Check the spot price
Sometimes the price you see in the shop is not the real. The real price called spot price is the current live market price for a product. Each has its specific name: XAUUSD for Gold, XAGUSD for Silver and XPTUSD for Platinum.
You can find the spot price on some websites like:
- INTERACTIVE Brokers
3.Make sure of specifications
Make sure that you receive the exact details of the items that you own, including bars numbers, hallmarks, etc. It is important to know all specifications of the gold you are buying.
4.Find best jurisdictions
When investing in gold, make sure to find the most stable jurisdiction. Among them I can advise you Switzerland and Liechtenstein, especially when it comes to physical precious metals stored outside the traditional banking system.
Switzerland always had a currency — even during wartime — that could be exchanged for physical gold. Another advantage of it is that the politicians don’t have the power to confiscate gold there as Switzerland was founded on the principles of subsidiarity. It basically means that if a municipality cannot solve an issue on its own level and needs the support of the state, then it can call on the state.
5.Don’t use credit for investing
If you buy gold, use fully your savings. Don’t take out credit or speculate to buy gold. You never know what the market is doing, and you may have to pay back your credit before the price of gold rises.
I always advise to my clients to invest money they don’t need for at least the next five years.
6.Expect the return in a long term
Gold is a special type of investments, unlike currencies, if you want a good return, you’ll need to wait at least five years.
Taking into consideration all trends towards decentralization it is becoming clear that there is new future. Gold is a stable store of value, even though it’s an asset that doesn’t produce cash flow.
I advise you to investigate more and start to invest now in gold. Share your opinion in the comments below! If you have your question, please write it below, I would be glad to answer your questions or to introduce your project to my team at Astorts Group to be evaluated.
Alessandro Rocco Pietrocola is an entrepreneur and investor based in London and operating mainly in Europe, Asia and Oceania with main focus on UK, Baltic Countries, Russia, China, Hong Kong, Malaysia, Singapore, Middle East and New Zealand as area of interest! At the moment is the CEO of Astorts Group. He is an UK FCA (Financial Conduct Authority) Approved Person and is has great experience as director of regulated companies. He uses to dedicate part of his life to inspire others and help them achieve the most out of their life. Since he was 20, he had successfully founded and managed several companies operating in the field of management consulting, wealth management and fintech. He loves travelling, he is a cigars lover, an amateur golfer and a dapper man.