6 common mistakes to avoid when investing in gold
For centuries, gold has been a sought-after possession. Today, it is also a sound investment option for both conservative and risk-taking investors, as the metal has intrinsic value and is accepted as a legitimate high-value asset across the world. From diversifying the portfolio to making long-term safe investments, gold can be a beneficial and relatively safe investment option. But, if one’s not familiar with the market, one could make costly mistakes while investing in gold. Common mistakes to avoid 1. Overlooking associated costs When one thinks of gold investments, they might only imagine buying and stocking up gold bars, gold coins, or jewelry. While the metal itself is a legitimate investment option, physical gold comes with a 10% production cost. Then there are also safety and storage concerns associated with gold as well as transaction fees. 2. Not exploring all options Many think of gold as a physical asset, but gold investment goes beyond that. Those strictly interested in gold investment and not personal use are better off buying ETFs (exchange-traded funds), which track gold prices, or gold mining stocks. With these options, the investor holds shares of gold mining companies that can be bought or sold on stock exchanges.
