ANSWERS: 1
  • During times of economic uncertainty, people tend to become insecure and fearful. Many run out and buy gold because it feels safe and secure.

    Gold and Recession

    Gold usually is a good safety net against inflation. However, in a recession, demand slows for everything, including gold. Nevertheless, history shows that gold sometimes increased in value during a recession.

    Dollar Hedge

    When investors become uneasy hanging on to U.S. currency, they may want to protect or hedge themselves and diversify with gold.

    Task

    Buying gold is not very easy, according to consumer expert Clark Howard. There is a spread when you buy and another spread when you sell; the spread being the difference between the buying and the selling price.

    Expenses

    It will cost you money to store all the gold you bought.

    Consider Gold ETFs

    The exchange-traded fund (ETF) market makes it possible to invest in gold without holding the physical gold bars. Some ETFs physically hold gold bullion, while others invest in futures contracts. They are regulated by the Securities and Exchange Commission.

    Source:

    The Guide to ETF Investing: The Definitive Gold ETF Guide: Gold Bullion ETFs 101

    Clark Howard: Buying Gold as an Investment

Copyright 2023, Wired Ivy, LLC

Answerbag | Terms of Service | Privacy Policy