Investing in precious metals like gold and silver has become increasingly popular. As headlines regarding the economy send people into a panic, the average Joe is in search of a way to protect his assets and prepare for the future. The increased interest in precious metals is a result of that panic. However, for new investors the precious metals market can be confusing and thus reading articles like Precious Metals Provide a Safe Investment in Unsafe Times can be very resourceful.
The author of this article does an excellent job of breaking down the various precious metals and their different uses. Precious metals are not just used for minting coinage, as this article discusses. Platinum is in fact often used in the manufacturing of medical equipment and computer parts. The common use of these precious metals puts them in high demand, which the author is careful to point out. These demands can have an impact on the precious metals outlook which is something new and long time investors need to take into consideration when making investment decisions.
One of the confusing parts for many new investors is all of the methods in which they can invest in precious metals. In this particular article the author carefully goes through the various ways to invest such as purchasing mutual funds or investing in exchange traded funds, also known as ETFS. The author explains these methods and potential risks before leading into coinage, one of the most common ways people invest in precious metals. There are a variety of coins one can purchase as an investment and the author conveniently makes a few suggestions such as the Silver American Eagle for those interested in silver and the American Gold Eagle for those who want to invest in gold. Both coins are extremely popular among precious metals investors.
As with any method of investment there are risks that come with investing in coins. The author makes sure to advise the reader to educate themselves on coins and buy from dealers with a good reputation. Networking with other investors can help steer newcomers in the right direction and avoid potential con artists when purchasing coins. It is easy to be swayed in the wrong direction if you are unfamiliar with the market. The same goes with purchasing bullion bars, another common way to invest in precious metals. As the author mentions, bullion bars can be a little harder to get a hold of as they are usually only made by select government mints and some private companies. Therefore caution should be taken to prevent being scammed if you prefer to invest in bullion bars.
In short, the author of this article offers valuable insight into the world of precious metal investing without confusing the reader. The article is even generally interesting to readers who are not looking to invest in precious metals but simply want to learn a little more about it. Easy to follow and understand this article is a good beginning read for those thinking about investing in precious metals.