Gold has always been regarded as a precious metal and the first recorded use of it is in Varna, Bulgaria around 5000 BC. Melting point: 1063° C, it is a bright shiny, soft and malleable metal primarily used in coatings for electrical connections. Pure fine gold is 24 Karat (abbreviated K). Alloys of gold are calculated on a basis of 24 parts. 14K is 14 parts gold and 10 parts other metals. Gold colors are created by alloying other metals that impart their color characteristics to the gold.
It is not difficult to see why gold has been such a favorite choice over the years. It does not tarnish or rust. It holds its value relative to the value of goods and services.
With the advent of the internet the buying and selling of gold coins and gold bullion has become big business. Tons of gold are now moved around the planet literally at the speed of light.
Here are 5 good reasons for owning and investing in gold coins and gold bullion:
- INDEPENDENCE. The security offered by gold is provided by its very independence. Gold is independent of states, currencies, productivity and credit worthiness. Some economic or political influences may affect the price of gold, but its value and its acceptability remain independent of them.
- RESERVE ASSET. Many experts advise private investors to hold between 5 and 10 percent of their wealth, in the long term in precious metals. Experience has shown that the regular purchase of gold coins helps to protect the smaller investor against price fluctuations.
- SECURITY. Gold has always been prized as precious and valuable. Over the years gold has proven itself to be one of the most reliable stores of value.
- STABILITY. Despite possible price fluctuations on the open market, the value of gold has remained remarkably stable and has shown repeatedly the tendency to rise.
- LIQUIDITY. Gold is traded around the globe 24 hours a day. With gold you possess an international currency which can always be sold around the world at any time.