For those who still have lingering doubts on whether an IRA gold investment is a good idea or not, here are five reasons why you should invest in gold or other precious metals:
Gold makes sense on a retirement plan
You already know that people, who earn more money, will usually pay more taxes and this is especially true for those in the upper bracket of income earners, where they have their retirement cap at around $200,000 annually. Most people generally felt there’s not much helpful tools and resources for their retirement. Investment in gold actually is good and sound foundation for retirement — economists and market experts always say how stable and valuable this precious metal would be for reselling.
Gold has growing demand
We all know how rare is gold, the reason that it is a precious metal in the first place. Simple law in economics suggests that what is low in production will usually increase the demand. This will be exceptionally true for gold. If you notice, the same thing can be said on rare piece of art or painting — like from Van Gogh or Picasso. As time goes by, anything rare and precious continually increases its price, that’s why the time to invest in gold should always be ‘now’.
Gold remain stable whatever is the market outlook
The markets around the world are pretty much not the same, let alone if you look at the US market alone, you can see how uncertain and volatile the movements are. This type of situation isn’t good especially for those making plans for their retirement. Whether the market is recovering or in recession, a shaky market is always risky and precarious especially if you’re thinking about making an investment. In the past, as in the years after World War I and II — gold managed to weather the depression and still keep its value.
Gold increases in value
If you’re wondering whether gold can be secured enough just like any currency, this precious metal don’t decrease value where it will plummet into the ground. You will often hear stocks that crash, but you may never hear the price of gold going on a tailspin. This precious metal retains its value and even increases its worth in an economic crisis or a financial recession. You have security in gold when the going gets tough (such as war) and countries in the Middle East can attest to that.
Gold against financial worry
You already know how currencies from any country can be under pressure at any time that no matter how much money the government printed, it can lose its actual value. Gold, however, can be a hedge, just in case you have financial worries such as currency devaluation, deflation or even inflation. Many experts always look at gold as some sort of insurance in your portfolio or retirement plans.