Why buy gold ?
Buying gold is a simple and reassuring strategy for protecting your assets. Gold is a precious metal that has been recognised for thousands of years for its durability and ability to retain its value over time. Unlike financial assets such as shares or bonds, gold is a physical asset that you can actually own. You can hold it in your hands in the form of coins, ingots or bullion. This physicality provides particular security, especially when other forms of investment become uncertain.
One of the greatest advantages of gold is its stability in the face of economic or political crises. In the event of recession or inflation, it often maintains its value, whereas other assets such as currencies or stock markets can plummet. This characteristic makes it a highly prized safe-haven asset. Investors particularly value it for its ability to preserve their purchasing power.
What's more, when the cost of living rises, gold acts as a shield against currency erosion. For beginners, it is important to find out about the different products available, such as bullion coins, bars and ingots, and modern gold coins, so as to choose the solution best suited to their objectives and budget.
Another strong point is its universal recognition. No matter where you are in the world, gold is respected and accepted as a symbol of wealth. This universality offers valuable flexibility, especially for those who want to keep their savings in a secure asset and grow their wealth.
Finally, gold is not just a financial investment: it can also represent a lasting legacy. Gold coins and bars are often considered to be objects of great value, steeped in history and meaning. By passing them on to future generations, you are ensuring the continuity of a unique heritage that will be of value in the long term.
How to buy gold ?
Buying gold is not just a matter of choosing a product at random. Good preparation is needed to ensure the success of your investment.
First of all, ask yourself: why do you want to invest in gold? Your objectives will determine how you go about it. If your aim is to protect your capital against inflation, buying bars or ingots may be a wise option. These allow you to buy large quantities of pure gold in a single transaction. If you want to diversify your assets, you might prefer gold coins, which offer greater flexibility for smaller investments. Collectors can opt for historical or modern coins. Depending on your needs, the choice between bullion coins, bars and ingots, or modern gold coins can be vital.
Gold coins also have the advantage of being easy to exchange and affordable. They are well suited to investors who want to buy gradually or maintain a diversified portfolio. Some coins, such as 20 franc Napoleons or Krugerrands, also have a historical or cultural value that may appeal.
Ingots and bullion, on the other hand, are aimed more at investors wishing to acquire larger quantities of pure gold. Available in different formats (1 kilogram, 500 grams, 50 grams, etc.), they are an ideal solution for a long-term, reliable investment.
To guarantee the quality of your purchase, make sure that the gold is genuine and certified. Ingots generally have to be accompanied by a certificate indicating their purity (often 99.99%) and weight. They are certified by recognised manufacturers accredited by the London Bullion Market Association. Gold coins, on the other hand, must be examined to ensure that they meet international standards.
Once you have acquired your gold, you need to protect it effectively. If you choose to keep your gold at home, invest in a high-quality safe to prevent theft or damage. In addition, you can store your gold in specialist safes offered by banks or private companies. These solutions offer enhanced security and can even insure your gold in the event of a claim.
Once you have acquired your gold, it is crucial to think about its protection. It is advisable to choose appropriate storage solutions to secure your assets. In addition to the options offered by banking companies, at Godot & Fils we offer two reliable storage solutions: Gardienor and Coffre-Fort Privé to ensure optimum protection for your gold. If you wish to store your gold yourself, we recommend that you
Taking the time to prepare each stage of your purchase carefully will guarantee you a stable, long-term investment. It's also important to compare prices and keep track of gold prices so that you can buy your gold at the best possible time.
When should you buy gold?
Knowing when to buy gold is key to maximising the profitability of your investment. The ideal time depends mainly on two factors: the state of the global economy and fluctuations in the gold market.
Gold is an asset whose price fluctuates according to many factors, such as geopolitical tensions, central bank decisions and economic crises. In times of financial instability, such as a recession or banking crisis, the price of gold tends to rise, because it is perceived as a safe haven. Conversely, when the economy is stable and stock markets are buoyant, demand for gold generally falls, resulting in more accessible prices.
Buying gold when the economy is stable can be a good strategy for taking advantage of more attractive prices. In the absence of major tensions, demand remains moderate, giving investors the opportunity to build up a stock of gold before an unforeseen event pushes up prices.
Another method is to buy gold gradually, using an approach known as dollar-cost averaging. This strategy involves making regular purchases over a given period, regardless of the price at any given time. This smoothes out market fluctuations and reduces the risk of buying only when prices are high.
History shows that gold becomes more attractive during periods of recession or economic uncertainty. These periods, often marked by high volatility in the financial markets, see demand for gold increase, leading to a rise in its price. Investing before such crises arise can be particularly wise.
