| Investing in gold is a great way to secure your | | | | strategy. And it should never be treated as such. |
| investments and hedge them to survive the | | | | Actually, over long periods of time, the EFT will |
| fallout of a turbulent economy. But not everything | | | | depreciate in value do to various factors unique to |
| about gold bullion glistens. Gold is heavy, it is hard | | | | storing and managing the gold. Now, there's |
| to transport, it will set off a metal detector. Selling | | | | nothing necessarily wrong with investing in gold |
| gold often means the buyers inspecting the gold in | | | | exchange traded funds, if you want to play the |
| person, testing for purity, and weighing each and | | | | markets for the short term hikes on gold spot |
| every piece. Some countries require you report | | | | prices, go right ahead. Many have made a good |
| any gold purchases over a certain amount, and | | | | bit of money doing this, and many have lost a |
| still others prohibit owning gold at all! But it's not | | | | good portion of their investments as well. If you |
| just the inconvenience of owning and selling gold, | | | | already have a brokerage account, playing in the |
| it's also dangerous to keep around. Gold is | | | | Gold Stock Market and partaking in online gold |
| attractive, and if various unscrupulous parties find | | | | trading is pretty easy. |
| out that you are storing gold bullion in your house, | | | | However there is a major problem in this method |
| your life could become an awful lot like a spy | | | | as a secure financial investment. You do not |
| thriller movie real fast. Minus the expensive cars, | | | | directly hold the gold, and you are relying on the |
| super model scientists, and cool gadgets. | | | | banking system to treat you fairly. You KNOW |
| Due to these inconveniences, many bankers and | | | | how well that has played out so far. In the case |
| brokers will advise you to invest in gold in an | | | | of ETFs, you are actually buying shares in a |
| easier way. Gold exchange traded funds are one | | | | company that owns gold. Those shares are |
| of those easier means. Commonly called a Gold | | | | managed by a Custodian - Barclays iShares in the |
| ETF or GETF, gold exchange traded funds can be | | | | case of GLD, the biggest ETF. Those shares are |
| bought easily online through a brokerage account. | | | | then registered in the name of a nominee, then |
| Funds like GLD and others allow you to buy this | | | | allocated to your brokerage account. What you |
| "almost gold" and keep it in your brokerage | | | | have is not gold at all - just electrons and |
| account as it if were a stock, which legally | | | | promises! |
| speaking- it is stock. Because of this gold | | | | This strategy is relying on at least three financial |
| exchange traded funds are often called the Gold | | | | institutions that could fail at a moments notice, |
| Stock Market. You are not actually buying physical | | | | effectively destroying any chance you would |
| gold bullion here, no matter how much your | | | | have at getting back your investment in the gold |
| banker wants you to believe it. With an ETF you | | | | ETF. You just bought stock in a company, and |
| are buying stocks in a company that invests in | | | | the company has gone under. Or look at the case |
| gold. The EFT's track the quoted spot gold price. | | | | of e-gold for a chilling example of what could |
| However, a GETF is a short term investment. | | | | happen if the government decides to put their |
| You buy the ETF on the gold stock market, you | | | | foot down. Gold EFT's are good for short term |
| wait tell the prices rise, then you sell the ETF | | | | investment prospecting, but they are not a safe |
| through online gold trading. This scheme is not a | | | | haven investment that many are looking for. |
| long-term recession proof asset protection | | | | |