There’s a common misconception that investing in something and spending lots of money from your savings account is a wrong thing. People claim this on the fact that you’re only losing money while converting the currency into something else and back to currency if it is needed some time later in life.
What they are not taking into consideration is that no currency is strong enough to hold its value for a long period of time. The US Dollar is among the most stable currencies in the world but what used to be 100 USD in 1950 is a lot different than what it is now.
If you had $100 in your jeans’ pocket back in 1990 and you forgot about them until today, you’d be surprised, but what they could’ve bought back then, can’t be matched with today’s possessions. See more about money value here.
On the other hand, precious metals never drop in price. Just take a look at charts over the last 100 years. There’s no precious metal that is going down. No matter in which one you invest, you can be sure that the value of the money invested is always going to be the same or rising. If you invested $100 in gold and the value of this money was enough to buy a certain product, you can be sure that even 50 years later you’ll be able to do the same with the amount you’ll get back by selling it.
That looks like reason number one. Precious metals never drop in value. They can only become stronger and more profitable over time. It’s yours only to decide which one is your best choice.
They are easy to store
Let’s say you inherited a ranch in Alabama and it’s worth a staggering $50 million. You don’t know anything about farming so you decide to sell it. The buyer transfers the funds and you want to see your money.
You go to the bank and a person shows the volt where the money is stored. It’s a big place. It takes a lot of room to store $50 million. No matter what bills you’re going to choose, it’s not easy to find a place for such an amount. You probably know about the Pablo Escobar’s problem to store its money. Here’s more on it: https://www.thejournal.ie/pablo-escobar-lost-billions-in-cash-2329715-Sep2015/.
Ok, not too many of us had the chance to deal with that kind of amount, but even $50.000 is not something that you’d like to keep under your pillow. It’s best to convert it in gold, platinum, or something similar.
They are more or less indestructible
Different metals have different characteristics. However, a common feature of all of them is that they are pretty durable and the weather conditions can’t affect them. A standard wildfire is not going to damage it, and floods are almost no threat to them.
Of course, not all of them are the same. That’s why the price is not the same either. Palladium is the most expensive precious metal at the moment. The most famous one, gold, is always very well priced. It’s up to the person investing to choose which one is the best option for them.
If you’re not familiar with how prices range right now, you can always search “metals investing” or “metals prices” and see how things go. Also, you can make a comparison about which one is better for investing and which one is the most suitable for you.
A lot of people like to invest in gold bullion. They are standard gold coins meant for collectors. One bullion can have a price of more than $10.000. Bullion is different than old gold coins that can have historical and collectors’ value too. In bullion, the only value is the amount of gold inserted.
These three reasons give you a clear look over the precious metals and investing in them. Some people prefer other choices rather than this, and we don’t say they are wrong, but if you want all your money in one safe place close to you, then this is your choice.
Being able to always control your wealth and know exactly how much you own at the moment means investing in metals.