Friday 1 July 2016

Make A Perfect Decision to Buy Gold or Silver Coins

For many seeking to invest their money into bullion the initial novelty soon gives way to frustration due to the wide range of products available and the intricacies such as capital gains tax and storage. It is imperative that you do your research first to ensure you find the best investment for your budget and circumstances. When considering buying gold coins as an investment, many people are drawn to its inherent and intrinsic value, a fact that has shown it to weather many preceding economic crises particularly unscathed.

Gold Bullion and Gold Coins have been the muse of the economic sector for hundreds of years and have recorded use stretching back millennia. The variety of Gold Coins being minted globally also appeals to the collector’s market that experience the benefits of mixing investment with hobby whilst learning the exciting heritage of the numerous unique gold bullion coins to be found around the world.

Variation in gold and silver

Gold also benefits from being VAT exempt and British bullion coins with a denomination are also excluded from capital gains tax, which may be attractive for buyers looking to invest large sums of money. If you look to buy silver coins you will find the same frustration as with Gold with a wide variety of products available and the added cost of VAT. However, due to the cost of Silver being much lower than Gold, you can purchase more weight for the same value.

The market price of Silver can be much more volatile than Gold making it a better suited investment for buyers who are open to higher risk. Due to this volatility, Silver can yield much higher returns but similarly can also lose value sharply. Many investors select a mix of Gold and Silver in their portfolio to minimise their exposure to risk but also to take advantage of the rate swings Silver can experience.
Two valuable metals:

The two most widely known valuable metals that we deal in here at UKBullion are Gold and Silver. These metals are each widely recognized but provide exceedingly different investment possibilities for customers. We also stock limited quantities of other precious metals, including Platinum and Palladium, but these are often seen as a more specialised investment and not generally recommended for the first time investor.

Conclusion:

As you can see, the decision to invest in Gold or Silver can be motivated by many different factors including personal finances and appetite for risk. Add to these motivators the collectability of certain products that can expose you to more risk in the collectors market.
Many buyers might often choose to diversify their portfolio of investment across a few different products and metals so as to lessen the risk of exposure.

How diverse is your portfolio, how well has it performed for you and what advice would you give to first time investors? Let us know in the comments.

Source By: http://ukbullions.blog.com/2016/07/02/make-a-perfect-decision-to-buy-gold-or-silver-coins/

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