Gold is the most valuable stone in the world, and has long been worshipped as the main controller of economy in many countries. Under most circumstances, gold is used to mark an items value, and is also used to make gold ornaments and other beautification ornaments for the rich. Gold was used as a mark of wealth, as it is implied with the ancient Egyptian culture where they buried their pharaohs with gold.
Nevertheless, with economies going down each day, and traders looking for more profitable and non-depreciating methods of handling business, gold trade has become a major asset. More and more people are looking for the physical material to sell in exchange for good cash, while others are tirelessly trading on gold ETFs for its value. There are many ways in which one can invest in gold.
The most advantageous and coveted way of handling gold trade is in being in possession of the metal itself. This is mostly common in gold mines, or anyone with pure gold made medallions, coins or even the gem itself. A very small piece of a gold stone can fetch you real good cash, and all you need is to have the right place to sell the gemstone. If you are not ready to be conned in the process, it is then best if you do not use a middleman while selling the stone, but rather sell it directly to a dealer. If you are in a remote area where you cannot access a dealer, banks can be of help. You can sell the gemstone to any bank in exchange for coins.
However, the best way to invest in gold is by keeping it, or storing it in a safe place until it has hit a record high value. Many gold dealers use this method as a way of making higher profits. The value of gold keeps appreciating with time, which means that it is very rare for anyone to make a loss out of storing the most converted stone.
This is the most common and easiest way of getting access to gold. Gold ETF’s are traded in trading platforms, where the real market value of Gold is converted to cash, then traded upon. If you buy a Gold bar worth a thousand dollars, you give the a thousand dollars and are instead funded with a Gold ETF worth that much. This is to say that, you only hold the gold value as at the time you bought it. If the price appreciates, you can later sell the ETF for a higher price; hence make a profit from the same. This is what happens with forex traders, where people use gold value as a market share for the real gold.
This is an olden day practice for making profits while dealing with a gemstone. As gold deposits become rare by the day, its value appreciates beyond reasonable doubts. If you had a gold bar a few decades ago, you will then notice that its value has since appreciated by more than 200%. This means anyone who had stored his gold bar from that time can make a 2005 profit from it.