How do we benefit from gold?

From a fundamental perspective, gold is generally considered a favorable hedge against inflation. Gold works as a good store of value against a declining currency. Because gold maintains its value over the long term, that means it can be easy to sell because its value is unlikely to be lower than what was paid for it. In addition, gold has existed for so long that there is always bound to be a market with willing buyers.

Gold is known to be a “heart-friendly” metal that improves blood circulation in the body and therefore ensures that every part of the body receives enough oxygen. Therefore, in the old days, pregnant women were advised to wear a gold ornament around their abdomen to improve the circulation of blood and other body fluids in both the child and the mother. This helps investors seeking the safety of gold and protection against inflation to benefit from an investment in gold with more liquidity than a physical investment in gold. Investments in gold also benefit by avoiding the exposure to counterparties that exist with investments in stocks, futures and options on gold, since all of them entail potential fraud risks.

Gold has endured for centuries as a mark of wealth, and the many benefits of investing in gold begin with its simplicity.