Advantages of Investing in Gold
- Since the very beginning of history, gold has been used as money or as security for money.
- Gold has a diversification effect with respect to shares, bonds, and real estate. In the past, when there were large drops in the equity markets, the gold prices have dropped much less or even increased.
- Gold has attractive fundamental characteristics: Demand for gold has been increasing for years, while the annual supply remains stable.
Of course, as with all investments, there is always a risk factor and there is no guarantee that gold will keep this role in the future.