Tired of putting money away into your 401K only to have the stock markets take a turn for the worst and to lose on your investment? Many Americans are scratching their heads and wondering what investment is safe anymore? Should I invest in mutual funds, bonds, stocks, or should I just keep my money in the bank and hope that one of these days, banks will pay a higher interest rate than what they currently are.
The answer may surprise you but let’s think about this logically. The government has pumped so much money into the U.S. economy in hopes of revitalizing it with the hope of beating the recession that the U.S, dollar has lost significant value. For the first time in years and years, Canadian currency is now worth more than the U.S. Dollar. This is not a knock to any Canadians out there, but historically, the U.S. dollar has retained higher purchasing power. As the government continues to increase the nation’s current currency production, the value of the actual dollar decreases dramatically due to the need to mass quantify the amount of money that makes its way through the hands of everyday citizens.
The answer for us as Americans is to invest in gold and silver. A little background on the paper and currency collecting industry: spot price is the current price at which a commodity (such as gold or silver) can be bought or sold at a specified time and place.
As the quantity demanded for gold and silver increase, so does the spot price and the overall value of your investment. There are numerous sites out there that track the spot prices of both gold and silver over time, with results indicating that both are on the increase. As the demand for gold and silver increase in the world economy, this poses the interesting question of what investment will give an individual the maximum return on investment if they were to part ways or to sell their assets.
Investing in gold or silver in the physical form of a piece of jewelry is one option, but one must also consider the possibility of investing in gold/silver coins as well. Highly coveted collectibles as well as the high ROI in regards to the melt value, this investment could leave serious investors with significant gains down the road. As graphical representations show, gold and silver are continuously rising day to day, and have done so quite steadily dating back even to the 1990’s.
As I complete composing this article, I check online to see that silver is up $0.32 from the previous day and gold has raised $4.50. These results are significantly better than the $100-$500 hits that my 401K can take, even with a diversified portfolio of investments.
Although the economy has shown some signs of revitalization, many experts believe that this recession is a double-dip recession and that we have not seen the end of these tough times. Are you doing everything you can to invest accordingly? Try a different approach and invest in gold and silver, it just may prove to be the right investment at the right time down the road.