Are you interested in adding precious metals to your investment portfolio? Metals can give your portfolio a significant boost, especially when you’re savvy about tracking the market. Gold, silver, and platinum bullion can all have places in investment portfolios. California Numismatic Investments can help you understand which precious metals are the right choices for your financial situation. Use this beginner’s guide to help you as you open up this new avenue in your portfolio.
Understanding the Metals
Gold is the most prized metal for investment. Its price usually has little to do with market factors and more to do with sentiments among buyers and sellers. The price is high in times when people tend to hoard gold for financial stability, such as in the face of political and economic crises, and tends to trend downward when people feel comfortable. Silver prices are more market-driven, largely because silver itself is so heavily used in industry. This fact makes silver prices swing a little bit more than gold prices. Platinum is usually more expensive than gold during times of financial and political stability, because it is more rare. However, prices can drop when people turn to the security of gold.
Owning Precious Metals
You can add precious metals to your portfolio in a few different ways. You can purchase commodity EFTs or buy shares of precious metal miners in the form of stocks and bonds. You can also trade precious metals in the form of futures and options or opt for physical ownership in the form of bullion. Physical ownership of bullion offers investors a great level of protection.
Enjoying the Advantages of Precious Metals
You can’t find better inflationary protection for your portfolio than precious metals, thanks to their intrinsic values. There is also no credit risk, and they cannot be inflated by creating more, as money can be. For these reasons, adding metals to your portfolio can reduce your overall risk.
Learn more about diversifying your portfolio with precious metals with the help of California Numismatic Investments. We’re one of the largest precious metals dealers in the United States and guarantee that we have the best prices. Call us today at (800) 225-7531 with your questions.