Benefits of Investing in Gold Bullion
Following World War II, the Bretton Woods system of monetary management has built policies for commercial & financial relations between the United States, Australia, Western Europe, Canada and Japan. The consensus was for each country to establish a monetary policy that would back the value of its paper currency using a tangible asset: gold. However, on August 15, 1971, the United States (headquarters to the International Monetary Fund) unilaterally terminated the convertibility of USD to Gold, marking the end of the Bretton Woods era.
Fiat money has replaced the Bretton Woods System which is intrinsically valueless but can be traded on “Faith” in government structures to uphold social order. With the U.S. election imminent, the 2017 Eurozone Elections and continued conflict in the Middle East, global instability is high, causing many high-level investors to shift their portfolios from fiat currencies to precious metals. Remarkably, the price per ounce of gold has nearly tripled over the past thirty years following the dissolution of the Bretton Woods System.
In lieu of global sitrep, risk analysis tools at top financial institutions are finding it increasingly difficult to move forward. Many investors are reverting to the safest options – by purchasing gold bullion and replacing their cash with other precious metals.
Historical trends in gold, silver, and platinum on a long term basis (10+ years) have proven to be less volatile than alternate investment options with the exception of palladium, a metal whose value is easily manipulated by supply and demand of the mining industry.
There is no better time to purchase gold bullion. If you have decided to take advantage of this great opportunity, consider making easy and fast transactions at City Gold Bullion.
To break it down, here are some of the benefits of investing in gold bullion.
- You will get protection against currency devaluation.
A huge benefit of investing in gold bullion is that you are immune to currency devaluation. No matter how poor the exchange rates of the dollars are, the gold bullion value remains strong. If you are in Australia, you can purchase high quality gold bullion in Brisbane from City Gold Bullion or from trustworthy gold merchants near you.
- You will be safe from possible economic crisis.
When you invest in gold bullion, you can protect yourself from monetary loss in the event of a financial crisis. The value of gold goes up in periods of economic instability.
- Gold bullion has high liquidity compared to other forms of investment.
As opposed to other forms of investment, the liquidity of gold bullion is very high. The most convenient benefit of owning precious metals like gold bullion is you only need to know the current buying and selling price. This is why gold or other physical metals have always been the most popular type of investments.
Those are the benefits of investing in gold bullion. If you have plans to invest, start today. Contact a reliable gold merchant near you.