Gold — how to buy
How do you feel about buying gold? Can you recommend a company to buy gold?
Terry Says
Now that gold is trading at new all-time highs (over $2550/ounce), it’s probably time to update my article on how to buy gold.
There are several ways:
Gold mining companies — shares of companies that mine gold go up with the price of gold because their costs of mining remain fixed, while their profits rise. Many companies pay dividends. The best way to buy shares and diversify is a gold mining share mutual fund at Fidelity or Vanguard.
Gold coins — Gold coins can be purchased based on either the value of the gold they contain or on rarity (numismatic) value. But be very careful that you are dealing with a reputable dealer, always take delivery of your purchase, and keep the coins stored in a bank vault. To find a reputable dealer go to the website of the American Numismatic Association — www.Money.org.
Remember, that gold coins and bars do not earn interest. And today you can earn nearly 5% on a money market account. So this should only be a portion of your assets.
