How to buy gold and silver

Terry Says

I should probably write another column about buying precious metals. I’ve always preferred gold over silver, because silver’s price also depends on industrial demand, while gold is strictly a hedge against monetary devaluation.

There are several ways to own gold. YOu can buy mutual funds that invest in gold mining companies. Try the ones at www.USFUNDS.com or www.AmericanCentury.com. (Full disclosure, I own both.)

Or you can buy an exchange traded fund (symbol: GLD) that tracks the price of gold on an instantaneous basis. (I own that, too!)

Or you can buy bullion coins (not coins with numismatic value — but only based on the gold content) such as the American Eagle or Canadian Maple leaf. The price at any given mooment should only be a few percentage points above the cash or “spot” price of gold. Check that out at Kitco.com.

Be sure to TAKE DELIVERY of your coins — and bring them immediately to a safe deposit box. I never recommend leaving your coins with the dealer, nor do I think it is safe to store these valuable coins at home.