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Investments

Discuss investments with other users on our Investment forum. For more advice read our tips for saving for your child's future.

Gold Investment

8 replies

HopelesslyOptimistic · 23/06/2023 12:38

Inflation is ripping through my life like many others. I'm a novice investor but slowly trying to educate myself.... I want to start investing in gold coins (not paper gold. Where do I go to buy?

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Flandango · 27/06/2023 13:09

Why gold as opposed to, say, equities or bonds? Gold doesn't provide an income and has a cost to holding it

Legaldrama · 27/06/2023 13:15

The Royal Mint sell sovereigns etc.

doingthehokeykokey · 29/06/2023 14:03

highly volatile and risky

CantHaveTooMuchChocolate · 08/07/2023 13:23

I’ve used Atkinsons bullion for bullion (not affiliated), if you buy Britannia sovereigns then I believe they’re capital gains free. It’s not a bad idea to have different investments as a hedge against stock market crashes, etc. Make sure you declare it on your house insurance though.

CuriouslyDifferent · 23/07/2023 16:14

Stick it in a money market fund right now, where it will be a percentage point below base rate. Wont beat inflation, but nothing is right now.

Toon123 · 01/09/2023 09:00

Depends what you measure it against. To be fair gold does fall in and out of fashion but over time it’s one of the things that isn’t volatile and risky but rather it holds its value against real things. Because it’s a physical asset.

Gold is like a rock in a stream….the water all around is moving but the gold itself stays steady. But sometimes the rock is under water and other times it sticks out.

So if someone measures value in pounds they may think the pound had done well against the dollar…..but the dollar is moving too. Everything is moving so true values are difficult to judge whereas that rock stays steady.

It’s not that gold it the ultimate currency but rather its like any commodity. Ie it’s a real thing which can’t be made, can’t be printed whereas currency can be printed and creates inflation. Inflation isn’t prices rises but rather your pounds/dollars or euros losing value against food etc and that happens when we print more currency.

In 1922 a loaf of bread cost 200 German marks and in 1923 it cost 200 million. Basically the currency and everyone’s wealth had been destroyed if they owned marks….but if you had gold coins or silver then you still had those gold coins and it could still buy the same stuff.

Most wealthy people hold some gold and real assets because they can’t be printed and lose value. But that’s not the same as saying they always do well because they don’t.

However if you don’t have true wealth to protect then other things may be a better option.

Gold isn’t an investment it’s a protection……it only needs to do its job once in a lifetime.

ClematisBlue49 · 01/09/2023 09:47

I use Bullion By Post - very good service.

Most of my gold exposure is via ETFs but I like to have some physical gold as well. It's largely a hedge against disaster of one kind or another, but also nice to be able to hold and look at.

Don't forget you'll need to keep them secure somehow, whether in a decent safe or very well hidden, and you may need to inform your insurance company, depending on how many coins you plan to buy.

HopelesslyOptimistic · 01/09/2023 13:10

Apologies for my very tardy thank you to all who have posted. Interesting read and extending my knowledge into investment options. The more I read the more cross I get about our central banks (supported by politicians) printing and debasing our wealth. It's so depressing and I need to get my head around it all to educate my young ones. I've left it so late & struggling to catch up. Gold, I think, I will treat as the security that I now believe it to be and mindful of portability & security.

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