Raquel Herrero, from Coininvest, says that “buying investment bullion is owning money”. Gold is considered a very popular safe haven due to its historical stability, which has generated a great interest in investing in precious metals. According to Coininvest, currently only 8% of gold is used for investment, while 50% is used for jewelry and 37% for technology.
The precious metals analyst at Coininvest, Raquel Herrero, explains that gold is considered a safe investment because it is a form of money that has been used for thousands of years. Investing in precious metals differs from other investments in that you receive what you have bought, as you are acquiring a valuable object that is equivalent to the money paid. With bullion, which includes coins and bars, the buyer receives the item they have purchased, allowing them to control their investment. In times of uncertainty, such as the current situation, many people and institutions are interested in acquiring gold, which has led to an increase in physical bullion investment in the last three years. Although gold is currently on the rise, investment in precious metals is not sought as a short-term investment, but rather as a reserve or safety net to protect capital in the long term. It is not necessary to have a large fortune to invest in gold, and it is important to seek advice and choose a reliable provider.
Investing in precious metals can provide a safe and reliable way to protect your wealth during times of economic or political uncertainty. By understanding the different precious metals, deciding how to invest, buying from a trusted seller, establishing an investment strategy, and tracking your investment, you can make informed decisions about your investment in precious metals.
How to invest in precious metals: a guide for beginner Spaniards.
Precious metals, such as gold, silver, platinum, and palladium, have been considered a safe and reliable investment for centuries. In times of economic or political crisis, investors have turned to precious metals as a safe haven to protect their wealth. In this article, we present a guide to investing in precious metals for beginners.
Understanding different precious metals Before investing in precious metals, it’s important to understand the characteristics of each metal and how they behave in the market. For example, gold is considered the safest and most stable precious metal, while silver is more volatile and more affected by supply and demand.
- Deciding how to invest. There are several ways to invest in precious metals, each with its advantages and disadvantages. One option is to buy physical gold or silver bullion or coins, which can provide a sense of security and ownership. However, this can be costly and requires secure storage. Another option is to invest in exchange-traded funds (ETFs) backed by precious metals, which can provide an easier and more accessible way to invest in precious metals.
- Buying from a trusted seller. If you decide to buy precious metal bullion or coins, it’s important to buy them from a trusted seller. Look for sellers with a good reputation and experience in the market, and avoid those who offer excessively low prices or promises of quick profits.
- Establishing an investment strategy. Before investing in precious metals, it’s important to establish a clear investment strategy. Determine how much money you want to invest, how long you want to hold your investment, and what exit strategies you will use if the market changes.
- Tracking your investment. Once you have invested in precious metals, it’s important to regularly track your investment and stay informed about changes in the market. This will help you make informed decisions about when to buy or sell your precious metals.
The gold ingot, preferred investment option for Spaniards in times of crisis.
In times of crisis, where some banks are failing, fuel prices are unstable, and there is distrust towards pension and investment funds, a historical value is once again becoming relevant. According to the second edition of the “Report on the ownership and investment in gold and jewelry by Spanish households”, presented by ElMonte de Fundación Montemadrid and elaborated by the market research platform Toluna, 38% of Spaniards would choose gold ingots as a 1,000 euro investment option, above term deposits (17%), investment funds (15%), pension plans (13%), stocks (10%), and cryptocurrencies (9%).
The study, conducted with a sample of 1,300 people, indicates that gold ingots are perceived by respondents as the most profitable (37%), secure (35%), and understandable (30%) investment instrument compared to cryptocurrencies, considered “unsafe or unreliable” and “difficult to understand,” although 12% of Spaniards claim to own them, a figure that reaches 19% in the Balearic Islands and 17% in Madrid. Additionally, the study notes that gold ingots have the lowest penetration rate among respondents, at 4%, but generate the highest level of satisfaction among them, in 58% of cases.
Madrid, the community where the most investment gold is purchased.
Therefore, 44% of the population would consider investing in gold ingots in the future, a figure that reaches 54% in Madrid, followed by Castilla-La Mancha with 48% and Valencia with 46%. The credit institution notes that these data indicate a trend change in Spain, where there is no culture of investment in gold, partly due to ignorance and its perception as a high investment product. Seven out of ten Spaniards are unaware that they can buy gold ingots starting at 70 euros, while in central European countries such as Germany, the accumulation of gold ingots and coins constitutes a common way to save for retirement due to their experience in crises and monetary devaluations.