Friday 30 October 2015

5 Reasons Why you Invest in Gold


Gold is respected throughout the world for its value and rich history, which has been interwoven into cultures for thousands of years. Coins containing gold appeared around 800 B.C., and the first pure gold coins were struck during the rein of King Croesus of Lydia about 300 years later. Throughout the centuries, people have continued to hold gold for various reasons. Below are eight reasons to own gold today.

Gold is money and money is a currency.

Thus gold is a form of currency, its acceptance in 194 countries, is of this world.

Many people know the importance and hedging of treasury assets in gold in recent decades has been lost. Without gold, there would be no money, because when they started to trade in gold, it was deposited in banks and evidence was obtained as a receipt for the amount of the stock. These were the first unofficial banknotes of the world. The trading of bank notes was thus born, and quickly recognized banks, such that gold deposited banknotes were playing an increasingly important role in society, and soon led the first official notes have been deposited with the gold one.
Here under are 5 Reasons why you should start tilting towards investing in Gold, not just any Gold but Karatbars Gold.
1. InflationGold has historically been an excellent hedge against inflation, because its price tends to rise when the cost of living increases. Since World War II, the five years in which U.S. inflation was at its highest were 1946, 1974, 1975, 1979 and 1980 (as of 2012). During those five years, the average real return on the Dow Jones industrial average was -12.33%, compared to 130.4% for gold.

2. Geopolitical Uncertainty 
Gold retains its value not only in times of financial uncertainty, but in times of geopolitical uncertainty. It is often called the "crisis commodity," because people flee to its relative safety when world tensions rise; during such times, it often outperforms other investments. For example, gold prices experienced some major price movements this year in response to the crisis occurring in the European Union. Its price often rises the most when confidence in government is low. This indicates the stability of Gold during crisis.
3. Global demand for Gold is higher than that of supply. This goes to prove the importance of this commodity in the world. Demand for gold has also grown among investors. Many are beginning to see commodities, particularly gold, as an investment class into which funds should be allocated. In fact, SPDR Gold Trust, became one of the largest ETFs in the U.S., as well as one of the world's largest holders of gold bullion in 2008, only four years after its inception.
4. Portfolio Diversification
The key to diversification is finding investments that are not closely correlated to one another; gold has historically had a negative correlation to stocks and other financial instruments. Recent history bears this out:
  • The 1970s was great for gold, but terrible for stocks.
  • The 1980s and 1990s were wonderful for stocks, but horrible for gold.
  • 2008 saw stocks drop substantially as consumers migrated to gold.
Properly diversified investors combine gold with stocks and bonds in a portfolio to reduce the overall volatility and risk.
5. Gold is and will remain unimpaired, as the limited resources are not reproducible.
Why Karatbars Gold:
Karatbars GmbH gold bars are characterized by both easily recognized premium quality and highly skilled craftsmanship. We pride ourselves in working only with gold refineries that are listed under the “London Good Delivery”.

All Karatbars 1 gram Gold bars are:

1. Certificated and laminated with UV protective film.
2. Stamped with a valid trademark.

Karatbars goldbars guarantee value stability and serve as a means of financial security in tough economic times. They can also be used as a method of payment and means of exchange.

Even in times of strong financial and economic independence, it is always important to buy small units of our Karatbars 1 gram bullion in order to secure your own future capital.
This link below explains everything you need to know about Karatbars and why investing in it is the best thing ever as an entrepreneur and investor.
http://bit.ly/1MNk8dT

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