Gold has been a popular commodity for investors for centuries. The recent rise in value on the market has peaked the interest of new investors. There is a lot to be learned in order to be profitable in your investment. This article will provide some tips on how you can be a smart gold investor.
It is important to understand the type of scale your gold dealer uses. Some dealers use a Troy scale while others use a pennyweight. On a Troy scale, gold weighs 31.1 grams per ounce. A pennyweight equals 1.555 grams. In comparison, a US scale measures each ounce of gold at 28 grams.
Get valuations for your tangible gold from a handful of dealers at a minimum. There are lots of services, jewelry stores and pawn shops that buy gold. Of course, they will want to make a profit when they sell it. Getting multiple estimates helps you get a fairer price on your gold when selling it.
Before actually purchasing a piece of gold jewelry, shop around. More expensive jewelry stores will charge you an arm and leg. However, the same piece of jewelry can sometimes be found elsewhere for a much lower price. You can even tell a jeweler that you saw the piece for cheaper and you may be able to negotiate with them.
Be a student of the gold market. This market is very tricky, as the price of gold is something that changes on a daily basis. What’s a great deal one day could be less than stellar the next. It’s up to you to know what you are getting into so that you can get the most for your buying or selling.
Before selling any of your gold, check to see what the current sales price is. This will help ensure that you are getting the amount of money you deserve. There are many reputable sites available online that will help you on coming up with a fair price for your gold.
Be wary when buying gold from online precious metal dealers. There is a lot of fake gold for sale on the internet, so it pays be cautious when buying investment precious metals online. Many fake gold bullion bars are almost indistinguishable from real gold bullion bars, as many fake gold bars are coated with real gold despite the fact that their insides are fake.
If you’re buying gold pieces for investment reasons, stay away from proof coins. These coins are polished and mounted, and they can sometimes be worth more than regular coins. The problem is, proof coin value only matters to collectors, and it can vary on a daily basis. For investment only purposes, stick with regular coins.
Investing in gold can bring you a good return if you have the right strategy. Also do your research, and do not make emotional investments. Remember the tips in this article as you get into your investment venture. With thoughtful decisions and calculated moves, you can make gold a profitable addition in your investment portfolio.