Investing in Gold and Silver Coins

Just like stocks and shares, gold is a trade commodity and therefore the price is not fixed but related to demand and supply. It is often seen as a safe haven for capital, especially in times of fluctuating markets and crisis. Therefore during these unstable times, demand outstrips supply and the price of gold increases. After a peak of the gold price in the 1980's, supply was increased which bought the price of gold down to realistic levels. However following the worldwide credit crunch of 2009 / 2010 the price of gold has increased again to a near all-time high.

This has important implications for the man in the street particularly if you are wondering is gold a good investment? According to Stephen Leeb, Ph.D the only time gold investments under performs the stock market is in conditions of low inflation and high growth. With the world's finance ministers wary of what happened in the credit crunch, these conditions are unlikely to be allowed to happen again. Gold does not go out of fashion, even investing in gold and silver in the early 2000's and selling them at the recent high prices means you have quadrupled your money. Many experts also point out that these "so called" highs are still below peaks in the 80s, giving plenty of room for profit taking.

Gold coin investing is also a separate market whose price is not only governed by the price of gold but the supply and demand of individual coins. Pre 1933 coins are becoming more and more sought after and an ideal investment opportunity, particularly when you think of today's demand for both the individual coins and the coins actual worth in gold. Investing in gold and silver coins is an ideal way to spread the risk of your investment portfolio and affords the investor the opportunity for a more relaxed investment. Consumer fashions, technology, weather and accidents don't affect the price of your gold coins investment as they would influence an airline stock for example, leaving the investor free of worry from the majority of external factors and not tied to The Wall Street Journal.

The gold and silver coin investment community is just that - a community. With a wealth of friendly information, tips, companies and internet sites available for the potential investor you do not have to be alone.