It should be noted that precious metals are not so popular among traders as active trading instruments because of the high spread. This is not the kind of asset that will allow you to «repay» the invested funds with interest in the shortest possible time. Trading precious metals requires patience and long term trading skills — then there is sure to be profit.
Then why are precious metals so profitable? Let’s start with the fact that it is an excellent way of risk diversification. The Moscow Stock Exchange provides a whole arsenal of trading instruments that will allow to achieve the goal. On this basis they invest the most part of available funds. This approach is too risky: you may be mistaken and «lose» the whole deposit, or incur heavy losses.
The most popular trading precious metals is gold. Its main advantage is that it becomes more expensive during the crisis and is always in demand, regardless of economic fluctuations. Therefore, when investing in gold, you do not risk to lose the invested money. At the same time, in a crisis, you may even be able to make a profit.
There are several ways of buying gold. You can go to the bank and buy the metal in bullion, but this option has a huge disadvantage — a solid tax on both the purchase and sale of the bar. But if the gold will be kept in the bank, you will also have to pay for this. In addition, it is not possible to trade gold bullion online.
Due to the popularity of gold, many traders unfairly bypass other precious metals, such as silver, due to the fact that it is more stable in value, cheaper, always able to secure deposit and net profit in the long term. Since the seventies of the last century, silver prices have risen by about 700%, and similar dynamics can be seen now.
That being said, gold is recyclable, and silver, especially technical silver, is not recyclable, hence its quantity is continuously decreasing, and the value is consequently increasing.
Is investing in precious metals worthwhile? Definitely yes, at least because it allows us to have a «financial cushion» in the case of a crisis situation. That said, it pays to begin with less volatile metals, such as silver or palladium. After the strategy justifies itself, you can add gold to your investment portfolio.