Gold Attracting More Buyers

The high gold price and weak rand is making gold more attractive to buyers.  It is not only the

weak rand driving gold, lowering interest rates in the US also plays a role as people are beginning to rethink the USD as a safe haven. I think people are becoming aware of the fact the no Fiat money is really safe and all are subject to inflation.

Have a look at the Rand price for gold over the last five years

It is clear the price has constantly been rising.  This tendency has been going on for as long as gold has been around. The buying power of gold stays the same, so in times of inflation 1g gold will still buy you tomorrow what it could buy you 10 years ago.

Using money as a form of payment is still going on today, although very few of us are aware of it. I did not know it until I came across the following quote on Moneyweb:

In parts of Southeast Asia, it’s not uncommon for individuals to use gold instead of cash for big purchases such as real estate, bankers and analysts said. “It’s the only investment tool that goes from institutional investors like banks to the public and back again,” said an executive at a Swiss refinery

The strong gold price might get you wondering if you should still buy gold.  You have to keep in mind that one does not buy gold to sell it the following day at a profit. Gold is a long term safeguard as part of a balanced portfolio. You buy gold to insure a good education for your children or to make sure you will be able to retire comfortably.

Most people cannot buy gold in bulk and therefore think they cannot invest in gold. This is not true though as Karatbars make it easy in the form of Cashgold. You can buy small quantities from as little as 0.1g. Of course you can buy bigger quantities and there is also many “luxury” product available to buy as gift or for promotional purposes. Branded karatbars can be customized for your needs. To quote the Karatbars website:

Whether it’s a birthday, a wedding or a college graduation - it is always the right occasion to give our newly designed Special Karatbar.

Shopping for the perfect gift for a special occasion or simply to say „Thank you!“ is easy with Karatbars. Have a look into our online shop section where you can find the latest ideas.

In South Africa people all know about the “Kruger Rand” the traditional gold coin for investors. So it is still the most popular gold coin. Economists will tell you that gold coins do not pay any interest. that may be true, but as it is physical gold it carries its own guarantees of growth through the rising gold price.

As popular as Kruger Rands are their price his higher than the price of cashgold. Have a look at the comparison as on 20 August this year. (For Cashgold go to "recently added" on the left pane scroll down and go to page 2)

You have to keep in mind that the price varies with the gold price. Still, you can see that it is a better way of saving in gold. CashGold can be bought in small amount. It is of the finest quality and has many safetyfeatures to provide the maximum safety. In a later article I will tell you about the forgeries doing the round.