Breaking Down Gold Investments for Millennials

Millennials are often criticised for not being interested in traditional investments. However, many of them seem to be interested in gold. Although some perceive it to be an investment for older generations, this is not the case because it appeals to everyone regardless of age. This article aims to help millennials understand gold investments and the approach others are taking with their investments.

Investing in Gold

Investing in gold is exactly what it sounds like, i.e., buying gold, holding it, and selling it at a higher price in the future. The best thing about gold is that you can buy physical gold from suppliers like Bullion Giant or invest in gold-adjacent options. These include gold-backed EFTs, gold-mining companies, jewellery, gold futures, and many others.

Gold is an excellent investment because it has historically held its value even when the value of other investments falls, the economy does poorly, or the rate of inflation increases.

Why Many Millennials Invest in Gold

Millennials are tech-savvy and very comfortable with online trading platforms and fractional investing. This means options like gold-backed exchange-traded funds (EFTs) that encompass both are a perfect entry point for them. Also, fractional investments are very appealing to millennials who want to avoid the high cost of investing in gold.

Millennials already understand the concept of diversification. Gold has a very long history of storing performance in economically difficult times. It is, therefore, a great value addition to any millennial’s investment portfolio that might otherwise be weighed down by real estate, stocks, bonds, and other traditional investments.

Lastly, some millennials see ethically sourced gold as being better aligned with their values. With responsible gold sourcing so important to them, many are turning to EFTs that include stocks of companies that mine gold ethically. These companies tend to perform better due to their values, which is why their stocks are always in high demand with millennials who align with them.

A Modern Approach to Investing in Gold

Millennials interested in gold are skipping the brokers and investing through micro-investing apps. These apps allow them to invest in physical gold or other options that track its price through their smartphones. These apps also allow them to start small and build their gold positions over time.

While some millennials are investing in physical gold, many are opting not to. They cite the high cost of gold storage as a primary reason, but many companies that sell the commodity provide storage services which eliminates this concern. This means you shouldn’t be worried about these costs, and you will have peace of mind if you work with reputable companies.

Research is becoming a crucial tool for making decisions, including whether to invest in gold. Millennials are educating themselves on gold prices, market movements, market trends, and different options before investing. By doing so, they have all the information they need to make the right decisions.

Gold is no longer for the older generations because more millennials are investing in the precious commodity. With the right approach, information and strategies, they can approach it like they would other investment options and use it to diversify their portfolios and secure their financial futures.