What 3 Rules Should You Follow when Investing in Gold & Silver Bullion?

 

Since the COVID-19 pandemic, there has been a growing interest in physical gold and silver. There are many good reasons to invest in bullion, with the most common one being to provide a hedge against inflation and other economic conditions. While it’s a wise decision to invest in physical gold and silver, here are some basic rules to keep in mind before you get started, brought to you by the experienced professionals at First National Bullion, the dealers in gold and silver bullion San Diego collectors trust for high quality and unsurpassed service.



1. Don’t Waste Time Trying to Figure Out the Markets

Many investors study the markets by attempting to figure out when it’s a good time to buy or sell. While it’s understandable to be cautious with your investment strategies, there’s such a thing as being overly meticulous. Investors often get the markets wrong and fail to achieve “perfect timing.” Oftentimes, buyers and sellers react emotionally and act when it’s better to wait and vice versa. Make your decisions based on what works best for you financially at the moment. If you’re really not sure about when to buy and sell, consider working with an investment professional. Just be aware there may be fees associated with your transactions.

2. Stay Away from Rare and Collectible Coins

It’s far too common these days for precious metals companies that advertise on television or the internet to use high-pressure tactics to sell so-called rare or collectible coins. There may be regular bullion advertised. Then, when you call, they’ll try to talk you into making a higher-priced purchase. The problem is these coins are often sold for far more than they’re worth. Investors often have to wait for gold and silver prices to triple or double just to break even. These coins are rarely all that rare. For instance, a coin that’s 100 years old isn’t necessarily rare. What’s more, these coins are often difficult to sell because they’re only appealing to certain buyers aware of the significance of the coins.

3. Try to Find Low Premiums while Being Cautious

It’s definitely a good idea to look for good deals. However, it’s equally important to be careful. For example, if you find a dealer offering coins or bars for far less than other dealers, be cautious. You may find yourself not getting the coins or bars offered, or the dealer may fail to deliver altogether. It’s best to work with reputable sellers or dealers. Read online reviews and check to see how good customer service is (e.g., how easy it is to get a response when you have a question). If you do find deals that seem too good to be true, be extra careful. Ask questions first and see if there are any hidden fees or conditions. Some sellers will offer bullion cheaply for the first order and then require you to make another purchase at regular prices.

 

Whether you’re looking for expert advice on investing in bullion or the best place to buy gold in San Diego, make sure to work with trustworthy precious metal dealers who offer high-quality service and have years of experience. Call on the industry-leading professionals at First National Bullion when you’re ready to invest in precious metals, including gold, silver, platinum, and palladium. Give us a call today.

 

The statements made in this blog are opinions, and past performance is not indicative of future returns. Precious metals, like all investments, carry risk. Precious metals and coins may appreciate, depreciate, or stay the same in cash value depending on a variety of factors. First National Bullion does not guarantee, and its website and employees make no representation, that any metals for sale will appreciate sufficiently to earn the customers a profit. The decision to buy, sell, or borrow precious metals and which precious metals to purchase, borrow, or sell are made at the customer’s sole discretion.