Diversity is one of the most important aspects of a successful investment portfolio. As the old adage advises, it’s not smart to put all your eggs in one basket. The basket is composed of your investment choices, and the eggs are your hard-earned income. Precious metals have always been a popular option for those already well acquainted with the stock market. Here are some tips for building an investment portfolio based on precious metals, brought to you by First National Bullion and Coin. Scottsdale investors trust our expertise and high-quality service when they’re looking for the most reputable precious metals dealers in town.
Understand Their Value
Compared to other forms of investment, precious metals are a stable option that has proven to grow over time without being affected by the volatility of the stock market. Naturally, each metal has its own value. Before you start building your own collection, it’s necessary to understand the cost of some of the more popular metals, such as gold, silver, palladium, and platinum.
Choose a Few Metals to Start Out with
Diversity is necessary within each type of investment. You don’t buy stock in one company and call that security. The same principle applies to buying precious metals. From the beginning, you should start out with a variety of metals. You could go with gold bullion and silver stocks or vice versa. The general idea is to find a few metals that fit your investment needs and start growing your investment portfolio with those basic metals.
Diversify within Each Precious Metal
If we delve deeper into the world of precious metal investments, we’ll see it’s possible to diversify even with regard to a specific metal. For example, when choosing to invest in gold, you have a wide array of investment options. From bullion bars to the American gold eagle coin to the Canadian gold coin, there are a number of choices when it comes to investing in gold. The same is true for all precious metals, and it’s wise to invest in several forms of each.
Decide Where to Store Your Investments
Unlike stocks, investments in precious metals have a tangible element. There’s nothing imaginary about investing in these metals. You either have a coin, bullion, or some other physical item that doesn’t just represent the investment—it is the investment. To protect your portfolio, you have to choose where to store your precious metals. You could work with a verified mint or custodian to house your metals while you manage them in an IRA, which is self-directed. You could also house them on your own property.
If you’re building your portfolio and looking for the best place to purchase precious metals, including Scottsdale gold and bullion, reach out to the trustworthy professionals at First National Bullion. We can answer all your questions and help you find all the information you need on how precious metals can figure into your investment planning decisions. Give one of our experienced dealers a call today at 480-546-8928.
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.