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Make Your Investment Precious

Moneymagpie Team 11th Nov 2021 One Comment

Reading Time: 4 minutes

Few investments have the beauty and timeless appeal of gold. Its periodic symbol, Au, is taken from the name ‘Aurora’, the Roman goddess of the shining dawn. Since its discovery more than 5,000 years ago, civilisations have traded and treasured this most precious of metals. From the tombs of the pharaohs to the mythical city of El Dorado, gold has threaded its way through our collective history and culture.

Thanks to its dual nature as an investment and a consumer good, gold has the potential to perform during times of boom and bust. Gold is easy to buy and sell, has a track record for returns over the long term, and is valued by investors all over the world as a way of balancing risk against other investments such as stocks and shares.

With a range of gold investment options now available from The Royal Mint, it has never been easier to get into gold.

 

How Gold Compares

As with any investment, the price of gold can fluctuate but, historically, gold has maintained its value over the long term.

The price of gold tends to rise in response to events that cause other investments, such as stocks and bonds, to fall. This means that adding gold to your investment portfolio can increase diversity, add welcome stability, and improve its performance.

The chart below compares the annual percentage growth of gold over the past twenty years against cash, property, stocks, bonds and gilts.

 

 

Why Gold?

Although people will have their own reasons to invest in gold, for most, gold investment is about preserving and protecting your wealth. In terms of wealth preservation, around £200 would have bought you an ounce of gold towards the end of 1990. If you had bought an ounce of gold, and kept £200 as cash, the gold would now be worth around 650% more. However, the cash would not have increased in value and, due to inflation, would actually be worth less. Looking back at historical data, gold has increased in value by an average of 10% per year over the last 40 years.

Similarly, many choose gold to protect the rest of their portfolio from risk and to add diversity. This is because the price of gold often has a negative correlation to other investment types, such as stock markets. Gold often rises in value when stocks and shares fall and particularly during times of financial turmoil. This is why, traditionally, gold is considered to be a ‘safe-haven’ investment.

Furthermore, gold has a globally recognised value, which means it is easy to buy and sell at any time, and due to its inherent beauty, gold has been treasured for millennia, making it the perfect family heirloom or investment for future generations.

 

Investing with The Royal Mint

 Every investor is different, which is why The Royal Mint offers a range of gold investment options. From classic gold bullion coins and bars, to physically-backed digital gold trading and savings products, simply choose the option that suits you best.

 

  1. Bullion Coins

With a range of iconic designs to choose from – including Britannia and The Sovereign, UK bullion coins from The Royal Mint offer a variety of attractive investment opportunities. Gold bullion coins also benefit from VAT exemption, and all of our coins are exempt from Capital Gains Tax.

 

  1. Bullion Bars

Gold bullion bars from The Royal Mint range from 1g to 400oz in size, offering you a more affordable way to start investing in physical gold. Gold bars are also VAT exempt for non-VAT registered individuals.

 

  1. DigiGold

DigiGold allows you to invest in fractional amounts of physical gold at the click of a button and from as little as £25. With DigiGold it is easy to buy and sell your gold, allowing you to take advantage of any movements in the market. DigiGold is backed by real bullion bars, which are fully insured and stored within The Royal Mint’s vault. Physically-backed digital gold is also VAT free for non-VAT registered individuals.

  1. Little Treasures

Little Treasures is the simple way to gift gold to your child or grandchild. Set up monthly payments to purchase set amounts of physically-backed digital gold and accumulate a precious metals holding that grows with your loved one. Physically-backed digital gold is also VAT free for non-VAT registered individuals.

 

  1. Gold for Pensions

Gold for Pensions allows your SIPP provider or SSAS administrator to hold, manage and sell physical gold bullion held within your pension scheme.

 

Investing in gold with The Royal Mint starts from as little as £25, so whether you are creating a nest egg for a loved one or diversifying your investment portfolio, gold is now as accessible as it is appealing. When investing, your gold can be stored in The Vault ®, our on-site precious metals storage facility. Guarded 24/7, our vault is described by the chairman of the British Safe Manufacturers Association as ‘the most secure in the industry’.

 

The Royal Mint is a world authority on precious metals – from circulating coins to bullion bars, we’ve traded and crafted in gold for a millennium. With a history spanning more than 1,100 years, we are proud to be known as the UK’s home of gold.

 

GET INTO GOLD TODAY

 

Please note this is a paid promotion from The Royal Mint

Disclaimer: MoneyMagpie is not a licensed financial advisor and therefore information found here including opinions, commentary, suggestions or strategies are for informational, entertainment or educational purposes only. This should not be considered as financial advice. Anyone thinking of investing should conduct their own due diligence.
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Joanne
2 years ago

I wish I could invest!

Jasmine Birtles

Your money-making expert. Financial journalist, TV and radio personality.

Jasmine Birtles

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