A renewed uncertainty about the economy and the extent to which the delta variant can run rampant has investors wondering, "should I invest in gold?" However, the performance of the asset as of recently would have you thinking otherwise.

After hitting an all-time high price of around $2,000, the precious metal has lost some of its mojo and is currently sitting around $1,760 at the time of this writing. Is it the right time to invest? And is gold a good investment?

Find the answer to these questions and more in this comprehensive guide and determine if gold is a suitable investment for you.

1. Is Gold a Good Investment

To answer this question, it's essential to consider what drives the price of gold. Throughout history, gold has been worshipped and used in several different practical applications.

A few of the things gold has been used for during its existence include:

• Fashion decorations

• Religious symbol

• Awards and metals

• Protection from heat

• Jewelry

• As a form of money

• To conduct electricity

• To store wealth

These many practical uses are what gives gold its value.  It comes down to the basic law of supply and demand.

There is a limited supply of gold that you can mine for at any given time. However, the more gold is used, the higher the demand for the precious metal can potentially be. This limitation in supply and potentially unlimited demand is the primary reason why individuals consider gold as an investment. 

2. How to Invest in Gold

There are several different ways you can invest in gold and get involved with the precious metal to reap the benefits. Here are a few common strategies. 

Buy Physical Gold

There's no better way to own gold than to buy it physically and store it yourself. You can buy gold directly in the form of coins or bars, which is often referred to as gold bullion. Keep in mind you will need somewhere safe to store it. You won't want to leave it sitting around. 

Some small mints exist making it easy to buy physical gold in coin form, making it easy to store and handle. Reading reviews of the minter is recommended. For instance reading the golden state mint reviews gives you a great insight into the quality of their coins.

You can also opt to purchase gold jewelry to use it as an investment and store of value. 

Gold ETF

Investing in a gold ETF is a simple and effective way to increase your exposure to it. These financial instruments are designed to mimic the price movements of gold by using derivatives like options or futures. You will have to determine which ETF is right for you as some are designed to track the price of physical gold and others gold miners. 

Transfer Your IRA to a Gold IRA

It is possible to convert ira to gold to the extent you’d like to diversify. A gold IRA works the same as a traditional IRA, and you can specify the types of gold purchased (coins or bars) and have them held by a custodian. Once done, you now have retirement assets that are backed by physical gold.

Gold Mining Stock

Another way you can invest in gold without having it directly is to buy gold mining stocks. These are companies that use resources to extract gold from the earth and sell it. Different gold miners will use different strategies to physically extract the precious metal, such as panning or hard rock mining. Learn more about gold mining companies and how you can invest in them if you visit goldinvestingsite.com. 

Is Gold the Right Investment For You

Since it was first discovered, gold has remained a valuable resource that has many practical uses. It can also be heavily influenced by outside economic factors like inflation, interest rates, and political tension. 

To answer the question as to "is gold a good investment," it will depend on what you are looking for out of it. As history has shown us, at times when other assets have lost value, gold has gained. To learn more about investing and other ways of making money, check out the money section of our blog!