Gold is widely considered as an ideal investment in the long term for all categories of investors. It has proved as a safe investment in the time of global economic slowdown and depression. Gold is the only investment asset that has remained as an hedge against dollar and inflation conditions. Though the trend for the Gold remain bullish in the long term, retail investors are thinking twice at this moment as the prices are almost at the all time high. The past 10 years has seen a steep rise in Gold prices. Following table will give you an understanding of the Gold prices and cycles of bullish and bearish market trends for the past 86 years. You will wonder seeing at these prices and the up movement in various years.
There are various forms of investments in Gold. Most popular form of investment among the Indians is purchase of jewellery in gold shops. Gold Bars and Coins also favorites for many investors. The latest trend is Gold ETFs. Through this method, you can purchase Gold through Exchange Traded Funds (ETFs). These funds will invest 90 - 95 percent of their capital in Gold / Bullion markets, hence considered as safe options. Safety, Lower charges, easy liquidity and diversification are other benefits of investing in ETFs.