Gold just seems to make sense; it's a store of value
Los Angeles, CA (PRWEB) July 1, 2009
Bullion gold coins gain as inflation concerns grow. Aurum Advisors President Marc Lubaszka expects the price of gold coins to rise dramatically in the months ahead due to investment demand and the threat of inflation. He was recently interviewed by the International Business Times.
Investors are seeking safety in a turbulent economic environment. The number one way they are both protecting and preserving their wealth is with gold coins, more specifically bullion gold coins. Lubaszka had this to say, "Gold coins have outperformed everything over the last 10 years tripling in value. It will continue according to some of the smartest minds out there for a minimum of 5 years. Over the next 12 months expect an above average return. We will see gold challenge if not surpass the $1200 an ounce mark."
"Every financial advisor on the planet would agree there is never a time where you shouldn't have some of your money in gold coins. During normal times having a portion of your money in gold bullion coins will serve as a hedge against uncertainty, a hedge against disaster, an unexpected crisis. Investors are taking larger positions in gold bullion now than during normal times not only as a hedge, not only as something that will provide protection, but also as an investment that will give them the growth that the rest of their portfolio is lacking because it is still possible to gain during these uncertain times. In fact a tremendous amount of money will be made during this period for people who are paying attention and to buy gold coins is certainly one way to do just that."
With gold investment demand on the rise its no wonder institutional investors are acquiring this precious commodity. In fact, the third-largest U.S. life insurer Northwestern Mutual bought $400 million in gold recently. "Gold just seems to make sense; it's a store of value," Chief Executive Officer Edward Zore said in an interview following his comments at a conference hosted by Standard & Poor's in Brooklyn. "In the Depression, gold did very, very well."
When asked if inflation would be a bigger short term or long term problem Lubaszka had this to say, "Either way, short term, or long term, investors are adding the only investment that can really protect their portfolio. A lot of very smart investors during the last inflationary period we saw here in the US during the 1970's - bought bullion gold coins. And gold during that time increased 2400% so as soon as we get the first big wave of inflation you will see that wave of inflation show up in the gold price - a dramatic rise can be expected. I know I continue to repeat the same ideas over and over again on every program I'm interviewed on, but these very basic ideas can have a profound impact on one's portfolio if put into action. Most people are afraid to take action right now. Most people are just kind of sitting tight waiting to see what will happen because there is so much conflicting information out there. The biggest mistake investors can make right now is not moving in the direction of commodity related investments. Investors want a safe bet so they are going into areas that are more predictable and more stable. Investors are acquiring assets that take advantage of the problems we are currently facing."
So as inflation and larger institutions buy gold coins, gold prices are expected to rise.
Aurum Advisors, a leading precious metals asset management firm, is headquartered in Los Angeles, USA. Aurum Advisors is a top provider of physical gold, silver, platinum and palladium coins and bars to investors nationwide. Aurum Advisors is also an industry leader in providing Gold IRA and Gold 401k accounts to household investors.
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