The old adage “Don’t keep your eggs all in one basket” is still wise counsel for any investor. Those who only had stocks and bonds investments suffered the greatest losses when the market crashed. Those who had diversified and included gold savings in their portfolio fared better.
There are many ways to diversify your portfolio. One way could be adding real estate investments to your portfolio. Another way is by adding gold investments, such as having a gold IRA.
Gold has been considered a valuable investment for thousands of years. In more recent years, gold has performed well as an investment during times of high inflation. It is also considered a great investment during troubled times and economic uncertainty.
During the troubled times from September 2008 through January 2009, the US Mint sold 816,500 American Eagle gold coins. This was over three times as many as sold the previous year. There were times when the physical supply of gold coins couldn’t keep up with the demand.
Gold will retain its luster as long as the economy is weak. If inflation returns due to all the dollars pumped into it by the government, gold will remain a good hedge. Since no one knows the future, diversification of assets is always the best bet.