This is one of the best reasons to invest in gold

in High inflation rateWith volatile markets and ongoing economic uncertainty, you may be looking for some stability in your finances.

Many smart investors know that one of the best ways to protect your investments is to invest Your portfolio is diversified. This means that instead of just investing in specific stocks or bonds, investing in things like index funds, real estate and even commodities like gold can benefit you.

One of the best ways you can protect yourself against market fluctuations and volatility is diversification. and reason the gold A safe investment and even has a reputation as one Inflation hedgeYou may benefit from thinking about investing yourself.

If you’re thinking about adding gold to your portfolio, start learning more with a free information kit.

Why gold is good for diversifying your portfolio

Historically, there have been few investors gold rush Because it provides a sense of security in volatile markets.

But in fact, wealth better serves investors for diversification purposes, said Lauren Gilbert, CEO of Wealthwise Financial Services. CBS News.

Over the past 10 years, gold prices have risen, but not as dramatically as other common investment indexes like the S&P 500. Since 2013, spot gold prices have risen from around $1,300 to over $2,000 an ounce. World Gold Council. Meanwhile, The S&P 500 data shows The index traded around $1,500 in 2013 but today it’s price is close to $4,000.

But not every year ends with success in the stock market. Diversifying with different types of investments can help keep your money safe during more volatile times — as we’ve seen over the past year. For example, between 2022 and the spring of 2023, the S&P generated a negative annual return of about -7%, while gold gained a marginal 0.5%.

This may seem like only a small advance, but it can be useful for keeping your larger portfolio in shape when other investments underperform.

As a long-term investor, it can pay to protect yourself against whatever the economic future holds. Whether you choose to diversify with gold or other types of assets, diversification is a great way to do that.

Learn more about your gold investment options here.

Option to diversify with gold

Here are just a few ways you can Add gold to your portfolioThe amount of money that makes sense for your financial goals.

• Gold IRA: Like a standard traditional or Roth IRA, Gold IRA A way to save for retirement and come with contribution and distribution limits for investors.
• Gold ETF: If you are already familiar with investing in stock market ETFs, this type of gold investment may sound familiar. A gold ETF allows you to invest in gold without physically owning any of the metals.
• Gold Bullion: If you want to own some physical gold for yourself, you can Buy gold bars or coins From trusted sellers.

Bottom line

With a well-diversified portfolio, you’ll be able to reduce your investment risk and keep long-term gains possible despite short-term market fluctuations.

What’s more, diversification can help you weather periods of uncertainty and volatility, especially if you can maintain some stability in some assets at a time when others are more volatile.

If you think gold could be a smart way to diversify your portfolio, request a free information kit to learn more today.