Precious metals are the best metal to invest in, it can be anything from the usual commodities like silver or gold. Nowadays, it’s not only through owning a physical piece of jewelry that you can possibly make money through precious metals. Because of their strong value and strength against a volatile market, precious metals can provide you with secure financial investments, so you won’t have to worry about losing their value before you even get to earn.
There are many profitable ways now to earn money on the side with different investments, and one of these is through investing in precious metals. This entails backing yourself up with everything there is to know about how to sell your gold and other precious metals, to maximize your profit-earning potential.
If you’re interested to learn more, keep reading below for seven ways to make money through precious metals.
Bet On The Rising Trade Price Of Precious Metals
The key to maximizing the potential profits of your precious metal investments is to bet on it when the price is high. This means holding a certain quantity of precious metal that you can afford and wait for its trading price. This typically means that you’ve got to learn how to speculate the price of the precious metals and have a watchful eye on their value, so you don’t purchase or sell at the wrong time.
Don’t sell or trade your precious metals if the value hasn’t risen yet, or else you don’t give your investment a good profit-earning potential.
Buy Gold Jewelry
Buying gold or precious stones jewelry is probably one of the easiest and common ways to invest in precious metals. You can use this jewelry either for personal use, and then keep it for the future. If you do need to sell it, when that time comes in the future, the value of your jewelry will have already risen, for you to enjoy a good profit on each piece.
With that said, here are some tips that’ll come in handy, when buying gold jewelry:
- Do know that gold is measured in 24ths, so when you’re told you have 24k gold, that means its 100% gold;
- Check the weight, as this will also affect the price and durability of the piece of jewelry you have;
- Double-check your invoice, so that includes transparency as to the details of the piece of jewelry – this will be needed in the future when you’re going to re-sell the jewelry.
Cash In The Collectible Value Of Your Precious Metals
Your investment in precious metals will have what’s known as a collectible value. Apart from jewelry, there are other items that’ll also have a quantity of gold, silver, platinum, or other precious metals. You can cash in, or earn money from these precious metals when you sell them, for that very reason, many buyers will want to own them.
Purchase Gold Bullion
Gold bullion is what’s also known as gold bars. You might think that a gold bar would take a lot of storage space, but you’re mistaken. You can check how many grams in an ounce of gold and see for yourself.
The only drawback to purchasing gold bullion is that you’ve also got to spend for its proper storage and insurance. After all, because this is a tangible asset, it can also become more drawn to theft.
To make a profit with your gold bullions, it’s important to rely on the rising price of the commodity, and then sell it once it has reached the peak amount you’ve personally identified as enough for you to have a profit.
There are many ways that you can purchase gold bullion, but some of the most trustworthy means are through the following:
- Buying through trusted online dealers;
- Purchasing from pawnshops;
- Buying from a local dealer or collector.
Host Auction Or Valuation Parties
Auction or valuation parties are great ways to draw attention towards your gold investments, especially if the time has already come for you to re-sell these investments. It doesn’t have to be a big or grand party. It can even be a simple house party (or, in keeping up with recent times, a virtual event), where you invite guests, prepare snacks, and invite your attendees who also have items with precious metals to sell or to auction out.
When you’re able to drive attention to your investments, it’s easier for you to find buyers so you can sell them for a good price.
Plus, when you’re able to gain the trust of friends who become clients, they can also be the ones to do word-of-mouth marketing to their other network of friends, to let the word out about the items with precious metals that you’re selling. This can form the foundation for a possible steady flow of customers so that you can become their seller of choice when it comes to anything that contains precious metals.
Invest In ETFs That Own Gold
If you don’t want to own physical gold, then you can opt also to invest in stocks or funds that own gold. These are those that track gold as a commodity, and base valuation on the appreciation and depreciation of gold and other precious metals.
A big advantage that you can enjoy when you choose to invest in exchange-traded funds (ETFs) that own gold, and not the physical gold per se, is that it can also be easier to exchange these funds and bonds for cash at the current market price of gold. These are also more liquid than physical gold, so you can sell and trade them right away, even at the comforts of your home.
Understand The Cycle Of Precious Metals
Precious metals have their own cycle of when their value grows and when it depreciates. So, to make the most money and to maximize your investments in precious metals, it’s very important to be able to understand and study this cycle correctly.
No matter the kind of precious metal you invest in, and whether it be through tangible and physical means or intangible investments like stocks, the cycle is the same.
It can turn and gain traction quickly, so you’ve got to be mindful of when you’re going to buy and sell the gold.
As you can see, there are so many ways now that you can earn extra profits through investing in precious metals beyond just buying them as jewelry or spending it as currency. You don’t necessarily have to do everything that’s listed above. Rather, a good strategy, particularly for beginners, is to select the investment type that you know will work for you. In doing so, you can learn more and increase your likelihood of success with your chosen investment form for precious metals.