Why Gold?

Why Gold?

Why Gold?

Understanding why investing in gold helps you protect wealth, hedge against inflation, and diversify your portfolio.

Gold historically is both a store of value, meaning when you own gold it increases in value, and also a medium of exchange, meaning it has been used as “money” for thousands of years.

Most people store their value (aka “save”) using dollars. Except dollars are not a store of value. The real historical rate of inflation is about 5-6% per year, which means when I save in dollars I am actually losing 5-6% per year. Dollars also don’t have any sort of intrinsic value which means outside of the government legally forcing us to use them, nobody would actually want or care about dollars.

Here is a real example:
In 1967, for a man to buy a nice suit, it cost about $35.00 dollars.
1 oz of gold also cost about $35.00.
So 1 oz of gold could buy a suit.

Today, to buy a nice suit, it costs around $2,000 dollars.
1 oz of gold also costs about $2,000.
So 1 oz of gold could buy a suit….but $35.00 couldn’t.

That means if you saved $35.00 in actual dollars since 1967, you lost about 5,614% of your money.

If you bought gold in 1967, you’d have made about 5,614%.

It’s very likely that in another 50 years, if we keep doing what we did in the last 50 years, it will cost $112,000 dollars to buy a suit and an oz of gold will cost about the same.

The nail in the coffin for me?
The Federal Reserve Bank, the organization that creates the U.S. Dollar, has 79% of their reserves in gold. Not dollars. Not U.S. Treasuries. Not Crypto-Currency. Gold. 

In other words, they sell dollars to us, but they would rather own gold themselves.

But I think the best answer to this question is to simply ask it to you.

By understanding why investing in gold, you can make informed decisions that protect your wealth and strengthen your financial future.

Why don’t you own more gold? 
If you want to, Click here to purchase some today!

Sincerely,
Maya Weinreb | Founder & CEO
813-336-1574

 

Frequently Asked Questions

Why do people invest in gold?

People invest in gold because it has historically been viewed as a store of value, a way to diversify investments, and a potential hedge against inflation and currency depreciation.

Is gold a good hedge against inflation?

Gold has historically been used as a hedge against inflation because its value has often increased during periods when purchasing power declines and currencies lose value.

Why is gold considered a store of value?

Gold has maintained value for thousands of years because it is scarce, durable, widely recognized, and has been used as a form of money and wealth preservation across many cultures.

Does gold protect against the loss of purchasing power?

Gold can help protect purchasing power over long periods because its value has historically tracked increases in the cost of goods and services during inflationary periods.

Should gold be part of a diversified investment portfolio?

Many investors include gold as part of a diversified portfolio because it may perform differently from stocks, bonds, and traditional currencies during certain economic conditions.

Why do investors view gold differently from currency?

Unlike government-issued currencies, gold is a physical asset with limited supply and has been valued globally for thousands of years, which is why some investors use it as a way to preserve wealth.

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