Benefits of gold as savings

As I observe the appreciation of gold prices over these years, my inclination to sell them is very low, to be honest. That makes me a gold saver, not a gold trader. I would not be excited about profit-taking because the gold price has touched some technical parameters (based on the gold price chart).

As a gold saver, I get excited as the gold price increases (indicating my savings increase in value). But you know what? I get even more excited when the gold price crashes as this presents opportunities to buy expensive assets at a lower price. Am I making sense here?

This might trigger a thought that if savings in gold is the game plan, where would the profit come from if I do not sell? The counter to this argument is: what is the point (or profit potential) of saving so much cash in the bank without utilizing them?

I know what you are thinking. The dividends, right?

 Yes, you do get dividends, but considering the inflation rate and how severe our money is depreciating, the dividends we receive might not be worth it. Hence, I am confident gold can be the best way to protect value for the long term.

So, when do we sell then?

The only occasions I would consider selling my gold are as follow:

• Emergency – if I urgently need cash after having utilised my savings
• More significant profit – Opportunity to earn a profit much higher than gold, such as capital for my business, or into properties that are being sold under market value
• Target is achieved – When the target to save gold has been met, such as education fund for children, as a down payment for the dream home, to perform pilgrimage, etc.

Unless the reasons stated above bother me, I would not be inclined to sell my gold.

If you find this article useful, consider sharing this with your friends and family. Let's create awareness about our money because nobody will come forward to help us.

Easy way to start gold savings can be found here: Gold Accumulation Program

Join my Facebook page for free here: FB page

Hope you find it useful.

Your buddy on gold investing,

Naresh G