GPMT offers buy-and-hold traders the advantages of owning physical bullion
Precious metals prices are presently at historically high levels. The rising values of these commodities have attracted a lot of attention, which has encouraged many new traders and investors to capitalize on this uptrend. There are a number of different ways to conduct gold, silver, palladium and platinum investment these days. Most people invest in precious metals by trading commodity futures, or ETFs (exchange-traded funds), which are funds that invest in the physical commodity or its futures contracts. Others might buy stock in mining companies as an indirect way of benefiting from precious metals price movements. However, it can be tricky and time-consuming to learn how to trade silver, gold or other metals.
The old-fashioned form of precious metals trading, i.e. buying and selling physical bullion, has long been overtaken by these modern methods. However, it is coming back into vogue now, with more and more individuals and corporations seeing the advantages of owning a tangible asset that also has an intrinsic value, rather than one that essentially comes down to a piece of paper.
In today’s uncertain world, some investors are becoming concerned that the banks and other institutions that issue, or act as counterparties to, financial instruments such as futures and ETFs could default on their obligations if metals prices drop drastically. This is because futures are typically only fractionally backed by physical assets. This would render the paper contracts worthless. A mining company can go bankrupt too, leaving investors in the lurch. In contrast, anyone who owns bars or coins of precious metals would still hold an asset they could sell.
When someone conducts, for example, online gold trading to buy or sell physical gold at a firm like Global Precious Metals Trading (GPMT), they also take on less risk as this type of trading uses much lower leverage than futures or ETFs. Of course it does mean that any gains are less spectacular too. All in all, physical bullion can be highly suitable as a relatively low-risk addition to any medium or long term investment portfolio.
More information about trading and investing in physical precious metals can be found at GPMT.com or by calling (305) 569-0044.
About Global Precious Metals Trading
The goal of Global Precious Metals Trading (GPMT) is to provide an efficient, convenient and professional service for individuals and corporations who are looking to trade gold, silver, platinum and palladium, and to accumulate these precious metals as an investment. GPMT offers the unique opportunity of online precious metals trading at the best price, with the empowerment and potential that have not been previously available.
Global Precious Metals Trading can be reached at (305) 569-0044, or on the web at GPMT.com.
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