Why & Where to buy Gold & Silver by Steve Netwriter 2nd Jan 2010
Why everyone should hold some gold & silver
It used to be 'common sense' for investors to hold 5 to 10% of their liquid portfolio in gold and silver, just in case something catastrophic occurred. It was insurance. That 'common sense' has been lost by most people, and so very few people hold any gold or silver. It's as if most of population has forgotten what house insurance is for, and are now uninsured.
But, 'common sense' is returning, due to the recent financial events. And with that return is the inevitable extra demand for gold & silver, and with the very limited supply, the inevitable rise in price.
In my opinion the case for holding at least 10% of your liquid portfolio in gold and silver is very strong.
I think you should apply the "don't put all your eggs in one basket" rule.
Here are two options for at least some of your gold and silver holdings that I think are excellent.
Places to buy and store gold and silver
These two firms offer very reasonable charges on buying and selling real physical allocated gold and silver. That is VERY important. With these companies you are buying the real physical metal, not a paper promise.
They also store your gold/silver for you at very low costs.
They are the best options I have found.
With Bullion Vault you also get a free gram of gold, so you can register and try out the system completely without charge.
Personally I consider selling gold or silver at the moment quite inappropriate. But, it is a reasonable idea to swap some gold for silver at what you consider to be dips, and to swap some silver for gold at what you consider to be peaks. That way you maintain your ownership of real money while trying to benefit a little from the volatility of the long-term bull market.
Even if you are not sure about buying gold and silver, I think it is a very good idea to open an account with both of these companies. It won't cost you anything but a little time, and if you do decide that owning some gold and silver is a sensible precaution, then you can do so very quickly.
I've written a lot about gold and silver here:
Steve Netwriter's Gold and Silver Articles & Predictions
and I have also listed some excellent economic books, including some of gold & silver here:
A really good and inexpensive way to learn about a lot of the current situation and why gold & silver are a good idea can be found in this one book:
Guide to Investing in Gold and Silver By Michael Maloney