How gold can help investors of all ages
In today's economic climate plagued by nagging inflation and a potential recession, many Americans may be looking for new and innovative ways to protect their money. This can take the form of traditional deposit vehicles like certificates of deposit accounts (CDs) or high-yield savings accounts. It can also involve some unique investment types like gold.
By investing in gold via a gold IRA or other account type, investors can both diversify their portfolio and protect against any major swings in the stock market. Because gold traditionally has an inverse relationship to the dollar it can also help with losses suffered in other investments.
That said, the benefits of gold investing vary from investor to investor and from age to age. This alternative investment type can help investors of all ages but in different ways.
If you think you could benefit from investing in gold then start by requesting a free investors kit to learn more.
How gold can help investors of all ages
Here's how gold can help investors in three diverse age groups.
Young investors
While gold is often considered an investment for seniors it can actually benefit young people, too. Younger investors can take advantage of gold because they have more time to endure any market ebbs and flows that will inevitably arise. Gold prices typically remain steady (despite recent upticks). But even if they were to drop, younger investors could be better positioned to weather the volatility versus older investors who may need more reliable, income-producing investments. That's not to say seniors can't also benefit from putting some money into gold, but their reason for investing may be different than for younger people looking to diversify their investment portfolio.
Request a free information kit here now to see if gold investing makes sense for you.
Middle-aged investors
Middle-aged investors are generally better-positioned career-wise than younger people, and often have more experience. This means they may be able to take a more experimental approach to their investments than those people who are just getting started in their careers. Most financial advisers recommend only putting 5% to 10% of gold in one's portfolio but middle-aged investors may want to tweak that formula to see what works best for them. This could mean buying physical gold like bullion or coins or simply investing in a gold IRA or a gold ETF. Gold futures may also be worth pursuing for investors in this age range.
Seniors
Older investors looking for a way to protect the money they've already earned may find it helpful to put some of it into gold. Gold is typically not thought of as a way to grow income as much as it is a way to protect it, particularly during times of high inflation. This could be particularly helpful for seniors on a tight budget.
The historical context is encouraging. The 1970s, for example, had inflation that rocketed from 5.84% to almost 14% by 1980. Gold prices during that time, according to NASDAQ data, grew exponentially from around $35 per share to $850. That's not to say that history will always repeat itself. But if seniors are looking to put their money somewhere relatively safe (unlike stocks, which had a terrible 2022) then they could do worse than investing a small portion in gold.
Request a free investment guide here now to see if gold investing makes sense for you.
The bottom line
Investing in gold in the right amount and type for you can be beneficial for investors of all ages, for different reasons. It could be helpful for younger investors as an alternative investment source to diversify. For similar reasons, it's worth investing in by middle-aged investors who are typically better positioned financially to play with their portfolio more than younger or older investors are. Finally, it could be a good hedge against inflation for seniors who may have otherwise experienced poor returns via stock investing in today's economy.
