Should seniors buy Costco's gold bars?
You should always be smart about your money — both where you keep it and where you store it. This is more important in today's uneven economy, with low unemployment but stubborn inflation and elevated interest rates. Against this backdrop, it's important to carefully weigh the pros and cons of each financial consideration. For seniors, especially, many of whom may be reliant on Social Security and retirement savings, each investment type needs to be valuable.
That said, one of the smart approaches many have taken in 2023 is to invest in precious metals, specifically gold and silver. There are many top gold investing companies that can help you get started, with even Costco joining the mix last month. The retail warehouse started offering 1-ounce gold bars and they quickly sold out online as the demand superseded the inventory.
But should seniors also buy Costco's gold bars? And what if they can't get their hands on one at the retailer? Fortunately, there are many other valuable alternatives to research. Start by requesting a free gold information kit here to learn more.
Should seniors buy Costco's gold bars?
The two gold bars currently being sold by Costco are priced at $1,980 and $1,950, which places them squarely in the average gold price range as of October 2023. But whether you're looking for them in person or via an online gold company, there are compelling reasons why you should buy the shiny yellow metal now. Here are three major ones:
For protection against inflation
Gold is known for a multitude of benefits, but arguably none as great as its ability to hedge against inflation. Historically (but not always) a gold investment holds its value and even ticks up a bit in price when inflation is affecting the larger economy. This makes it particularly beneficial to have now when stock performance is uneven and retirement savings have dwindled. Just make sure that you invest in the right amount, as too much or too little could offset any potential gains.
Learn more about your gold investing options here.
To diversify your portfolio
Gold can be a great way to diversify your portfolio, giving you a buffer when other investments perform poorly. That said, gold is not really an income-producing investment as much as it's one to protect what you already have. So while gold can be beneficial for investors of all ages, the amount you put into your portfolio will vary based on personal factors. Most experts recommend capping it at 10% of your portfolio, but it could be even less than that, depending on your investor profile.
For tangible security benefits
Stocks and bonds can be great resources for those looking to grow their money quickly. But investments with quick returns come with the potential for quick losses, too, and it may not be so simple to sell stocks and bonds when you want to. But physical gold bars — whether purchased from Costco, Goldco or another gold company — don't come with those same limitations. As such, they offer tangible security benefits that investors can see and touch (and easily sell if needed).
The bottom line
Costco getting into the gold bar market only underlines what many savvy investors have already known this year — gold is a great way to protect your money now. Due to its inflation hedging ability, use for portfolio diversification and tangible security benefits, it can make sense for seniors and many other age groups to buy gold now. Get started here today!
