What you need to know about gold investment


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As our market is going through uncertainties both in politic and economic itself, people are flocking to investments that are able to hedge such uncertainties. Many opt for bonds that offer security but less-than-inflation rate of growth. However, there is one vehicle of investments that strive in the time of political and economic struggle. It’s gold.

Before you jump straight into this golden arena, there are few things that you have to know. This guide will ensures that you will be better prepared in Q&A session with your investment advisor.

Question. What kind of gold should I buy?

Answer. Gold comes in many forms. So you have to know which suits you best. First we have bullions or gold coins. In Malaysia, the only bullion coins is Kijang Emas. It’s available through local banks. You can get more info from Maybank page.

If you are not keen to keep the coins by yourself, you can save the hassle by opening gold investment account, like the one offered by Public Bank. This gives peace of mind and reduces unnecessary risk of keeping the real gold in your house.

Q. When should I buy?

A. If you read online articles, they will tell you that it’s always the best time to buy gold. Most probably because those people the ones selling gold. However, it’s quite true but I won’t give you that straight answer. Gold is a limited expensive metal, is not a derivation, have resilient value and rather high liquidity. Besides, the value of gold usually strives when inflation rate increases, currency is having debasement or future economic prospect is in gloom. All of these put gold as a preferred investment when other investment vehicle fail to offer enough confidence to investors.

Q. How much should I buy?

If you would like to have gold as part of your investment, it’s best to consider it as a low risk low return investment. Having said that, I would say 10-30% is a good range when economic is having a good time and you can increase it if you are expecting economic slowdown. That’s it if you are a speculative investors, if not, just do regular investment on gold and you should be fine.

Q. How about gold stock?

A. Gold stock are shares of companies that deal with gold mining, extraction, processing and minting. While it’s closely related to gold, it’s still stock, not precious metal. If the stock rides on the bull market because of gold, you are lucky but it doesn’t offer the same qualities that people seek by investing in gold. So make sure you know what you are doing.

Q. Where can I track daily gold price?

A. Kitco has a good graph of daily gold price movement on their site. Check it out.

Q. Ok, I’m interested, what should I do now?

A. If you are ready to make gold investment, go to nearby bank and ask them about it. You’ll learn a lot more when you already have basic of gold investment.

Good investing

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  1. #1 by potato investor on July 1, 2008 - 1:28 pm

    You write a good article on gold investment. I get to learn more from you. Thanks.

  2. #2 by Yani on July 1, 2008 - 5:53 pm

    Hey Irwan,

    Maybe you wanna check this company out?
    http://www.etikaemas.com/

  3. #3 by sma on July 15, 2008 - 4:53 pm

    tis one also can be a reference for beginner gold investor http://jutawanemas.com

  4. #4 by Jenn on July 21, 2008 - 1:52 pm

    Thanks bro for the info..i’m thingking to have this kind of investment for myself & family.

  5. #5 by Rai on October 30, 2008 - 10:28 am

    kinda hard to get bullion nowdays except maybe in jewellery shops (but they dont necessarily follow exact daily gold price).
    I called Maybank last few months and they don’t have stock.
    I called this morning and found out why. They don’t have Kijang stock unless somebody sell to them. I asked can’t you get more from Bank Negara? And the answer is: Bank Negara doesn’t issue Kijang anymore!
    Is this true?
    Then, we have a shortage of Kijangs in the market. Sigh…

  6. #6 by YKiew on November 3, 2008 - 6:35 pm

    I was searching for advises for different investment, which I decided to start investing in gold saving passbook offer by local bank. But, for the pass 1 year, i do a monthly regular saving, till now, I ended up with quite a huge losses. Hence, I think even if most are saying gold is ever increasing, but you got to be careful when you invest in gold.

  7. #7 by Roslan on March 9, 2010 - 7:47 am

    I like your posts regarding gold investments .

    I also have a blog regarding gold investment I wish u would have a look at my blog

  8. #8 by Julia on March 23, 2010 - 4:15 pm

    We’re a gold dealer.

    Anyone genuinely interested to buy pure cast 999.9 gold bar , PAMP Suisse brand ( our specialty brand ) 100 gm with certificate or other types of gold , platinum custom order etc. etc. are welcome to contact us goldman999.9@hotmail.com.

    Internationally recognised. Instant rebate off RM 1000 to RM 1500 for each bar compared to other dealers.

    Simple as that and better than usual.

    Best buy back offer.

    Make a smart and secured purchase.

    Thank you.

  9. #9 by Double Bedding  on October 19, 2010 - 4:16 pm

    my grand father used to have those old spanish gold coins in stock*~~

  10. #10 by Wrench Set · on November 8, 2010 - 8:17 pm

    gold coins are very nice and they won’t tarnish over time too .

  11. #11 by Maile Vredeveld on February 17, 2011 - 11:56 am

    Ulrike Mcdaris

Comments are closed.