Tips for Buying Gold and Silver

    Published: 06-16-2009
    Views: 11,563
    Michael Maroney, Vice President at Monex Deposit Company, shares some tips for buying gold and silver.

    Michael Maroney: Hi! My name is Michael Maroney. I am the Vice President at Monex Deposit Company and we are taking about buying gold and silver. Now I would like to share with you some tips for buying gold and silver.

    Number one, you should always deal with a recognized and reputable dealer. Always buy the well branded products. If you are interested in owning gold or silver you should own gold or silver. There are obviously many substitutes out there. But if you buy the real product it's the simplest and the safest way to own gold or silver.

    When making a purchase you should always agree on the total price before you send any money. You should have the exact amount and you should be able to break it down by price, commission, and delivery fees. If there are any hidden fees you should be very weary as far as dealing with that dealer.

    Individual investors should be aware of cheap counterfeit products. There are many ads out there right now that you can purchase coins that are 14% silver coins. There are plated gold coins out there. If you want to buy gold or silver you need to buy pure gold and silver coins. Now when you deal with a reputable dealer you can feel confident that when you receive your product you will not have to worry about having counterfeited coins or coins that quite frankly will never have any resale value in future.

    Another thing to consider when you purchase silver, remember, this is a non-traceable investment and what I mean by that is it's not like a share of stock where it's actually registered. Once you take delivery of it no one knows you have it and if it's lost it's almost impossible to figure out how to find.

    Another tip is; remember gold and silver are great long term financial investments. But every investor needs to have a strategy in place as far as the accumulation of this individual investment. It's not always proven to buy when everyone else is buying because the price of silver is sky rocketing. Most individual invertors should look to target a certain amount that they wish to allocate towards gold and silver.

    Don't buy at all in one fell swoop, try to purchase in tranches. These markets have a tendency to pull back and correct. Be patient, you want to make sure if you have none now you have a core position in place. Then if the market were to pull back 10 or 15% add to that core position. Inevitably target the total number of ounces you wish to own and put a plan in place to acquire these ounces. A reputable dealer will do every thing they can to assist you with these strategies. It's a great long term investment when you do it right.

    In today's financial market obviously everyone is talking about gold and silver and I hope these videos will help you make sound financial decisions as far as the ownership of gold and silver for your individual portfolio.