1) Protection against inflation risks
Gold is the most effective hedge in times of financial crises, wars, disasters or inflation as it is inversely correlated to the dollar, stocks and real estate. When the dollar depreciates due to the effects of inflation or political instability, gold, on the other hand, tends to become more expensive.
2) High liquidity and stable value
When making an investment, the ease of which you can buy and sell an asset should be a primary concern. As a universally recognized currency, gold is a highly liquid asset. Gold is mostly accepted and can be exchanged into local currency with relative ease around the world.
3) Markets are hard to manipulate
Compared with the regional stock market, gold belongs to the global investment market, and it is difficult to find a maker in the market. As a matter of fact, no consortium can abuse its real power or fund to control the whole gold market. If the price of gold deviates from the actual gold price range, it will trigger a large number of investors around the world to carry out risk-free arbitrage. As a result, gold prices are globally uniform, and the gold market cannot be manipulated.
4) Gold can be traded 24/7
Gold market is a globally traded product. There are active quotes for gold all day long, and the price of gold fluctuates up to 17,280 times a day. Investors can seize all kinds of opportunities to trade at any time to maximize their investment interests.
5) Physical gold does not depreciate
Unlike other investments, such as real estate, gold maintains its value over time. Physical metal commodities lose its value through impairment and depreciation. However, fine gold bullion is inert and nonreactive to exposed air and other elements. Unlike the fact that silver tarnishes over time, pure gold will not tarnish year after year even when exposed. Gold’s resale value will not be affected as it can easily be polished to its original luster.