Gold is something that has real value. It truly defines the asset class. In fact, it is the hallmark of an asset. Money derives its real power from gold to a major extent. It is really a rare metal and that’s why it’s so very precious. You can’t make gold on your own. You need a real natural resource to provide gold. Extraction is not easy and it needs great skills, technique and a lot of complicated procedures. That’s the reason it carries so much importance.
Natural resources like gold are completely on nature. So what will happen if one day these natural resources dive towards extinction? You will no longer be able to provide value to your money in the form of gold. This would mean that gold would become priceless. It might not be in the near future but probably in a few centuries gold will follow this path. No supply but a lot of demand will help it scale improbable heights. Your paper currency won’t be able to bear the strength of gold. One day or the other this is going to happen.
So, the next time your wife asks you to buy gold don’t just ignore her. It might happen that you won’t be able to own gold 20 years down the line because it will reach unbelievable heights.
Get gold now and reap the benefits later.
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