Gold has gone up crazy, and its price has broken through a record high! How can individuals participate in investment?
In July, a sharp rise in a shares ignited the enthusiasm of investors. However, a wave of rapid correction soon appeared, which dampened the enthusiasm of investors. However, when the stock market rebounded, the price of one kind of investment product was constantly reaching new highs, attracting the attention of many investors. It was gold.
Similar to the stock market, this wave of gold price rise also started in late March. However, after the stock market went silent, the price of gold continued to rise, and in recent days, it began to soar. As of July 27, the international gold price has exceeded $1930 / oz, and returned to above $1900 after nine years, reaching a record high. In the past year, gold has risen nearly 40%, much better than a shares.
After reaching a record high, there is no resistance to gold price, so no one knows where it will go eventually. However, there is a clear consensus in the current market that the price of gold will rise, otherwise it will not break through the record high without hesitation. Seeing that the price of gold is rising, many people will be excited and wonder if they can buy gold to make a profit. So, if individuals want to participate in gold investment, what methods do they have?
Several ways to invest in gold
1. Buy physical gold
If you want to buy physical gold, you can go to a bank or gold shop. However, the cost of purchasing physical gold is relatively high, because the purchase price may also include the processing cost and the profits of the merchants, so the price may be higher than the quoted price in the market. If it is an investment, it will suffer losses in terms of cost, and if you want to cash in the profits when you buy physical gold, you can only find businesses to recycle it, which is also troublesome, because many businesses may not be willing to recycle it. Even if they are willing to recycle, the recycling price will be lower than the market price. In this way, businesses will cut profits at both ends.
2. Paper gold
Paper gold is a gold financial product launched by some banks. Because it does not involve physical delivery of gold, the cost of buying paper gold is lower than that of physical gold. The price is close to the market price, and it is more convenient to buy. Just open a gold account in the bank.
3. Exchange gold
There are two kinds of gold trading in China: Shanghai Futures Exchange and Shanghai gold exchange. The former is futures gold and the latter is spot gold. The advantage of exchange gold is that it is more convenient to trade. You only need to open a trading account with a member of the exchange to participate in the trading. The trading method is also more flexible. You can buy more and sell short, and implement T + 0 trading. The disadvantage is that the risk is greater, because the exchange gold is leveraged, but this can also become an advantage, because it can also enlarge profits.
In addition, there are also some domestic trading platforms for international gold. However, the business of these platforms in China is illegal, and it is difficult to distinguish the true from the false, and the risk is high, so it is generally not recommended to participate.
There are also some listed companies engaged in the production or sale of gold in the A-share market. When the price of gold rises, the share prices of these listed companies are more likely to rise. And from the recent performance of gold concept stocks, it's really good. If the gold price continues to rise, there may still be opportunities to make money.
5. Financial products related to gold
Some institutions will launch some financial products to invest in the gold market. For example, there are gold ETF funds in public funds and structured deposits linked to gold in bank financial management. The advantage of participating in gold investment in this way is that the risk is relatively low, and even if the gold price falls in the future, it may not cause too much loss.
In addition to the above several ways, there should be no other way to participate in gold investment. Even if there are, most of them are informal. As the current market under the banner of gold investment fraud phenomenon still exists, so we should be clear eyed in the choice of investment channels, can not catch the way of a liar. In addition, any investment is risky, and so is gold. Before entering the market, you need to measure whether you have the ability to bear the corresponding risks.
[disclaimer] the publication of this article by finance managers for the purpose of transmitting more information does not mean that they agree with their views or confirm their descriptions. The content of this article is for reference only, and does not constitute an investment proposal. Investors operate on this basis at their own risk