Metals Trading
TOP Trading/Metals Trading
DAM FOREX offers GOLD trading.
GOLD trading attracts investors from all over the world because of the following advantages.
Diversification- Gold is often considered as a diversification strategy for investment portfolios.
It is viewed as a separate asset class from stocks, bonds and real estate, and benefits from diversification by reducing overall portfolio risk.
Hedge against Inflation- Gold is often considered a hedge against inflation because its value tends to rise during periods of inflation and economic instability.
When inflation reduces the purchasing power of a currency, the value of gold rises, helping to preserve wealth.
Safe Haven Asset- Gold is often treated as a safe haven asset, meaning that it can be perceived as a stable store of value during times of economic, geopolitical, or financial instability.
Investors can use gold as a safe haven during times of market volatility and uncertainty.
Store of Value- Gold has been used as a store of value for thousands of years because of its durability, rarity, and resistance to corrosion.
It has been valued throughout its long history and is considered a reliable means of preserving wealth.
Global Demand- Gold is in global demand because of its use in jewelry, electronics, and a variety of industrial applications.
Since it is not tied to a particular country's economy or currency, this demand can affect its price and value.
Portfolio Insurance- Some investors may choose to include gold in their investment portfolios as insurance against potential financial or economic crises.
Gold has historically shown the ability to maintain or increase its value during periods of market weakness and can help offset losses in other investments.
Limited Supply- Gold is a finite resource, and mining new gold is costly and time-consuming.
Because of this limited supply, prices may rise over time as demand increases while supply is limited.
Historical Performance- Gold has a long history of holding its value and has demonstrated the ability to perform well under certain market conditions.
While past performance is not indicative of future results, some investors may consider past performance as a factor in their investment decision-making process.
Portfolio Diversification within Gold- There are many different investment options in the gold investment arena, including physical gold (coins, bars, etc.), gold exchange traded funds (ETFs), gold mining stocks, and gold futures.
This allows for diversification within the gold investment itself and allows investors to choose a strategy that matches their risk tolerance and investment goals.
Alternatives to Fiat Money- Because gold is not tied to a specific currency or country, it can be an attractive alternative for some investors concerned about the debasement and instability of fiat currencies.
Gold can be viewed as a tangible asset that holds its value regardless of government monetary policy.