If you are new to gold investing, you will want to read this article to avoid being scammed.

Investing in silver and gold can be a smart way to protect yourself against inflation and uncertain economic times.  With all of the options available, investing in gold bars, silver coins, etc. has never been easier or safer.  

Whether you want to take physical possession of gold or trade gold backed securities, there are a variety of stable liquid markets ready to sell or purchase your silver and gold from you.  

Read this article to learn how to safely add gold and silver to your investment portfolio.

In the past, most people have avoided investing in silver and sold because they did not understand the concept of a "hedge." 

A hedge is a means of protecting yourself when the market moves against you. 

Gold and silver are a hedge investment because price of gold and silver tends to increase in value during times of inflation and recession.  As a result, when your stocks are going down in value, gold prices are going up.

So, you see, every well rounded investor should consider adding some form of silver and gold to their investment portfolio.

In the past, you had to purchase silver and gold one coin (or bar) at a time. 

Because the market was so illiquid, gold prices charged by dealers and coin shop owners varied widely from location to location.  Now, with the advent of the internet, and gold backed equities and mutual funds, investing in gold and silver is easier because anyone can determine the silver and gold prices with the click of a mouse.

If you want physical gold, you can purchase silver and gold bars (or coins) over the internet and have them delivered safely and quickly to your door.  If you are more comfortable owning securities, there are a number of stocks and mutual funds backed by the value of the silver and gold in their investment portfolios. 

But, the most important change in gold investing has been the ease with which you can now sell your silver and gold investments.

Unlike selling gold jewelry, selling your silver and gold bar, bullion and equities is much easier now that most gold and silver are traded in some generally acceptable form.  

The market value for gold and silver backed equities is calculated daily.  Simply get a quote from any news outlet to find the current market price of your gold backed securities.  If you want to sell, place a sell order with your broker in the same manner as you would sell nay other equity or security.

To sell gold and silver bullion, you need to know the "spot" price of the commodity.  The "spot price" is defined as the price that is quoted for immediate (spot) settlement (payment and delivery). Spot settlement is normally one or two business days from trade date.  The dealer will usually quote you silver or gold prices at a certain number of dollars (or a certain percentage) "under spot."  

Circulated pre 1965 silver United States coins (often called "junk silver") are approximately 90% silver bullion and are sold at "times face" value.  So, a dealer may quote you "10 times face" or "20 times face" per coin.  Fortunately, you can research the internet in order to determine if the offer is fair.  

WARNING:  Gold and silver coins with numismatic value are calculated differently.  Do not use this article as a guide for valuing rare coins that have collectible value.  This article only covers silver and gold investing based on the value of the silver or gold itself.

The main point to remember is that the gold and silver market is liquid enough now that you should be able to sell your investment quickly and, at a fair price. 

Should you add gold and silver to your portfolio?

Only you and your investment advisor should answer that question. As with any investment, there are risks and cost associated with investing.

Unfortunately, most people do not even consider gold or silver as a hedge investment because they believe that investing is too complicated. With the wide availability of investing choices, as well as the large number of dealers and brokers, silver and gold investing is as easy and straightforward as any other investment.

So, now that you better understand the process of gold investing, do not be afraid to consult your investment advisor about adding some form of silver and gold to your investment portfolio.