Just a few years ago gold was not very profitable, but now it has become a good investment. The gold price has reached its highest peak in three months making gold a safe haven for investments once again. What is the reason this precious metal has become so desirable in the market? And are there other investment possibilities?
Gold and diamonds as a good investment
19 Jul 21
An increasing demand, a decreasing supply
Useful to know is that entire world supply of gold – melted into bars – would form a cube with each side measuring 21 meters, this equals almost 4 Olympic-size swimming pools. This number increases every year, due to the new gold mines being discovered. According to the American business bank Goldman Sachs the Earth’s crust contains 20 years of gold reserves. However, on average about 20 years pass between the discovery of a gold mine and the ultimate gold production; therefore we can conclude that we have reached the maximum production for the next few years. For a period of 14 years, the demand for gold has been higher than the supply. This means gold can be considered as an interesting investment again.
A safe haven
Due to its scarcity and the fact that it circulates forever, gold has been a well-known and good investment for quite some time, both as a currency, as well as a safe haven. Furthermore gold, just like diamonds, is not subject to economic crises. When the price of gold drops too fast, it is no longer profitable for the miners to mine the metal. As a result these products will become rarer causing the prices to automatically rise again, as is the case with the recent gold price.
Invest in diamond
As mentioned before, diamond is a good investment as well. It is an investment with high profitability where prognoses indicate this will only increase the coming years. Moreover diamonds are an even safer haven than gold. If you are considering a good investment in diamonds to diversify your investment portfolio, have look at the website of BNT Diamonds for a handful of tips on how you can invest your money. You can always contact the experts of BNT Diamonds for a personal interview. They are happy to help you on year search for the perfect investment diamond(s).
With this article, BNT Diamonds strives to inform you thoroughly about investing in diamonds. No investment can be guaranteed to be without risk or fully according to your expectations. That is why we recommend to research the risks and aspects of investing in diamond properly to ensure that you make the right choice for your portfolio.
