If there is any value that can be bought and sold worldwide, regardless of the era, it is gold. This precious metal is the fifth most liquid market in the world. Although there are no precise figures, specialists estimate that the French hold between 2,500 to 3,000 tonnes.
To each his own gold
Gold metal has long had a safe haven image. Like real estate, it is an investment considered safe in times of crisis. "It is a security value to which we turn when the economy is struggling," confirms Jean-François Faure, founder of the specialized platform Aucoffre.com. That said, it all depends on how you manage it.
A distinction must therefore be made between what is called "paper gold" and "physical gold". In the first case, it is a stock market asset. The aim is to obtain a very short-term return by buying and selling gold on the financial markets. However, as with any investment on the stock market, the capital is not guaranteed. The logic is quite different when buying ingots and coins since, even if they do not bring you anything, they constitute a precautionary savings that you can use in case of difficulties.
From the Stock Exchange to the safe
Do not idealize this placement. Like any raw material, gold follows an international price which fluctuates daily according to the activity of the jewelry industry and that of mining, but also according to the budgetary and monetary policies of the States. As a general rule, it evolves unlike other financial markets, which constitutes protection in the event of a stock market crisis. While an ounce of gold was minted around 1.358 euros at the end of 2019, its value for example was around 1.500 euros at the end of March 2020, despite several fluctuations and in the midst of the coronavirus pandemic.
Nevertheless, "an individual who does not want to trade and seeks rather a precautionary savings must favor physical gold", advises Jean-François Faure. If the objective is to build up, little by little, a real treasure, then it is a question of buying the most advantageous products among a multitude of possibilities.
Coins or bars?
In terms of investment gold, we can first opt for the classic ingot, from 1 kg, which costs several thousand euros. Or, financially more accessible, for the ingot, less heavy. But beware, the lower the quantity of gold, the higher the price per gram. In addition, this type of support strictly follows the international course.
This is the reason why individuals have a preference for parts. "While in normal times, they are bought at a price approaching that of the course, their value can increase well beyond thanks to a form of attachment and a collection effect", details the founder of Aucoffre. com. And precisely, this added value, called "premium", soars in times of crisis. In 2007, the famous Napoleon, emblematic in France, for example took 20%, against + 11% in March 2020. But you can prefer tokens, like the 20 Swiss francs, or legal tender coins, like from the famous South African Krugerrand.
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The question of storage
The big problem with investing in gold is of course its storage. Keeping it at home allows you to have it immediately at hand, but poses great risks in case of burglary. Better to have a real safe and inform your insurer to protect this precious metal.
Banking establishments offer to rent safes at rather affordable prices, which has the advantage of security but limits your access to opening days. Not to mention that in the event of a major economic crisis, banks may be temporarily closed.
Another option: trust precious metal traders to keep your physical gold in secure vaults, most often abroad.
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