As shown above.
It has certain collection value.
Reflected in: Fighting inflation: For decades, inflation has been very serious, and most countries have been troubled by this problem.
The value of currency depreciates, the purchasing power of money decreases, and money becomes worthless.
In some extreme cases, the country's currency inflation is serious, and banknotes will become like waste paper.
Gold itself is a precious commodity, and the price of gold will rise with inflation. That is, gold offsets the losses of inflation and ensures that investors' assets will not be eroded by inflation.
Excellent hedging function: When the world's political and economic situation is unstable, especially when a war or economic crisis occurs, various common investment tools such as stocks, funds, real estate, etc. will be severely impacted. At this time, gold will show a good
Hedging properties.
Even in the face of an economic crisis, the price of gold remains unchanged or even rises steadily, maintaining the value of the asset.
As gold deposits continue to be mined and demand continues to increase, gold becomes more rare, enhancing its hedging properties.
The market is difficult to manipulate: In regional stock markets, artificial manipulation of the market is common.
However, the gold market is a global market. No individual or consortium has enough funds to control the global gold market. Therefore, the price of gold can always be maintained at a level that reflects the actual supply and demand relationship.
World-wide currency: In ancient times, people from all over the world regarded gold as the best means of transportation when traveling far away. To this day, gold is still the world-wide currency.
As long as you have real gold in your hands, banks, jewelers, and gold dealers around the world can exchange gold for local currencies. Gold can travel around the world without hindrance, and its currency status is more stable than the US dollar.
In addition, gold is also an asset recognized all over the world. People in all countries are fully aware of the precious value of gold.
No depreciation problem: Almost all luxury goods will encounter depreciation problems, such as luxury bags, luxury watches, luxury cars, etc.
When you buy it new, you can no longer sell it at the original price. After it is used and has been used for a long time, the value has depreciated greatly, and it may not even be worth half of the original price.
But gold does not suffer from depreciation. Its brilliance and value are permanent.
When gold jewelry becomes tarnished after being worn for a long time, the value of gold itself has not diminished. There is no discounted second-hand gold on the market. Gold can regain its original luster by simply cleaning it again, and it can be smelted to make new gold jewelry at any time.
Or gold bars.
Stable and long-lasting value: Luxury goods cannot retain their value, but can houses and land retain their value forever?
Not to mention the 70-year housing use rights implemented in mainland China, the maintenance and upkeep of houses after a long time will be a huge expense. Nowadays, it is difficult for people to see older houses, and all those houses have been destroyed.
exists.
Land also cannot maintain its value forever. In the event of a natural or man-made disaster, the value of the land will drop significantly.