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3 of the best times to invest in gold

Gold can be valuable at various times in your life. Getty Images/iStockphoto

With inflation remaining stubborn and a potential recession coming in 2023, many Americans are looking more closely at their savings and investment accounts. 

With trillions of dollars lost this year in retirement savings, some investors may be considering alternative ways to save and make money. During times like these many people traditionally turn to gold. Whether purchased in physical forms like bullion or via a Gold IRA, this unique investment form is beneficial in a variety of ways.

With that being said, like any other financial investment, there are better times to invest in gold than others.

If you're considering gold then start with a free wealth protection kit to learn more

3 of the best times to invest in gold

Gold can be valuable at various times in your life. But if you're looking to get the most return on your investment - and the most financial security - it's usually better to act during one of these three times.

  1. Early January
  2. When inflation is high
  3. When looking to diversify your portfolio

Early January

If you think you could benefit from gold then get prepared for an early January investment. 

The best months to invest in the metal is early January, followed by March and early April, GoldSilver, a precious metals bullion dealer and services company, has previously noted. 

Other times of the year that could be beneficial include June and early July. This was determined following a GoldSilver analysis of the average performance of gold each day from 1975-2021.

Typically, gold is the cheapest after the holiday season at the start of the new year.

So if you want to get in low, before prices rise, start now by investing with a top gold company.

When inflation is high

Gold is traditionally considered a "hedge" against inflation. And with inflation increasing to 7.7% in October from a year earlier, it may make sense to make a move now.

"A rise in inflation or inflationary expectations increases investors' interest in purchasing gold and, therefore, drives up its price; in contrast, disinflation or a drop in inflationary expectations does the opposite," the Federal Reserve Bank of Chicago noted. 

"Over time, the value of gold tends to rise as the purchasing power of fiat currencies falls," Harry Turner, the founder of The Sovereign Investor, an investment education website, recently explained to CBS News

"This is because, unlike paper money or other types of investments, gold is a physical asset that can be stored and traded. As long as people continue to see it as a valuable commodity, the price of gold is likely to remain a good hedge against inflation," Turner added.

Get your free wealth protection kit now to learn more about how gold can help with inflation.

When looking to diversify your portfolio

Returns on investments have largely been subpar this year. As investors scratch their heads and look for potential alternatives to their current investments it may be helpful to turn to gold to help diversify their portfolios.

Even a small amount of gold (think 5%) could help offset losses or at least add some stability to what has been an unpredictable year to date.

"Diversification is a strategic way of managing your investment portfolio to include various types of investments to reach specific financial goals over the long term," Goldco explains. "A well-diversified investment portfolio can offer you the potential for improving returns without subjecting yourself to high-risk investments that are limited in focus." 

Just be aware that a diversified portfolio with gold in the mix isn't always a guarantee.

"A diversified retirement portfolio can't promise huge gains or prevent losses, but it is a strategy that some personal investors, financial planners, and fund managers use to create balance-and one such way to effectively diversify can be by investing in gold," Goldco notes.

The bottom line

Gold can be an advantageous investment, particularly during times of economic uncertainty. While not considered a guarantee, it can potentially help stem losses suffered in the market this year and potentially grow in worth in the new year.

Learn more about gold with Goldco now!

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