Are investments in precious metals really the safest?
Yes and no. Precious metals are always valuable, even in times of global economic crises. But if we are talking about short-term investments, less than a year, then investments in precious metals may not bring any profit or even turn into losses. Here is the thing👇.
Unlike volatile securities, key metals always have an independent value. In this sense, your investments are protected - the value of precious metals cannot become zero even in times of economic turmoil. On the contrary, in unstable times, their prices rise with the demand.
On the other hand, to predict the income from precious metals is difficult even for analysts. The prices are influenced by the global demand, and it is almost impossible to take all factors into account.
The cost of precious metals is fluctuating strongly literally every day. There were even periods of several years when their average annual price was steadily declining. For example, from 2012 to 2015, the price of silver halved and then started rising again. But when you look at the long term, investments in precious metals outpace inflation, which means your savings will actually hold up.
Investing in precious metals can really help you keep your savings, but only if it's a long-term investment - at least 10 to 15 years. In a short period of time, you have a chance to not only fail to build up, but even lose some of your savings.