6 gold investing options to consider in 2024 (2024)

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MoneyWatch: Managing Your Money

By Angelica Leicht

Edited By Matt Richardson

/ CBS News

6 gold investing options to consider in 2024 (2)

The economic landscape consistently experiences shifts and changes, which is one reason why investors seek out reliable assets to safeguard their wealth. And gold, which has been hailed as a timeless store of value, has long been a preferred choice for investors who want to add stability and security to their portfolios.

As we step into 2024, the focus on finding stable and secure investments continues to be important. After all, there are looming questions regarding where the economy could be headed — and ongoing inflation issues, coupled with the current geopolitical climate, are only adding to the unknowns. So investors who want to be prepared for anything may want to emphasize gold investing in 2024.

But there are lots of different gold investing options to choose from — each with its own set of possible benefits and downsides to consider. So which gold assets merit consideration this year? Let's find out.

Find your top gold investing options online here.

6 gold investing options to consider in 2024

If you're thinking about adding gold to your investment portfolio this year, you may want to weigh the following options:

Physical gold

The traditional method of investing in gold involves acquiring physical gold in the form of gold bars and coins or similar assets. Investing in physical gold provides a sense of security, as investors have direct ownership over their gold. Coins like the American Gold Eagle or the South African Krugerrand are popular choices, but they aren't the only ones. Costco and other big box stores are also selling gold bars to customers who are ready to invest in the precious metal, so it's easy to buy physical gold these days.

However, there are some potential downsides to investing in physical gold. For example, investors should be mindful of storage costs, insurance costs and the potential for theft, which should be weighed against the potential benefits of this type of gold investing. And it's also worth noting that buying and selling physical gold may involve higher transaction costs compared to other investment options.

Ready to get started? Compare your gold investing options now.

Gold exchange-traded funds (ETFs)

Gold ETFs offer a convenient and cost-effective way to gain exposure to the precious metal without the need for physical possession — which cuts down on the costs by eliminating the need for storage and special insurance. These funds typically track the performance of gold prices and are traded on stock exchanges, providing liquidity to investors.

And, investors can buy and sell shares in gold ETFs just like stocks. Before investing in gold ETFs, though, it's crucial to understand that there are other types of associated expenses, such as management fees, which can add to the overall costs of this type of investment.

Gold stocks

Investing in gold mining stocks allows investors to participate in the potential upside of gold prices while also benefiting from the profitability of mining companies. And, companies involved in the exploration, development and production of gold can be attractive investment opportunities.

However, it's essential to recognize that gold stocks are subject to company-specific risks, such as operational challenges and geopolitical factors. That's why conducting thorough research on individual mining companies is crucial before making investment decisions.

Gold futures and options

For more experienced investors, gold futures and options contracts provide a way to speculate on the future price movements of gold. These financial derivatives allow investors to leverage their positions, potentially magnifying both gains and losses.

Futures contracts involve an agreement to buy or sell gold at a predetermined price on a future date. Options, on the other hand, provide the right (but not the obligation) to buy or sell gold at a specified price within a certain timeframe.

Due to their complexity, these instruments are typically not recommended for novice investors — but can be a smart option to consider for more experienced investors, especially those with extensive gold investing experience.

Gold mutual funds

Gold mutual funds pool money from multiple investors to invest in a diversified portfolio of gold-related assets, including stocks of gold mining companies, physical gold and other related securities. Mutual funds provide diversification, reducing the risk associated with investing in a single asset or company.

However, like ETFs, investors should be aware of management fees and other expenses associated with mutual funds. Those types of fees can add significantly to the overall cost of investing, so it's important to weigh the benefits against the costs before making a decision on whether it's the right option for you.

Digital gold

As technology continues to advance, digital gold has emerged as a modern and accessible investment option. Digital gold investing platforms allow investors to buy, sell and hold physical gold digitally, and these services typically provide the convenience of fractional ownership, making gold accessible to investors with smaller budgets.

But while digital gold eliminates the need for physical storage, investors should carefully evaluate the security measures implemented by the platform before making any investments.

The bottom line

Gold remains a valuable asset for investors seeking stability and a hedge against economic uncertainties. The diverse range of gold investing options available in 2024 caters to investors with varying risk appetites and preferences. But whether you're opting for physical gold, ETFs, mining stocks, futures, mutual funds or digital gold, it's crucial for investors to conduct thorough research, understand the associated risks and align their investment choices with their financial goals and risk tolerance.

Angelica Leicht

Angelica Leicht is senior editor for CBS' Moneywatch: Managing Your Money, where she writes and edits articles on a range of personal finance topics. Angelica previously held editing roles at The Simple Dollar, Interest, HousingWire and other financial publications.

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As an avid investor and financial enthusiast, I've spent years delving into the intricacies of various investment options, including gold. Let's dissect the article "MoneyWatch: Managing Your Money" by Angelica Leicht to explore the concepts it covers:

  1. Physical Gold: Investing in physical gold involves purchasing gold bars, coins, or similar assets. These tangible holdings provide a sense of security and direct ownership. However, investors must consider storage costs, insurance, and the risk of theft.

  2. Gold Exchange-Traded Funds (ETFs): Gold ETFs offer a convenient way to invest in gold without the need for physical possession. These funds track gold prices and are traded on stock exchanges, providing liquidity. Investors should be aware of management fees associated with ETFs.

  3. Gold Stocks: Investing in gold mining stocks allows participation in potential gold price increases and the profitability of mining companies. However, it comes with company-specific risks such as operational challenges and geopolitical factors. Thorough research is essential before investing in individual mining companies.

  4. Gold Futures and Options: These financial derivatives allow investors to speculate on future gold price movements. Futures involve agreements to buy or sell gold at a predetermined price on a future date, while options provide the right (but not the obligation) to buy or sell gold at a specified price within a certain timeframe. These instruments are complex and not recommended for novice investors.

  5. Gold Mutual Funds: Mutual funds pool money from multiple investors to invest in a diversified portfolio of gold-related assets, including stocks of gold mining companies and physical gold. Mutual funds offer diversification but come with management fees and other expenses.

  6. Digital Gold: Digital gold investing platforms enable investors to buy, sell, and hold physical gold digitally, often offering fractional ownership. While digital gold eliminates the need for physical storage, investors should assess the platform's security measures.

Angelica Leicht, a senior editor at CBS' MoneyWatch, emphasizes the importance of thorough research and aligning investment choices with financial goals and risk tolerance. Whether opting for physical gold, ETFs, gold stocks, futures, mutual funds, or digital gold, investors should understand associated risks and conduct due diligence.

6 gold investing options to consider in 2024 (2024)

FAQs

6 gold investing options to consider in 2024? ›

The Fed's expected rate cuts, coupled with continued geopolitical uncertainty, which typically sends investors to safe-haven assets like gold, should keep demand for gold high. According to a report from JPMorgan, gold prices should rise steadily quarter-over-quarter until peaking in the back half of 2025.

Is gold a good investment in 2024? ›

The Fed's expected rate cuts, coupled with continued geopolitical uncertainty, which typically sends investors to safe-haven assets like gold, should keep demand for gold high. According to a report from JPMorgan, gold prices should rise steadily quarter-over-quarter until peaking in the back half of 2025.

What is the best gold to invest in? ›

What are the Top 10 Gold Coins for Investment?
  • American Gold Eagle.
  • Gold American Buffalo.
  • Canadian Gold Maple Leaf.
  • Gold British Britannia.
  • Gold South African Krugerrand.
  • Gold Austrian Philharmonic.
  • Gold Mexican Libertad.
  • Gold Australian Kangaroo.

Is 1 oz of gold a good investment? ›

Investing in 1-ounce gold bars, like any other investment, generally requires a long-term perspective. While gold has proven to be a reliable store of value over time, its price can experience short-term fluctuations — especially in uncertain economies like the one we're experiencing now.

What to do with 1 ounce of gold? ›

Gold bars that are one ounce can make nice gifts but are better bought as an investment or a store of value since they are conveniently sized, affordably priced, and are well-known in domestic and in international markets.

Will gold skyrocket in 2024? ›

ING expects gold prices to reach new all time highs in 2024 and to average $2,031 an ounce with a potential increase to $2,100 in the 4th quarter, assuming the Federal Reserve starts cutting rates which will weaken the US dollar.

What is gold expected to do in 2024? ›

UBS Group AG's experts predict that gold price will grow 10% to $2,250 an ounce by the end of 2024. The main reasons for growth are the following: Growing geopolitical tensions amid new global conflicts; Ongoing macroeconomic risks associated with inflation and regulators' policies.

What is the best precious metal to invest in in 2024? ›

From our experience, Goldco and Augusta Precious Metals are the best choices in 2024.

When to invest in gold in 2024? ›

List of Best Days To Buy Gold In 2024
DaysDate
Makar Sankranti15th January 2024
Pushya Nakshatra21st February 2024
Pushya Nakshatra19th March 2024
Ugadi and Gudi Padwa9th April 2024
11 more rows

What is the best investment in 2024? ›

11 best investments right now
  • High-yield savings accounts.
  • Certificates of deposit (CDs)
  • Bonds.
  • Money market funds.
  • Mutual funds.
  • Index Funds.
  • Exchange-traded funds.
  • Stocks.
Mar 19, 2024

Will gold hit $3,000 an ounce? ›

In spite of that, analysts remain bullish on the yellow metal's outlook, boosted by continued physical demand as well as its appeal as a geopolitical hedge. “We project $3,000/oz gold over the next 6-18m,” said Citi's analysts led by Aakash Doshi, Citi's North America head of commodities research.

Can gold hit $4000 an ounce? ›

In December, Swiss Asia Capital managing director and chief investment officer Juerg Kiener said mild global recessions in 2023 could send gold's price as high as $4,000 an ounce by the end of the year. Bank of America analyst Lawson Winder says a weaker U.S. dollar will drive gold prices higher by the end of 2023.

How many ounces of gold can you legally own? ›

Today, there are no specific limits on how much gold a person can own in the U.S. Whether it's bullion, coins, or jewelry, you can buy, own, and possess as much gold as you like. The only restrictions may come from reporting requirements if you simultaneously buy or sell large amounts of gold.

Are Costco gold bars real? ›

These bars come from reputable mints — and each one is priced at slightly under $2,000. It's important to note that they are not being sold in Costco's physical stores but rather through their website.

Why are Costco gold bars so popular? ›

For those looking to purchase gold for the first time, Costco provides familiarity and ease, Adatia said. “They make it convenient,” he said. “People can physically go in and pick it up and that's it, versus opening up an account and buying gold shares.”

What will gold be worth in 2025? ›

Gold prices will peak at $2,300/oz in 2025, according to J.P. Morgan Research estimates. This prediction assumes a Fed cutting cycle initially delivering 125 basis points (bp) of cuts over the second half of 2024, pushing gold prices to new nominal highs.

When should I buy gold in 2024? ›

List of Best Days To Buy Gold In 2024
DaysDate
Makar Sankranti15th January 2024
Pushya Nakshatra21st February 2024
Pushya Nakshatra19th March 2024
Ugadi and Gudi Padwa9th April 2024
11 more rows

Should I buy gold or silver in 2024? ›

Global silver demand is forecast to reach 1.2 billion ounces in 2024, which would mark the second-highest level on record, the Silver Institute said in a recent report.

Will gold be worth more in 5 years? ›

Two Jakarta-based commodity analysts forecast that the price of gold could reach as high as $3,000 per ounce in the next five years. While they remain bullish, they cautioned that many factors could affect the price of gold within this timeframe.

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