Why invest in precious metals?
Gold, silver and platinum can form part of a balanced portfolio, much like shares, bonds or property — a store of value that has been trusted for centuries.
A hedge that has outlasted every currency
Looking to diversify your investment portfolio? Gold, silver and platinum are assets which can form part of a balanced investment portfolio, much like shares, bonds or property. Metal values, like other asset classes, fluctuate up and down responding to changing market conditions and other social, political and economic factors.
For centuries, precious metals like gold, silver and platinum have been considered a safe haven in times of currency devaluation and economic instability as a way to preserve wealth and hedge against inflation. Gold preserves wealth reliably, silver is affordable with industrial utility, and platinum, which also has industrial application, can potentially yield higher returns but entails greater volatility.
In today’s economic environment precious metals offer investors another way to preserve their savings and protect their portfolios from volatility and economic uncertainty. Including precious metals in your portfolio can help to provide long term stability, offering a strategic asset choice for prudent investors.
If you are looking for a solid asset to include in your investment portfolio, precious metals have been considered integral to a well-balanced portfolio by investors for hundreds of years. Gold and silver have unique properties as an asset class, and a modest allocation in either can protect and enhance the performance of an investment portfolio.
Source: World Gold Council, Gold as a strategic asset: 2024 edition
What bullion brings to a portfolio
The long term outlook for gold and silver is strong as demand outstrips supply.
Precious metals have become more readily accessible via a range of products.
Highly liquid asset as you can quickly buy and sell anywhere in the world.
Precious metals perform well in volatile markets and do not correlate with other traditional asset classes.
Gold and silver are solid and tangible assets that protect against inflation and currency devaluation.
It is easy to invest in gold and silver from retailers and online traders instantly at competitive prices.
The long term outlook is strong
Mine supply has consistently fallen short of total demand, with the shortfall met by recycled metal. With central banks now net buyers rather than net sellers, jewellery manufacturing, industrial use and investment demand all compete for the same limited supply.
Precious metals perform well in times of economic turbulence and do not correlate with other traditional asset classes such as property, shares, cash and bonds, and are therefore an excellent way to diversify your portfolio.
Australian dollars per ounce
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Live charts, provided for information only. Past performance is not an indicator of future performance and nothing here is financial advice.
Gold has also become more readily accessible, due to the development of a range of products, from physical gold such as coins, bullion bars and pooled allocations to gold backed securities such as ETFs. Investors can include precious metals in their portfolios and, unlike currency, it cannot be printed at will and therefore protects against inflation and currency devaluation.
Today it is easy to invest in gold and silver with options depending on your reason for purchasing. You can purchase and sell back to retailers and online traders instantly, based on the international spot price, so adding to or selling down your portfolio is easy.
Why do I include precious metals in my investment portfolio?
I like the fact that I can invest a little at a time, and that I can also liquidate quickly if I need to. Plus, precious metals have been an insurance policy to protect against volatile markets and low interest rates for centuries.
An asset class that ticks all the boxes
John and Liz have traditionally invested in property and shares; they have a successful business and they have invested wisely over the years.
However, as they approach retirement they are concerned that economic volatility will erode their hard earned nest egg, and they don’t want to tie everything up in property in case they need access to funds.
After considerable research, John and Liz decided that investing in gold and silver suited their circumstances. They can sell down at a moment’s notice but also feel confident that their investment will still hold its value for future generations.
Why buy gold and platinum
These investor booklets have been put together to help guide you in making informed decisions about investing in precious metals and the logic supporting those decisions — written for new investors in gold, silver and platinum group metals, and for well-established investors looking for more relevant information.
Ready to start?
Open an account online, or call the team on 1300 754 602 and we will talk it through.
Good to know
Frequently asked questions
How can I buy from GBA?
There are a number of ways you can buy bullion from Gold Bullion Australia.
- Online trading: goldbullionaustralia.com.au
- By telephone: 1300 754 602
- Email: send us a message
- Public trading office: 1 Avalon Parade, Cnr of Paradise Ave, Miami QLD 4220
How are the live prices set and what is a spot price?
Gold and silver prices are based in USD (the current world reserve currency) and the spot price is the paper share price that the metals are traded for globally. Spot prices must be converted into local currency and premiums added to cover manufacturing and distribution costs.
Can I visit your showroom?
Yes, our custom built showroom is open Monday to Friday, 9:00am to 5:00pm. It is located at 1 Avalon Parade, Cnr of Paradise Ave, Miami QLD 4220.
Can I have my precious metals stored or choose to take them with me?
Either — the choice is entirely yours.
Making sure you have a secure place to store your purchases is very important: treat your bullion as if it were cash. If you do not wish to assume the risk of storing it yourself, GBA has a fully custodial, custom built vaulting facility at Gold Bullion Australia Treasury Reserve. We can arrange automatic vaulting of your purchase within a high security facility, so your investment is safely secured and fully insured at all times.
There are different storage options available with varied cost structures, so please contact us if you would like to discuss your options. You can access all details of your investment including valuation, transactions and holdings via our Metal Account Statements.