Buying and selling gold bullion is an exciting way to make money and a good
way to protect your super fund investment as long as you know what you’re doing.
The best time to buy SMSF gold when the value of your currency is high and confidence in the economy is high. Your superfunds wealth are more likely to be protected during the next economic downturn or market crash. It also pays to do some research before converting some or all your gold bullion to cash. Here are the steps you need to maximize your profit from the gold sale.
- Know the Value of Gold
Before you even attempt to buy SMSF gold, know the spot price first. The
newspapers and the Internet can help you get a price update. If you want to
make a profit, don’t sell the bullion if its value is not going up. Keep your
expectations real. Unless it’s an extreme global event, it’s very rare for gold bullion to appreciate so quickly in a very short time. Selling at a modest profit is the best way to make money from selling gold bullion. Remember you are looking to protect your retirement funds.
- Check the Value of your Country’s Currency
Historically, the value of gold bullion in your country is low when the
local currency is at its highest value. It’s better to wait for the dollar to
decline before even thinking of selling your gold. If you have put more funds into your self managed superfund this might be a good time to buy SMSF gold.
- Do Your Best to Sell the Gold When Demand is High
This advice may sound easy but it’s not. You will need research and
instinct to make this work. The trick is to sell your gold before the value
starts to go down. Selling your gold at the right time is mostly guesswork and
usually not accurate. To maximize your chances of getting a good price, sell
only when both the gold price and demand is at its record highest. More
importantly, sell only if you stand to make a profit and market sentiment is bullish for gold and negative for stocks.
- Buy or Sell your Gold
You are quite limited where you can trade under a self managed superfund for gold bullion investing. The main two options are
1 : Local Gold Dealer
Most major town and cities in Australia have one or two them. For example, you can buy gold or sell gold bullion with your local dealer. Most dealers even offer storage and compliant valuations for your superfund. You can find a local gold dealer by checking your local phone directory or the Internet.
3: Online Gold Dealer
If there are no local gold dealers nearby, you can buy and sell the bullion online. Just make sure that you are dealing with a legitimate business. Check if they have a physical shop and check the trading terms and conditions before placing an order as you can be up for hefty fee’s if you fail to make payment.