This price level has historically been when inflation gets too high and interest rates become too low to produce a return.
For the fifth year in a row, gold investors saw average returns over those two years of 10.8%, which corresponds to $3.61155 ounces of gold sold per year you can check the latest gold price here.
This year, gold was the most popular precious metals investment for U.S. investors, according to the survey.
U.S. investors bought $24.9 million in gold during the second quarter, bringing the total for the year to $345 million, the survey found of 10 carat.
Now, as gold continues to show strength, investors are buying more gold than in the past several years.
One of the reasons?
When interest rates become too low to compete with gold’s annual 10% returns, investors will stay with it.
Somewhere in the next decade, investors will start seeing more interest rate hikes than inflation, sending gold back to the lofty gold prices we saw in 2011.
With an investment vehicle that has earned an average return of 10.8% over the past five years, investors should start thinking about what to do with their gold.
Profit, folks. Profit!
The growing popularity of digital currencies, alongside the global rise of technology, could be an interesting indicator of the future of finance.
Blockchain, the technology underpinning digital currencies, has been in the spotlight this year after it was adopted by big businesses including Amazon, Bank of America, and Starbucks, with more expected to follow suit You can buy all of the crypto coins on cryptocurrenciez.com.
The innovation of blockchain could mark a radical change in the way we invest. Blockchain is a digital, distributed ledger that records all the transactions conducted within a given system.
Because of the relative transparency of blockchain, it helps build trust among different participants of a business and promotes greater efficiency.
Blockchain technology, like any other new invention, is the promise of being disruptive and is liable to face a number of challenges.
But with the rise of digital currencies in the past few years, a more positive and less ominous picture could be emerging for the future of finance.
Why are digital currencies growing in popularity?
The emergence of digital currencies, like bitcoin, Ripple, and Litecoin, has come at a time when global economic growth has slowed down.
“For many people, they see digital currencies as the hedge against the slowing world economy” said David Mondros, a member of the Interactive Digital Media Association (IDMA) board of directors. “Digital currencies are the first to emerge in a long time that are fundamentally different than the existing monetary system.”
But it is not just that the digital currencies are cheaper and easier to buy and sell, they’re also seen as a way of democratizing the world’s financial markets.
For the first time, ordinary people have the potential to influence monetary policy, rather than have a handful of people or institutions.
Central banks are not the only institutions that are finding digital currencies interesting.