The UK has had one of the most stable and richest economies in the world for ages. When other European counties adopted the euro, the United Kingdom abides by the strength and security of their own currency. Gold and silver have likewise functioned as stable forms of currency for millennia. With the recent fluctuations and growing uncertainty of the global economy, there will only remain a few constants of which to be certain.
Physical gold and silver will always be in growing demand. The thriving world of technology continues to get hungrier for gold and silver as there are no substitutes for their technological utility. A Self Invested Pension Plan (SIPP) now allows the purchase of physical precious metals which you yourself may hold. It is a private pension you manage yourself.
With a Gold SIPP, there are no expensive brokers or advisers as with mutual funds or other investment forms, yet the risk is very minimal and the growth potential is boundless as the price of gold has increased well over five fold and silver seven fold since the turn of the millennium alone.
What Is A Gold SIPP & How Does It Work?
The advantages of any SIPP are quite numerous but essentially you are able to completely manage the funds of your pension plan yourself. This may seem daunting, but it is in fact quite simple. Another fact of the matter is that it is your money so why not keep it private, avoid expensive fees, and decide exactly how it is invested?
A Standard Self Invested Pension Plan Explained:
A SIPP lets you place your money in a large variety of assets (real estate, commodities, stocks, mutual funds, amongst many others), but many investors are turning to precious metals to secure their retirement and families’ financial future against inflation, possible hyperinflation, and the fragility of today’s codependent fabric of the global economy.
Why Choose Precious Metals For Your SIPP?
Precious metals have held their intrinsic value as a unit of exchange for over 6,000 years or possibly before (where the ancient Egyptians were some of the first documented to have used precious metals as currency), and why would they not continue to do so in the future?
The reason the prices of precious metals have experienced such explosive growth in the recent decades is because of many factors but technology is one and the devaluation of numerous currencies around the world is another. However, when you look at the value of precious metals in the terms of bartering, the intrinsic value has stayed quite constant. For example, a horse 6,000 years ago, 500 years ago, or even 100 years ago would cost approximately the same today when valued in terms of gold or silver (obviously not in pounds, dollars, euros, yen, or any other paper currency).
For this reason alone, investors trust physically backed assets much more so than the the ethereal financial markets and paper currencies. The stability of precious metals has been their since the dawn of civilization and has not changed, but the growth potential for investors has dramatically increased since then. Physical assets like gold and silver simply cannot collapse because the Earth only has a limited quantity and the Earth cannot create more of it.
Another advantage of investing your SIPP in gold or silver is that the precious metals are purchased online at the exact time and price you choose. You also do not need to worry about the security and storage of your precious metals as they are held in a secure place in London and fully insured.
Rules & Eligibility For A Gold Pension
Most professional retirement investment advisers recommend at least 5% of your portfolio should be held in physical assets like precious metals. The beauty of a gold pension is that your government pension is eligible for the transfer of any part or all of it into SIPP where you are free to purchase gold or silver.