Why Won’t Financial Advisors Suggest Gold?

Why Won’t Financial Advisors Suggest Gold?

Most financial advisors advocate for paper assets such as stocks and bonds – but relatively few ever recommend buying physical precious metals, such as gold. Although gold is a proven inflation hedge and safe haven asset, with a long and storied history of being valued above nearly any other commodity, the majority of financial institutions won’t even entertain the question of buying physical gold. Why?

Here are the reasons why your advisor will simply ignore physical gold.

They just aren’t familiar with it.

Oh, sure – they know that gold has incredible value; they probably own it in the form of a gold watch or other jewelry. However, they haven’t familiarized themselves with gold markets. They handle (and sell) intangible assets, and they’re simply incapable of speaking authoritatively on the benefits of gold ownership.

It doesn’t make them a profit.

Would a Chevrolet dealership seriously steer customers towards buying a Ford? Of course not. They want to sell their own products and make a profit, so naturally they’re going to endorse the stock they offer. It’s the same thing with most financial advisors: they sell you the products that will make them money. If these paper investments and financial products wind up working out well for you, then that’s certainly a feather in their cap. Nevertheless, your success isn’t necessarily what is going to earn their living. Commission-based financial institutions make their living from selling, not from offering you the best possible alternatives.

It’s simple. Properly diversified portfolios offer you retirement security, and you can’t have a diversified portfolio without tangible assets. Gold is one of the most historically secure assets it is possible to have.

If you want to learn more about how buying gold bullion or opening a gold IRA can help you meet retirement challenges, please contact the experts at Birch Gold Group today for a complete consultation. Visit blog link for more information.