DOLLAR HIGHER, GOLD FUTURES PRICES DECREASING

Gold futures prices fell along with the strengthening U.S. dollar against the euro so eroded the demand for gold as an investment alternative. Gold futures contract for February delivery fell 0.1 percent to 1596.70 per troy ounce (equivalent to 31.1 grams) at 1:59 PM at the Comex in New York on Monday (19/12/2011) local time.

The strengthening U.S. dollar not the euro zone because of the condition is still bad. European Central Bank President Mario Draghi said, a substantial risk to the economy of Europe is still there. The euro also fell 0.5 percent. It will take much time for investors to regain confidence in gold as a protector of the crisis, given the magnitude of shocks in recent years.

Nevertheless, Andrey Kryuchenkov, an analyst at VTB Capital in London, Monday, remained optimistic gold will perform well in the long run. “Gold will suffer from the recent turmoil because of the liquidity of U.S. dollars, but in the long run gold will remain solid,” said Kryuchenkov.

According to him, an accommodative monetary policy in the world will continue to secure the role of gold as an inflation protector.

ABOUT A INVESTMENTS PORTOFOLIO

Investment Portfolio consists of two materials, namely: PORTFOLIO Suggested and MARKET OUTLOOK. It would be useful if you invest through a portfolio. Portfolio is an amalgamation of more than two types of financial instruments of different types. Merger is useful to minimize the trade-off does not achieve the results we hoped for, and approaches used to manage the risk of DCA (Dollar Cost Averaging) – the point of purchase on a regular basis.

Investing with managing a portfolio tailored to your risk profile as a whole is very wise. Your risk profile this year could be different from the previous year. Assess your risk profile regularly to get the payoff expected and consistent with the level of tolerable risk profile according to your risk.

Notice of financial instruments in your portfolio, should be transferred to some other financial instruments tailored to the risk profile, the number of investment funds available and the expected payoff? Furthermore, with economic or market conditions at this time, do the selection of financial instruments, and its products, especially non-banking products, such as stocks, should also pay attention to the type of industry.

4 GOLD TIPS : HOW TO SAFELY INVEST GOLD

Gold Investments offers an excellent way for investors to store wealth during difficult economic times. Metallic gold is much more stable compared with other forms of investment.

Current gold prices jumped following the investors’ concerns center on the economy of the United States. Demand for gold continues to rise because investors are more confident to hold gold rather than cash.

See, in the past year, gold prices soared to 30 percent. In September 2009, gold prices are still below U.S. $ 1,000 per ounce (28.35 grams), now approaching U.S. $ 1,300. In fact this is the highest figure of all time.

Gold investment tips tailored to conditions in your country:

1. Gold bullion
Investors who invest in gold bullion will choose. Gold bullion is considered valid if its purity reached 22-24 carats. Gold bullion consists of various sizes, ranging from 25 grams, 50 grams, 100 grams and 1 kilogram. Gold in this form is suitable for facilities investment. Wherever whenever we want to sell, its value is still adhering to international standards.

2. Gold deposits
You may not want to store the physical gold in the house because of the risk of theft. For this reason, gold can be stored in safety box at a bank or another. Or when you see bullionvault.com, this company provides gold transactions at once to save it.

3. Mutual fund gold
Gold mutual funds are another way to invest in this precious metal. You need not actually holding physical gold, but you can take the benefits.

Gold mutual funds are usually not only invested in physical gold trading, but also transactions involving shares of gold mining companies. Before determining the investment in this fund, management fees, fund expenses, and net asset value should be considered.

4. Shares of gold mining
Investors who want to invest in gold without having the physical metals can also select this type. You can buy shares in gold mining companies. Investors expect the stock prices of gold mining companies rose as gold prices rose. However, these two events are not always congruent.

Investors can determine the success of the stock by examining the cost of gold production costs versus the price of gold. If the gold price is U.S. $ 700 per ounce and the cost to produce gold is U.S. $ 300, then the gold mine of profit margin is U.S. $ 400.