Gold has been attracting an awful lot of attention recently because it’s not only touched the crucial $1000 level but it’s now trading comfortably above this level at around $1050. However the point I want to make in this post is that there are several ways you can trade gold, if you want to trade this commodity yourself.

You can enter a spread-bet if you live in a country where that is permitted, you can use options to speculate on the future price of gold or you can simply invest in companies that benefit from rising gold prices if you think the price is going to continue going up.

Alternatively you can join the growing number of people who have started trading ETFs. ETFs, which stand for Exchange Traded Funds, are now widely available to the public and they can be bought and sold like any ordinary stock so they are very versatile.

In the case of gold you can invest in an ETF that tracks the gold price. So for example if the price of gold suddenly falls at some point in the future and you think it is now at bargain levels, you can simply invest in a gold ETF and treat it as a long-term investment if you so wish.

There are a few of these ETFs available but one of the best ones is the GLD ETF. If you want to find out more about how this ETF works and how closely it tracks the gold price, I suggest you click here to watch this short video.

 

 

Filed under: ETFs

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