There is more than one way to invest in gold. One does not have to endure the risks of trading gold bullions when there are professionals that will do the investing for you. Of course, I am referring to investment advisors and fund managers.

When the price per ounce of gold rise into record-breaking high numbers as we have been experiencing lately with above $1100 values, my common senses tell me that "what goes up, must come down." This is truly an unpleasant position to be in because you don't want to buy gold when the gold market is sitting on the bubble. It would be nice if an investor can short-sell gold, but there is no such option in the gold bullions.

The next best option, is to invest in gold funds. The easiest way to see what is available to you is to browse over to the website of your local bank or investment agent to review their precious metals portfolio. There are always a fund on their portfolio dealing specifically with gold commodities or in gold-based manufacturing corporations. The advantage of working with funds is that fund managers are able to play the investment game from many angles. If the gold market is on the rise, your fund manager will buy. When the gold market is on the decline, they will sell and profit-take or they can even short if they are confident that the market is on a strong decline.

If you have never setup an investment portfolio, I would strongly recommend diversifying your portfolio by acquiring some gold funds. It is a safe, stable, and long-term strategy for growing your net worth.

Gold is trading at nearly $1068 an ounce, making it an extremely expensive time to start looking at gold for either investment purposes or jewelry making. However, as a sharp-eyed investor, I would focus my eyes on silver as silver prices have risen almost 60% since earlier this year. Now compare this number to the price of gold that has risen only 24% since January of this year.

Industrial and investment demand is driving the prices of silver bullions up with signs of global economic slowdown quickly waning and signs of third world industrial activiting rising again, the prices of silver have surged to meet the demands and investor expectations.

Adding to the momentum of rising silver prices and demand is the rise of other precious metals such as copper, lead, and zinc. All of these metals produce silver byproduct during the processing of these base metals. When the economy slowed down, most base metal produced clawed back production thereby leading to a state of shortage. With increased production rapidly on the rise, there are still no signs that supply will meet demand any time soon. What a great opportunity to be investing into gold and silver bullions.

As I predicted almost 16 months ago, the continued non-confidence of the US economy is going to leave investors fleeing for more stable territory such as gold and other metal bullions. Last year around this time, gold prices were sitting at around $800 an ounce and many investors were skeptical it would go past its last high of nearly $900 an ounce. Today, we've seen prices of gold trade as high as $1,070 an ounce.

Bullions, having an inverse relationship to the dollar, witnessed a 21% rise this year. This is definitely a bearish market and as the market continues to deteriorate, there is no telling how high these wonderful metals could climb. Though far from a senior market analyst, I will lay claim that gold is still far from a bull market. It still has some ways to go as the dollar continues to bury itself in a bear market.

What is my advice to those who missed the $800 an ounce boat for gold? Stay out of it. Though I am claiming that gold is not in a bull market, it is still very high risky at this point to know where gold is heading next. All signs indicate it will climb higher, but it is extremely unpredictable. If you have missed your opportunity, I would say stay out of it to be on the safe side.

However, believing that market meltdowns are the end of the world for your investment portfolio is a mistake, especially if you think that the stock market is the only place to invest. Smart investors have long forecasted this economic turmoil and have since moved their investment into gold bullions and other precious metals. Buying gold (not decorative jewelry, but pure gold) is considered a store of value and allows your investment to ride the rough tides of the global economy.

Gold is stable and an old-fashioned workhorse. Gold has been seeing an incredible resurgence as investors seek for more stabile investment options, one that is less volatile and more predictable. If you have not started buying gold, I would strong consider adding this to your investment portfolio. For new players to game, invest in American Eagle gold coins (our best seller) and support your local economy.

Best wishes!

The precious metals advanced signaling increased investor demand for the metals as a haven. While stock markets throughout the world are under strong selling pressure on rising concerns on an ever deepening global recession, it became apparent that precious metals is the place to be.

If you are not the kind to drop your money in commodities, then take a look at shares in gold mining companies. The hike in gold prices are provoking an upscale swing of mining companies share prices. With the onslaught of investment from many federal governments throughout the world, the fear is that inflation will begin to manifest itself. However, gold is typically seen by investors as a store of value and a hedge against inflation.