Can you invest in gold through fidelity

## Investing in Gold through Fidelity

Gold has long been considered a safe haven asset, offering investors protection during times of economic uncertainty. Its value tends to rise when stocks and other risky assets fall, making it a popular choice for diversification portfolios. Fidelity offers various ways for investors to invest in gold, each with its own advantages and disadvantages.

### Options for Investing in Gold through Fidelity

**Physical Gold:**

– **Gold bars:** Fidelity offers gold bars in various sizes ranging from 1 gram to 1 kilogram. Investors can store their gold bars in a safe deposit box or other secure location.
– **Gold coins:** Fidelity also sells gold coins, such as the American Gold Eagle and the Canadian Gold Maple Leaf. Gold coins are more liquid than bars and can be easily resold.

**Gold ETFs:**

– **SPDR Gold Shares (GLD):** This is the most popular gold ETF, tracking the price of gold bullion. It offers low expenses and high liquidity.
– **iShares Gold Trust (IAU):** Another popular gold ETF, IAU also tracks the spot price of gold. It has a higher expense ratio than GLD but offers a wider range of investment options.

**Gold Mutual Funds:**

– **Fidelity Gold Index Fund (FGSAX):** This actively managed mutual fund invests in gold mining companies and other gold-related businesses. It aims to provide capital appreciation by tracking the performance of the NYSE Arca Gold Miners Index.
– **Fidelity Select Gold Portfolio (FSAGX):** Another actively managed fund, FSAGX invests in a diversified portfolio of gold mining stocks, bullion, and other gold-related investments. It seeks long-term capital growth through a combination of stock selection and asset allocation.

**Gold Stocks:**

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– **Barrick Gold Corporation (GOLD):** Fidelity offers shares of Barrick Gold, one of the world’s largest gold mining companies. Investing in gold stocks can provide exposure to the gold market with the potential for capital appreciation, but it also carries higher risk compared to physical gold or ETFs.
– **Newmont Corporation (NEM):** Another major gold mining company, Newmont operates mines in various countries around the world. Investing in NEM can offer similar benefits and risks to investing in Barrick Gold.

### Advantages and Disadvantages of Gold Investment Options

**Physical Gold:**

– **Advantages:** Offers tangible ownership of the asset, provides inflation protection, and is a physical store of value.
– **Disadvantages:** Requires secure storage, can be difficult to sell or transport, and is subject to theft or loss.

**Gold ETFs and Mutual Funds:**

– **Advantages:** Easy to buy and sell, offer diversification, and provide exposure to the gold market without the need to store physical gold.
– **Disadvantages:** Subject to market volatility, may have higher expenses than physical gold, and offer only indirect exposure to the asset.

**Gold Stocks:**

– **Advantages:** Potential for capital appreciation, provide exposure to the gold industry, and offer dividend income.
– **Disadvantages:** Higher risk compared to physical gold or ETFs, subject to company-specific factors, and can be volatile.

### How to Invest in Gold through Fidelity

**Online:** Fidelity offers an easy-to-use online platform where you can invest in gold through ETFs, mutual funds, or stock orders.

**Phone:** You can also call Fidelity’s customer service number at 1-800-FIDELITY to speak with a representative about investing in gold.

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**Branch:** Fidelity has over 200 branches nationwide where you can meet with a financial advisor to discuss your gold investment options.

### Factors to Consider

Before investing in gold, it’s important to consider the following factors:

– **Investment Goals:** Determine your investment goals and risk tolerance before choosing an investment option.
– **Diversification:** Gold can be a valuable asset for diversification, but it should not be the only investment in your portfolio.
– **Currency Fluctuations:** The price of gold is influenced by currency fluctuations. If the US dollar weakens, the price of gold in dollars will rise.
– **Market Volatility:** Gold prices can be volatile, especially in times of economic uncertainty.
– **Storage and Security:** If you invest in physical gold, you need to consider the cost and security of storing your assets.

### Conclusion

Investing in gold through Fidelity can provide investors with a variety of options to meet their investment goals. Whether you prefer the tangible ownership of physical gold or the convenience and diversification of ETFs or mutual funds, Fidelity offers a range of choices to suit your needs. It’s important to consider the factors discussed above and consult with a financial advisor if necessary to make an informed decision about investing in gold.

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