There are many ways you can invest in gold, and estimates suggest current proven reserves could support mining into the mid-2040s at today’s production rates, after which prices could see upward pressure.
In this guide, we will provide a summary of how to invest in gold, in addition to the various methods.
How do you buy gold?
Investment in gold can be achieved in all kinds of interesting ways. There is, of course, the physical gold option, but you can also put money into gold mining companies, into exchange traded funds that invest in gold’s surrounding markets, and more.
Here is a brief summary of the varying methods of investing in gold.
1. Buy gold in various physical forms
There are many ways to buy physical gold, including gold coins, gold bars, bullion, jewelry, or even gold leaf.
It is worth remembering that the purity of physical gold, measured in karats, will vary, so be sure to understand how this works.
There is an argument that investing in gold bullion is a wise option, but you need to be aware of concerns surrounding security and storage, plus insurance.
Some people also love the concept of owning raw gold, and hedging their investment against a variable stock market. For some of us, the safety and value of physical gold, in arguably most tangible form, is compelling.
But as ever, there are a myriad of ways to play the markets surrounding one of the world’s oldest precious metals.
2. Invest in firms in the gold industry
There is a vast production pipeline connected to the gold industry. The first stage of this is the companies that extract the material from the earth, which include the exploration and development of mines, and the mining of the material itself.
Other companies then process gold into things that we use; such as jewelry or cameras, and games consoles. You might even include artisanal gold miners in places like Peru, but these operations often operate dangerously and illegally.
No matter which you choose, there is an overarching logic: investing in gold is about finding gold mining companies whose value should rise as the value of gold itself rises on global markets.
You are seeking a strong correlation here, ideally proven over time. The logic is that by putting money into gold-related businesses, you are hedging your cash on the value of gold itself.
3. Buy into funds containing a range of gold investments
However, the aforementioned hedge on the value of gold itself comes with some caveats.
The challenge is that gold investing isn’t just about the price of gold. The danger to your investment comes from corporate actions that are far removed from precious metals.
Let’s imagine that a gold mining firm you’ve invested in takes a tumble in the stock market because its CEO has been accused of money laundering. In this scenario, the value of your investment is going to fall.
Similar scenarios might include hostile takeovers, issues on ESG or CSR, or new market players that threaten your company’s profits.
The key here is that by diversifying across a range of gold investments, you limit the fallout should one single company go bad. For more information on diversifying investments, read our full guide on how to invest in mutual funds.
Note: Investing in other commodities, such as silver, can be a similar process. For more information, check out our full guide on how to invest in silver.
The best way to invest in gold online
If you are keen to invest in gold online, you would be well advised to do some initial research. This will include an overall investment strategy.
You will also engage in some risk management, ponder the ways to manage your investment, and get your options up and running.
Choose the right strategy for you
Identifying and implementing a comprehensive strategy is the most important step regarding where to invest in gold.
You need to decide what your level of risk is, and how much you might comfortably afford to lose. Once this is established, consider what your end goals might be.
These are very personal. Some people invest for the excitement. Others seek to create retirement pots or funds for children or family.
Depending on these criteria, the way you navigate gold markets online, and through which brokerages is going to vary.
Choose a brokerage that aligns with your goals
If you’re buying gold as an investment, you will need a tool to help you make your way through the markets.
In the US, high-quality options include Robinhood for gold ETFs and miners, and Plus500 for gold futures trading. Plus500 also operates in many other countries outside the US.
Whichever brokerage you choose, never misalign your overall strategy. There are many options, most of which have the potential to offer plenty of advantages.
Verify and fund your account
Every reputable and safe platform will ask you to verify your account. To begin this process, you first need to make an account with your broker of choice, and confirm a series of personal details.
Many brokers will then ask you a series of questions to determine your investment approach and knowledge.
Now that this is done, all that remains is to fund your account.
Choose a gold investment and purchase
Having completed the various signup and identification requirements, and funded your account, you are now in the position to start investing in gold.
At this stage, remember your overarching strategy, and what your objectives and aims are from this silver investment.
To complete this step, all you need to do is locate your chosen investment using the platform’s search function. This will display the real time price of the silver, the amount you are opening a position on, whether you prefer to use units or cash as the metric, and details on any fees.
The 4 best options to invest in gold for beginners in 2025
Buying gold successfully demands knowledge of past and projected performance, in addition to expansion plans and company strategy.
Don’t just pay attention to PR or news; dig deep into corporate histories and seek out firms with both legacy and legitimacy.
Why do people invest in gold?
While it can be volatile, gold is often seen as a safe haven for investors. Known for its typically strong performance during economic downturns and geopolitical tensions, the asset can be an ideal hedge against inflation.
Here’s a closer look at the main reasons why people in invest in gold.
Hedge against inflation
Gold is generally considered to be an inflationary hedge due to its variable price in U.S. dollars. For instance, when the value of the dollar sinks due to inflation, the value of gold typically goes up.
With this in mind, an owner of gold is generally protected against the falling value of traditional currency.
History of holding value
Unlike many other assets, gold has consistently maintained its value over time. In fact, average annual gold prices have consistently increased from around $40 in 1971 to around $3,000 today.
This partly comes down to gold’s durability as a metal – it doesn’t corrode, and can be melted and reshaped relativley easily.
High demand
The demand for gold also tends to remain high, with annual purchases of gold by central banks continuing to exceed 1,000 metric tons per year since 2022.
Gold ETFs have also proved a strong source of demand for the metal in recent years, recording inflows of 397 tons between January and June 2025 (the highest H1 inflow since 2020).
Portfolio diversification
But perhaps the most important reason of all for the popularity of gold is its ability to reduce portfolio risk.
The rule of thumb for diversification is selecting assets that tend not to correlate with one another when it comes to economic contractions. Gold ticks this past, having a historically negative correlation to other asset classes.
Our verdict on buying gold as an investment in 2025
If you are considering where to invest in gold, then intriguingly, the best answers can come from within.
To recap, those eyeing gold investments must define their objectives and appetite for risk upfront. In simple terms, the two main routes are managing the stock yourself through an online broker or going back to basics and purchasing gold in physical forms – both common approaches within commodity trading.
If you’re taking the market route and tend to prefer a simpler investment strategy, diversification is likely your most sensible option. For guidance on this, read our article on how to invest in index funds.
For any of these approaches, the key is to understand that gold is seen as a safe and stable investment at its core. If you foresee market risk or simply don’t want to take the plunge, gold has many innate advantages.
