Category Archives: gold

Choosing between land and gold as investments options in Asia

When it comes to investing in Asia, all an investor needs is the ability to choose assets that have the highest potential for gain. This article seeks to focus on two of the most popular investment alternatives, land and gold.

Both land and gold have been prized commodities for centuries. Both have seen more and more investors gravitate towards them in recent years as they seek alternatives to traditional investments such as stocks, mutual funds and bonds. This has mainly been due to diminishing confidence in the stock markets.

The biggest disadvantage of gold as an investment option has always been government interventions. Governments will always step in with price of controls especially if hikes in prices of gold lead to weakening of local currencies.

Gold also happens to be a very capricious commodity. There have been moments in history when gold has experienced strong gains only to lose over 50% of its value in a single year. For your gold to be valuable, you need other people who agree with the valuation of your commodity.

Land on the other hand has several distinct advantages as an investment option. Here are some of them:

(1)Unlimited opportunity

Land has a multitude of uses that make its opportunities as an investment unlimited. You can grow crops, plant trees or graze animals depending on which option has the highest rate of return. Land also has development potential therefore making it a real value asset.

(2)Land is almost immortal

As a proprietor of land, you will always have a level of remuneration unless there is a terrible natural calamity. Land is certainly the asset with the longest life possible.

(3)It is a safe investment

Land is one resource whose demand will never diminish. Compared to gold, land will always have a ready usage no matter the economic condition of a country.

(4)Exponential rise in value

With land you can expect to see an exponential increase in value as time goes by. This increase in value is certainly higher than the interest rates on offer at any commercial bank.

Given a choice between investing in land or gold, I choose land anytime.