Preserving your wealth in difficult markets

Gold Bars - a safe haven in a recession

If you’re concerned about the current state of the financial markets, you’re not alone. Recent falls by global stocks and shares, a lack of confidence and the collapse of key financial companies, with more predicted to fall, have meant holding tangible assets such as gold are now highly attractive to many investors.

The ability of gold to retain its purchasing power over hundreds of years has led some commentators to believe that in current conditions its price is set to increase significantly and at Capital Mint we believe it may even be set to double over the next two years.
(Source: Robin Griffith, Cazenove Capital)

Capital Mint offer you access to invest directly into Gold Bars, which is normally the preserve of institutions and larger investors who purchase gold in significant quantities. The cost of each bar and the administration required to safely and securely hold the bars are usually prohibitive for private investors. At Capital Mint, we are offering smaller denominations which are more suitable for private investors portfolios

INVESTING IN GOLD WITH CAPITAL MINT

There has been a significant increase in demand for gold as many investors choose not to hold their excess cash in banks or shares.

The notion of investing directly in physical Gold Bars might seem ridiculously simple when compared with the complex financial instruments which are now commonplace, but gold is not just a rare metal; it is rare in other ways too as demand for the limited supply of precious metal has proved. At Capital Mint we believe the attraction of gold as an asset class is clear.

Stock market volatility and geo-political fears have caused traditional assets such as shares to be affected by a loss of confidence in investment markets and investors are now searching for assets which can provide a store of value and portfolio stability.

The World Gold Council have evidently proven that consumer demand for gold coins and bars has reached the highest level for more than a decade.

Here are just a few reasons why the demand for gold has increased and its advantages:

* Tangible asset in limited supply
* Performance has been supported by robust demand
* Potential to hedge against inflation and against the US dollar
* Attractive in uncertain market conditions
* Offers diversification from traditional asset classes
* Gold Bars start at only £954
* Hold the gold yourself or let us store it for you
* Capital Mint will source you a buyer should you wish to sell your Gold Bar(s)
* Prices are fixed leaving the risk of US dollar currency or gold price inflation with Capital Mint
* The perfect gift

AVOID THE LIABILITY ISSUES FACING STOCK MARKET INVESTORS

It’s no surprise that demand for gold has been robust and this has helped it to perform strongly.

Many investors are concerned over the problems facing the banking sector and stock market which has resulted in the meltdown and bailout of well known UK financial companies such as HBoS and Northern Rock, and the extreme share-price falls of heavyweight banks such as Royal Bank of Scotland and Barclays.

The sentiment among many stock market investors remains cautious and fears remain that the full extent of companies’ liabilities to opaque and complex debt instruments is still not yet known.

This is prompting many investors to consider alternative investments which do not carry a liability and whose performance is not tied to the stock and property market.

PERFORMANCE RELATIVE TO THE STOCK MARKET

The price of gold has been supported by strong demand. It is recognised as a global currency and is used as a store of value by governments.

This helps to reassure investors that in difficult times, the asset can offer a degree of stability that has been missing from many other investments recently. It’s not the first time that gold has become a key focus for the investment community.

During previous periods of stock market volatility - such as the falls of 1987 - uncertainty and the search for a ’safe haven’ led many to seek out gold.

DIVERSIFICATION POTENTIAL

As the performance of the gold price tends not to be significantly correlated with that of the stock market, adding gold to a portfolio composed of traditional asset classes such as shares and bonds may help to diversify your risk and balance your portfolio overall.

LIMITED SUPPLY

While the amount of currency in circulation can be influenced by governments, gold has a finite supply. Central banks can sell proportions of their gold deposits to shore-up their currencies, as the UK Chancellor of the Exchequer did in 1999, but the supply of gold is restricted by the amount which is refined each year. While a proportion of this is used for jewellery, many businesses use gold in manufacturing and this also helps to support demand

BUYING GOLD FROM CAPITAL MINT
SIMPLE, STRAIGHTFORWARD AND VAT FREE

Through Capital Mint, which is a subsidiary of Capital Ideas plc, a City based leading investment house established in 2001, you can purchase Gold Bars directly to suit your portfolio requirements. Once your order has been received, we will bear any fluctuations in the price of gold and the US dollar during the period of the offer until you take receipt. You will also receive a certificate of uthenticity. Please note this offer is limited. Purchases you make as a private individual are free from VAT and you can purchase multiple bars. At Capital Mint, we sell each bar in the following denominations:

Weight of Gold Bar

Cost

1 ounce

£954

50 grams

£1,499

100 grams

£2,984

250 grams

£7,423

500 grams

£14,775

1 kilogram

£29,479

BUYING AND STORING GOLD BARS FROM CAPITAL MINT

Each bar we sell is .9999 Fine Gold which is 24 carat gold and commands a premium compared with gold bullion (on which the market price of gold is based). To make managing your Gold Bar(s) even easier, once you’ve made your purchase we can arrange to store and insure them for you for a small additional fee in a safe and secure vault. If you request that Capital Mint stores your Gold Bar(s) on your behalf we will dispatch a certificate to you covering your purchase. Of course, we can return your gold to you at your request, and we ask that you provide us with 21 days notice in writing

REGULAR VALUATIONS AND AN EXIT STRATEGY

Whether you store your Gold Bar(s) with us or have it delivered to you, we will send you half-yearly reports which will detail the value of your Gold Bar(s).