Spending money on precious metals? That’s something only the mega-wealthy would do, right? Not necessarily. Gold is a safe asset to invest in, one that is universally understood as an indicator of power and security. Investing in gold is often compared favorably to other investments, such as homes (which depreciate in value) or cash (which is subject to inflation).

So how can a normal person go about wisely investing in precious metals such as gold? Here’s some information on the subject:

America is deeply involved in the global gold trade, circulating or depositing over $7.6 trillion in gold, and mining 211 tons of it in 2014. The American Gold Eagle coin, made of gold bullion, is the most traded coin in the world, and accounts for eighty percent of the gold bullion circulating in the U.S.

Although the heaviest gold bars available in most American gold shops are 10 ounces, the world’s largest gold bar weighs 440 pounds. The heavier a bar you buy, the lower the fee you will be charged. There are two main types of gold bars? cast and minted. Cast bars are the classic symbol of status and prestige, whereas minted bars are perceived as being useful primarily for fabricating jewelry or other golden objects.

When buying gold, it is important to assess the purity. Most gold bars in the world are 24 karat, or 99.9% purity, but it is important to have an impartial expert conduct an assessment.

Buying gold is a great way of building a diversified investment portfolio. Even if you don’t buy a lot, it is a useful asset that does not follow the exact same market trends as other common investments, and helps bolster one’s image as a savvy investor. Gold providers are well-versed in the security and discretionary measures required to keep such investments safe.

What do you think? Are precious metals such as gold a good investment after all? Do you have experience buying gold that would be useful for newcomers to learn? Let us know.