Recently, gold prices have hit new highs, rising to over $3,700 USD, and many people are starting to seriously consider entering the gold investment market. But to be honest, there are quite a few ways to invest in gold, and the costs vary greatly depending on the method. I’ve spent some time **organizing** this and want to share it with everyone.

First, let’s talk about why there’s such a surge in interest in gold right now. Geopolitical tensions and rising inflation expectations have indeed increased gold’s appeal as a safe-haven asset. In 2024, global central banks net purchased 1,045 tons of gold, exceeding 1,000 tons for three consecutive years, directly pushing gold prices above $2,700 USD. Goldman Sachs even predicts it could reach $4,000 USD by mid-2026. But it’s important to note that short-term gold price fluctuations are quite hard to predict; the key is to find the right entry point.

When it comes to buying physical gold, I think it depends on your investment goals. If you’re aiming for long-term preservation of value, buying physical gold bars is an option, but the costs are indeed not low. Taiwan banks are more reliable choices, with a minimum purchase of 100 grams, guaranteed quality, but you need to consider storage fees. For smaller amounts, jewelry stores are also fine, mainly depending on purity and price. The downside of physical gold is poor liquidity and no income; it’s purely a store of value tool.

If you don’t want to hold physical gold, there are more convenient options. Gold savings accounts are like paper gold; banks hold the gold for you, making buying and selling easy, with costs around 1%, suitable for low-frequency traders. Gold ETFs have even lower barriers, good liquidity, with Taiwan’s 00635U, and in the US, GLD and IAU. But they can only go long, not short, making them more suitable for beginners and long-term investors.

In my opinion, if you want to profit from short-term trading, gold futures and gold CFDs are more efficient tools. Futures trade 24/7 and allow two-way trading, but have expiration dates and rollover costs. CFDs are more flexible, with no expiration time limits, lower margin requirements—starting from just a few dollars. Of course, leverage is a double-edged sword; it can amplify gains but also losses. Beginners should be especially cautious.

Buying physical gold at the right place depends on your trading style. For long-term holding, choose physical gold or ETFs; for short-term trading, futures or CFDs. Regarding costs, physical gold has the highest (1%-5%), gold savings accounts are next (around 1%), ETFs are the cheapest (0.25%-0.4% management fee), and futures and CFDs have the lowest transaction fees but require careful management of leverage risks.

My personal advice is that if you’re a beginner, start by trying the gold savings account or ETFs to get familiar with the market. Once experienced, consider futures or CFDs. Regardless of the method, the key is to learn how to analyze the market rather than blindly chasing rallies. Gold is indeed a good investment asset, but only if you find the trading method that suits you best.