While gold prices have dropped over the last few years, investing in the precious metal is a still a solid way to build wealth.

That’s because gold–and other precious metals like platinum and silver–tend to hold their value better than most paper currencies. Economists debate on the precise reason why that is, but many say it’s because precious metals have an intrinsic value that paper currency doesn’t.

Aside from their use as jewelry and decorative items, many precious metals have industrial applications, too. That means there’s almost always a market full of people ready to buy.

For the right investor, buying gold can represent a huge opportunity to grow personal wealth. It takes some market savvy, however, to understand how to follow the market and get the biggest return.

Ready to get started? Here’s the best way to buy gold and other precious metals.

Get Your Timing Right

The best way to buy gold is to time your purchase carefully. Not only do you need to pay attention to national and global economic trends, the time of year you buy matters, too.

Historically, March is the best time to buy gold. Prices are generally at their lowest point of the year, so the value of your purchase will only increase over the coming months.

Pay Attention to Politics

Political events have a huge impact the price of gold.

Things like presidential elections, legislative agendas, and appointing a new U.S. Federal Reserve chief can all impact the price of precious metals–for better or worse.

Since the tide of politics can change quickly, you need to stay updated on what’s going on in Washington and abroad.

In general, moments that encourage uncertainty in the economy can drive up the price of gold. Political unrest–even on the global scale–can also increase prices. As more citizens seek out a stable investment like gold, silver, or platinum, their worth jumps up dramatically.

That means the best time to buy is when the economy is stable and the world is relatively calm.

Invest in the Right Format

When it comes to buying gold and other precious metals, we’re not just talking about bullion. You have several options to choose from, but you’ll need to decide whether you want to invest in physical gold or its “paper” form.

Physical gold is generally considered more stable. That’s because you hold the item itself, so you’re not at the whim of any third party. Paper investments are often cheaper to invest in, but you’re left with a certificate or contract instead of the gold itself.

Coins and Jewelry

Local pawn shops and gold stores mostly deal in coins and jewelry. While you have the advantage of being able to see each piece before you buy, you may have to take the dealer’s word on it when it comes to purity.

Futures

Futures are legal contracts where a seller agrees to provide you with the precious metal of your choice at a specific price sometime in the future.

Futures are a particularly risky way to invest in gold. That’s because you’re at the mercy of the market. If you underestimate the future price of gold, you could be facing a hefty price tag when your future comes due.

ETFs

ETFs, or exchange-traded funds, are a way to invest in the gold market without actually purchasing the metal.

ETFs are managed by economic experts who can help you navigate the market. Rather than owning the gold outright, you might own a gold or silver certificate.

Bullion

You can purchase gold and silver in bars, or bullion. Bullion is a pure form of the metal, making it a high-value purchase.

Since the overall market is based on bullion, some say this is the best way to buy gold.

If you’re looking to buy bullion, keep in mind that you’ll need a place to store it. Some gold dealerships can offer solutions to store it for you. Otherwise, you’ll need to invest in a large safety deposit box at your local bank or find another secure solution.

Gold Mining Companies

If you’re willing to tangle with the stock market, consider investing in stock from gold mining companies. Since these organizations are directly tied to the gold market, their worth tends to follow gold prices.

Stocks are generally a risky investment, however. If you’re a novice and don’t have the assistance of an experienced broker, it may be best to invest in physical gold, instead.

Choose an Online or Local Shop

If you’ve decided to invest in physical gold, it’s time to decide if you want to make purchases in person or from the comfort of your home computer. Each option has its own advantages.

When you choose a local gold dealership to buy from, you can see their stock up close before you buy. If you’re good at picking out a good investment by eye, this could be a real advantage for your purchase.

However, for many investors, purchasing online is the best way to buy gold.

That’s because online sellers generally move much more product than your local dealership. Not only do online shops offer a bigger selection of products, they can generally afford to sell their goods at a lower price.

Many online shops also offer free shipping for their purchases, giving you an even bigger chance to save money on your buy.

Most importantly, since online shops operate at such a high volume, they’re usually more likely to carry quality products. That’s because their business depends on maintaining a good reputation among their buyers.

If you have your heart set on buying bullion, you’ll probably need to make your purchase online. Most local shops don’t stock bulky bars.

Invest in Gold and Other Precious Metals Today

Are you ready to buy? Check out the LPM store for the best prices on gold, platinum, silver, and other metals. We offer free shipping–local and international–and can even help you store your purchases after you buy.