What are the good ways to invest in gold ?

My banker friends tell me I should invest in gold as they are likely to go higher. Please tell me where I can get good material to read on gold investment without a broker pushing me.

Public Comments

1. I also think that gold has further to go. Have been investing in gold for the past 20 years and it has far out performed my other stocks and mutual funds. I saw a book recently called Gold Vault and I think it is really a good book for anyone interested to invest in gold. Very comprehensive and touches on many aspects that are useful. It also discusses the various ways to invest in gold.
2. First understand what you are investing in. Basically, gold is a universal currency, so it is a hedge against the currency you buy with. In other words, if you think that the U.S dollar is going to go down in value, then you should invest in gold. Also make sure gold inflation doesn't occur (too many people buying gold.) You can sure "invest gold" on google and probably get a good result.
3. OK, Gold bugs. Few things to know about Gold: 1. Gold has grossly underperformed every index from 1980 to 2007. If you bought gold in 1980, you had to hold it for 27-28 years before you made money. When you factor in inflation you have underperformed every single investment class. -- Chase Performance Digest. 2. Opinion on speculating in gold. It is possible that gold could go to $1000 again, and I will be shorting the begeebers out of it then. Why? (A) Gold in a speculative tool. (B) Gold is not used by industry - it has no economic use unless you are a jeweler. (C) The more people who speculate in gold, the more likely chance gold will fall when there are no more people to buy and push prices higher. This is what caused gold to plunge some 30% from it's last high in a very short period of time. 3. If you want to invest (speculate in gold) the best way is the Gold ETF ("GLD") index. You can get in and out like a stock. 4. I think it it more likely that the price of oil and natural gas ("nat gas") will increase faster than gold. But this all assumes you are speculating, not investintg. You have to decide what you want to do. Am I a speculator, trader, or an investor? Good Luck!
4. You might look into two stocks in the Gold market. Yamana (AUY) and Barrick. They tend to reflect the gold market, and are easy to jump in and out. I have had success with AUY.