The Epic Guide On How To Buy Gold Bullions And Bars


1. How to Buy Gold Bullion –

In Monex’s article, the case for buying gold bullion is stated, and the ways in which it can be undertaken are detailed.

They state that buying gold is a notion that appears every time that there is a volatile World market, to buy gold is to hedge against the risks of inflation, and to alleviate the risks within a portfolio that has varying investments (such as  securities, real estate and tangible assets).

They state that this metal is easy to buy, sell and store, and is a worldwide commodity, they describe it as the ‘ultimate on-shore asset that remains off the balance sheet’.

Buying Physical Bullion Bars

Monex then go on to describe the ways gold bullion can be bought, stating that the set weights are: “standard 1-troy ounce, 10-troy ounce and 32.15-troy ounce (or “kilo-bar”) sizes, as well as in larger 100-ounce and 400-ounce bar sizes”; however they do mention that smaller sizes are available, although less commonly.

Gold bullion bar prices generally include a small premium over the spot price to cover the manufacturing costs of the bar. As a general rule, the larger the bar, the smaller the premium in percentage terms. So to ensure that an investor pays the lowest premium possible, bars should be purchased in the largest possible size.

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Monex then go on to cover some important tips when purchasing bars, such as:

  • Buying larger amounts reduces the relative percentage charge.
  • Investors should know the background and credibility of the dealer they’re purchasing from.
  • Investors should expect to pay an assay fee when purchasing the metal.
  • Investors should be aware that purchasing metals has tax implications.

Monex end their article with a brief summary of other ways this metal can be purchased, namely through pure bullion coins.

2. How To Buy Gold –

In the WikiHow article, 5 methods of buying gold are covered in detail. The article begins by covering the advantages of buying gold as an investment.

Method 1: Buying Scrap gold

In the first method, the article covers various ways of seeking out scrap gold for purchase. In summary their points are as follows:

  1. Scrap gold is a relatively low risk investment,
  2. Would be investors should ask friends and family if they have any that they’d like to sell,
  3. People can also source it through placing an advert in their local newspaper
  4. Similarly, people can source it via internet advertising websites, such as Craigslist
  5. Investors should also take an interest in internet auctions
  6. It is advisable to contact local pawnshops, and have them contact the investor if they come across any gold that they no longer want.

Method 2: Buying Gold Bullion

In the article’s second method, the varying ways of buying gold bullion are covered, emphasising the notion that bullion is the only true hedge against inflation. In summary their points are as follows:

  1. Bullion is a low risk, long term investment
  2. Investors should decide what type of bullion they wish to purchase
  3. From this, investors should then decide upon the weight to buy, bearing in mind the safety aspects of storing large amounts
  4. Locate a source from which to buy, bearing in mind each dealer’s reputation
  5. Identify the market price and always aim to purchase at, or below this rate.
  6. It should be stored securely

Method 3 of 5: Buying Gold Futures

The article then depicts in their third method, how to go about investing in gold futures. Their points are summarised as:

  • Investors should always attempt to predict the future market, with those that are being to take more risk seeing bigger returns
  • Investors should open a so called futures account with a trading firm that specialise in commodities
  • Investors should only invest the amount of money that they are comfortable to lose
  • Investors should consider buying a futures contract, which guarantees a future delivery of gold, at a certain price
  • From this contract, the investor should recoup their earnings (or suffer their loses) at the end of the contract

Method 4 of 5: Buying Gold Exchange Traded Funds

The article then moves on to cover how ETFs can be used for buying gold. Their points are summarised as follows:

  1. ETFs track silver and gold prices, however they differ from the aforementioned investment methods in that the investor does not actually own any gold
  2. ETF investment requires the use of a broker

Method 5 of 5: About Investing in Gold

In the articles final method, some points are made that are pertinent to any investment, and it is emphasised that whichever method is chosen, the investor should always be aware of their reasons for investing in gold.

3. How To Buy Gold Bars –

goldsilverIn this post the writer depicts important factors in buying gold bars. The article covers the three fundamentals of such an investment: the different sizes of bars, where to buy them and how to judge the quality through the hallmarks.

Different Sizes

They state that gold sizes cover everything from one gram, up to a 400 oz bar. They state that by buying bigger, you can, in effect save on the charges associated with buying gold.

Where To Buy The Bars

The article states that the ways in which bars can be purchased include, but are not limited to: Online auctions, bullion dealers, local coin shops and even directly from a bank.

The Ease of Liquidity and Hallmark Recognition states that as with any investment, liquidity is vital. In particular, they say that the ability to liquidate at any point should be quick and easy.

Don’t Get Ripped Off

The article ends with a word of warning about gold investment, they state that investors should be cautious when investing, and specifically should verify that the dealer that are trading with, has a good reputation.

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