You can now invest any amount in gold, from 1 gram to 10 large bars, at Buy Silver Bullion. Click here for an in depth explanation of the cheapest, safest, and easiest way to acquire gold.
Gold bars come in a number of sizes and shapes, and purchasing in bulk saves you money.
At most expensive end from the gold bar price scale, one-gram “novelty” gold bars are minted for that gift market. Often coated in plastic, these tiny gold bars cost at least twice the value of their gold bullion content.
Cheapest of all, as opposed, are definitely the 400-ounce (12.4kg) “Good Delivery” gold bars held by central banks, and traded by professional bullion dealers in the uk, center of your world’s 24-hour gold market.
It’s the live dealing within these 400-oz gold bars, along with the trade in Comex gold market-approved bars in Ny (100 oz), that can cause the spot gold price the thing is quoted online and inside your newspaper.
There are more than 30 types of gold bar circulating within the world’s regional gold markets today. In value terms, probably the most heavily traded gold bars – using the largest ready market, open round the clock, five days weekly – would be the Good Delivery gold bars bought and sold through dealers employed in London.
Sixty-three active gold refineries, all closely monitored and licensed by the Gold Dealers, make around 150,000 of those 400-ounce gold bars each and every year. That’s worth some $102 billion at current prices (Jan. ’13).
Within the smaller, local gold markets of India, Singapore as well as the Middle East, probably the most widely traded gold bar may be the “ten tola” bar. Rarely stamped with a serial number and weighing 3.75 oz (117g) each, two million of the “TT” gold bars are cast or minted each and every year.
The most famous gold bar in China will be the “five tael biscuit” bar (6 oz; 187g). Created in Hong Kong, five-tael gold bars are approved and recognized by chinese people Gold & Silver Exchange, now in operation for almost a century.
Outside Asia, the most popular gold bar sold to private investors for personal storage is the kilobar (1000g; 32.15 ounces). Greater than a million of such gold bars are manufactured each and every year, most often in Switzerland.
The top gold-bar refineries also make vast quantities of merely one-ounce gold bars every year – and the same as the kilobar, these gold bars are widely promoted as a inexpensive route to gold investment.
But these smaller gold bars, although they’re cheaper than gold coins, don’t come without significant drawbacks.
Buying gold bars is practically always less than buying the same weight in gold coins – along with the bigger each bar, the reduced the cost by weight.
Depending on your local tax regime, it is possible to reduce or completely avoid paying sales tax (VAT) by buying gold bars as an alternative to coins, too. Your savings will likely depend upon the quality (or “fineness”) of the gold bars you buy.
Trading Good Delivery gold bars – certain to be of 99.5% fine or higher – are able to reduce your tax bill again in numerous countries, because they 100- and 400-ounce gold bars are understood to be investment gold and qualified for personal retirement plans. Good Delivery gold bars lessen your costs further still by retaining main market deliverable status. Dependant upon your perspective the reduction of private possession and insurance arrangements can be another plus.
Smaller gold bars including 100g gold bars bought and stored at home, alternatively – as well as stored in a bank safety deposit box – present three big drawbacks.
Specialist gold-bar storage programs – like gold pool accounts and certificate schemes – offer to help you eliminate the irritation of taking physical possession. This can certainly help reduce the premiums you spend to acquire gold and sell. However their storage fees still run up to 1.5% per year.
That’s an important charge for owning gold bars – a passive investment that pays you no interest. There exists a much cheaper route, however, into buying gold and owning it outright.
To retain Good Delivery status, the large 400-ounce bars of gold traded by refineries, central banks, wholesalers, Buy Silver Bullion must remain inside secure, recognized gold bullion vaults.
Take these gold bars out from market-approved storage – even going to store at your bank – and they also break the chain of integrity that guarantees each bar’s gold to the next buyer.
It’s the integrity of proper Delivery gold bars that ensures maximum resale whenever you visit sell. But until recently, private investors couldn’t easily access this market unless these folks were dea1ers to purchase a whole 400-oz bar. Nor could they arrange market-approved storage unless they owned five big bars or higher.
At BullionVault, however, you can now buy gold in amounts as low as one gram at a time. Kept in market-approved gold bar facilities, your gold will retain its maximum resale value. Storage fees for possessing a percentage of these big gold bars run as low as .12% annually, with insurance included. Estimate your commission and storage fees using our cost calculator.