Factors to consider when buying gold bullion

To make an informed decision while buying gold bullion, consider several factors. To determine which gold bullion to purchase, look closer at the purity, weight, design, and aesthetics. Additionally, consider the price and premium over the spot price of Gold, as well as the authenticity and source of the Gold.

Purity of Gold

When investing in gold bullion, it is essential to consider the quality and value. Fineness or purity is a critical factor that affects its market value. This is the percentage of pure Gold in an item – so investors often seek out high-purity products.

For top quality, some mints produce 99.99% pure gold bars – ‘four nines.’ Or there are less expensive items like coins with lower purities, e.g., 22K or 18K. Higher purity usually means higher prices. But fewer pure things can offer benefits, like increased durability or collectability. Plus, some countries produce coins with a numismatic value above metal content. Measuring purity for precious metals goes way back to ancient civilizations. During the Renaissance, alchemists developed techniques for precise measurement. Today’s standards help ensure uniformity across markets when trading these valuable commodities.

Weight of Gold

When buying Gold, consider its ‘mass’ as it impacts its value. A table is provided below to help understand the various weight options available. Note that Troy Ounce (TOz) differs from a standard ounce and is usually used for precious metals like Gold and Silver.

Troy Ounce (TOz) = 31.1034768 g

Ounce (oz) = 28.3495 g

Be sure to review the mass when purchasing Gold. Also, check for additional charges that may be included in smaller denominations.

Pro Tip: Monitor current market rates to determine the best buying time. Don’t judge a book by its cover; consider a gold bar by its design.

Design and aesthetics

Gold bullion’s visuals are essential for most buyers. The design dramatically affects gold bullion’s value- some coins are more desirable due to their rarity or unique features.

It’s essential to look at the design and aesthetics before buying. Coins with intricate designs, precise details, and high-quality polish are usually valued more than basic techniques.

Personal preference may also influence the value of the gold bullion’s design.

Investors must check the authenticity of the design by verifying its legal status and buying from a reliable source.

Pro Tip: Invest in gold bullion with attractive designs – they’ll likely increase in value. When buying gold bullion, consider the price and premium over the spot price.

Price and premium over spot price

When mulling over the worth of gold bullion, it’s critical to look past its spot price. Multiple factors affect the final Cost, including the premium over the spot price. This extra charge is added to cover the expenses of production, minting, and distribution. Let’s review a list to understand this concept:

Gold (1 oz)

  • Spot Price – $1,800

  • Premium – 5%

  • Total Cost – $1,890

Silver (10 oz.)

  • Spot Price – $250

  • Premium – 10%

  • Total Cost – $275

Platinum (1 kg.)

  • Spot Price – $2,000

  • Premium – 7%

  • Total Cost – $2,140

We can see how each metal has a different total cost. Silver has a higher premium than Gold, and platinum is lower than both metals. Buying in bulk or through reputable dealers is wise to reduce the charges. When buying physical gold bullion, consider all aspects. Select trustworthy dealers with low premiums. Transactions involving purity levels should include proper documentation to guarantee authenticity and visibility. Also, be familiar with different weight options available for purchase and keep local tax laws in mind when selecting delivery options. Follow these tips to avoid surprises when your order is received. Buying fake Gold is pointless – it’s not worth it.

Authenticity and Source of Gold

Learning the legality and source of Gold is fundamental when investing in bullion. Here are some aspects to bear in mind:

  • Refinement – Buy bullion from quality-assured refineries.

  • Purity – Purchase Gold with an approval system, showing its karatage and purity.

  • Sourcing – Bullion obtained straight from mines or reliable brokers should be chosen.

Investigating and selecting a trustworthy dealer when buying Gold is vital, verifying their valid credentials and perfect sourcing methods. Knowing and maintaining the quality of your gold investments guarantees its value increase over time.

Pro Tip: Do thorough research, alone and through reliable sources, before investing in gold bullion.

Types of gold bullion to Buy

To make an informed decision when purchasing gold bullion, consider the benefits and drawbacks of gold coins, bars, rounds, and nuggets.

Gold coins

Gold bullion coins are an excellent investment for collectors and investors alike. They come in different sizes, purity levels, and designs.

American Gold Eagles (1 oz)

22 karatUSA$1,782.56

Canadian Maple Leafs1 oz24 karatCanada$1,760.65

South African Krugerrands1 oz22 karatSouth Africa$1,746.08

Australian Kangaroos1 oz24 karatAustralia$1,759.98

It’s important to know that certain coins have legal tender status. American Gold Eagles are legal tender in the US, for instance. Some coins may also have higher premiums due to their rarity or unique design.

Pro Tip: Consider numismatic silver coins if you’re into history or art. They hold value beyond gold content.

Gold bars

The table below shows the different types of gold bars.

Cast gold bars

  • Purity – 99%

  • Weight Range – Various weights

Minted gold bars

  • Purity – 99.9-99.99%

  • Weight Range – 5gm – 1kg

Large gold bars

  • Purity – 99.5%

  • Weight Range – 100-400 troy ounces

Large gold bars are mainly used for transactions between governments and central banks because of their high value and weight.

When buying gold bullion, investors should know that the purity of Gold varies from refinery to refinery. Therefore, they must buy from trusted sources with a good reputation. Moreover, they must consider storage costs, liquidity, dealer markup, and selling price.

Interestingly, when Gold was discovered during the California Gold Rush, some people would shave off small amounts from the nuggets or coins they sold. This continued until laws were passed requiring all gold nuggets and cash to be melted down and cast into bars with serial numbers. Gold rounds are grand for when you want your bullion to feel like a coin but preserve its shining beauty.

Gold rounds

Gold rounds are more than an investment – they’re memorable and meaningful. They’ve got unique designs and a long history. Gold’s been a currency and a symbol of wealth since the sixth century BC. King Croesus of Lydia was the first to mint gold coins. Now, they’re prized for their beauty and worth.

Why settle for a pot of Gold at the end of a rainbow when you can have a gold nugget in your pocket?

The following list shows the Gold Rounds:

  • 1 oz American Gold Eagle – 91.67% purity

  • 1 oz Canadian Gold Maple Leaf – 99.99% purity

  • 1 oz South African Krugerrand – 91.67% purity

  • 1 oz Australian Gold Kangaroo/Nugget – 99.99% purity

Gold nuggets

When it comes to gold bullion, there are various types. The ‘Chunks of Gold’ form has been in high demand because of its unique and natural look that appeals to collectors and investors worldwide.

As nature has it, gold nuggets come in many sizes and shapes – round, flat, elongated, or angular. These Pure Gold Nuggets range from 83% (20 carats) from Western Australia to 90-95% purity from Alaska.

Below is a list of gold nugget properties:

Specific Gravity – 19.32

Hardness – 2.5 – 3

Color – Rich Yellow

Melting Point – 1,063°C

Gold nuggets have played an important part in history, both culturally and economically. Indigenous populations in America used to search for gold nuggets to swap for Western goods like steel tools and imported foods.

Investing in gold nuggets has increased through the years. People search far and wide for this precious treasure. 

Popular gold bullion products to consider

To choose the best gold bullion for your investment portfolio, Popular Gold Bullion Products to Consider with American Gold Eagle, Canadian Gold Maple Leaf, South African Krugerrand, Australian Gold Kangaroo, Chinese Gold Panda, Credit Suisse Gold Bar, PAMP Suisse Gold Bar, Johnson Matthey Gold Bar, Perth Mint Gold Bar, and 3.10 Engelhard Gold Bar would be the solution for you. These sections will help you understand each gold bullion product’s popularity and unique features.

American Gold Eagle

The American Gold Eagle is a well-known gold bullion product with unique features. It was issued in 1986 and is the USA’s official gold coin. Below are the must-know details about it.

  • Weight – 1/10 oz, 1/4 oz, 1/2 oz, 1 oz

  • Purity – 91.67% (22 karat)

  • Diameter – 16.5 mm – 32.7 mm

The design of the American Gold Eagle is famous. Lady Liberty is featured on it, walking forward, holding an olive branch and a flaming torch. The reverse side has a family of bald eagles in a nest.

Pro Tip: Buy American Gold Eagles from dependable sellers only. This ensures they produce gold bars that are genuine and of top quality.

Canadian Gold Maple Leaf

The Canadian Gold Maple Leaf is a perfect investment option for an expensive and patriotic coin.

The 1 oz Canadian Gold Maple Leaf is sought after by many. It’s a top pick for investment portfolios and collectors. This coin is minted by the Royal Canadian Mint with Gold from Canada, making it a national treasure.

Its intricate design and .9999 purity mean it retains its value alongside global spot rates, pleasing investors and collectors. The Radial line finish and micro-engraved security features make it easy to authenticate, providing confidence in its value.

South African Krugerrand

The South African Krugerrand is a sought-after gold bullion product named after Paul Kruger, the first president of South Africa. It’s renowned for its high purity and attractive design, featuring a portrait of Kruger on one side and a springbok antelope on the other.

Investors need to know the specs of the Krugerrand. Here’s a helpful list:

  • Composition – .9167 Fine (22 Karat) Gold

  • Diameter – 32.77 mm

  • Weight – 1 troy ounce (31.1035 grams)

  • Thickness – 2.84 mm

What makes this coin special is that it was the first gold bullion coin made in mass production globally. So, investors who want to hold a piece of history can choose the Krugerrand.

Furthermore, Forbes.com states that in some developing countries, buying Gold helps preserve capital against currency instability. Thus, investing in gold bullion like Krugerrands is an excellent option for diversified investments.

Australian Gold Kangaroo

Investing in the highly sought-after Australian Gold Kangaroo bullion product can be a wise decision. The design changes yearly, and The Perth Mint guarantees each coin’s purity, content, and weight.

Knowing the specifications and values of the Australian Gold Kangaroo is essential for those who want to invest. Here is a breakdown of the details:

  • Manufacturer: The Perth Mint Australia

  • Purity: 99.99% pure gold

  • Weight Options: 1 oz, 1/2 oz, 1/4 oz, 1/10 oz and 1/20 oz

  • Face Value (AUD): $100 (1oz), $50 (1/2oz), $25 (1/4oz), $15 (1/10oz) & $5 (1/20)

This kangaroo emblem has gained recognition worldwide and is a popular choice for gold investors seeking quality assurance for their precious metals.

Don’t miss out on the opportunity to diversify your investment portfolio with gold bullion. The Australian Gold Kangaroo could be the first step to building wealth and securing your financial future.

Chinese Gold Panda

Who needs a pet panda when you can have a Chinese Gold Panda in your investment portfolio?

The Chinese Lunar Gold Panda is a famous gold bullion product. It has varying designs on its reverse depicting a panda in different poses and settings. The list below shows its specs, like the year of minting, weight, fineness, diameter, and face value. For example:

2021

  • Weight – 30g

  • Fineness – .9999

  • Diameter – 32mm

  • Face Value – 500 Yuan

2020

  • Weight – 15g

  • Fineness – .9999

  • Diameter – 27mm

  • Face Value – 200 Yuan

2019

Weight – 1oz

Fineness – .9999

Diameter – 40mm

Face Value – 500 Yuan

These coins are liquid in markets and sought-after by collectors. Each year’s design is only available for one year – making it even more exclusive. Some wealthy individuals have even commissioned their unique designs! These coins were first released in limited numbers in China in the 1980s. Now, they are a recognizable bullion product worldwide.

Credit Suisse Gold Bar

The Credit Suisse Gold Bar is a highly sought-after gold bullion product amongst investors. Its timeless appeal makes it a desirable asset. It has a unique two-tone design and serial number authentication system. This ensures that each bar is genuine and of high quality.

Plus, this product can be included in Individual Retirement Accounts (IRAs), as it meets the Internal Revenue Service (IRS) standard for purity. It is very liquid, and Credit Suisse even buys back its gold and silver bars.

The price of the gold bars depends on factors such as weight and market value. CNBC reports that a 1-ounce Credit Suisse Gold Bar is worth around $1,800.

PAMP Suisse Gold Bar

PAMP Suisse Gold Bar offers various sizes with 99.99% pure gold and an intricate design. It also has a unique serial number, adding to its value as a collectible item.

American Eagle Gold Coins and Canadian Maple Leaf Gold coins are highly regarded for quality and purity for other gold bullion options. American Eagle Gold Coins contain an image of Lady Liberty carrying an olive branch and torch. Canadian Maple Leaf Gold coins have a maple leaf design. These gold bullion products are great investments due to their high value and metal content.

Johnson Matthey Gold Bar

The JM Gold Bar is a popular investment for many investors due to its top-notch purity and value-filled composition. Here’s the lowdown:

  • 1 gram (99.99%) – $61.42

  • 5 grams (99.99%) – $305.89

  • 10 grams (99.99%) – $611.79

This gold bar is made by Johnson Matthey, a reputable brand with over one hundred years of expertise in the precious metal market. It has the company logo, weight, and a unique serial number for authenticity.

Knowledge is power! Research current trends and changes before putting money into any bullion product for an educated decision that will yield the best returns.

Perth Mint Gold Bar

This particular gold bullion is sourced from a reputable place. It’s the Perth Mint Gold Bar, crafted exclusively by the acclaimed Perth Mint in Western Australia. It weighs 1 oz with a purity of 99.99%.

This gold bar is highly valued for its multiple sizes, top-notch quality, and unique design. Each bullion product has an authentication certificate containing its weight, purity, and minting date.

The Perth Mint has produced gold bullion since 1899 with unmatched skill and pride. It even provided gold coins for Queen Elizabeth II’s 1954 Royal Visit.

Engelhard Gold Bar

Investors are after the Engelhard Gold Bar! It’s 99.99% pure gold, ranging from one to ten ounces. Plus, it has the ‘Engelhard‘ mark – a guarantee of reliability. This bar is unique, with its classic design and smooth, polished edges. It’s the perfect touch for your portfolio. Other top picks include American Eagle Gold Coins and Canadian Maple Leaf Coins. Trusted mints issue both and have great resale values.

Frequently Asked Questions

1. What is gold bullion?

Gold bullion refers to gold bars or coins valued for their gold content rather than their rarity or aesthetic appeal. They are manufactured by government mints or private gold mining companies and are considered a reliable store of wealth.

2. What should I consider when buying gold bullion?

When buying gold bars or bullion, you should consider the purity of the Gold, the reputation of the mint or company, the weight and size of the bars or coins, and the current market conditions.

3. Should I buy gold bullion bars or coins?

Both gold bullion bars and coins are viable options, and it ultimately comes down to personal preference. Coins tend to have higher premiums due to their collectability and lower weight, while bars offer a more cost-effective way to purchase significant amounts of Gold.

4. What is the difference between 24k, 22k, and 18k gold?

The purity of Gold is measured in karats, and 24k Gold is considered the purest form of Gold, with a 99.9% gold content. 22k Gold has a 91.7% gold content and is commonly used in jewelry, while 18k Gold has a 75% gold content and is also widely used in gold jewelry.

5. Should I buy government-minted or privately-minted gold bullion?

Government-minted and privately minted gold bullion options are available, ultimately due to personal preference. Government-minted bullion coins tend to have higher premiums due to their collectability. In comparison, privately minted bars and rounds offer a more cost-effective way to purchase significant amounts of Gold with lower premiums.

6. Should I still buy gold bars of bullion as an investment or for personal use?

Both investment and personal use are valid reasons to purchase gold bullion. If buying for investment purposes, it is essential to research market conditions and speaks with a trusted financial advisor. If buying for personal use, consider the weight and size you are comfortable handling and storing.

Invest in Gold Bullion and Secure Your Financial Future with Accurate Precious Metals

Accurate Precious Metals is your trusted source for investing in the future. Located in Salem, Oregon, we offer a wide selection of gold bullion products to meet all your gold investment needs. Our team is dedicated to providing quality gold bullion pieces at competitive prices and reliable customer support. With our My Monthly Metals Subscription, investing in gold bullion has never been easier. Shop today and start diversifying your financial portfolio with an intelligent investment decision!

When you choose Accurate Precious Metals for your precious metals investment needs, you can be confident that you are receiving only the finest quality gold items on the market. We offer an extensive selection of coins and bars ranging from 1-ounce American Eagle coins to 250-gram Canadian Maple Leaf bars – plus everything else! Plus, if desired, we can facilitate entirely seamless IRA transfers so you can begin building up your retirement fund without any hassles. As an established business with years of experience in the industry, you can trust us to guide you through every step of the process – making investing in gold bullion a breeze.

Start investing confidently today by shopping our secure online store with Accurate Precious Metals! Our team is here to answer any questions or concerns that may arise while searching for high-quality gold bullion at competitive prices – so don’t hesitate to reach out if you need any help. Investing in gold bullion is a great way to safeguard against inflation while securing long-term financial stability. Don’t wait another minute – invest confidently and enjoy the peace of mind of knowing you’re making an intelligent investment decision today with Accurate Precious Metals!

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Accurate Precious Metals is not a financial advisor. These articles are for educational purposes and must not be taken as fact; you must research laws and rules before making any financial decision and consult a professional financial advisor, attorney, or CPA.

 

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