Invest In Gold Bullion

If you're thinking about investing in gold to secure your savings by buying gold bullion you're not the only one. Hundreds of thousands of people all over the world have successfully secured their savings by buying gold bullion. Investing in gold is not only a stabile way of investing but has also proved itself to be very profiting. In the last decade gold prices have quadruppled and are climbing every year. The reason for this is that right now the gold production is flat, due to a large portion of the gold miners keeping/saving their best gold at the moment. Because of this, gold prices are climbing and climbing. All of the above is very good news for people who want to invest in gold and a good reason to actually start doing it as soon as possible. Below is a "how to" guide on how to buy gold bullion.

What Is Gold Bullion?

Most people who buy gold as an investment, buy gold bullion. Gold bullion comes in the form of gold bars and gold coins but can also be bought in other forms like jewellery. The good thing about buying gold bullion, unlike most gold jewellery, is that bullion is sold close to the market price of gold at the day you buy it.

So What Is Gold Bullion?

There's often a misconception when it comes to the understanding of what "gold bullion" is. Bullion is basically another word for a "stamped and refined weight of precious metal". Today, gold bullion mostly comes in the form of gold coins and gold bars. Therefore gold coins and gold bars are the easiest form of gold bullion to attain. If you have a reasonable sum of money to invest but not huge, gold coins or small gold bars are usually your best buy. Keep in mind that gold coins are often more expensive as gold bars since there's usualy more work in fabricating gold coins as in fabricating gold bars. Using smaller gold bullion will result in an easier measurement of your gold, up to the gram(the smallest gold bar is a 1 gram bar). The standard gold coin weighs 1 troy ounce(31.1034768 grams). Standard gold bars come in 1oz to 400oz(12.441 kilograms) bars. Go to our gold weight units page to learn more about gold weight units.

When you have a larger sum of money to invest, heavier gold bars are your best choice. Heavy gold bars are a little harder to find but still easy to obtain anywhere in the world. Of course you can also use a combination of both. One thing you have to keep in mind when buying large amounts of gold bullion is that you have to put money aside for the storage, like a home safe, of your gold.

Gold Bars

As explained above, gold bars are your best buy when you want to invest a serious amount of money in gold as it is the cheapest form of gold bullion you can buy. When you want to invest a larger amount of spendings in gold, gold bars are the way to go. The heavier the gold bullion is, the closer the bullion will sell for its actual gold market price and the cheaper you buy your gold. Therefore it's adviced to buy as heavy a gold bar as you can afford. It's better to buy 1 heavy bar as 100 small ones. In contrast with gold coins, gold bars come in various weights. The smallest gold bars you can buy are 1 gram gold bars. The heaviest gold bar ever made is 250 kilograms and is owned by Mutsibishi. The most commonly used gold bars are 1 oz** to 400 oz bars. Heavier gold bars can sometimes also be found for sale. Another advantage of gold bars is that they almost always consist out of a minimum of 99,5% pure gold. When you buy a gold bar from a certified gold seller you know for sure you've bought close to 24kt gold.
More information on this subject on gold bullion bars Gold Bars page.

** oz stands for Troy Ounce (31.1.grams). Learn more about gold weight units

Gold Bullion Coins

Gold coins are usually more expensive as gold bars because the process of the fabrication of coins requires more labor as fabricating bars. Many coins do, but some gold bullion coins don't contain close to 24kt gold since some of the coins out there are fabricated with a mix of other metals to make the coins more durable. However, standard gold bullion coins always contain at least 21.6kt gold. Gold bullion coins are often used for smaller investments as they most commonly come in 1 oz or smaller forms. When you buy gold bullion coins as an investment in gold it's important you buy the coins purely as gold bullion. This means you shouldn't buy gold coins with nominal value. Also, ever since coins were invented, gold coins have been used as currency. Because of this there are a lot of older expensive gold collector coins in circulation. These collector coins are NOT what you want to buy when you want to buy gold bullion purely as an investment. Collector coins are more expensive because of their historic value. You want to buy gold bullion coins that are worth close to their weight in gold.
More information on this subject on gold bullion coins Gold Coins page.

Jewellery or Gold Bullion?

When you plan on buying gold as an investment in gold you first have to decide if you want to buy your gold for personal use(like jewellery) or as a pure investment. For smaller investments, jewellery can be a good a good choice. If you have plans of investing a large amount of money in gold, buying gold bullion is your best choice. Of course you can also decide to buy both. When you choose the last option you have to realize that you need a safe place for your gold, like a safe deposit at your bank or a home safe.


Why Invest in Gold Bullion?

Although investing in gold ETF shares has more advantages as investing in real physical gold bullion(or jewellery), there are advantages of buying your own real gold bullion. Below are the advantages that investing in real gold gives you.

By far the biggest advantage that investing in real gold gives you is that you really own the amount of gold you invest in. Other than with gold ETF's, you can touch and hold your own gold, do with it as you please. This is especially comes in handy in economically uncertain times(on a national/worldwide level). With owning real gold you are sure you have a universal currency in posession which you can pay with over the entire world, even in desperate times. Gold has an equal value over the entire world.

As you can see there are few advantages of investing in real gold bullion over investing in gold ETF's. One of the only advantages is the advantage of owning your own gold which you could use as a currency in desperate times. Therefore we really recommend investing in gold ETF's instead of gold bullion. It's just safer and less of a hassle.

Invest In Gold Jewellery

Buying gold Jewellery as an investment in gold bullion is also an option. As you might know already, gold jewellery can be bought in many jewellery shops all over the world. The advantage of buying gold jewellery is that you can use it both for fashion and as an investment. The only real problem with buying jewellery as an investment is that you often pay a higher price for gold jewellery as gold bullion since jewellery has to be crafted. Because of this you have to be careful you don't pay too much for your gold, always compare prices of different shops with eachother.
Surf to our Gold Jewellery page for more information.







 

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