What types of gold are best to buy?

What types of gold are best to buy?

Buying gold is possible in the form of gold coins or gold bars. Both coins and bars are available in at least 99.9% pure gold and are sold as investment gold. This means that you can buy gold without VAT being levied. There are a few important differences however between bars and coins.

Is a gold bar cheaper than a gold coin?

The production costs of a gold bar or gold coin depends on the weight. The most common gold coins are minted in 1 troy ounce (31.103 grams) and the Maple Leaf and the Krugerrand are the most popular gold coins. There are coins available that are heavier or lighter but they are less common.

Gold bars are more readily available in higher weights and are therefore usually cheaper to produce and trade in comparison to a similair amount of gold in coins.

Coins offer design choices

Another difference is that 1 troy ounce gold coins often have a wide range of different producers due to their popularity, and the coins are often provided with beautiful designs.

Gold bars often have a straightforward design and are often supplied in a blister pack, which makes gold bars more of a business investment product than coins.

Authenticity features

As mentioned above, new gold bars are often supplied in a closed blister pack that doubles as a certificate of authenticity. This way you can be sure that the gold bar cannot be damaged and you can check whether the gold bar really comes from the smelter on the packaging.

Coins are usually supplied without a certificate, which makes it more difficult to check whether the coin is genuine. There are smelters that work with modern techniques such laser technology, to provide their coins with a difficult to copy security emblem

How easy is the gold to trade and transport?

When choosing between gold bars and gold coins, it is also more important to consider how easy it is to trade or transport your investment. A large gold bar can be cheaper and comes with a certificate of authenticity, but because of the high value, transport and reselling the bar can be a challenge.

For that reason, customers often opt for multiple smaller coins or gold bars if they want to invest a large amount in gold. It can also be an interesting option to buy a combi bar that can optionally be traded again in smaller bars.

Buyback guarantee from The Silver Mountain

Wether you want to buy gold coins or gold bars, we offer a buyback guarantee. This makes it easy to resell the gold. We use fixed formulas to determine our bid price, regardless of the gold price and regardless of the volume you are selling.

Disclaimer: The Silver Mountain does not provide investment advice and this article should not be considered as such. Past performance is no guarantee of future results.