The words gold bars conjures images of vaults stacked with shinny gold bricks. We think that gold bars are only in bank vaults or they are what the secret safes of filthy rich contain. The average Joe might not even dream of buying and owning gold bars but he can. Gold bars are more accessible than most people think. They are portable, more liquid and less complicated than most people think. How do you go about selecting and buying gold bars for your investment portfolio?
Select The Size and Type of Gold Bar You Want to Own
Gold bars come in different sizes and therefore there are different price points. You can choose from a 1 ounce bar to a 1 kilo bar. You can find gold bars to suit your budget.
The value of a gold bullion bar depends on its weight. The price usually follows the spot price because gold bullion bars are usually made of the purest gold.
The bigger the bar, the higher the price. The question is: how much of your money can you like to put in gold?
If you have an idea of what you can afford to spend on gold, you can narrow your options down and buy gold bullion bars that are within a certain price range.
Minted vs. Cast
In addition to size and type of gold bars you also have a choice between minted and cast bars. What’s the difference between the two and why should you care?
Well, minted bars are cut from a big gold piece and have artistic designs and a glossy finish. Minted gold bullion bars are packed in a sealed assay card with details about their authenticity. The packaging also provides protection.
Cast bars are made from liquid gold poured in to a cast. They tend to be less shiny and their appearance depends on how the molten gold was poured. There are gold buyers who prefer cast gold bars because of how “natural” they look.
Reading a Gold Bar
Gold bars aren’t produced with intricate designs like gold coins and this has an impact on their value. They are still produced with specific marks that identify their purity, weight and origin. Different producers have different hallmarks for their gold bars. These are unique. Well-known hallmarks are easier to sell.
Gold bullion bars are made by government mints but there are a lot of other trusted private mints that produce gold bars and coins. Some of the most respected mints that produce gold bullion bars include the Perth Mint, the Royal Canadian Mint, Asahi and Johnson Matthew amongst others.
The purity of a gold bullion bar is marked on the bar itself, along with the weight and brand of the producer.
Protecting Your Gold Bullion Bars
Consider how to protect and store your gold once you have acquired it. In general, gold bars don’t take up too much space which makes them easy to keep at home or in a safe deposit box at a bank.
How and where you decide to store bars also depends on your goals. Have you bought them to invest in the for your children’s future or as away of saving for a rainy day. If it’s for emergency situations you should consider storing the gold close by. Your gold will be more accessible in an emergency. Make sure you know where you will be storing your gold before buying it.
Find a Reputable Gold Company
You should buy gold bullion from a reputable gold dealer that way you know you are getting the best deal.