Guide to Investing in Gold Bullion Bars
Long term wealth preservation and investment portfolio’s risk diversification are the reasons why investors are bullish on gold. Physical gold is considered a strategic asset and is looked at as a hedge against inflation. The shiny metal can be easily purchased and liquified, making it the choicest investment asset.
If you are planning to invest in gold, nothing better than gold bullion bars as you can purchase them at the lowest price per ounce. Gold in the form of bars is considered the show stopper of the industry as from master traders, savvy investors to banks, everybody understands its value and is attracted towards it.
It is true that Gold coins look aesthetically pleasing but they cost higher than bars due to their extra manufacturing and packaging cost. Gold bars, on the other hand, are pocket friendly and even average investors can purchase them.
If you are a beginner and looking for some tips on how to invest in gold bars and from where to buy the yellow metal, this guide will come in handy. So without further ado, let us dive right in!
Advantages of Investing in Gold Bars
The first benefit of buying gold bullion bars is that you get more ounces of the precious metal with bars as compared to gold coins for the same amount spent. As bars are less expensive than coins, they are the first preference of investors. Due to the intricate designing of coins, production and labour cost rises and one has to pay extra for the design.
Another advantage of bars is that they are easy to store and you do not require much space to keep them. Gold bars occupy less space than the equal number of ounces of gold coins.
Looking to buy gold and silver bullion bars? Explore Central Bullion’s global marketplace online.
What size gold bars to choose?
Once you have decided to buy gold bars, the next question that pops up in mind is what size of bar to choose. They are available in various sizes and weights. You can purchase one gram bars (also known as wafers) and go up to bigger sizes according to the amount you want to invest. For high net worth individuals, a mix of both big and small size bars is recommended.
The larger size bars have lower premiums as compared to the smaller ones. The reason for this is that it’s cheaper to produce a heavy weight gold bar, say a kilogram than a one ounce gold bar. But experts suggest that it’s better to buy small size bars as it is easier to sell them as compared to heavier bars.
In case of any financial emergency, it is feasible to find buyers for multiple smaller bars. Not many people can afford to purchase a heavy bar with weight in kilograms. If you want to sell smaller weight bars, you can find more potential customers.
Another benefit of buying small size bars is that one would not require an assay. But it’s not the same in the case of a bigger bar, an assay is necessary before you could sell it. An assay will cost extra money and time.
With smaller size bars, the risk of counterfeiting is lower. Premiums on small weight bars are higher, but they are cost effective.
The benefit of purchasing a bigger bar is that the premium will be lower but savvy investors recommend to investing in smaller bars along with large bars.
Where to Buy Gold Bullion Bars?
On the Central Bullion platform, one can buy gold bullion and silver bullion bars for investment or gifting purpose. On this trustworthy global bullion marketplace, one can find a wide range of precious metal products at the best prices.
