If you have been thinking about investing in gold as a hobby, then you are probably wondering where to buy gold.
There are many different ways and places to buy gold today. Many people develop a desire to purchase gold bars, plates and coins at an early age. You see these massive gold bricks in one move after the other and many people desire to own one; to hold it in their hands and stare in awe at its natural beauty.
However, those bars of gold that you see in the movies are known as Good Delivery bars and they weigh a whopping 400 ounces. That is, the bar which you see in the movies weighs 25 pounds each. They are much heavier than most people realize and in order for them to maintain their status as Good Delivery, bars, they have to stay locked up in a vault at all times. In other words, you will most likely never own one as at the current spot prices, one of these bars of gold will cost you more than $680,000 each.
But don’t let that get you down because there is a way of owning a part of one of these bars. Granted you will never be able to physically hold it in your hand, but you can own part of one simply by investing in gold commodities. Unless you are investing into an ETF, when you purchase good on the exchange, you are buying a small part of a bar sitting in a vault somewhere in the world; you just cannot ever take physical possession of the bar.
However, there are many other options. Every city has a coin collection shop which sells many different types of collectible legal tender from all over the world. It is here in one of these shops that you will also find smaller bars, plates and coins which are composed of gold. In most cases, these pieces of bullion are more pure than the Good Delivery bars.
A Good Delivery bar which is the industry standard, is required to be more than 99.5% pure gold. However, smaller coins, plates and bars that are available for collectors can be as much as 99.9% pure gold. Some of these are even more amazing to look at because they have been laser etched on one side to create a prismatic or holographic effect. This hologram is used by the foundry as a means of certifying that the bar was made of the purest gold content possible.
With the many advancements of the internet, you may also purchase gold bullion online from a number of different vendors. However, special care must be taken because some vendors are not trustworthy as others. They may not advertise the true weight or size of the bar they are selling. Always make sure that you get as much information as possible before you make a purchase and remember that the good vendors will always be willing to provide you with the right information you need to make a well-informed purchase.
But do not simply stop with gold. While owning a small gold bar or coin may be really cool, imagine instead owning a bar made out of platinum which is a much stronger and more durable material than gold is. It is also rarer than gold which makes it a more sought after precious metal.
With that said, if you chose to purchase gold in a physical form, you will also need to make sure that you purchase a means to protect it from others. If anyone else knew that you had a stockpile of gold in your home, you would become in instant target. A safe or other form of vault is important for keeping your investment as secure as possible.
Just remember that while storing bullion at home does have its perks, it is also a lot more dangerous. Many hobby investors also chose to collect scrap gold such as old watches, rings, and other forms of jewelry which are either solid or plated. While many people today will tell you that gold plated items are worthless, there will come a day when it will be very affordable to extract the plating.
For safety reasons and ease of trading, most investors simply chose to open up an online investment account and trade in gold securities like a gold exchange traded fund or other similar options. There are a multitude of ways to invest in gold online and since the market is open 24 hours a day, as long as you have an internet connection, you can make a trade and potentially make a profit as well.
Just remember that with any investment, the greater the profit potential, the greater the risk of investing is. Likewise, make sure that you never invest money that you cannot afford to lose.Dan Craig