Investing in gold and silver

All about ways of investing in gold and silver

There are many ways to own gold and silver:

Investing in physical gold and silver

• Modern gold and silver bullion coins and bars
• Semi-numismatic and numismatic gold and silver coins
• Gold and silver certificates
• Allocated accounts
• Digital gold and silver currency or e-gold
• Gold and silver bullion in SIPPs

Investing in paper gold and silver

• Gold and silver exchange traded funds (ETF)
• Gold and silver stocks
• Gold and silver stock options
• Precious metal unit trusts or mutual funds
• Gold and silver futures
• Gold and silver futures options

Comparison of gold and silver investment options

Bullion bars/coins delivered

Medium initial cost. None recurring cost. Low risks.

Bullion bars/coins stored

Medium initial cost. Medium recurring cost. Low risks.

Gold certificates

Medium initial cost. None recurring cost. Low risks.

Gold bullion in SIPPS

Low initial cost. Low recurring cost. Low risks.

Semi numismatics

High initial cost. Low recurring cost. Low risks.

Digital gold

Low initial cost. Low recurring cost. Medium risks.

Exchange traded funds

Low initial cost. High recurring cost. Medium risks.

Precious metal unit trusts

Medium initial cost. High recurring cost. Medium risks.

Gold stocks

Low initial cost. Low recurring cost. High risks.

Gold futures

Low initial cost. Medium recurring cost. High risks.

Investing in physical gold and silver

There are several ways you can invest in physical gold or silver.

• buying physical gold and silver and storing it yourself;
• investing in pooled accounts;
• buy physical gold and silver directly, but don’t take storage.

Buying physical gold and silver and storing it yourself

This is the best option and might give you the most feeling of security. The downside to keeping it yourself is theft.

Investing in pooled accounts

You can buy silver and gold through a dealer and an audited amount of silver and gold will be sitting around in the dealer’s storage facilities. You do not own phisical gold and silver – you have only a promise to pay you back that amount of money once you decide to sell it again.
Buy physical gold directly, but don’t take storage

You can buy gold and silver through a dealer and store them at the spesial storage bank. In that case you do own phisical gold and silver but do not store it yourself. The downside to this option is that there is a monthly fee for holding your physical bullion.

Incoming search terms: