Gold bullion bars and gold coins dominate the gold market. It can be confusing to understand all the options available if you're new to investing in gold or the market.
It can be difficult to know if you're making the right choice with so many brands, weights, and purities. You can purchase gold coins or bars and store them in a safe location as an investment.
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What You Should Consider When Buying Gold Bars
Gold bars are more attractive if you don't care about the sentimental value and want to keep your premiums down.
Although gold bars and coins will have the same purity and amount of gold, bars can be as much as 1% cheaper than gold coins. This can make a huge difference when viewed in large quantities.
Bars can also be a cost-effective option if you have large gold purchases. Bars can be purchased in larger sizes, which can help you save money if you buy in bulk.
What You Should Consider When Buying Gold Coins
Gold coins are a great investment option for many first-time investors and small investors. Even smaller sizes of gold bars usually require a large minimum investment. For example, you can get in very inexpensively with a 1/10 oz Maple Leaf whereas the minimum investment threshold for gold bars starts nearly double that.
One reason to choose coins is the fact that some types, such as the Gold Britannia coin, do not carry any Capital Gains Tax. Certain sovereign coins are more valuable when you realize higher profits from investments. However, a lot of things depend on current market conditions.