Why you should invest in gold in 2015

We originally wrote this back in 2012 and have modified it slightly for 2015. Not a lot has changed in the last 3 years in terms of reasons to buy gold. The Eurozone is still economically unstable and although things seemed to stabilise a little, they are now looking more uncertain again. The price of gold has dropped over the last three years so is now a good time to buy?? We still think gold is a good investment and as we wrote in 2012, here are the main reasons we think it is a good idea to invest in Gold.

REASONS TO BUY GOLD

Gold As A Safe Haven – Traditionally, gold is purchased by investors as a safe haven when the financial markets are experiencing turmoil. Countries around the world are still having to deal with massive debts and there are serious economic problems in parts of Europe. Buying gold is seen as an alternative to holding currencies such as the Euro and the Dollar. While the uncertainty over how to resolve the debt problems continue, the price of gold is likely to start to rise again.

Supply Is Limited – The amount of physical gold available to buy has been falling. This is in part due to Chinese and Asian investors who are unlikely to sell their holdings, but also due to the renewed interest from the Central Banks who are likely to hold onto their Gold for years to come. A limited supply of gold and a reduction in the amount of physical gold available to buy could lead to a rise in the price of gold.

Inflation – Inflation means that a lot of countries have extremely low interest rates at the moment. As a result, money you have invested in savings accounts is worth less as time goes by. Investors are therefore looking to gold as a means of preserving their wealth. The European central bank has just announced a huge programme of quantitative easing. When central banks print more money as they try to reduce inflation, the demand for gold will likely which will in turn lead to higher prices.

Increased Demand – Over the last few years, central banks have increased their holding of gold. This is particularly true of the central banks from emerging economies who are investing in Gold as an alternative to the US dollar. During the first 11 months of 2011, central banks such as Turkey and Russia purchased 344 tons of gold between them. This increase in the demand for gold could also lead to an increase in the price of gold.

There is a lot of volatility in the price of gold with big upswings often followed by big downturns. Although there is a rising long term trend you should do plenty of research before investing in any form of gold bullion to make sure it is the right investment for you.

Where Can I Buy Gold Online

Where can I buy gold online ? – There are quite a few online gold dealers available to customers from both the UK and worldwide. Before you choose where to buy gold online you need to ask yourself a couple of questions first :

Do you want to buy gold bars or gold coins online ?

Do you want your gold bars or gold coins to be delivered to you or do you want your gold bars or gold coins to be stored on your behalf ?

We have listed some of the top brokers where you can buy gold online and given a brief summary of what services they offer. The aim of this article is to give you a short list of sites where you can buy gold online. This will hopefully make your choice easier.

 

Type of Gold Sold Commission Smallest Investment Storage/Delivery
BULLIONVAULT

(Read our Review)

Allocated Gold Bars 0.8% (less for amounts over £21,000) 1g of Gold Storage in secure vaults. Delivery available at a cost.
GOLDMONEY

(Read our review)

Allocated Gold Bars From 2.49% for purchases up to $9,999 to 0.98% for purchases greater than $1,000,000 1g of Gold Storage in secure vaults. Delivery available in units of 100 gram and 1 kilo bars.
GOLD DIRECT Gold Bars and Gold coins Prices are all inclusive – see website 1g Gold Bar

Delivery to EU citizens for €32.50

LONDON MINT OFFICE Gold Coins – aimed at collectors Coins and coin sets priced individually One coin UK delivery
 GOLDCORE Gold Bars and Gold Coins Varies but over 3% on a 1kg bar of Gold 1oz Gold Bar or Coin Storage in secure vaults. Delivery also available.
BULLION BY POST Gold Bars and Gold Coins Varies by product 1g Gold Bar Free Delivery – UK and CI only

This list of where to buy gold online is by no means comprehensive but should give you a good starting point. It is aimed at the UK investor but some of the larger companies listed such as Bullionvault or GoldMoney will cater for clients worldwide. There are other online gold dealers out there but the ones above are some of the most popular. Which one you choose will depend on whether you want to buy gold bullion or gold coins. The other main choice to make will be whether you want your gold stored for you or whether you want to take delivery of your gold. We hope that your question of ‘where can I buy gold online’ has been answered !

 

Comparison of Bullionvault v Goldmoney

 

BULLIONVAULT V GOLDMONEY

Once you have decided to buy gold bullion online, you then need to decide which gold bullion company to buy your gold from. Two of the main contenders for buying gold bullion online are Bullionvault and Goldmoney. Both of these companies allow you to buy gold which is allocated to you and can be stored on your behalf. Basically each company acts as a broker buy you own the actual gold that you buy. We have already reviewed each of these companies separately – see our Bullionvault review and Goldmoney review for more information. However, on this page we have built a table of the key features for each company. This should hopefully make it easier for you to decide which gold bullion provider is best for you.

 

BULLIONVAULT GOLDMONEY
WEBSITE BULLIONVAULT GOLDMONEY
COMPANY LOCATION Bullionvault is a UK registered company based in London GoldMoney is based in Jersey in the Channel Islands
REGULATION Bullionvault is regulated under English Law GoldMoney is regulated by the Jersey Financial Services Commission
SMALLEST INVESTMENT ALLOWED 1g of Gold 1g of Gold
GOLD STORAGE LOCATIONS LONDON, NEW YORK, ZURICH AND SINGAPORE LONDON, HONG KONG OR ZURICH
CURRENCIES ACCEPTED EUROS, POUNDS STERLING AND US DOLLARS  Australian dollars, Canadian dollars, Swiss francs, Euro, British pounds, Hong Kong dollars, Japanese yen, New Zealand dollars and US dollars 
COMMISSION 0.8% (less for amounts over £21,000) from 2.49% for purchases with a value up to $9,999 to 0.98% for purchases with a value greater than $1,000,000
ANNUAL CUSTODY & INSURANCE  0.12% (min. £2.75 per month)  0.015% monthly or 0.18% annually for holdings up to 49,999g and 0.0125% monthly or 0.15% annually for holdings of 50,000g or above 
CAN YOU TAKE DELIVERY OF YOUR GOLD Yes but the standard cost is 2.5% for withdrawing whole gold bars, and there is a 5% surcharge for withdrawals below 400 oz Yes, in units of 100 gram or one kilo bars
AUDITS  DAILY AND ANNUAL  QUARTERLY 
WEBSITE BULLIONVAULT GOLDMONEY

We hope our comparison of Bullionvault v GoldMoney has been helpful. Don’t forget to read our reviews for more information on each company.

BULLION VAULT REVIEW

Before you invest in Bullionvault you will want to make sure that your money will be safe and that there is no scam involved. We can hopefully put your mind at rest and give you confidence that Bullionvault is a reputable company and worth further investigation. You can read our complete Bullionvault review here. Don’t forget that Bullionvault offer all new investors 4g of Silver completely free when they register. To find out how to claim your 4 grams of free silver click here. If you want to compare Bullionvault with GoldMoney then read our Bullionvault Goldmoney comparison post here.

A Guide To VAT, Capital Gains Tax and Gold

A Guide To VAT, Capital Gains Tax and Gold For the UK Investor

VAT AND GOLD

The Good News is that there is no VAT (Value added Tax) payable on investment Gold. So the next obvious question is ‘What is investment gold?’

Investment gold is classified by HMRC as:

1. Gold bullion which
(a) Has a purity of no less than 995 thousandths
(b) Is in the form of a bar or wafer
(c) Is of a weight accepted by the bullion markets

2. Gold coins minted after 1800 that:
(a) Have a purity of not less than 900 thousandths
(b) Are or used to be legal tender in their country of origin
(c) Is of a description of coin that is normally sold at a price that does not exceed 180% of the open market value of the gold contained in the coin

3. An investment gold coin as specified by HMRC (Notice 701/21A Investment gold coins). HM Revenue and Customs has produced a comprehensive list of all the coins which they consider to be investment gold coins and are therefore exempt from VAT. Click here  for the complete list.

The information above might sound a little complicated but what is basically means is that any gold bullion or gold coins you buy in the UK or EU for investment purposes is completely VAT free.

 

CAPITAL GAINS TAX AND GOLD

Capital Gains Tax (CGT) is usually paid on the profit of something that you sell. Most assets are liable to CGT when you sell them and gold is no different. The only exception as far as we can tell is that capital gains tax is not liable on British legal currency. This means that there is no CGT payable on Gold Britannia coins, British Gold Sovereigns or Gold one, two or five pound coins.

 

REVISIÓN DE BULLIONVAULT

REVISIÓN DE BULLIONVAULT

BullionVault es un intercambio de oro y plata, creado por Pablo Tustain en 2005 y con sede en Londres, Reino Unido. Actualmente es propiedad de Galmarley Limited, compañía número 4943684 registrado en Gran Bretaña. Si usted está pensando en comprar oro de BullionVault usted probablemente querrá respuestas a las preguntas siguientes, está invirtiendo en BullionVault seguro, es Bullionvault legítimo y es BullionVault de buena reputación. Pues bien, en nuestra opinión, BullionVault es probablemente el más seguro, la más barata y fácil forma a la propiedad de oro. Estas son algunas de las razones por las cuales:

Oro Puro:

Cuando usted invierte con BullionVault usted está comprando el lingote de oro físico real y no moneda de oro digital (DGC). DGC es una forma de dinero electrónico, respaldado por el oro a través del almacenamiento de oro no asignado o asignada. Comprar lingotes de oro que ofrece los beneficios adicionales de la compra de oro a precios de mayorista, es decir el costo real del mismo metal. Esto difiere de la inversión en monedas de oro en la que a menudo tienen que pagar una prima por encima del valor del oro mismo.

Invierta en oro hoy mismo - El primer gramo es gratis

Los Lingotes de Oro:

Cuando usted compra de oro en BullionVault usted está invirtiendo en lingotes de oro. Sin embargo, si usted no quiere comprar un lingote de oro todo también se puede invertir en lingotes de oro parciales. La más pequeña cantidad de oro se puede comprar es de 1 gramo que hace Bullion Vault asequible para la mayoría de los inversores. La primera vez que firmar con BullionVault que también le dará 1 g de oro de forma gratuita. Haga clic aquí para reclamar su gramo de oro libre. Reclamar su gramo de oro libre es una buena idea, ya que le permite ver cómo el sitio web BullionVault funciona.

El almacenamiento de la oro:

El oro y la plata están guardados en cámaras acorazadas especializadas en Suiza, Estados Unidos, Singapore o el Reino Unido. Este oro está asegurado y auditados todos los días. Ser capaz de elegir dónde se almacena el oro es importante para los inversores que están preocupados por la jurisdicción en que se lleva a cabo su oro.

Inversión Mínima:

Puede comenzar a comprar oro en cantidades tan bajas como 1 gramo, que es mucho más pequeño que la moneda más pequeña de oro. No hay límite superior para la cantidad de oro se pueden comprar.

Euros?:

Las transacciones pueden realizarse en euros, libras esterlinas o dólares US.

Precios:

BullionVault cobra un máximo de 0,80% por cada transacción. Las comisiones disminuyen progresivamente a partir de 30.000 $. El coste de custodia del oro (incluyendo el seguro) es de un 0,12% al año, lo que representa menos de un tercio del coste de gestión cobrado por la mayoría de los ETF.

El Acceso A Su Cuenta:

Usted tiene acceso a su cuenta 24 horas al día, siete días a la semana.

Los Inversores:

Más de 36,000 inversores han confiado BullionVault con activos por un total de aproximadamente $2,1 mil millones. Clientes BullionVault tener más de 20 toneladas de oro que es más que un montón de los bancos centrales de los mundos.

Regulación

BullionVault está regulado por la ley Inglés. A diferencia de modernas empresas de servicios financieros en toda Europa y América, BullionVault no se ocupa de los instrumentos basados en papel o ‘valores’, y por tanto no regulada por la Financial Services Authority (FSA). Cuando usted compra oro Bullion Vault usted es dueño de la física de metal y por lo tanto el comercio de lingotes queda fuera del ámbito de la FSA y está regulado por la ley tradicional de la propiedad Inglés. Los códigos de prácticas del mercado de lingotes de Londres todo se define por la London Bullion Market Association (LBMA). Bullion Vault es un miembro de pleno derecho de la LBMA.

Vender o retirar su oro:

Usted puede vender su oro en cualquier momento y sin penalización. El dinero debe estar de vuelta en la cuenta bancaria designada por el día siguiente. Esta es una manera eficiente y de bajo riesgo de comerciar con oro y lingotes de oro le ayuda propia a muy bajo costo. También puede obtener acceso al oro físico, pero hay algunos costos adicionales. El coste es de 2,5% para la retirada de lingotes enteras de oro, y existe un suplemento del 5% para las retiradas por debajo de 400 oz BullionVault oro es sin IVA, siempre y cuando se lleva a cabo en las bóvedas de acreditados y se mantiene sin IVA tras la retirada.

Ofertas:

Invierta en oro hoy mismo - El primer gramo es gratis

Esperamos que esta revisión BullionVault ha sido de gran ayuda. No hay que olvidar que Bullion Vault está ofreciendo nuevos inversores que se registren ahora para más información GRATIS un gramo de oro para empezar con.

IR A BULLIONVAULT AHORA
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How to spot fake gold coins

How to avoid buying fake coins.

gold krugerrand coin

It isn’t actually that easy to fake a gold coin so at the moment they are relatively rare. One trick is to take make a gold coin and then artificially age it to try to fake a rare gold coin. This should be spotted by an expert though.

If you are worried, there are a few simple ways of testing that a gold coin is the genuine article.

The first and easiest way to check a gold coin is genuine is by its weight. Gold is a very heavy metal and if the gold has been mixed with other metals then the coin will weigh less than it should. There are only two metals that come close to the weight of gold. The first is platinum which is very expensive so there would be no advantage to swapping it with Gold. The second is tungsten which is too brittle to use in fake coins. If you buy some scales which are accurate to 1/100g then you can weigh the gold coin to check its weight. You can get a list of all the correct weights of gold coins on the internet.

The second thing to check is size. The width or diameter of real gold coins are available online. If your gold coin has other metals mixed with the gold it might be thicker than it should be.

Another way to check the weight and size of a gold coin is to buy a specialist tool such as the Fisch. This tool checks gold coins based on their weight, diameter, thickness and shape. Coins have to meet all four criteria to pass. A cheaper method is the ‘Gold Coin Balance’. To put it simply, if the balance tips, the weight is wrong and the coin is a fake.

One thing you should always do is to buy your gold coins from a dealer you trust. Do your research before you buy ! If you are buying in the UK have a look at the London Mint Office. Another option for the UK and many other countries is Gold Direct.

How is the price of gold calculated?

Before you buy gold coins or gold bullion from any dealer you need to understand how the price of gold is worked out. You will then have a better understanding of how much you should be paying for your gold.

What is the spot price of gold? – the ‘spot’ price is the number you will see quoted in the financial pages of the newspaper and on the internet. To find out the current spot price you can have a look at the bullionvault price chart. The spot price of gold is often quoted in USD so you will need to take exchange rates into account when making your calculations. Most dealers will sell to you in Sterling if you are buying in the UK or on the internet. Be aware that the price of gold is constantly fluctuating so you will need to look it up on the day you make your purchase.

What is the premium for gold prices? – The premium is the difference between the spot price and the price any dealer is charging for their gold. This is basically the dealers profit. The premium will vary a lot depending on what sort of gold you are buying and where you are buying it from. It also depends on how much gold you are buying. In general though the premium will range from anywhere from 0.1% and 10%. If you are buying gold coins from a local dealer you can expect to pay around 5% -10% over the spot price, although you might be able to get it as low as 3% if you shop around. If you invest in gold via an online broker such as Bullionvault the premium will only be 0.8% which is probably the lowest price around today. This gets even lower if you are buying large quantities of gold.

 

How To Buy Gold

HOW TO BUY GOLD: Traditionally, gold is considered to be a safe haven investment, particularly when there is an economic  crisis such as we are experiencing now. The economic outlook around the world appears to be getting worse and as the problems continue, more and more ordinary people are thinking about investing some of their savings in gold. This is because gold has an intrinsic value unlike paper money which only has value because a government says it does. The paper itself is not worth anything whereas gold is always going to be worth something.

How can I buy gold?

There are several ways you can actually buy gold. Gold comes in many forms including gold bullion (gold bars), gold coins or even gold jewellery.

How to buy gold bullion bars

One increasingly popular method of investing in gold is to buy gold bullion or bars of gold. This can now be done online and you can also buy a fraction of a bar of gold. Read our Gold Bullion guide for more information on how and where to buy gold bullion.

How to buy gold coins

Gold coins are a very popular way of buying gold and you don’t need a large amount of money to start with. Only buy gold coins from dealers you trust. This is to ensure the coins you are buying are not fake coins and are made with pure gold. There are lots of gold coins to choose from including but not limited to the South African Krugerrand, British Gold Sovereigns, The American Eagle and The Canadian Mapleleaf.  You only want to pay for the gold content of the coin and should avoid paying a larger premium because it is a rare coin or comes in a special case. For more information read our guide on how to buy gold coins.

How to buy gold jewellery

Gold Jewellery is not normally a good investment because jewellers will charge a large premium for the design and brand. You could however, buy gold jewellery from second hand shops or antique dealers. Make sure that you are only paying for the gold value of the jewellery and there is no premium on the price because of the history of the piece or who made it. You should only buy gold like this from a dealer you trust to ensure you are getting what you pay for.  You can expect to pay a small premium over the gold value which is the dealers profit from the sale. There are kits available to purchase which will test the quality of the gold you are buying.

Why You Should Invest in Gold in 2012

REASONS TO BUY GOLD

Since 2001 the price of gold has risen approximately 400% having just completed the eleventh year of gains. There are a lot of experts who expect further price rises during the course of 2012 and are positive about the outlook for Gold. With this in mind we have listed what we think are the top reasons why Gold ought to pass the $2000 per ounce mark this year and why you should seriously think about buying gold as part of your investment portfolio.

Gold As A Safe Haven – Traditionally, gold is purchased by investors as a safe haven when the financial markets are experiencing turmoil. With the massive debts that countries around the world are having to deal with and the serious problems faced by Europe, buying gold is seen as an alternative to holding currencies such as the Euro and the Dollar. While the uncertainty over how to resolve the debt problems continue, the price of gold is likely to rise.

Supply Is Limited – The amount of physical gold available to buy is falling. This is in part due to Chinese and Asian investors who are unlikely to sell their holdings, but also due to the renewed interest from the Central Banks who are likely to hold onto their Gold for years to come. A limited supply of gold and a reduction in the amount of physical gold available to buy should lead to a rise in the price of gold.

Inflation – Inflation means that a lot of countries have extremely low interest rates at the moment. As a result, money you have invested in savings accounts is worth less as time goes by. Investors are therefore looking to gold as a means of preserving their wealth. If central banks print more money as they try to reduce inflation, the demand for gold will increase leading to higher prices.

Increased Demand – Over the last two years, the central banks have increased their holding of gold. This is particularly true of the central banks from emerging economies who are investing in Gold as an alternative to the US dollar. During the first 11 months of 2011, central banks such as Turkey and Russia purchased 344 tons of gold between them. This increase in the demand for gold should lead to an increase in the price of gold.

There is a lot of volatility in the price of gold with big upswings often followed by big downturns. Although there is a rising long term trend you should do plenty of research before investing in any form of gold bullion to make sure it is the right investment for you.