Gold is an interesting metal. It is a metal as well as an element. It also comes in different forms. There are many types of gold that are distinguishable by their colour and properties. Gold is visible in different forms like gold coins, bars and jewellery. Within these, gold can be differentiated by its purity or carat value. Let us explore the different types of gold and how we can identify them.

The most common distinctions

The most common distinction between gold types is their carat or purity. This can be difficult to simply detect with the naked eye. 24-carat gold is virtually 100% pure, while 9-carat purity is as low as 37.5% purity. In its purest state, the gold will be relatively soft, while it tends to feel harder to the touch when mixed with more alloys. The colour can also vary, with pure gold displaying a distinct yellow-orange.

When mixed more with silver, the white gold effect is present, while red gold contains a higher amount of copper. Assay marks on the gold will display the purity but not all gold will be hallmarked. Other than that, it’s best to take it to a jeweller to safely perform a test and determine if it’s real in the first place!

The concept of carat value comes from 24 parts of gold. So, if the gold is 18 parts pure gold it is considered to be 18 carats. Similarly, if it is 22 parts pure, it is known as 22-carat gold. But, this is only one way to differentiate one type of gold from another. Gold is often available in a variety of colours and this can be another way of distinguishing its types.

The colours of gold

Different colours can be achieved by introducing other precious metals or base metals into the gold mix. Blue gold is a popular type of gold that is created by adding indium or gallium. These are rare metals that create a bluish hue to the gold when added. Another colour of gold is green. Green gold is also known as Electrum and can be manufactured through the introduction of silver and copper. Colours of gold like blue and green are often used by jewellers, due to their aesthetic appeal.

Purple and rose gold

Gold is also available in the colour purple and this is done by introducing 79% pure gold and 21% aluminium. Purple gold is also a type of 18-carat gold, also known as amethyst gold. However, purple gold is more brittle than other gold alloys and is unsuitable for the electronics industry. It can, however, be used to decorate gold jewellery.

Rose gold gets its colour from being mixed with copper. There are different types of rose gold. 18-carat red gold is created by mixing 75% gold with 25% copper. But, another type of 18 carats rose gold contains 75% gold with 22.25% copper and 2.75% silver. Also, included in the 18-carat category is pink gold. Pink gold contains 75% gold with 20% copper, while the amount of silver in the mix is increased to 5%. The last category, which is also the cheapest is 12-carat red gold, where the gold is only 50% and the rest is copper.

White and yellow gold

White gold has gained popularity over the years and the hardness of the mix is achieved by introducing Palladium, which is another precious metal. However, in some cases, silver may also be added along with Palladium and nickel. A popular formulation of white gold contains 90% gold with 10% nickel. Many jewellers also plate the white gold with a coating of rhodium, which gives its steely look and shine. The industry typically uses Palladium and nickel as bleaching agents to change the colour of gold to white.

Yellow gold is a derivative of the normal colour of gold. 18-carat yellow gold is created with 75% gold, 12.5% copper and 12.5% silver. However, it darker shade of yellow can be achieved by increasing the percentage of copper. Here, the proportions change to 75% gold, 15% copper and 10% silver.

Call our experts to know everything about the types of gold

Physical Gold is one of the U.K.’s most reputed gold dealers. Our team of experts can help you decide which type of gold to buy and advise you on the best way to make gold investments. Call us today on (020) 7060 9992, alternatively, drop us an email by visiting our website.

 

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Gold is a much sought after metal with very interesting properties. We often think of gold as being primarily attractive to investors and collectors of gold coins. Gold jewellery is extremely popular across the world, especially in Asia. However, the largest demand for gold comes from the industry.

While a variety of industries use gold for their manufacturing operations, gold has certain properties that make it very attractive to the electronics industry in particular. Gold is one of the most conductive metals on the planet. It is also highly malleable, which means that it can be sheathed onto surfaces. Gold is also very ductile and a small amount of gold can be stretched into wires that run into metres. Therefore the electronics industry has a large appetite for gold.

Why is gold used in the electronics industry?

With a conductivity score of 70%, gold is a popular choice for use in electronics. Most commonly, gold is used as an electroplated coating on contacts and connectors. It shines as the superior choice due to its high conductivity, corrosive resistance, and resilience (especially when mixed with nickel). Copper and silver are both cheaper and more conductive than gold, so tend to be used in a far wider array of electronic applications. Encasing electronics in gold is increasing in popularity to appeal to the luxury market such as the Gold Apple watch.

A deeper look at the use of gold in the electronics industry tells us that gold is a far superior conductor of electricity when compared to copper, silver and aluminium. This simply means that gold offers minimal resistance to the electricity flowing to and fro. However, its properties like ductility and malleability create a tipping point for its use in the electronics industry. Due to these properties, gold is very user friendly and easy to work with. It is easy and convenient to introduce the yellow metal into miniature electronic circuits, which are often found in mobile phones, gaming devices and other electronic accessories. Gold is also resistant to tarnishing, a property that ensures longer life of the devices and circuit boards in which the metal is used.

Electronics processes, where gold is used

Perhaps one of the largest users of gold in the electronics industry is in plating connectors and contacts. Semiconductor packages also use gold bonding wires, while a wide array of other processes also use gold. These include hybrid circuits, printed circuit boards and their coatings and soldering, contact points for electronic components and metal layers on semiconductors, which can be frequently used as conductor tracks and contacts points.

Due to its corrosion resistance properties and high electrical conductivity, gold has become the metal of choice for use in connectors and contacts. It is most preferred for low voltage, low current and contact force applications. Gold is often electroplated onto nickel and if the device or circuitry needs to function in hostile environments, the thickness of the gold is often increased. This may be true for its use in the electronic car industry, where the e-vehicles need to be driven throughout the year across a range of seasons.

Wire bonding

Wire bonding is another area of use in the electronics industry, where the demand for gold had already doubled in six years from 1994 to 2000. In the last 20 years, the demand for gold for these processes has skyrocketed. Wire bonding is usually found in many electronic devices, for example – computer motherboards and their components.

Our experts are available to answer your questions about gold

Physical Gold is one of the country’s most reputed and successful precious metal dealers. Please call us on (020) 7060 9992, or get in touch with us online with all your queries about gold and its investment opportunities.

 

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Gold has fascinated humans throughout history and the yellow metal has always been preferred by institutions, investors and governments as a great repository of value. Today, gold is bought and sold in a regulated marketplace, and the spot price of gold has been standardised and can rise or fall depending on economic and political factors.

At the practical level, gold has certain special properties like malleability, conductivity and ductility that make it invaluable for use in industry, especially the manufacture of electronics. However, at the economic level, gold delivers steady returns for investors over both the short term and the long term. Gold is also seen as a ‘safe haven’ for investors and individuals and institutions who moved their money to gold, did so during periods of economic uncertainty. Gold is a scarce metal that is mined out of the ground.

History of gold mining

It is uncertain exactly when human beings started mining gold, but archaeological evidence tells us that it could possibly have been around 4,200 to 4,700 BC. Historians agree that the world’s oldest known gold mine has been found on an archaeological site in southern Georgia. It is now thought that gold mining was popular at the time of the Roman Empire.

The Romans frequently used methods such as hushing and ground sluicing to extract gold from mines that contained loose alluvial deposits. These hydraulic mining methods were later used across Europe. Many Roman gold mines have been unearthed today and one has even been found in the UK, in West Wales. Gold was mined in different regions, which formed parts of the Roman Empire. These were spread across the Balkans, Armenia, Egypt and Nubia.

At the same time, gold was also being mined in other parts of the world. The Kolar gold fields in Karnataka, India has been active since the second century A.D. Later, during the 19^th century, there were many gold rushes in different parts of the world. Some of the most famous ones that we would have heard of are the California Gold Rush of 1849 and the Klondike Gold Rush. Statisticians estimate that all the gold that has been mined throughout human civilisation could be close to 6,109 million ounces.

Different types of gold mining

Today, due to the advent of technology, mining, metals have become more sophisticated. Gold mining is a large commercial operation undertaken by mining companies who fund their operations through the sale of gold as well, as money raised from the stock markets. Investors often invest in gold mining companies, as a form of paper gold investment. Let us take a quick look at the four main types of gold mining methods.

There are four main types of gold mining, varying according to the country of production and their method of extraction – placer mining, hard rock mining, by-product mining and processing of gold ore. Gold which has accumulated as a placer deposit (naturally separated from rock through gravity) is extracted through placer mining which uses water as the loose material is unsuitable for tunnelling. This is the type recognised by many as typical gold prospecting, where manual panning can be used, although not commercially.

The most recognised gold mining is hard rock retrieval which uses tunnels underground and machinery in open pits to extract gold. The larger scale enables far greater quantities to be mined.

Of course, mining for other minerals can sometimes provide the added bonus of accumulating gold in small quantities. Typically, mining for copper and gravel can end up discovering deposits of gold as a by-product. Due to the scale of the operations, some mines subsequently find large quantities of gold this way.

Gold ore describes rock and earth with fine traces of gold which are extracted through the addition of chemicals.  The use of chemicals (namely cyanide), is expensive for the small yield of gold achieved, so this method is shrinking in popularity.

Dredging

One of the old mining methods which have now been replaced is dredging. This operation is carried out through the use of suction dredges. There are small floating machines on the water operated by the miners, which consists of a sluice box attached to a suction hose that pulls out the gold.

Ask Physical Gold about all your queries related to gold

Physical Gold is one of the most reputed gold dealers in the UK and the members of our team are always available to answer your queries regarding precious metals. Please call us today on (020) 7060 9992 or get in touch with us online via our website.

 

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Gold investments are often seen as a lucrative investment option by investors. Gold has always been an excellent store of value and the yellow metal has posted healthy returns in short term as well as long-term investment horizons. Gold provides investors with incredible opportunities to beat inflation and hedge their risks in adverse market conditions. As one of the most popular precious metal options for investors, we need to understand how profits can be generated when investing in gold. In this article, we will explore the various options that investors can choose to book healthy profits on their gold investments.

How can you make money from your gold investments?

Two elements will help you buy gold and make money. The first is timing. Only buy gold for the medium to long term as markets can go down as well as up in the short term. Buying when the price is low provides more profit potential than when it’s risen for the past 6 months. Secondly, buy the right type of gold. Appointing a reputable gold broker will help you obtain the best prices and be guided to buy the right type of coins. Buying UK Sovereigns is great value and any money you make is tax-free.

Most investors will channelise their investments into gold bars and coins. Gold investments cannot provide you with a dividend payment like other asset classes. So, to make money it is important to set your investment goals and book profits by selling gold when your objective has been met. A reputed UK gold broker can help you to achieve these objectives by understanding your philosophy towards investment and contacting you when the right buying or selling opportunities are available.

Always invest in easily available bullion coins

If you want to obtain the best possible buying price for your gold coins, you should invest in bullion coins. These coins have low premiums and do not carry higher prices due to easy availability. Buying bullion coins like the sovereign or the gold Britannia is an excellent step towards ensuring the liquidity of your gold portfolio. Obscure coins may carry a certain level of rarity value, but they are extremely difficult to sell. Also, by investing in obscure coins, you are reducing your buyer market. So, when you are investing in gold, the best solution is to go to a reputed gold dealer and discuss your investment objectives with the company. When investing in coins, this is likely to get you a wider choice of great bullion coins that are available in the market.

Liquidity, variety and value

The three most important things that you can focus on when building your gold portfolio are liquidity, variety and value. Liquidity implies that the gold investments that you make must have a strong secondary market. Well-known coins like the Gold Sovereign or the gold Britannia can generate instant sales, allowing you to make money. Likewise, if you are investing in gold bars, well-known brands like Metalor can also ensure a quick sale.

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You can make profits by investing in a variety of coins of different dimensions and denominations. In this way, you can take advantage of different price points in the market, at the time of sale, to maximise your profits.

Capital Gains Tax

Another important consideration for you, as an investor is to focus on Capital Gains Tax (CGT). Taxes can eat into your profits and it’s best to invest in popular UK gold coins that are considered to be legal tender. In this way, you can gain the double advantage of avoiding VAT and CGT.

Get in touch with Physical Gold to discuss your gold investments

Physical Gold is a highly reputed gold dealer in the UK and our investment advisors offer free advice to all customers. Call us today on (020) 7060 9992 or get in touch with us online to discuss the right way to invest in gold.

 

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Buying investment-grade gold can often mean conducting a lot of research and finding out the best options for your gold portfolio. If you purchase gold with an unplanned approach, wrong results are inevitable and the overall value of your portfolio may shrink. Many investors opt for gold coins, but it is important to know which gold coins to purchase. Buying obscure gold coins will hamper the liquidity of your portfolio, as obscure gold coins are harder to sell. There are certain fundamental elements that one needs to consider when planning a gold portfolio.

Buying gold from the high street

Several investors decide to buy their gold from high-street jewellers and shops. This is usually not a good idea, as it can be fraught with risk. It is difficult to ascertain the authenticity of the gold you buy from the high-street. Ensuring the percentage of pure gold in the bars and coins you purchase is an intricate process that requires certain measuring tools. In many cases, high-street vendors will not perform this task in front of you, and many do not provide a certificate of authenticity. There is also the risk of security when you buy your gold from a high-street shop and leave.

Buying gold from an auction

E-commerce sites like eBay offer gold auctions as well. However, it is unsafe to purchase gold from an unknown seller on eBay. You have no way of knowing whether the products are genuine or not. Also, in general, it is not a good idea to purchase items of large value from auction sites or even pawnbrokers on the high street.

Buying paper gold

There are several options to buy gold as an investment. If you’re seeking to actively trade the gold market, then spread betting is one option. Buying a Gold ETF provides online access and economic spreads to buy and sell regularly. If stock markets are attractive, then the Blackrock Gold fund is popular, or if you’re prepared for higher risk, investing in gold mining stocks is an option. For those motivated by safety and protection, buying physical gold coins and bars is the best investment choice. This is primarily because most paper gold instruments carry counterparty risks. However, these risks are mitigated when you hold the precious metal in its physical form.

Identifying a reliable gold dealer

The best way to buy gold for investment is to identify a reputed and reliable gold dealer near you. Most online gold dealers can provide you with a greater choice of products like bars and coins when compared to their high-street counterparts. A good online dealer will also answer all your questions regarding the purchase and offer you free advice before you close the deal. Typically, they also provide a buyback scheme and the products come with a certificate of authenticity. Once you have bought your gold, most reputed online dealers will dispatch your purchases to you via an insured courier service. The package will arrive unmarked, so there is no way of outsiders knowing that the contents of the package are valuable.

It is relatively easy to identify an online gold dealer. Dealers who have been in business for years are listed and registered with the British Numismatic Trade Association (BNTA). Once you identify a reliable online dealer, it’s important to establish a good relationship with the company. Discussing your investment objectives with your dealer can go a long way in ensuring that you acquire the right gold bars and coins for your investment portfolio.

Talk to our investment advisors at Physical Gold

Physical Gold is one of the country’s most reputed and reliable gold dealers. . Our investment advisors can guide you on the best purchases to make when building a strong gold portfolio. Call us on (020) 7060 9992 or get in touch with us online to reach out to our investment team.

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Investing in gold isn’t just about buying a few gold bars or picking up some gold coins at an auction. A serious investor who wants to build a robust gold portfolio should have an investment plan. Lack of planning is likely to result in wrong investments and you will end up getting stuck with gold bars and coins that have no liquidity and add no value to your portfolio. A good investor will first study the subject and understand the fundamentals before investing a penny.

Understanding the types of gold to buy may not be enough. One needs to find out where to buy them from. Many gold investors who have built lucrative portfolios have years of experience trading in the precious metals market and have the right connections to source their gold. Let us take a quick look at the fundamentals of gold investing that every beginner should know.

Planning your objectives

It is always important to first understand why you want to buy gold. You need to decide the right investment horizon for you. If you want to make short-term investments, the choice of gold products may be different. Investors who want to build wealth and acquire gold at the cheapest price per gram would often choose to buy gold bars. Gold bars have lower production costs than coins and offer investors the opportunity to acquire gold at a cheaper price. The time horizon is important – gold investments can be volatile over the short-term but generate steady and healthy returns over the longer term.

Gold investing follows the common rules of buying the investment at a low price and selling at a higher price. There is no interest received for holding gold, so profits are only made on capital appreciation. The gold price tends to rise when the economy takes a downturn and other investments fall in value. In that way, it offers protection to an investor who owns many assets. The gold price can move down as well as up, so it is advised to hold the gold over the medium to long term.

Identifying a reliable gold broker

Once you have your objectives in place, the next step is to identify a reputed and reliable gold broker. This is relatively easy to do. Most reputed brokers are registered with the British Numismatic Trade Association (BNTA). A quick visit to the association’s website can help you shortlist the best brokers near you. It is important to initially approach more than one broker and try to build a relationship.

Once you do this, you will be able to share your objectives with your broker and he/she would know what kind of gold you are after. So, when it comes to the market, you can be the first to know. A good broker will always be willing to answer your questions and will also issue a certificate of authenticity for all the products. They would also have a buyback scheme. You should always check online reviews of the broker and find out how long the company has been in business.

Tax planning

It’s also important to do your tax planning at the time of planning your investments. All investment-grade gold is VAT free in the UK, however, if you want to capture the benefits of Capital Gains Tax exemption, you can invest in gold coins that have a face value and are legal tender in the UK.

Our experts at Physical Gold can guide you on your investments

If you are a beginner investor who wants to start building a gold portfolio, speak to one of our advisors. Physical Gold is one of the most reputed gold dealers in the UK. You can reach us on (020) 7060 9992 or send us an email to get in touch.

 

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Investors looking for portfolio diversification often turn to paper gold investments. Investors view gold as a safe haven and hedge their risks by investing in all types of gold. In 2020, during the height of the global pandemic, the price of gold rose steadily to reach its highest point ever. This was made possible by increased investor demand due to the safety and security that gold provides. Usually, physical gold investments can be categorised into gold bars, gold coins and gold jewellery. Investors usually park their money by buying bars and coins. However, paper gold investments can be another viable option.

What is paper gold?

Paper gold investment refers to the purchase of an asset that isn’t tangible but instead represented on paper.  This can take the form of gold mutual funds such as the Blackrock Gold & General Fund, individual mining shares, spread betting on the gold market, gold futures and gold ETFs. Those seeking tangible investment need to buy gold bars or coins.

Gold ETFs

The abbreviation ETF stands for Exchange Traded Funds. In other words, it is a fund that invests the money collected from investors into various types of gold investments. These investment choices are spread across all types of gold-related investments in the market.

Physical gold could be one of them, but the fund usually diversifies its gold portfolio by investing in many other categories, like gold mining stocks, refiners that produce gold, companies that manufacture gold products and government bonds. It is important to note that individual investors who subscribe to the fund have no say in these investment decisions. The decisions are made by professional investment managers, who are responsible for running the fund.

Gold futures

Another type of paper gold investment is gold futures. Since gold is a commodity, it is actively traded every day on the gold markets. Therefore, speculation can be made on the price of the commodity for a future date. Gold futures are contracts entered into by investors, who agree to take delivery of the gold on an agreed date at a price point. The contract can be finalised by making an initial payment. It is a speculative risk-based transaction. The price of gold can fluctuate, and the investor may lose money on the transaction if there is a significant price drop between signing the agreement and the delivery date.

Counterparty risk

The biggest downside to paper gold investments is counterparty risk. This is the risk of a third-party dishonouring a contract due to poor performance in the market. In a worst-case scenario, the company may even become bankrupt. All paper gold investments carry this risk since the investor is entering into a contract with a third party. However, physical gold investments are tangible and the investor is in possession of the asset at all times. Therefore, the question of counterparty risks does not arise as there is no third party involved in the trade.

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Tax efficiency

Investment-grade gold is VAT free in the UK. Additionally, investments in gold coins that are legal tender in the country, like the Gold Britannia or the Gold Sovereign can also make your investments Capital Gains Tax (CGT) free. However, paper gold investments do not qualify for these tax exemptions. Most paper gold investments attract long-term capital gains tax.

Speak to our gold experts for all your gold investments

Physical Gold is one of the U.K.’s most reputed gold dealers and our investment advisors are always happy to hear from you and offer free advice on any gold investments, you might want to make. Call us on (020) 7060 9992 or contact us online to speak to a member of our investment team.

 

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Property ownership has always been the holy grail of most UK residents. As a country, we are seen as a nation of property owners. In many ways, this makes sense. After all, why should you rent a property to provide an income for a landlord, if you can acquire your own? Over the last three decades, this sentiment has been targeted by mortgage providers and banks.

Easy property acquisition

The late 80s, 90s and early 2000s were a time when mortgages could be acquired for next to nothing. Banks were willing to fund up to 95% of the value of the property, with easy terms of payback. Many people re-mortgaged their properties after paying back the loan, to simply acquire capital based on the equity value that the property had accrued. However, the 2008 financial crisis and the decade that followed has made property acquisition more difficult. Now, the property that you bought and you’re living in cannot be considered an investment. An investment property is usually a second property that you have purchased to rent out and make profits on its equity value, as property prices rise. Of course, the increments in value would vary on the location and size of the property.

Comparing gold investments with properties

Both are asset classes worth considering when constructing a portfolio. Due to the physical nature of the assets, both are tangible investments that do not carry counterparty risks. However, the two asset classes behave quite differently. Property markets are subject to volatility depending on the economic situation in the country. The 2008 financial crisis was triggered off in the US when large numbers of people defaulted on their sub-prime mortgages. Banks and mortgage providers are not in the core business of buying and selling property. Therefore, when a large number of foreclosures happen, the bank is stuck with all these properties and the value plummets fast.

Property investments also carry additional costs like council tax, if not rented and maintenance costs. However, gold investments do not have any counterparty risks or maintenance costs. Also, the sale of a property may take a substantial amount of time, while gold enjoys far greater liquidity and the returns are immediate. Both investments tend to appeal to the same people as they share their tangible nature and appeal to those worried about the true value of paper assets. Both perform extremely well over the long term but can be volatile. This volatility can provide buying opportunities in both gold and property investment. The UK property market has taken a significant hit recently.

Property markets react adversely to an economic crisis

Property markets are prone to devaluation when the country’s economy is plunged into crisis. Gold, on the other hand, has an inverse relationship with poorly performing stock markets, money markets and the economy. When the world goes into crisis, investors move to gold. This is evident from the gold peaks that we witnessed during 2011 and 2020. Therefore, we can surmise that investments in an immovable asset class like real estate carry greater disadvantages than gold investments.

Discuss your investment strategy with Physical Gold

Physical Gold is one of the most reputed UK gold dealers, and the company’s investment team offers free advice to investors on the right asset classes to invest in. Call us today on (020) 7060 9992. Alternatively, you can also reach our investment team by getting in touch online via our website. We look forward to hearing from you.

 

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While some investors prefer gold coins, others prefer gold bars. Gold bars can be a great repository of value and they are a vehicle for investors who believe in owning a tangible asset like a chunk of gold, in the form of a gold bar. Let us now explore why gold bars can be a great addition to your portfolio and where to buy them.

Advantages of investing in a gold bar

Gold bars present an attractive value proposition for investors because they provide an opportunity to buy gold at a lower price per gram. This is possible because the manufacturing costs of producing a gold bar is lesser than minting a coin. Gold bars do not carry an intricate design element.

The bars are produced by pouring liquid gold into a mould, and the purity value and the refiner stamp is engraved on the bar. Gold bars also come in a variety of sizes and weights. There are large gold bars that can weigh a kilo. However, if you are buying gold bars to strengthen your portfolio, it is better to invest in smaller bars than larger ones. This creates divisibility, variety, and liquidity for your portfolio.

This approach can provide advantages when selling. Investing in a large gold bar like a kilo simply means that you have to let go of a large quantity of gold at a single price point in the market. However, selling smaller bars allows you to take advantage of the price movements and generate better profits.

Avoid premium brands

Premium brands like PAMP or Metalor can be attractive to investors, however, remember that you are paying a premium simply for the brand name. When buying a gold bar, the only things you need to check are the refiner stamp, serial number, weight, and purity value. It’s often a good idea to invest in pre-owned bars, as they provide better value for money with the same gold content.

Where should you go to buy a gold bar?

There are many options available to investors if they wish to purchase a gold bar. There are high-street gold dealers or jewellers who can sell you a gold bar. Alternatively, you can also find gold bars on auction sites like eBay. But, should you buy an important and valuable investment product from these sources?

Gold investment bars should be bought from a professional dealer only. If you want to buy gold bullion bars, then they should also come with a serial number, be certified and have a purity of 999.9 at least. Don’t be tempted to buy lower grade bars or from eBay. Finding a reputed UK gold dealer is the first step you should take when buying a gold bar for investment.

How can you identify a reputed UK gold dealer??

Most reputed gold dealers in the UK will be registered with the British Numismatic Trade Association (BNTA). So, by visiting their website, you can easily shortlist several reputed gold dealers near you. The next step is to call them and find out if they provide a certificate of authenticity and a buyback scheme. Most reputed dealers will also offer free advice for you to buy the best gold bars.

Talk to Physical Gold about buying your gold bars

Physical Gold is a highly reputed UK gold dealer and the company’s investment team offers free advice on buying gold bars to investors like you. Call us on (020) 7060 9992 or reach out to us online via our website. Our investment team will be happy to answer your queries and advise you on buying the right gold bars for your portfolio.

 

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Gold coins have been a source of great attraction for many individuals over the centuries. Numismatists who collect gold coins are thrilled with the idea of acquiring a precious and rare gold coin. Investors choose to buy gold bullion coins due to the returns they can make on their investments. Of course, there are certain compelling advantages to buying gold coins.

They are easy to store and often come packaged in monster boxes. They provide divisibility to an investor’s gold portfolio. Also, they have a certain aesthetic value, which many investors prefer over gold bars. However, if you’re thinking of investing in gold coins, there are certain parameters to be aware of.

Checking gold coin authenticity

How will you know that the gold coins, you have just invested in are authentic? You will need the services of a gold expert who can certify the authenticity of the coins. But, there are certain checks you can do at home that can help you decide whether the coins are genuine or not. Gold, like other precious metals, has a high density. Therefore, the size of the coin would depend on its weight.

If the gold content of the coin has been tampered with and a certain percentage of base metals introduced into the coin, it will be lighter than it should be. Therefore, you can measure the diameter, thickness, and weight of the coin. To do this test at home, you will require a set of Vernier callipers and a weighing scale used by jewellers. You can also use a magnet to detect the purity of gold in the coin. Since gold is non-magnetic, a pure gold coin will not be attracted by a magnet. There is also a device called the Fisch Tester that allows you to test popular gold coins like the Krugerrand or the Gold Britannia.

Apps to test your gold coins

Yes, in 2021, there is an app to test gold coins as well. These apps emit a sound and generate a ‘ping test’ by measuring the echo your coin produces. One of these apps is called Coin Trust and there is a drop-down menu that allows you to select the particular coin you’re testing and proceed from there.

Buy your gold coins from a reputed coin dealer

If you know which coins to buy, then simply purchase them online from a trustworthy broker. If you need guidance as to which gold investment coins to buy, then any good dealer will be able to advise you. Generally, stick to bullion finish coins, rather than proof finish, and only buy really well-known coins. In the UK, Sovereigns and Britannias are best as they’re also tax-free.

The simplest way to buy authentic and genuine gold coins, without going through the hassle of testing them at home is to buy your gold from a reputed UK dealer. Most reputed dealers will provide you with a certificate of authenticity, which is stamped by a coin certification agency like the PCGS or NGC. Storing the gold coin is important and you should never remove the coin from its original packaging so that there are no doubts regarding genuineness when you want to sell the coin.

Call Physical Gold to find out more about buying gold coins

Physical Gold is one of the U.K.’s most reputed gold dealers and has a team at your service that can guide you on how to buy gold coins and advise you on the authenticity of the coins you own. Please reach out to us on (020) 7060 9992, or simply send us an email and our team will connect with you to help you purchase the right gold coins.

 

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