Gold Bars

Gold bars are the most recognized and commonplace form of gold bullion. Most governments and financial insititutions, along with private individuals, prefer to keep their gold in bar form. Aside from its convenience and widespread availability, gold bars also have a number of other characteristics that set them apart from other forms of gold. First and foremost, gold bars are the purest form of gold anywhere. Almost every gold bar is minted in either .999 or .9999 purity, meaning that virtually the entire bar is made up of solid gold and nothing else whatsoever.

The gold content in a bar is important because many coins do not come with nearly the same amount of actual precious metals. The majority of coins have somewhere between 85%-99% gold within them, with the rest of the coin being comprised of other metals, usually silver, copper, or other less expensive fillers. Should you ever decide to valuate and/or sell your gold, bars will offer you the most bang for your buck. With a coin, you are going to spend a lot of money over the spot price per ounce. Not only this, but you are also going to get less actual gold. For anyone interested in investing in gold for the sake of the metal itself, bars are absolutely the way to go.

Another primary reason why gold bars are popular is their inherent ability to be bought, sold, and traded without hassle. Again, when compared to coins, selling bars is extremely easy to do. You will pay for the bar according to the relative spot price, and you will sell bars in much the same way, give or take any premiums or fees added along the way. You will never have to worry about secondary market value for bars since they do not have any collectible worth. A gold bar is worth its weight, nothing more and nothing less.

Sizes of Gold Bars

Gold bars are not sized and produced in the same weights as their silver counterparts. With silver, the lowest common size for bars is 1 oz. This is largely due to the fact that silver is much less expensive than gold, with all things being relative. Gold, however, can be obtained in sizes starting as low as 1 gram. 1 gram gold bars are priced so that they can be purchased by anyone, regardless of the size of your budget.

Beyond 1 gram, there are 2 gram, and incremental gram bars until you reach fractional ounce pieces. 1/10, 1/4, and 1/2 ounce gold bars are all readily available from most gold dealers. Beyond these sizes, 1 oz., 2 oz., 5 oz., 10 oz., and even larger bars are the most commonly minted bars. Needless to say, most people do not own bars that weigh any more than an ounce. Not only are larger bars extremely expensive for the initial buyer, but they will also be more difficult to re-sell down the line. When you think about government reserves, consider 10 oz. and 100 oz. gold bars, when you think about personal investing, consider bars that are more along the lines of 1 oz.

Buying Gold Bars

Gold bars are the most cost effective way to obtain gold. Because they do not have any premiums attached to them, you will be able to buy the bars for right around spot price. The most optimal way to buy gold bars is to aim for larger sizes. Instead of buying ten 1 oz. bars, it would make more financial sense to instead buy one single 10 oz. bar.

If you are new to buying gold, starting off with smaller sizes will make the most sense. Don't jump into buying massive amounts of gold until you are familiar with the different types and are sure that you are paying fair prices. Most gold bars will not cost any more than $50 over spot, even for 1 oz. bars. Compare these prices to several hundred dollars over spot for coins, and you will see how gold bars will save you money.

Gold bars can be purchased online just like any other type of gold. Most brick and mortar dealers will carry bars, but they may either have only small bars, or only bars that are out of your budget. In addition to this, the prices that you pay offline will almost certainly be a lot more than what you will find online. Online you will notice that some brands and conditions of bars will cost more than others. For all intents and purposes, no gold bar is different than the next, provided that they are the same weight. If you are paying more for a gold bar, it is because of the brand name or because it is new. If you really want to own a bar that was produced by one specific company, there is nothing wrong with it, but be aware that there are no long term benefits to spending more on any given brand. New bars cost more because they are new, but there is no difference between a secondary bar and a brand new one. In the end, gold is gold, especially when it comes to bars.