Gold Bars Vs Gold Coins

Everybody knows the value of Gold. For generations, people have used Gold for investment purposes, jewelry purposes, or generally as an asset. For centuries there have been a lot of investments in a variety of industries with the majority of them following the trends set by economic expansion and economic recession. Some industries merged into one while others became completely obsolete. One industry that has stood the test of time is the Precious Metals industry of Gold & Silver. Gold has many desirable traits such as its conductivity making it perfect for industrial applications such as technology. Another desirable trait that makes Gold so valuable is its ability to resist tarnishing and corrosion over time, making it an element that literally stands the test of time. One of the biggest advantages of Gold is that it has remained stable in times of high inflation, periods of economic recession, and periods of economic growth. When it comes to Gold there are a few options, one can buy Gold Jewelry, Coins or Bars, or on paper as an ETF.

The most common form of Gold except for jewelry comes in the format of Bars or Coins. An advantage of owning Gold in the form of Bars and Coins is that they are normally pure and certified by reputable mints such as the Royal Canadian Mint Gold Bars.

Bars or sometimes known as Gold Biscuits are rectangular in shape and have a serial number, refinery name, and purity label on them.

Between Bars and Coins, Bars are the most common form of owning Gold Bullion. 1 Ounce Gold Bars in Canada are cheaper and are easier to buy than 1 Oz Gold Coins, as they are cheaper to produce. The cost of production translates into the premium that is added on top of the spot market price of Gold. The manufacturing process for making a bar is much less complicated as it does not involve as many intricate detailing processes. It costs less to produce therefore costing less to buy. Furthermore, Bars come in a wider variety of sizes and denominations whereas Coins tend not to be larger than 2oz. The weight of a bar can range from 1 Oz to 1kg, meaning there is more flexibility when it comes to buying a bar than Coins.

10 Oz Gold bar price would cost less than 10 x 1 Oz Gold Coins. This is an advantage of the Bars, as you can get them in a lot of weight categories for example there are 5 Oz Gold Bars in Canada.

Coins charge a more premium price than Bars, the reason being, it has a more intricate process of manufacturing due to design. On the other hand, Coins come in innumerable designs and finishes. More often than not Coins have a more collectible value in most cases which demands a higher price. Each year a few selected mints create unique Coins, which become collector items and fetch even a higher price. The collectible nature of the Coins creates a numismatic value, making them more valuable in the eyes of the collector.

The numismatic value of the Coins depends on the age and the rarity of the particular set of Coins. Coins are mostly minted in government-owned mints or very renowned refineries like the Royal Canadian mint, and Valcambi. RCM Gold maple leaf Coins fetch a higher price for the same weighted Coin than a generic Gold Coin. Royal Canadian mint is a very reputed refinery that only deals with a number of RCM-authorized dealers. Among the Canadian market authorized dealers are Au Bullion, and Instant Gold Refining.

All in all, at the end of the day Gold is Gold. With the limited supply and diminishing reserves; more usage and application of Gold in everyday items such as conductors, cell phones ETC. The value of Gold is going to keep increasing. So now is a good time to buy Gold.