Looking For Gold

Investing money in gold bullion does have its advantages and can help manage risk on a solid basis. Unlike many other investments it can offer protection against the ravages of inflation and a down turn in the economy. It is a highly liquid investment when the market is transparent, and it will endure the test of time. When you sink your money into investing in gold bars, you will join some of the few financiers who will prosper regardless of how bad the economy is. Before you risk entering the gold market, it’s a good idea to understand something about gold bars.

Firstly: Measurement and Certification

Gold is measured in terms of carats or karats. This term can be abbreviated to ct or kt. It is a measure of how pure the gold is-if it is 24 carat it’s completely pure. Purest gold is also usually very soft prior to any metals or alloys being added to it when making jewellery.

Secondly: Grading Gold
The term Karat is used mainly in the USA and Canada. In the bullion trade it gold can be known as ‘fine’ or 999 or three nine fine in Europe.Once tested by an expert if the number is less than 24C it is an indication that it has been mixed with some alloys-copper is usually added to make the gold hard.

Thirdly: Hallmarking

This is more prevalent in Europe and is known as the percentage hallmark stamp i.e. 18-carat gold is considered to be 75% pure gold in any retail jewelry. In the bullion trade 18K would be known as 750. If you go ahead and decide to invest some money for your future then make sure you purchase gold bars, only going for those with fineness of 0.999 and above 24 Carats.

Fourthly: Accurate gold measures

All precious metals like gold, platinum, silver and other rare metals are measured in Troy ounces. The term was derived from the French town of Troyes when it was a thriving precious metals centre and where this term was first used. A Troy ounce is the equivalent of 31.10 grams and so around 10% heavier than the Avoirdupois ounce. Banks tend to buy and hold gold in metric tons with one ton equal to 32,150 Troy ounces.

Fifthly: Forms of Solid Gold

When buying gold in a vast quantity the buyer has a choice of gold sovereigns – (South African way), ingots (European way) and retail jewelry (Middle-Eastern way) Gold bullion bars and coins are priced on the basis of the purity of the gold content. But, the premiums charged by a dealer is going to be higher on coins than on bars as the gold has been treated this means that transaction costs will be higher also. Retail jewellery, you have to add in charges for design and craftsmanship making this form of gold the least effective for investment purposes. Buying gold jewelry is a poorer investment, as the money you pay for it is more for its intrinsic value rather than monetary consideration.

Sixthly and finally, let’s consider the all-important matter of how the price of gold is fixed.

The official price of gold is fixed twice daily in London at the offices of N M Rothschild. The price, is also the international benchmark price, is set in US dollars per Troy ounce of gold. This means that you can always easily find out the exact current gold price on the Internet or other financial media.

Unlike many investments, you always know where you are when it comes to the value of your gold. Depending on how many gold bars you have you can calculate your wealth by multiplying the weight in tons or ounces by the price!

Now that you are an expert in gold, let us look at the method of how to buy gold bars and gold bullion in the UK. It’s very simple.

Once you are ready to spend your money and buying gold bullion to your investments or just want some gold as security for the future. Acquiring the gold bars is uncomplicated and fun. The best way is to go online and search for reputable gold dealers online on one of the large search engines. If the dealer is trustworthy and you can check this out spend your money, make sure you are insured and finally receive you consignment through the Royal Mail. Feel free to browse their websites to find the quantities of your choice and then placing an order.