Gold bars are one of the most desired precious metals since time immemorial. As an investment, gold has always been at the top of the list of items to invest in. Today, gold has a very high market value. This is largely attributed to the low production of this precious metal around the world, while demand is continuously increasing. Unlike real estate, money, or other investments, gold rarely falls in value. They remain stable despite the economic recession.
Types of bars
Gold bars can be cast or minted. Molten bars are made by melting gold and pouring it into molds. These are stamped with markings such as foundry, gold purity, and registration numbers. It can also be seen that although gold is dense, it is still smooth and very workable.
Currently, there are about 27 cast bar manufacturers in the world. They produce bars with weights ranging from grams to kilos. The smallest bars can weigh approximately 10 grams and are made in foundry in Uk.
Minted bars, on the other hand, are different in that they are gold that was poured into a mound and then cast into strips. The gold strips are stamped to create the required sizes and then the markings are also embedded during the process.
Bar weight
Gold bars can be classified into different weight groups based on their geographic location.
Gram is an international measure of gold, however in most English-speaking countries, the ounce is preferred. In India and the Middle East, they measure gold in Tolas. For Chinese speaking regions, they prefer the term Tolas. It can also be seen that Thailand measures gold in baht. Vietnam and Korea use Chi and Dons respectively to measure gold.
The price of gold or gold bars fluctuates depending on manufacturing costs and other overhead. The availability of the material is also a big factor in determining the spot price of gold. You should always buy gold bars with the highest possible weight, as you will pay less in premiums for this.
Think of it as buying in bulk rather than retail. But, if you intend to do business rather than invest, it is a very good idea to buy small ounces of gold and sell it from time to time. This keeps your gold from sleeping and yet maintains its liquidity.
