How to Buy Gold Bars
Gold bars (or ingots) offer the lowest premiums over spot price, making them the most cost-efficient way to buy physical gold in larger quantities. Available from 1 gram to 1 kilogram.
Step-by-Step Guide
- 1
Select bar size and brand
Common sizes: 1g, 5g, 10g, 1 oz, 10 oz, 1 kg. Stick to LBMA-approved brands (PAMP Suisse, Valcambi, Perth Mint, Royal Canadian Mint) for best resale value. Larger bars have lower per-ounce premiums.
- 2
Buy from an authorized dealer
Purchase from established online dealers (APMEX, JM Bullion, SD Bullion) or directly from mints. Ensure bars come with assay cards for authentication. Avoid secondary-market bars without documentation.
- 3
Verify authenticity
LBMA-approved bars have serial numbers and assay certificates. Some include security features like holographic assay cards. For larger purchases, consider professional verification.
- 4
Arrange secure storage
Home safe, bank safe deposit box, or allocated vault storage through services like Brinks or Loomis. For bars over 10 oz, professional vault storage is recommended for insurance purposes.
- 5
Keep records for tax purposes
Document purchase date, price, dealer, and serial numbers. Gold bar sales over $10,000 trigger IRS reporting. Keep receipts for cost basis calculation.
Pros
- + Lowest premiums over spot (1-3%)
- + Most gold per dollar spent
- + Easy to stack and store
- + LBMA-approved bars are universally accepted
Cons
- − Less divisible than coins
- − No legal tender status
- − Large bars can be harder to sell quickly
- − Counterfeiting risk on non-branded bars
Frequently Asked Questions
What size gold bar should I buy? ▾
For most investors, 1 oz gold bars offer the best balance of low premiums and easy resale. If your budget is smaller, 1-10 gram bars work well. Larger bars (10 oz, 1 kg) have the lowest premiums but are harder to liquidate partially.
Are gold bars a good investment? ▾
Gold bars are the most cost-efficient way to own physical gold due to their low premiums. They're ideal for investors focused on maximizing gold exposure per dollar. For smaller investors or those wanting flexibility, coins may be more practical.
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Important disclaimer
This website is for informational purposes only and is not financial advice. Always speak with a licensed financial advisor before making investment decisions.