How to Buy Gold Online in 2023
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- A list of the Top Gold IRA Companies to Invest In November 2023:
- A list of the Top Brokers to Invest In Gold November 2023:
- Description of the Best Gold IRA Companies to Invest In November 2023
- Description of the Best Brokers to Invest In Gold November 2023
- Is Gold a Good Investment in 2023?
- What Are the Different Ways That You Can Invest in Gold?
- The Difference Between Commodity (Gold) Brokers and Gold IRA Companies
- What Are the Advantages of Investing in Gold?
- What Are the Disadvantages of Investing in Gold?
- What Determines the Price of Gold?
- Where Do You Buy Gold?
- Frequently Asked Questions
- Final Thoughts
With interest rates at historic lows around the world, it’s no surprise that people are investing their hard-earned money in gold.
Historically, gold was considered to be a safe investment giving some kind of reassurance during tumultuous periods.
If you consider yourself a Ron Swanson and are looking to invest in gold, you must purchase your gold from a reputable investment company.
To help you understand more about buying gold online, we’re taking an in-depth look at why gold is such a good investment, as well as the advantages and disadvantages of buying gold bullion.
If you are intending on purchasing gold bullion by post, you should undertake due diligence on your chosen provider. And if you are buying gold as an investment, always speak to a financial advisor to get up-to-date advice.
To get you started, here some gold IRA (Individual Retirement Account) companies that you may wish to explore as you begin your gold investments:
1. Regal Assets
Regal Assets is a company that allows you to diversity your investment portfolio.
You can choose to invest in physical assets (such as gold and other precious metals) as well as digital assets such as cryptocurrencies.
Designed as 'the world’s first Alternative Assets IRA', Regal Assets can be used to effectively plan for your retirement.
Investment in hard assets might potentially help with protection from fluctuating market prices.
With over a decade’s experience, the firm is one of the US’s highest-rated alternative asset firms. It has been recognized by the likes of Forbes, Bloomberg and The Huffington Post and boasts that high-profile figures such as Dennis Miller, Laura Ingram and Lars Larson are amongst its clientele.
Regal Assets is a great option if you want to diversify your investment portfolio into a variety of different precious metals. As well as purchasing gold online, you can also choose to invest in other metals such as Silver, Platinum and Palladium.
It is quick and easy to set up an account with Regal Assets to purchase your gold online.
Within just four simple steps, you can be on your way to fulfilling your investment purchase. And with multiple storage options available throughout the US, as well as in Singapore, you can feel confident that your investment is held securely.
BullionVault specializes in buying and selling (and storing) gold and silver.
It is one of the largest online bullion dealers in the world, with more than 90,000 users, reassuring you that your investment is in safe hands.
The company prides itself on its ease of use – within just two hours you can own any quantity of gold or silver bullion.
There are typically four types of fees you will be expected to pay if you invest via BullionVault:
- A dealing commission (currently 0.05%)
- Storage and insurance
- A burglar alarm
- A fund wire fee for US and international transfers (typically no more than $30)
Another benefit of BullionVault is that you can choose where to store your physical gold.
The firm has professional-grade security vaults in London, New York, Singapore, Toronto and Zurich. You have complete control over your storage choices.
3. Birch Gold
The Birch Gold Group is an experienced precious metal dealer, specializing in selling gold, silver, platinum and palladium.
It excels in helping individuals look after their retirement plans and has a team of wealth managers, financial advisors and commodity brokers to help you make the most of your investment.
Birch Gold allows you to purchase gold online in two different ways:
You can either take physical possession of your gold bullion and maintain responsibility for its security, or you can convert your IRA or 401(k) to protect your savings.
Whatever your choice, the Birch Gold team is available to help you understand what to expect from your investment and how you can maximize your savings.
For those new to buying gold online, the Birch Gold website has a highly informative website that provides detailed analysis and insights into why purchasing gold (or other precious metals) is so beneficial.
As well as explaining why you should invest in precious metals, there’s also a historical and interactive price chart that allows you to see at a glance how gold has held its value during difficult economic times.
Birch Gold is endorsed by Ben Shapiro, and over the past five years, the company has worked with Mr Shapiro to explain why investing in precious metals can be an effective way of protecting your retirement savings.
This may sound confusing; after all, it’s combining online currencies with physical items, but it is growing in popularity, with over 31,000 customers around the world.
Many people choose to invest via Vaultoro because they appreciate the low charges.
They also appreciate that when you purchase your gold bullion via Vaultoro, the allocated gold remains your legal property so you can take physical hold of it, or you can trade it in for cryptocurrency.
If you’re nervous about investing in gold bullion bars, why not ease in with collectible coins?
We mentioned above that some investors like to collect rare gold coins. The UK Coin Company offers a wide range of collectible coins that fit in with any investment plans.
The company doesn't only sell UK coins but offers a large variety of collectible coins from around the world.
A favorite is the ‘2020 Royal Mint Gold Proof 2 oz James Bond 007 £200 coin’ which is retailing for £4,900 (or $6,500). This is likely to grow in value.
A benefit of choosing to invest in rare collectible coins is that you can tailor the coin to your interest.
From the 2017 Jane Austen coins (issued by the British Royal Mint) through to the ‘1998 W American ¼ oz Gold Proof $10 Ten Dollar Eagle’ issued by the United States Mint, there is something for everyone.
Buying gold through AvaTrade is a popular option for traders looking to diversify their investment portfolio or hedge against market volatility. AvaTrade allows trading in gold primarily through CFDs (Contracts for Difference), offering several advantages and features.
Instead of purchasing physical gold, traders at AvaTrade can buy and sell gold CFDs. This means you're speculating on the price movement of gold without owning the actual metal. CFD trading provides the flexibility to trade both rising and falling markets.
AvaTrade offers leverage on gold CFD trades. This means traders can open a larger position with a relatively small amount of capital. However, while leverage can amplify profits, it also increases the potential for higher losses, so it’s important to use it cautiously, especially for beginners.
Trading gold CFDs with AvaTrade is straightforward and can be done through their various trading platforms like MetaTrader 4, MetaTrader 5, and AvaTradeGo. These platforms provide easy access to the gold market, real-time price charts, and a range of analytical tools.
Since you're not buying physical gold, there's no need to worry about storage, insurance, or transportation costs. This makes CFDs a convenient way to trade gold.
Trading gold with AvaTrade is suitable for both experienced traders and those new to commodity trading. However, as with any form of trading, there are risks involved. It’s important for traders to conduct thorough market analysis, stay updated on global economic events that might impact gold prices, and employ sound risk management strategies.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
ActivTrades is a financial services broker offering trading options across various markets, including Forex, commodities, indices and shares.
The company allows for trading Contracts for Difference (CFDs) on these assets, and that includes gold.
ActivTrades primarily offers MetaTrader 4 and MetaTrader 5 platforms, which are known for their extensive charting capabilities, technical indicators and automated trading options. These platforms can provide detailed analyses, which can be highly useful for traders looking to speculate on gold prices.
ActivTrades typically offers leverage on CFD trading, allowing you to control a larger position with a smaller amount of capital. While leverage can amplify profits, it also increases the risk of significant losses.
The broker offers variable spreads, and it's crucial to check the spread for gold specifically, as wider spreads can cut into profitability. Be sure to also look out for any additional fees or commissions that might apply to trading.
ActivTrades is regulated by reputable financial authorities, which provides a certain level of trust and security. However, regulations can vary by jurisdiction, so you should confirm that the services are available and compliant in your specific location.
The trading platforms offer various risk management tools, such as stop-loss orders, to help protect your investment. Given the volatility of commodities like gold, these tools can be particularly useful.
ActivTrades often offers educational resources, including webinars, tutorials and articles, which could help you better understand the gold market and improve your trading strategies.
If you're interested in trading gold CFDs rather than investing in physical gold, ActivTrades is an option worth considering. However, trading gold via CFDs comes with its own set of risks, and it's vital to understand those fully.
Additionally, CFDs don't allow you to own the actual gold, which means you can't hold it as a long-term investment or hedge in the same way that you could with a Gold IRA.
Spread betting and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider. You should consider whether you understand how spread betting and CFDs work and whether you can afford to take the high risk of losing your money.
IG Group (commonly known as IG) is a well-known broker that offers a range of financial markets for trading, including Forex, indices, commodities, shares and more.
The broker allows individuals to trade gold primarily through Contracts for Difference (CFDs) and spread betting, depending on the jurisdiction.
IG provides a proprietary trading platform as well as the option to use MetaTrader 4. Both platforms offer advanced charting tools, technical indicators, and real-time price feeds, which can be highly beneficial for traders interested in gold.
Like many other brokers, IG offers leverage for CFD trading. This means you can control a larger position with a smaller amount of capital. While this can amplify your gains, it also increases the level of risk, making it crucial to manage your trades carefully.
IG is known for competitive spreads, but it's important to check the specific spreads for gold as they can vary. The broker might also charge overnight funding fees for CFD positions held open overnight, so it's essential to be aware of any additional costs.
IG is regulated by multiple financial authorities, including the Financial Conduct Authority (FCA) in the UK. This adds a layer of credibility and protection for traders but ensure to verify the broker's regulatory status in your jurisdiction.
IG offers several risk management tools, such as stop-loss and take-profit orders, which can help you manage your risk effectively, especially when trading volatile assets like gold.
IG provides a wealth of educational resources, including webinars, articles, and tutorials that can help you understand the intricacies of the gold market and how to trade it effectively.
Customer support is a key consideration, and IG generally offers robust support services, including live chat, email, and phone support.
If you're looking to trade gold but not hold it as a physical asset in a long-term investment portfolio, IG offers a flexible platform for trading gold through CFDs or spread betting. These instruments allow you to speculate on the price of gold without owning the metal itself.
However, it's essential to understand that trading in CFDs and spread bets involves risks, and it's possible to lose more than your initial investment. Always do your own research, understand the risks, and consider consulting with a financial advisor before making any trading decisions.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of IG retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Admiral Markets (often simply called 'Admirals') is a financial services broker offering trading and investment services across a range of financial markets, including Forex, commodities, stocks, indices and others.
The broker allows for trading Contracts for Difference (CFDs) on these assets, and that includes commodities like gold.
Founded in 2001, Admiral Markets is regulated by JSC, FCA, EFSA and CySEC, and offers traders access to both MetaTrader 4 and 5, with the opportunity to have several active accounts with different base currencies to take advantage of price instability.
There are several account types available, depending on the platform that you want to use.
On MT4, you can choose a standard account known as Trade.MT4. The minimum deposit for this account is 100 USD/EUR/GBP or equivalent, and you can trade 37 currency pairs as well as gold, energy, future, stock and bond CFDs.
In this account, the trading fees come from the spread, apart from with single share or ETF CFDs, which have a standard commission of 0.02 USD.
The Zero.MT4 account offers tighter spreads, with more currency pairs (45) but fewer CFD options.
The commission on forex and metal CFDs is 1.8 to 3 USD per lot, cash indices are 0.5 to 3 USD per lot, and energy CFDs are 1 USD per lot.
Admirals is available as a trading app on mobile as well as web and desktop, and the user interface and real-time trading that is available across platforms offer a seamless user experience.
The research and analytics are extensive, with technical and fundamental analysis alongside trading news, market sentiment and a market heat map. Access to MetaTrader Trading Central and a weekly trading podcast is also provided.
In terms of education, there are articles and tutorials, eBooks, trading videos, webinars and seminars as well as a FAQ and a handy glossary.
If you are not a UK resident, the conditions might change depending on the regulation. Please, check the Admirals website for details.
Please, be aware that if you want to see UK conditions but you don't have a UK IP address, then you must select Admirals Markets UK at the bottom of the home page.
Investments involve risks and are not suitable for all investors. Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
If you are new to investments or you simply want a ‘safer’ investment, then historically, gold has been considered worthy of inclusion in investment portfolio.
This is because the price of gold typically remains stable, regardless of any political strife or fluctuating markets.
For centuries, gold has retained its value, and its prices were not fluctuating.
There are many ways for investors to dip into gold.
We may all dream of diving into a pool of gold coins (à la Scrooge McDuck) but you may be surprised by the diversity that a gold investment portfolio can bring.
Let’s take a look at a few of the most common ways to invest in gold:
A gold bar (also known as gold bullion or a gold ingot) is the most traditional way to invest in gold.
Each bar typically weighs around 400 ounces and has a serial number attached to it for security purposes.
Many people are drawn to gold bars because they have a physical object to hold, reducing any reliance on third-party agencies being involved in the investment.
However, choosing to own gold bars will mean that investments can only be made or sold based on an entire bar. You can’t choose to sell only a small part of your gold investment, which is why many prefer the flexibility of gold coins.
Gold coins are often sought after by investors because they are issued by sovereign governments all around the world.
The nature of gold coins means that you purchase smaller sizes, giving you greater control over your investment.
Some collectors like to invest in rare coins that have a slightly higher value.
The most common gold coin is the South African Krugerrand. Other coins include the Sovereign and the Britannia (both still legal tender in the UK) as well as the Chinese Panda and the American Eagle.
However, like gold bars, the owner takes physical hold of the gold coins which can lead to security implications.
Many people choose to invest their money in gold jewelry, and for those who are looking for an emotional connection to their investment, it’s easy to understand why.
This is because there is such high demand for gold jewelry that your investment is unlikely to rise in value. There will always be jewelers able to make gold jewelry for other people, so it doesn’t have the exclusivity that gold bullion bars may have.
If you don’t want a physical product, you could invest your money in gold exchange-traded funds (ETFs).
These are relatively new (they launched in the US in 2004) so this method doesn’t have the history (or the glamour) of gold bullion.
This is because gold ETFs are shares that represent a specific amount of gold.
Like other stocks, you can buy or sell them with ease and, because you are in control of how many ETFs you purchase, they can be ideal for smaller investments.
It’s important to remember that with ETF investments, you will need to find a reputable gold company/stock broker to act on your behalf. They will purchase the funds for you and are likely to charge management fees and expenses.
Yet many investors are drawn to ETFs because they don’t necessarily need to be actively managed. A benefit of ETFs is that they can be easy and safe for investors with small budgets and little time.
Simply put, a future is a contract to buy or sell a piece of gold on a specified date.
These contracts (which typically represent large amounts of gold) can be traded.
Due to the complexity around futures, they aren’t suitable for beginner investors. They require a lot of detailed understanding and knowledge.
Experienced investors are often drawn to gold futures because there are typically low commissions. However, the drawback is that prices may fluctuate, and the futures market is notoriously volatile.
Gold is both an element and a mineral. As such, it’s incredibly difficult to find. Gold mining companies will scour the earth to try and extract the precious resource.
As a result, some people choose to invest in gold mining shares.
These are options whereby you can buy shares from the companies that mine the gold. This, in turn, gives the mining companies the investment to continue mining.
Investors are drawn to gold mining shares because the value is far more sensitive to the current price of gold.
However, a gold mine’s reserve is never really known. There is no guarantee that they will be able to mine the gold, so the share price can fluctuate quickly.
A gold certificate proves that you own gold.
These can be bought directly from your bank (if they physically store gold).
The advantage of a gold certificate over gold bullion or a gold coin is that you can have more flexibility over its value. You will technically own gold (and the bank will honor your investment), but if your gold certificate is for unallocated gold, you won’t physically own bullion with a specific serial number.
However, there is a risk that if something happens to your bank and they are liquidated, you could lose your investment.
You can also purchase a gold certificate for allocated bullion. This means that you do physically own a specific gold bar but it remains in the bank’s vault.
Many new investors are drawn to gold certificates because it’s one of the easiest ways to invest in gold. You can simply forget about it, safe in the knowledge that the gold is held securely at the bank.
While both involve gold, gold IRA companies and commodity brokers serve different purposes, involve distinct processes and come with their own sets of rules and regulations.
Below, we delve into the key differences between commodity (gold) brokers and Gold IRA companies to help you make a more informed decision about your investments.
Commodity brokers facilitate the buying and selling of assets like gold, silver, oil, and other natural resources on various trading platforms.
These brokers usually provide access to a range of financial instruments to speculate on commodity prices, including Contracts for Difference (CFDs), futures contracts and options.
Here are some characteristics of commodity brokers:
- Speculative Nature: When you trade gold through a broker, you're often not buying physical gold. Instead, you're speculating on the price movements of gold, aiming to profit from its volatility.
- Leverage: Brokers often offer leverage, allowing you to control a large position with a smaller amount of capital. While this can amplify profits, it also increases the risk of significant losses.
- Short-Term Focus: These platforms are generally more suitable for short-term trading strategies due to the speculative nature of the instruments involved and the potential use of leverage.
- No Physical Ownership: When you use a commodity broker, you typically don't take physical delivery of gold. Your gains or losses are cash-settled.
- Regulation: Commodity brokers are usually regulated by financial authorities, depending on their jurisdiction, which oversees their activities and ensures some level of protection for investors.
Gold IRA companies specialize in setting up and managing Individual Retirement Accounts that include physical gold and other precious metals like silver, platinum and palladium.
These IRAs offer a way to diversify retirement portfolios and hedge against economic uncertainty.
- Long-Term Focus: A Gold IRA is generally considered a long-term investment aimed at providing stability and diversification to your retirement savings.
- Physical Ownership: Unlike commodity brokers, Gold IRAs involve the actual physical ownership of gold bars or coins, which are stored in secure, IRS-approved depositories.
- Tax Advantages: Contributions to a Gold IRA can be tax-deductible, depending on your individual tax situation, and gains within the IRA are usually tax-deferred until withdrawal.
- Limited Liquidity: Liquidating physical gold from a Gold IRA can involve several steps and potentially come with associated costs and tax implications.
- Regulatory Compliance: Gold IRA companies are subject to U.S. tax laws and regulations concerning retirement accounts, and the gold held in these accounts must meet specific purity standards set by the IRS.
- It might help to accompany inflation
- You can be in control of your investment
- There will always be a demand for gold investment
- It can diversify your portfolio
- You take responsibility for security
- Trading and storage costs can add up
- Short-term volatility
There are many reasons why an investor may choose to invest in gold over and above any other investment.
Here are just a few of the key advantages:
It might help to accompany inflation – As an investment strategy some feel more confident that their investment might remain relatively stable, regardless of what is going on in the world.
You can be in control of your investment – Gold is unlike other investments in that you may have a physical product to retain. This means that you can be in complete control over your investment. You can decide on your security systems and processes (whether you choose a safety deposit box or a bank vault) and you may not need to pay expensive management fees or expenses to third-party agencies. If you physically hold gold (perhaps bullion bars or gold coins), you always have this at your disposal.
There will always be a demand for gold investment – The popularity of gold has an impact on its liquidity, the higher it is, the easier it is to buy and sell gold.
It can diversify your portfolio – Gold can be an option for those looking to have a diverse investment portfolio.
As you know, no investment is ever foolproof. There are also disadvantages to investing in gold:
You take responsibility for security – As much as this is an advantage, it’s also a disadvantage. You will need to find a way to safely store your physical gold bullion. You may need to invest heavily in secure deposit boxes or have a personal vault or bank vault where you can store the gold. Whilst this means that although you can choose the security system that you prefer, you have full responsibility if something goes wrong.
Trading and storage costs can add up – Like many investments, if you choose to trade your physical gold, you can expect to pay trading costs. If you are storing your gold in a bank vault or a secure storage facility, you may expect to pay fees to extract your gold ready for trading.
Short-term volatility – Although the price of gold increases over time, in the short-term it does fluctuate. If you are looking for fast investments that you can trade quickly, then gold may not be the right investment for you. Typically, gold increases in value by 9% over a year so if you’re looking for a quick investment portfolio to provide you with an income, you may be better off looking elsewhere.
Supply and demand play an important role in determining the price of gold.
Sovereign governments and central banks are vital to the demand for gold as it is a core feature of most currencies.
The investment demand from those investing in ETFs can impact the price of gold as can mining capabilities.
The price of gold is also determined by the value of the US dollar. This is because the price is always listed in dollars. A weak dollar will mean that investors can purchase more gold which drives the price higher.
There are many different ways to buy gold.
In some places, gold vending machines have appeared, making it quicker and easier than ever before to purchase gold. But these are gimmicky, and if you are a serious investor, they should be avoided.
Globally, the cheapest place in the world to purchase gold is Hong Kong. Within the central district, it’s not uncommon to find global banks selling gold at low prices.
However, if flying to Hong Kong is a bit beyond your budget, it’s worth looking at companies that sell gold bullion by post.
There are reputable companies who will deliver your gold bullion or your gold coins directly to your house, through insured couriers. Alternatively, you should speak to your bank who may be able to advise whether they sell gold directly, or whether they sell gold certificates.
Another option is to look for a specific bullion dealer. These are professional gold experts. They deal in gold bullion and will be able to offer you advice about your gold purchase.
However, it should be noted that bullion dealers may charge transaction fees as well as storage fees if they are responsible for securely storing your gold.
A final option is to speak to a stockbroker.
They will be able to advise you about gold ETFs, gold mining shares or gold futures.
Like many investments, they will likely charge fees for buying or selling your gold, as well as for proactively managing your investment on your behalf.
Investing in gold online can be done through various platforms such as online brokers, gold ETFs and gold mutual funds.
One can invest in gold through buying physical gold or buying shares in companies that mine or process gold.
There are several online brokers available that allow investors to buy gold, such as TD Ameritrade, Interactive Brokers and E*TRADE.
Each broker offers different services and fees, so it's essential to compare them before choosing one.
Buying gold online is generally safe as long as you choose a reputable dealer or broker. It's important to do your research and read reviews from other investors before making a purchase.
The best way to invest in gold online depends on an investor's individual needs and preferences.
Some options include buying physical gold coins or bars, investing in gold ETFs or mutual funds, or buying shares in gold mining companies.
Investing in gold can be a good option for beginners looking to diversify their portfolio. Gold can act as a hedge against inflation and economic uncertainty.
However, it's important to research and understand the risks and costs associated with investing in gold.
The safest way to buy gold is to buy from reputable dealers or brokers. It's also important to buy gold from a source that provides authenticity certificates and offers secure storage options.
Investing in physical gold online is possible. There are several reputable online gold dealers that offer a variety of physical gold products, such as coins and bars, for purchase.
Fees and commissions when investing in gold online can vary depending on the dealer and the product purchased. It is important to research and compare fees and commissions from different dealers before making a purchase.
Regulations and restrictions on investing in gold online can vary by country. It is important to check with your local financial regulatory body to understand any rules or restrictions that may apply.
Some tips for beginners who want to invest in gold online include researching different gold products and dealers, setting a budget and diversifying their portfolio.
The amount to invest in gold online as part of a diversified portfolio can vary depending on individual circumstances and investment goals.
It is recommended to consult with a financial advisor to determine the appropriate amount to invest.
Investors can minimize risk when investing in gold online by diversifying their portfolio, purchasing from reputable dealers and conducting thorough research before making a purchase.
It is also important to be aware of market fluctuations and to monitor investments regularly.
There is a reason why gold has been an investment choice for millennia. Its steadfast nature and strong performance mean that it can be a popular choice for some people looking for long-term investment and can, in some cases, bring a safer return on their money.
A positive about investing in gold is that the multitude of investment scenarios make it far more accessible for first-time investors. The low starting point with gold coins means that they are not just for serious investors, it can also be a hobby.
We recommend that before you invest in gold, you pay close attention to the changing prices. The price of gold can alter quickly so you need to feel confident that you are buying at the right price.
If you are planning on purchasing physical gold, you need to factor in how you plan to store the bullion and whether there are any storage fees in place.
When it comes to investments, there are no guarantees. Always take advice from a qualified financial advisor before making any final decisions.
WikiJob does not provide tax, investment or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance or financial circumstances of any specific investor, and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal.