Bullion
Bullion refers to precious metals - such as gold or silver - that have been refined and manufactured. Traditionally this will be in the form of ingots, although coins can also be classified as bullion. Here at BullionByPost we offer collectors and investors a quick, simple and affordable way to purchase bullion over the internet and have it delivered to your door.
Whether its investment gold, or a commemorative coin; buying bullion is an easy way to protect your money or buy a unique, valuable gift.
What is Bullion?
For a bar or coin to be classified as Bullion it typically needs to meet certain levels of purity. In the European Union for example, bullion ingots must have a fineness of 99.5%, and a bullion coin 90%.
The word originates from the French word ‘boullion’, which is a reference to the boiling process used to melt the metals during refinement.
Bullion as an Investment
If a bar or coin is classed as bullion, then it will often be considered investment gold or investment silver. This can afford customers certain tax benefits depending on the rules of their country of residence.
The gold and silver bullion markets are both popular forms of investment with various benefits to each metal. To learn about why you should invest in gold
click here.
If you would like more information on why silver is a good investment
click here.
Bullion Bars
When you hear the words ‘gold bullion’, a mental image of bricks of gold, stacked along the walls of a secure vault, are often not far behind. Indeed, gold bars are still a highly sought after way to purchase bullion today, offering a cheap, cost effective way of owning it. At BullionByPost we stock only the highest quality bullion bars, all produced by manufacturers approved by the LBMA (London Bullion Market Association).
Silver bullion bars offer a cheaper alternative to gold whilst still providing the opportunity to own a precious metal in a cost effective product.
Bullion Coins
Prior to the twentieth century bullion coins were the common circulating method of paying for goods. Carrying around a gold or silver coin was the norm for most businessmen and nobles. The turn of the century, followed by the two world wars and economic depression, saw the metals used in coinage changed to cheaper alternatives like cupro-nickel. Since the release of the first Gold Krugerrand in 1967 however bullion coins have enjoyed a resurgence in popularity, though they are now used for investment purposes, or collecting in the case of rare coin sets such as the Queen’s Beast.
One ounce gold and silver coins are produced regularly by mints all over the world and can be purchased easily online and shipped to your door as required.
Bullion Prices and Influences
The price of bullion bars or coins is usually determined by the weight of the metal. A one ounce gold coin will be the same as, or very close to, the spot or fixed price (depending on the gold dealer) of gold at that time. Some bullion coins can have higher premiums if they are rare or particularly collectible, this is known as a numismatic (or semi-numismatic) coin, to learn more about these types of coins and see our range of collectible bullion coins, click here.
The price of gold and silver is set regularly and can be affected by supply and demand, alongside larger global economic trends. To see our forecasts for Gold in 2019
click here,
and to stay up to date with the latest gold news
click here.
Tax on Bullion
As mentioned above, investment gold (bullion bars/coins) sometimes have tax reliefs or exemptions depending on the county. In the UK investors can take advantage of VAT and CGT exemptions on a number of gold products. This makes an already good investment asset even better. To learn more about
VAT
and
CGT
on bullion please click the respective links.
Storing Bullion
The secure storage of bullion should be a high priority for investors. Personal storage gives you the ultimate control over your investment, allowing you to hide your gold somewhere safe, or through the purchase of a home safe. This allows you to move or sell your assets as an when you wish. For peace of mind though investors can also use storage companies that specialise in the secure stowage of bullion. You can read our
storage
information here.
UK Bullion Dealers
A number of bullion dealers operate throughout the UK and across the online world. The purchase of gold shares or ETFs can give investors a purely electronic way to invest in gold, but at BullionByPost we believe owning physical gold is the only way to truly take control, and advantage, of the asset.
As the UK’s number one online gold dealer we have a professional customer service and support team who can assist you with any queries you may have and are happy to help. To contact them you can call us at 0121 634 8060 or email us at support@bullionbypost.co.uk. If you’re unsure about anything then check out any of our 20,000 + customer reviews on the independent site at eKomi.
- How To Buy Gold
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- Gold Investment Guide
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- Gold Bars vs Coins?
- Gold vs Silver
- Gold - Silver Ratio explained
- VAT on bullion
- Capital Gains Tax & Gold Bullion
- UK Legal Tender Coins
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- The Queen's Beasts
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- Bullion Index