This coin weighs 1002.502g and is produced in 999.0 Fine Silver.
The coin is minted and supplied by The Perth Mint, Australia.
Finished to bullion standard.
Dimensions: Diameter: 101.00 mm. Thickness: 14.60mm.
For silver investors looking for an interesting alternative to British bullion coins, the Australian silver kookaburra coin represents the perfect investment. This one of a kind silver coin is produced by the Perth Mint and celebrates one of Australia’s most charming birds. Produced in 99.9% pure silver, Australian silver kookaburra coins are classified as legal tender in Australia and have a face value of 30 Australian dollars.
Due to being backed by the Australian government, they are considered to be a relatively secure investment and hold great investment appeal to investors who want to purchase a coin with a guaranteed silver content. The first silver kookaburra coins were issued in 1990 and since then they have become a favourite among many collectors. They are the longest-running bullion program currently issued by the Perth Mint.
The kookaburra
The kookaburra is a beautiful bird and the largest member of the Kingfisher family. They are native to both Eastern/Southern Australia and well known for their distinctive song which is said to sound like human laughter. They are incredibly protective birds and have been known to fight tenaciously to defend their nests. Kookaburras thrive in a range of habitats as diverse as humid forest to the savanna dessert. They are also known to populate suburban areas with tall trees or near running water.
The 2018 1 kg Silver Kookaburra coin features a detailed image of a Kookaburra on one side, and the Ian Rank-Broadley effigy of Queen Elizabeth II on the reverse. The design of the Silver Kookaburra coins varies from year to year with this years’ design depicting an image of the bird in full-fight with the full moon in the background. The coin also features the Perth Mint’s “P” mintmark. This years’ edition differs from previous editions as the coin has been upgraded to a purity of .9999 silver. Previous editions up until the 2018 issue only had a purity of .999 fine silver.
Why invest in the 1kg Silver Kookaburra coin?
1 kg silver coins are an ideal option for investors who want to purchase silver bullion in slightly larger quantities as it is often cheaper to buy one large coin rather than several smaller ones. It is also more convenient storing several larger coins as opposed to a collection of smaller ones.
Our 1 kg Kookaburra coins are sourced directly from the Perth Mint, so you can be sure of their authenticity. The unique nature of the Silver Kookaburra coin as well as its intricate design, makes it a perfect coin for bullion investors and coin collectors alike. They are also recognised by traders all over the world, meaning you will have no problems should you ever need to find a buyer. For coin collectors interested in nature or who want to own something uniquely Australian then the silver kookaburra coin would make a great addition to your portfolio. They are produced in much smaller numbers than other bullion coins such as the Canadian Maple Leaf or American Eagle, and the 1kg edition is particularly rare.
Contact Physical Gold for further advice
Do you want to buy a 1 kg Australian silver Kookaburra coin, then look no further than Physical Gold, we are expert suppliers of coins and precious metals. For advice simply call us on 020 7060 9992 and we will be glad to help!
Before investing in any physical commodity, whether it’s gold, silver or any other precious metal, it is always worth carrying out your own research beforehand. The internet is a great source of information and can tell you everything you need to know about beating the spread, spot prices and future price forecasts. If you’re looking for further information, iTunes is also a great place to check out. There is a great range of podcasts available giving you expert tips and advice. Best of all they are completely free. Here are 7 of the best podcasts currently available on iTunes.
Precious Metals Market Update
This Podcast is sadly no longer releasing new episodes however with over 100 episodes already amassed, it can provide you with a comprehensive overview of the gold and silver market. With expert advice from precious metals expert Tom Cloud, the podcast covers everything from global issues affecting the gold and silver price, storage advice and how gold and silver ratios can affect investors. Click here https://podcasts.apple.com/us/podcast/precious-metals-market-update/id903415429.
The doc has been dishing out his expert advice on finance and economics for over a year and has so far released 100 episodes of his popular podcast in which he seeks to educate people on the benefits of investing in gold and silver. The podcast features a number of guests and experts each week who together address many important issues affecting gold and silver investments. Highlights include an interview with David Morgan of “The Morgan Report” who gives his predictions for the gold and silver market in 2018. Click here.
The Morgan Report
The Morgan Report is a vehicle for esteemed precious metals analyst David Morgan’s to talk about his perspectives and opinions on the precious metal market. Each week he gives his weekly perspective on the current state of the economy and how this could affect gold and silver investments. His podcasts are around 20 mins long and are perfect listening material when you’re on your lunch break at work or find yourself with a spare half an hour. Click here.
Learn about precious metals
Money Metals’ Weekly Market Wrap on iTunes
The granddaddy of all precious metals podcasts, Money Metals’ weekly wrap has been running since 2014 and in that time, they’ve released nearly 200 episodes of their popular podcast. Each episode clocks in at around 30 mins and focuses on how current affairs in the US are affecting the precious metal market. Industry experts including renowned precious metals expert Tom Cloud are also regularly invited onto the show. Click here.
“Gold & silver investment jargon explained” – a YouTube video we have published.
SchiffGold Friday Gold Wrap Podcast
A relatively new up and coming podcast released each Friday by US precious metal dealers SchiffGold. This quick and handy 10-minute podcast is a perfect soundbite and summary of the week’s precious metal news including some thoughtful commentary and opinions from the company themselves. Click here.
Precious Metals Investing
A short but informative podcast (some episodes are only 5 min long) that provides tips & advice on investing in the precious metals market. The podcast features Ted Sudol from PreciousMetalsInvesting.org and a weekly guest expert. Highlight episodes include “Gold futures – reading the charts” and “Bitcoin and Gold”. Click here.
The Daily Gold Podcast
A fascinating podcast hosted by Jordan Roy-Byrne,
editor and publisher of TheDailyGold.com and TheDailyGold Premium. This Podcast features regular guests from the gold industry and expert insight into where the gold industry is headed. Highlight episodes include an interview with Greg Weldon, one of the world’s premier independent macro analysts, who gives his opinions on the current state of the gold market and an update from gold exploration company Novo Resources. Click here.
Visit Physical Gold for more information
Physical Gold is one of the UK’s leading specialists in gold and silver investments. If you’ve been inspired by any of the podcasts mentioned in this article, you can find out more information on how to invest in gold and silver by checking out our website. You can also speak to one of our experts by giving us a call on 020 7060 9992.
Stories about Bitcoin and the future of cryptocurrencies are dominating the news headlines right now. Over the last few years, the concept of digital currency has entered the mainstream and it seems like everyone you meet has a different opinion. Since bitcoin became the first decentralised cryptocurrency in 2009, its market value has gone through the roof. Many banks globally now accept Bitcoin for payments, as do a growing number of retailers.
Will the bitcoin bubble burst eventually?
The question is will the Bitcoin bubble ever burst like people are suggesting? Or will other up and coming cryptocurrencies such as Ethereum become the new norm? We set out to find how digital currencies compare against more tangible physical currency such as gold and silver.
Cryptocurrencies certainly have a lot going for them. For one, they are currently unregulated by many governments, affording people a certain level of privacy they don’t get from regulated currencies. If you want to keep your finances away from prying eyes, then cryptocurrencies are an ideal solution.
Taking control…
They also provide customers with a greater degree of control over their finances as no financial institution or company can take control of your assets. If you use PayPal or any other electronic cash system, then that company have the power to freeze your assets at any time they want should they decide your account has been misused for any reason. With currencies like Bitcoin, you have complete control of your wallet and any coins you have stored in it.
Bitcoins
Another major benefit of Cryptocurrencies is that transactions are generally much harder to hack than other forms of online payment. This is because they use blockchain technology which is designed to discourage fraudulent activity. It is impossible to change or alter the encryption in one block without having to change every block that has been before it or come after.
Doubts and concerns about cryptocurrencies
So why do many people still have doubts about cryptocurrency? Well, the obvious problem is what happens if the user encounters some sort of problem with the technology. Digital currency isn’t tangible in the same way that gold and silver are, making it much harder to insure and if accidentally lost or stolen then it is very hard to recover your coins. There have been many instances where people’s hard-drives have crashed resulting in them losing their coins and having nothing to show for it. Transactions are also currently expensive in Bitcoin as well as the current speed of transactions being relatively slow.
An uncertain future
With technology improving every day, it is impossible to predict where we will be in the next few years and there is nothing to guarantee that cryptocurrencies won’t be replaced by something else. Gold and silver will always have a material value and have proven to be an excellent store of wealth for thousands of years. If there was ever to be a worldwide digital crash, then cryptocurrencies would be essentially worthless.
There are also a lot of people investing in cryptocurrencies that don’t completely understand what they are investing in, which is why many experts believe the market is headed for a crash. Evidence of the markets unpredictability can be seen clearly in the huge rises and drops in the value of Bitcoin over the last few years. Although gold and silver prices fluctuate they generally tend to be a lot more stable than cryptocurrencies.
Ethereum and Bitcoin
Gold and silver – ever dependable investments
People have always tended to gravitate towards gold and silver investments as an insurance against market uncertainty and a potential crisis. This is unlikely to change anytime soon. Many people still see gold and silver as the best form of protection against inflation and often purchase it as a hedge. Evidence of this can be seen in investors reaction to recent global events such as Brexit and the announcement of Trump as president when the demand for gold and silver suddenly went up overnight. In the event of a crisis, it will be much harder to get your hands on physical cash and cryptocurrency is still not readily accepted by many vendors. Therefore, it makes sense to invest at least some of your money in physical assets that are fairly liquid such as gold and silver. The fact that gold and silver are considered scarce and finite resources also mean that there will always be plenty of demand for these types of assets.
Invest in physical assets through Physical Gold
Physical Gold are specialist dealers in gold and silver. We offer a wide range of investments including gold or silver bars, bullion coins and collector’s coins. For more information on any of our stock or advice on how to invest in precious metals, why not give us a call on 020 7060 9992 or visit our contact page?
If you’re buying gold for the first time or feel that you need guidance on the best options available, then you can always call our expert team. We’ll talk you through how to buy gold and discuss the choices available. If you’re asking yourself, “how do I buy gold?”, then just follow the steps below to purchase physical gold through PhysicalGold.com.
Of course, this price is impacted by rising and falling demand for the metal. The international prices of gold tend to fall when interest rates rise. This is because rising interest rates offer investors other avenues of investment with better returns, and this creates a drop in demand.
The UK has had its longest-ever spell of reduced interest rates since the global financial crisis in 2008. From here on, economists expect the Bank of England to slowly start elevating interest rates once again. Although an interest rate hike is likely to be small, it could start the trend for rates to increase steadily and this is likely to affect the price of gold.
How to Buy Gold Infographic
We realise there is quite a lot of information to digest on this page. Therefore, we have created an infographic, which contains much of the information we discuss on this page in a convenient and easy to digest visual format.
How to Buy Gold Infographic – Top Section
We have only provided a highlight of the infographic here. To view the full infographic either a) Click on the image or b) Click this link, which will take you to a full view of the infographic image. Please feel free to re-use this infographic yourself on your own website. Our only stipulation is that you provide a link to this page – https://www.physicalgold.com/insights/how-to-buy-gold/ as an attribution.
Gold also reacts to political and macro-economic pressures
Usually, during times of political uncertainty, gold rises. This is because investors want to mitigate their risks by investing away from the global stock markets, and the demand for gold rises as they turn to gold.
Currently, the uncertainty surrounding the ongoing Brexit saga remains. The world is watching the Korean peninsula with caution. Political uncertainty in this region is likely to affect Seoul, which is a global financial centre and at risk, due to its geographical proximity with its northern neighbour. Yet another factor of concern for global investors is the rising threat of global terrorism.
American foreign policy followed by the Donald Trump administration is likely to impact the stability of different global regions, particularly the Middle East. All of this may have an important effect on financial markets. If the markets react unfavourably, then investors would ditch the capital markets to protect their investments. The price of gold would then rise, along with rising demand for the metal. For a first-time investor, all this can be very daunting.
Understanding how to buy gold is an integral part of the investment process
How to buy gold in 5 steps
Step 1. Register an account in seconds / login
Even if you’re not yet ready to purchase physical gold, you can sign up for a free PhysicalGold.com account. We’ll provide you with expert tips and updates on how to buy gold, to keep you informed of market movements, special offers and relevant insights. Just click on the ‘register’ button or log in to the site if you’re a returning user.
Please visit our blog and insights section on the website, which is aimed at providing customers with valuable information on buying precious metals. The information is simply presented to readers, with very little financial jargon, so you can easily understand the steps and use this knowledge to your advantage when buying gold and silver. Of course, if you need help, please contact us and a member of our advisory team can offer great practical guidance on buying gold.
Step 2. Select a product category from the four available
Physical Gold offers four different types of product categories: Pension Gold, Tax-Free Gold, Silver and a Monthly Saver. To buy physical gold or silver, simply select the product category you require.
Advice and guidance are available on each category page, including simple videos to help you to make your decision. Or you can always speak to us directly for one-to-one guidance.
We use different suppliers for the different product categories, enabling your purchase to be tax-efficient and our prices low. To buy from multiple product categories, please complete your transaction for one product type before purchasing from another category. Then, just repeat steps two to five!
Step 3. Add your gold to your basket
Add the quantity of your chosen category to your basket. You’re almost the proud owner of some beautiful precious metal.
Step 4. Pay using bank transfer, debit, or credit card
We accept bank transfers or several types of debit and credit cards. Simply input your payment and address details, as you would with any other online transaction. PhysicalGold.com uses the 3D secure payment method, giving you extra protection and peace of mind.
Step 5. Receive your metals to your door (or use our secure storage option)
If you’ve chosen to take delivery of your metals at your address, we’ll send them to you using fast, secure and discreet delivery. Let us know what you think when your coins or bars arrive! We’ll send you a review request and if you’re happy to leave your thoughts we’ll give you a discount code for future purchases! Making buying physical gold in the UK even cheaper.
If you’ve chosen to use our secure storage facility, then we’ll send you storage documentation proving your legal ownership and detailing your gold’s insured segregated storage at our accredited vault. Learn more about our secure storage option here.
How to Buy Gold UK
Buying gold in the UK may seem like a daunting process for first-time buyers but adding some gold to your portfolio is as easy as doing your regular online shopping. Because of our market credibility and purchasing power, we’re able to secure gold for you directly at a great price and, if required, store it for you as well.
This is particularly the case when you buy in bulk. And our BNTA accreditation means you don’t need to worry about the quality of our gold (as you might at a high street merchant). We trade investment-grade gold only and even provide you with a certificate to prove it! And because we value our clients, you can always call us if you need that extra bit of guidance when you purchase physical gold.
Common Customer Questions and our Expert Answers
We are asked numerous questions about methods of buying gold. We have captured some of these questions and answered them for you here in this guide. We hope you enjoy it and that it answers some questions you had!
Buying gold bars
Many investors prefer gold bars due to their lower production costs. They present an opportunity to acquire a larger amount of gold at a lower price point. However, do be aware that gold bars usually do not have a face value and aren’t considered legal tender in the UK. Therefore, you may lose the tax advantages of the CGT exemption that you can get with UK gold coins.
It is best to buy gold bars from a specialist bullion dealer. Avoid buying privately as authenticity could be a problem. Buying gold bars from a dealer can either be carried out online or over the phone. For transactions over £10k, identification will be required.
Here at Physical Gold, we sell various sizes of gold bars, ranging from smaller 1oz and 100g bars all the way up to 1 kilo gold bars. We also sell silver bars too.
The Metalor 100g gold bar is a popular investment option with Physical Gold Limited customers
If you are wondering how to buy a gold ETF, then it is easy. Firstly, open a brokerage account with an online investment platform like Fidelity or Hargreaves Lansdown, ensuring their suite of funds includes gold ETFs. An execution-only account will be cheaper if you do not require advice. With this investment, you will not hold any physical gold, instead, you will be investing in a fund, which has asset investments in gold.
Buying gold for an investment
There are several options to buying gold as an investment. If you are seeking to actively trade the gold market, then spread betting is one option. Buying a Gold ETF provides online access and economic spreads to buy and sell regularly. If stock markets are attractive, then the Blackrock Gold fund is popular, or if you are prepared for higher risk, investing in gold mining stocks is an option. For those motivated by safety and protection, buying physical gold coins and bars is the best investment choice.
Ultimately, most investors will invest in gold to make profits. Gold is a stable asset class that rises steadily and provides you with the opportunity to buy at a certain price point and wait for a few years for the price to reach the level you desire. Gold always delivers better returns over the long term.
When you decide how to buy gold, you will be faced with the option of investing in bars or coins. Both of these investment avenues have different sets of dynamics. If you choose to invest in gold coins, two important factors can impact your profits. These are – increases in the spot price of gold and the percentage rise in the level of premiums that you can achieve when selling your coins.
You should not assume that you need to buy silver and gold from the same place. Some specialist precious metals dealers offer better prices and options for one metal than another. Try to find a gold dealer who can offer advice on which gold and silver to buy.
Ensure that dealers have a track record and offer a buyback guarantee. Place your order to buy silver or gold online or over the phone and make payment. Old and silver will be delivered to your door or stored for you in a specialist warehouse.
For our detailed answer to this question please visit below:
There are a few simple steps to buying and selling gold online. Firstly, talk to an experienced gold broker. They will be able to offer guidance as to which gold will best suit your objectives. Next, you will need to decide if you want to buy the gold as a lump sum investment, in regular monthly savings, or as part of your pension. Then, decide if you want the gold delivered to you or stored in vaults. Finally, buy silver or gold online by placing an order with the dealer and make a payment with either a card or bank transfer.
Gold coins can be bought from a variety of sources, each with its merits. It is possible that common gold coins such as the odd Sovereign can be found in your local jewellers, however, the condition may not be great, and they will have extremely limited quantity and variety. Buying gold coins from auctions is another method, especially if you are seeking collectors’ coins. For price transparency, authenticity, choice and ease of buying, a reputable online gold dealer is the favoured choice.
When to invest in gold
The ideal time for buying gold is when the price is low. This will enable you to obtain more gold for your money and hopefully sell your gold in the future at a higher price. But with gold’s vital role as portfolio protection against market downturns, waiting to buy gold can be a mistake. This is because it is impossible to know exactly when the next market crash will occur. It is best to purchase physical gold 6 months or 3 years before the crash than one day afterwards.
How to buy gold in the UK
The choice of UK gold dealers has increased steadily over the past decade. There is a basic set of do’s and don’ts when buying gold that needs to be stuck to, so you avoid buying the wrong type of gold at the wrong price. Some of these online brokers have years of experience and can offer guidance on how to buy gold. Once decided, it is easy to purchase gold online via their online portal with insured delivery being as soon as the next day.
Purchase Gold such as this Britannia coin from Physical Gold Limited
Avoid online sites such as eBay and Craigslist. Buying from these risks paying over the odds and even worse buying gold which is not genuine. The best bet is to search for trustworthy online gold dealers in Google. Results will bring several options. Only consider sites that provide transparent up to the minute pricing. Research each dealer for track record and reviews and ensure they will buy back your gold. Then it is down to price.
How to buy silver and gold in the UK
If you are seeking to buy silver and gold as an investment, then it is best to stick to well-known UK coins (such as the gold Sovereign or the gold Britannia). These have the advantage of being Capital Gains Tax-free, but also offer flexibility to sell small parts of your holding.
These can be sourced through online precious metals dealers, at auction or from areas specialising in precious metals. Hatton Garden in London features dozens of shops that sell gold and silver bars and silver coins. However, the choice of coins may be limited. The Jewellery Quarter in Birmingham offers similar services as to how to buy physical gold.
Gold investments and how to make money
Two elements will help you buy gold and make money. The first is timing. Only invest in gold for the medium to long term as markets can go down as well as up in the short term. Buying when the price is low provides more profit potential than when it has risen for the past 6 months. Secondly, buy the right type of gold. Appointing a reputable gold broker will help you obtain the best prices and be guided to buy the right type of coins.
Buying UK bullion coins such as Britannias and Sovereigns will allow a lower purchase price than buying proof coins in presentation boxes, which provides more scope for profits. These coins are in high demand so obtaining a profitable sale price is more realistic.
It is usually a bad idea to invest in obscure coins that no one knows about. Even if they are rare, these investments will affect the liquidity of your portfolio, as you will not be able to sell them quickly. So, gold Britannias and Sovereigns are your best bet. These coins enjoy an extremely healthy secondary market, and you can easily make profits on them.
Buy best value gold sovereigns from Physical Gold Limited as a great investment choice
Shop tax-free gold
So, as you can see how to buy gold from PhysicalGold.com, really couldn’t be easier. Just register for an account, select the type (e.g. bullion or coins (e.g. gold Sovereigns)) and quantity of gold you require, pay, and your gold will be delivered to your door or held in our secure vault. If you need further help or any clarity to answer “how do I buy gold?”, then you can always call us on 020 7060 9992 or email us. We pride ourselves on providing a personal service to our clients, so if you have any questions about how to buy gold, all you need to do is get in touch.
Daniel Fisher
Daniel Fisher formed physical Gold in 2008, after working in the financial industry for 20 years. He spent much of that time working within the new issue fixed income business at a top tier US bank. In this role, he traded a large book of fixed income securities, raised capital for some of the largest government, financial, and corporate institutions in the world and advised the leading global institutional investors. Daniel is CeFA registered and is a member of the Institute of Financial Planning.
The Royal Mint is a trusted and premier dealer of silver in the UK
Silver has occupied a special place in our history throughout the centuries. Since the 14th century, all the way up to the 1800s, Mexico and Peru used to be the largest producers of silver on the planet, mining around 85% of all the silver in the world. As silver gained popularity, in 1794 the United States started minting silver dollars.
Silver Investment
Silver bullion today is a highly desirable form of investment, with market analysts becoming increasingly bullish on silver prices. Investors in the UK are worried about uncertainty in the global capital markets and the falling US dollar. In order to hedge their risk and diversify their investment portfolios, investors are turning to precious metals like silver. So, where can they buy silver in the UK? There are several dealers of precious metals in the UK, with London being one of the main hubs of trading activity.
Large financial institutions are able to invest in silver direct from the leading mints across the world. For example, the United States Mint will only sell precious metals to registered financial institutions and registered numismatic dealers. But, if you’re an individual investor in the UK, you’ll need to do your homework in order to identify reliable silver bullion dealers before you fork out your hard earned cash and purchase.
Identifying reliable silver dealers in the UK
Reliability and safety are key factors to consider when buying silver from a UK trader. Obviously, you don’t want to be scammed or compromise the security of your bank details when conducting a transaction. There are other important factors to consider, like ascertaining the authenticity of your purchase and of course, transportation, delivery and storage.
Stay away from online marketplaces like eBay, when buying precious metals like silver or gold. Checking the purity and quality of your silver could be a huge problem, and you could easily become a victim of fraud. Another issue to consider is that the price you pay for your silver is likely to be a lot more, thanks to hidden costs like PayPal fees, delivery and insurance charges.
The Royal Mint is a trusted and premier dealer of silver in the UK
A reliable and trusted source of buying silver in the UK is, of course, the Royal Mint. The Royal Mint is a reputed producer of silver coins historically, for coins such as the Britannia and the Sovereign, and you can rest assured about the quality and purity. The mint provides free delivery of your coins and silver bars on purchases above £45. An important point to note, however, is that the mint does not buy back your silver, so if you plan to resell, you’ll need to go to a reputed dealer.
Who can I trust?
In order to identify reliable silver dealers in the UK, you can always use the BNTA register. The British Numismatic Trade Association (BNTA) ensures that all dealers registered with them adhere to a code of ethics and need to abide by certain industry rules and regulations set by the association. Remember, all good dealers will provide you with certification, paperwork and will always be willing to speak to you over the phone to answer all your queries and provide guidance on your purchase.
Should I invest in gold or silver? – This question is answered in our YouTube video.
Buying silver from Physical Gold
Physical Gold has always been a reliable and trusted dealer
Bars and coins cannot be bought together so you will need to complete separate transactions for each category. There is 3D authentication system in place to ensure that your financial information is not at risk when you complete your transaction.
When you buy silver from the site, every product is guaranteed to be 100% genuine. We always provide certification and relevant papers to each and every customer. Moreover, we ensure that coins are sent to your registered address by an insured courier, while bars (such as our silver 1KG bars) are sent to our secure offshore storage to maintain their tax-free status.
A quick check on the company’s reputation online would surely assure you that we are a highly reputed and reliable dealer of silver and other precious metals. So, instead of taking a chance with high street retailers, you are advised to consider buying your silver from Physical Gold for a hassle-free, smooth transaction. If you are a regular investor, we also have structured monthly plans that help you invest regularly in silver and build up a robust portfolio that will stand the test of time and deliver great returns on your investment in the years to come.
Silver is a timeless asset class, popular with many UK investors
Call us to discuss buying silver in the UK
Our investment advisors are always ready to help customers out, and they provide advice on how to invest your money by picking great deals. Call us on 020 7060 9992 or contact us online to speak to a member of our investment team. We would love to hear from you and would welcome the opportunity to serve you and guide you on making the right silver investments over the years to come.
Is the time right for gold and silver investing? It’s true that, at first glance, when looking at the historical price charts for gold and silver, they can look like a bit of a rollercoaster. This might lead you to believe that gold will never reach the dizzying heights it once did.
The price of gold reached its highest point in 2012 when it soared to a record high of £1,200 per ounce. The picture for silver investing is similar to current prices much lower than at its peak. This means the current levels of both metals offers great value. No-one should want to buy at or even close to the all-time high. Current prices for gold are around 20% better value than at its height, with silver an astonishing 60% cheaper.
You can view graphs illustrating past performance over various timescales, by clicking here. They make fascinating reading, though we would always stress that they should be considered in context and not in isolation.
2016 saw both the gold and silver prices record around 30% gains by year-end. And although it might not yet have reached the heights of 2012, gold enjoyed a continuous upwards trend, hitting a top point of £1,050 per ounce in July of that year. In Q1, The World Gold Council reported gold demand was up 21% to 1289.8 tonnes – the second strongest quarter on record. First-half gold demand was up 18% – the second strongest on record – with gold investment accounting for almost half of that demand.
Silver also went from strength to strength, reaching its highest price since January 2015. The US Federal Reserve’s decision not to change interest rates, together with no indication as to when they might raise them, encouraged people towards investing in gold and silver.
More subdued gains in 2017
Precious metals enthusiasts saw more modest gains the following year. Starting the year at £935/oz gold finished the year around 2.5% up at £960. During those two points, it spends 3 periods north of the £1,000 mark, peaking in September at £1,030. This coincided with a strong performance in the stock markets with the FTSE 100 rising 7.5% and the Dow Jones an incredible 24%. Generally, when stock markets perform so well, gold has the least interest and its price suffers the most. So it’s encouraging in the grand scheme of a balanced portfolio that gold still returned around the inflation rate during such a period.
What can we learn from that?
This demonstrates that while gold can act as portfolio insurance during economic downturns (usually appreciating by double digits), it still can act as a store of wealth in other years too. With cash deposits still paying well below the inflation rate in 2018, this simple achievement for gold shouldn’t be sniffed at. Essentially owning gold should be a long term strategy, as returns (and potential losses) can vary greatly from year to year. Trying to second guess the market and predict the performance is futile and relying on extreme luck at best. It’s always tempting to sell everything and only buy the investment that is performing the best at that time, in a hope to ride the gravy train. However, this strategy leaves you vulnerable to being hopelessly exposed to market corrections and change. Owning some gold along with stocks, bonds, cash and property, enables balance and more predictability.
….and silver? Has Bitcoin taken its mantle?
Silver experienced a poor year in 2017 with losses of around 3.5%. Some feel the price is being manipulated downwards by the huge banks which are looking to load up on the metal. If so, the price will inevitably bounce back with a vengeance when the banks want their holdings to increase in value. An alternative is that with stocks performing well under the new Trump administration and cryptocurrencies making millionaires seemingly overnight, silver simply hasn’t had a look in. Many have switched their attention from bullion to bitcoin. With the silver price so low and its huge potential for quick gains, it’s certainly been viewed as the exciting and go-to investment for those seeking significant price rises. With the likes of Bitcoin achieving this on a steroid level, the short term greed has switched all the attention away from silver.
The likes of Ripple, Ethereum and Bitcoin have enjoyed the attention of the publicast
Will silver regain its shine instead of Cryptocurrencies?
However, as we now know in 2018, cryptocurrencies are incredibly volatile, on the downside as well as the upside. For the novice investor whose head has been turned by tales of instant wealth, there are now almost as many stories of overnight bankruptcy caused by incredible price drops for bitcoin. This period (after their initial glamorous price growth) will likely sort the wheat from the chaff. Naive investors will perhaps start to reconsider the value of cryptos, deciding either that they’ve now missed the boat, or that the risk of complete loss is too great. For the more travelled investor, they already know that investing in cryptocurrencies is similar to betting red or black in the casino. There is simply nothing tangible behind their value, and while the blockchain technology has its merits and will no doubt perform a critical role in our futures, getting rich overnight from Bitcoin could be over.
For savvy investors seeking large gains, they’ll know that while silver and cryptos can be grouped as higher risk, higher gain asset classes, they are almost opposites. While the likes of Bitcoin may have no tangible or intrinsic value, silver is a physical precious metal. Its value can never fall to zero like Bitcoin and its value is backed by something tangible that not only can be used as currency but also has vast industrial uses especially in the technology sector. For this reason, the investors left standing after the inevitable Bitcoin massacre will no doubt seek out silver once again as the go-to sexy investment.
Current silver and gold value represent a great opportunity and potential
2018 has started in a rather dull fashion for precious metals. Prices are still around 20% below their historical peak, so it’s still a very good time to invest in both gold and silver. It just goes to underline that it’s a lucrative opportunity, with room for growth and the possibility of sharp spikes. As of March, returns for the year have been virtually flat for gold and 7% down for silver. Combined with last year’s silver price squeeze, it’s now looking like incredible value. It’s the ratio to gold, which averages 47:1 over the past century, now stands at a staggering 80:1. Surely silver investing offers vast upside potential.
Crucially, the influential factors which tend to increase the demand for precious metals, are still very much in place. Global markets continue to be unstable, rumours of another banking crisis persist and a housing market slowdown has already started. Combine this with heightened terror threats and rising demand from Central Banks for gold, and it’s easy to understand why the precious metals market still has plenty of wind in its sails.
History tells us that stock markets are overdue a nasty correction
The calm before the stock market storm
Stock markets have now enjoyed nearly a decade of
uninterrupted growth since the 2008 credit crisis. Recently the Dow Jones has received further boosts from the Trump administration. It’s tempting to leave as much money in stocks while they’re doing well as possible. Especially while precious metals are taking a breather. However, every market analyst will agree that a simple glance at historical performance will tell us that equity market bull runs cannot and do not continue forever. More pertinently, the most severe market crashes come after the longest a strongest bull runs, which inevitably fuel an inflating bubble. This is similar to the fact that San Francisco sits plumb on the San Andreas fault line. A glance at historical earthquakes will tell us that with the constant movement of the earth’s crust, further events are not only likely but guaranteed. It’s a case of when not if there will be another huge earthquake. Not only that, but when San Francisco is overdue a quake, just like the stock markets are now overdue a correction, then the expected magnitude of that impact is far greater.
Maybe I can simply leave all my cash in stocks and switch to gold when that happens?
The best policy is not to try and predict the future, as that’s just witchcraft! Instead, we should learn from the past and understand that just like the earth, the markets are constantly moving and predicting the moment of a big eruption is impossible. We’d suggest leaving money in stocks (even after they do fall dramatically as you won’t want to miss out on the recovery, however long that takes). However, we’d also insist on owning some physical gold and silver too. The most prudent strategy with timing when to buy precious metals is simply to buy now and wait. As long as you allocate a healthy percentage of your assets into the likes of gold, then you’ll be protected when the markets do crash. My little saying is that I’d rather own gold 6 months, or even 2 years before the market crash, than a day after. Because then it would be too late.
What else could push gold and silver up this year and next?
It’s not only the stock market which is vulnerable. There’s plenty of other elements in the mix which are either brushed under the carpet by authorities or simply under-estimated.
Interest rates and housing market
After an extended period of record low-interest rates
in most of the globe’s major economies, we’re now starting to emerge into a new phase. Base rates have already risen in the UK and are predicted to continue rising in 2018 from May onwards. Rates in the US have also been rising, at a slightly faster rate. Rhetoric from central banks is that increases will be modest. However, the huge danger is the impact even small increases could have on the average man in the street. In a period of incredibly low or even negative wage growth, one of the few areas that have papered over the cracks has been property. With house prices seemingly on an unstoppable journey to the stars, the property-obsessed UK public felt comfort knowing their prize asset was at least rising in value. With interest rates near to zero, borrowing has been super cheap. So most of us have re-mortgaged, unlocking vast fortunes to fuel either extravagant lifestyles, or at least pay for the bills during lean periods. This increased leverage now leaves us vulnerable to the very interest rate rises we’re seeing now. When the starting point is as low as its been (0.25%), it only takes modest base rate increases to have a huge impact on our monthly mortgage cost, especially when cushy fixed intro rate mortgages periods come to an end. Check out our investigation into the relationship between interest rates and the price of gold and silver.
…and the housing market has softened
Not only are our monthly mortgage costs increasing, but the value of our property has stopped rising, and started to fall. This is a consequence not only of the international market struggling, with wealthy Chinese and Russians previously fuelling UK price growth, but also over the swingeing tax increases brought in by the current Government which has increased stamp duty so dramatically. We expect that firstly, more house owners will fail to pay their mortgages as interest rates rise, leading to more downward pressure on house values. For those who do manage to survive as costs increase, they will have less disposable income (with wage predictions stagnant), which will impact the high street and service sector, further crimping stock markets. Higher interest rates also mean higher new borrowing costs, which deters investment in corporate growth. All this will put even more pressure on the already unaffordable rental market. It’s common to compare gold investment versus property, but both should play crucial roles in a balanced portfolio.
A consumer credit bubble is already at bursting point
UK consumer credit bubble
With the pressures of interest rate and mortgage rises, the public’s other debts will also come under pressure. Two particular concerns are the car market and credit card sectors. Both industries are enjoying record high borrowing. However, as lenders feel the squeeze from higher rates and more defaults, we’re likely to see stricter borrowing requirements and higher rate deals. A record number of UK borrowers are currently on zero per cent credit card deals which are likely to begin to reduce in availability. People will then struggle to refinance their debt at anywhere near the levels they’ve been used to. In the automotive industry, a growing trend has been for leasing cars. Whether on outright monthly lease deals or borrowing with a balloon payment at the end, many drivers will struggle to continue financing their car. Certainly, the hunger for new cars every 2 to 3 years will likely diminish.
The technological age is slowing crushing the high street
Early 2018 has brought with it fresh casualties of the ever-growing high street demise. Toys R Us and Maplin have both gone into administration, while seemingly popular food chains, Prezzo and Jamie’s Diners are closing a large number of restaurants. Perhaps this doesn’t come as a surprise. You could argue that Maplin has always been incongruous and never really had mass appeal. While kids love the experience of Toys R Us, adults who buy the games are now far more likely to order from Amazon and benefit from lower prices and next day delivery. Either way, this trend of weeding out the weak, however large the company, is likely to continue as the public turn their back on the high street and embrace online shopping. The frightening consequence is the sheer loss of long term jobs. Automation is filling the role of so many which will have a long term negative impact on an already growing population. Read our blog on the future of gold in a cashless society.
Brexit, Trump and Russia
There isn’t enough time to cover every simmering possible global issue which could push gold and silver prices skywards. But certainly, a handful of other significant issues would be the ongoing threat to the UK from Brexit. Whether this has a direct impact on our economy, a slower longer-term influence or is simply negative to Sterling, this is one which will stay on the radar for a while to come.
Donald Trump hasn’t blown up the world yet, but who knows about tomorrow! None of us would be shocked if he develops his trade war with China, instigates a war with the likes of North Korea, or simply makes some terrible domestic decisions in the world’s biggest economy. Either way, in today’s ultra globalised economy, foreign issues have more impact on the UK than ever.
The recent tensions between Russia and the UK after the poisoning accusations could be a storm in a teacup. However, the Government’s strong condemnation of Russia suggests there could be a hidden agenda. With Putin now flexing his muscles, I’d rather own gold right now to provide diversification, just in case this escalates (especially as Russia have been stockpiling gold aggressively themselves over the past few years).
Long term view for gold and silver investing
The value of gold and silver may be volatile, but owning them as part of a portfolio reduces your overall personal volatility. They tend to act as a balance to the traditional paper assets (like stocks and shares), so when those markets fall, physical gold and silver have historically risen. The motivation for many gold & silver investors aren’t necessarily to time the market perfectly; instead, it’s to take a long term view to provide balance and protection to their overall wealth. This way, exact timing isn’t important, as the long-term hold should outperform any short-term price drops and still deliver portfolio insurance.
So there’s no need to worry that gold prices might appear to plateau from time to time. You should consider investing in both gold and silver, which remain very worthwhile, solid, tangible investments.
Cost average to iron out volatility
If you’re still unsure and concerned about timing, then our ‘Monthly Saver’ enables you to purchase regularly. You can set up to automatically buy a small quantity of gold or silver every month. This means that if the price does decrease from one month to the next, it benefits you, as your next purchase would be at a lower rate.
Over time, you buy each month at the various underlying prices, therefore averaging out the cost of your precious metals. It’s a great way to get started in gold and silver investing.
The main message is that it’s necessary to take the long-term view. As with any investment, prices will go up and down, but as these graphs illustrate, the rewards can be well worth it. If you’d like to find out more about this type of investment, why not Download our free guide to investing in gold and silver. We maintain gold and silver are still very good value and worth their weight in, well… gold and silver!
The premises of the London silver vaults dates back to 1876
Everyone is well aware that if there is a Mecca for shopping in the centre of the world, it is London. Precious metals remain high on the lists of desirables that people want to purchase, whether they are serious investors or hobby shoppers, and London is a great place to do just that. But, where can one go to purchase silver in London? There are innumerable sellers of silver in the UK’s capital, online as well as brick and mortar. Many of these are reputed and reliable sellers who have been plying the trade for long. Let’s take a close look at some of them.
The premises of the London silver vaults dates back to 1876
Physical Gold
Although the name indicates that the company is a gold coins,bars and silver dealer, Physical Gold is also a leading silver dealer in the UK. Based out of the 5th floor of Tower 42 on Old Broad Street in London, the company is a reputed dealer of precious metals and definitely worth a visit if you’re shopping for silver. Of course, the company also has a very strong online presence and buyers can speak to a member of the team on 020 7060 9992 or send an email.
The company employs a team of experts, ranging from numismatist specialists to investment advisors who can help you purchase silver to suit every investment need. The company’s investment specialists provide investors with tax-efficient avenues to invest in precious metals that help them diversify their portfolios and hedge risks associated with investments in the global stocks and bonds markets. One of the greatest advantages of investing in silver is that investors benefit from a low priced entry point as opposed to gold. This allows an individual to gradually build up their portfolio by diverting their savings.
The best part?
The company provides bespoke investment advice, taking into account an individual’s personal investment goals. As a gold and silver specialist, the company’s investment team helps individuals make planned investments in precious metals. This is a sophisticated and planned approach to buying silver, rather than making a one-off purchase from a high street retailer.
That’s not all…
However, Physical Gold also caters to customers who simply want to buy silver as a collectable or for gifting. Numismatists frequently purchase silver bullion coins like the silver Britannia or the 1oz silver UK lunar year of the dog. Customers can rest assured that when they buy silver online from Physical Gold, their purchase is always protected by a 3D authentication payment system, ensuring that their bank details do not fall into the wrong hands. The company also assists customers in easy liquidation of their silver and also has investment schemes like a self-invested personal pension (or SIPP).
The company has a delivery scheme through which your silver is delivered directly to your location or your silver can also be stored at the company’s secure storage facility at Loomis International. Loomis International is a member of the British Security Industry Association. Physical Gold also ensures that your investments are protected via insurance through Lloyds of London.
Apart from coins, silver bars are a popular purchase for silver enthusiasts in London
Other places to shop for silver
London’s Hatton garden is another great place to shop for silver. There are many dealers in the area who offer good deals on silver. Another way to source silver is to go to auctioneers. There are online auctioneers, as well as physical ones in London where you can grab a bargain on silver items.
Yet another place to shop for silver in the British capital is the London Silver Vaults. It was earlier known as the Chancery Lane safe deposit and dates back to 1876. These were basically strong rooms where citizens could keep their valuables and artefacts in safe storage.
The facility was also open to businesses who were required to use safe storage. After the war, the premises was re-built in 1953 and rented out to silver dealers who continue to ply their trade even today. There are approximately 30 silver dealers who operate their businesses within the premises and could be worth checking out when shopping for silver. Indeed, rumour has it that the London Silver Vaults has served elite clientele, including Hollywood stars, rock n roll stars and members of the royalty.
“Britannia silver coins – a collectable investment” – a YouTube video from Physical Gold Ltd.
Call us to get the best deals on silver
At Physical Gold, we guarantee that the silver coins and silver bars (such as 1 kilo) you buy from us are 100% genuine and vetted by qualified numismatists. A certificate of authenticity accompanies every purchase made from our store, discounts are available for bulk purchases. If you’re looking for great deals on silver, contact us online or simply call us on 020 7060 9992.
Always check the dealers reputation when buying silver online
Buying precious metals can be a tricky business. Many investors are keen to see, touch and feel their bullion when they buy. They are able to go locally to a dealer and complete their transaction in person. However, as the world moves to online buying and selling, the precious metals market has not fallen behind on this trend. Increasingly, investors are looking to buy their silver online and they choose to store their bullion in secure storage offered by the dealer or accept the delivery at their address. Needless to say, buying anything of value online carries certain risks, although there are certain advantages as well. So, we decided to bring the subject under a scanner and take a long hard look at the pros and cons of buying your silver online.
Thinking of buying silver? Download our Insider’s Guide first
Always check the dealer’s reputation when buying silver online
Pros
1. Convenience
When you buy your silver online, there are many online dealers to choose from. This long list includes highly reputed mints, like the Royal Mint, where the silver coins (such as silver Britannias) are struck. While many choices can be confusing, one of the biggest advantages of going online today is that all dealers have a digital footprint. With a little bit of time invested in research, you can check the reputation of online traders via the internet.
Check out popular aggregators like comparesilverprices.com or UK Bullion. While you’re doing your research online, don’t forget to check out Physicalgold.com. We don’t just sell gold (like gold coins and gold bars), we also have some great deals on silver, particularly for silver bars (like 1KG bars) and bulk deals. An online reputation audit goes a long way in identifying a reliable online silver dealer. You can check out ratings given by other investors simply by checking out the dealer on google reviews. If the dealer is dodgy, there’s bound to be some bad reviews by customers. Don’t forget to check out other important things like whether the online dealer offers an authenticity certificate. At Physicalgold.com, we certainly do.
2. You pay less and have access to a wider selection
Most online dealers charge lower prices, as they do not pay for salaries of shop attendants, shop rent and utilities like energy bills, various overhead costs, etc. Many online dealers will also cut you a deal where shipping may be free. You would also benefit from a greater selection of products as online sellers are not limited by physical space for storing inventory.
3. You benefit from greater privacy
When you buy your bullion from a brick and mortar store, you are not anonymous. The very fact that you walk out of the store with valuables on you could mean that you become a potential target for theft. When you buy online, your data may be more secure. With the new online privacy laws like GDPR, companies need to comply with data privacy regulations that ensure your personal data remains safe. Here at Physical Gold, we’ve long been a member of the Government’s Information Commissioner’s Office (ICO) which sets up a framework for privacy and data.
4. Tracking payments
When you buy online using a debit or credit card, an automatic record of your transaction is generated. In the event of any post-sale issues, the dealer cannot deny that the transaction took place.
Knowing the pros and cons of silver storage helps you make a better decision
Cons
1. You cannot examine the product you’re buying
When buying your silver online, you do not have an opportunity to physically see, touch and feel what you’re buying or meet face to face with the dealer and identify the business premises. You are totally reliant on the reputation of the dealer, which is why it’s important to research the dealer before buying and trade only with reputed and verified dealers.
2. Your silver could be stored in a location out of your control
You can choose to accept your silver at your home or opt
for the dealer to store the bullion at a secure location under their control. If you do that, you do not have physical access to your bullion and cannot see or inspect what you have bought. Delivery at home may incur charges, which may include the cost of insurance. These costs may be unrecoverable if there is a problem with the product.
3. Your payment details could be compromised
When you conduct a transaction via the internet, your credit or debit card details may be visible to hackers who may steal your financial information. Credit card fraud is now increasingly common, and you are not exposed to this risk when you pay for your silver bullion in cash when buying face to face.
4. You could even lose your money
If you are unlucky enough to pick a rogue dealer or buy products from an unverified online seller, you could lose all your money once you have transferred it online. This is why verifying the business location and checking the products in person is often a better solution.
Silver bars are heavy when bought in bulk and require adequate transportation
Wholesale buying creates pricing advantages due to economies of scale. This simply means that when a buyer buys anything in bulk, he gains substantial discounts from the wholesaler. Assuming that the buyer is a retailer, there is a legitimate expectation of profit when he prices the same commodity at market price and sells his stock. Well, precious metals are no different and the same rule applies to the bulk-buying of silver bullion.
Why buy silver in bulk?
But, who would buy silver in bulk? Surely very large quantities are required to be bought and significant capital deployed for the purchase? This is indeed the barrier to buying precious metals wholesale. A substantial investment is required to complete the trade, which deters most private individuals from pursuing such deals.
Moreover, there is the problem of storing large quantities of precious metals in your home or at a secure facility, arranging secure transportation to move your purchase and lastly, the paperwork required to buy wholesale. However, if you could manage all that, you could have a significant advantage in building an impressive silver portfolio, with far lesser capital outlay, when compared to retail buyers.
Provided you have the capital to do this, you could invest the money required to buy 20,000 ounces and perhaps acquire 28,000 oz. of silver, to sell later if prices were to rise or simply hold it long term as an investment for your retirement. However, please remember that such a purchase at today’s prices of around $16 an ounce would set you back $448,000.
Silver bars are heavy when bought in bulk and require adequate transportation
Ways to buy silver in bulk
If you don’t have the required capital to make such a large investment, one of the ways to do it is to team up with your friends to form a pool of investors who can invest their resources to build a sum good enough for a large investment. However, do bear in mind that the formation of such an investment club will require quite a bit of legal paperwork to ensure that each investor is clear about what he/she receives. You would also need to be sure that all the investors are reliable people who can be trusted.
How else can I buy silver in large quantities?
Another idea is to purchase silver futures on the commodity market. The futures market usually operates in a speculative manner, where investors simply sell off their holdings when prices move up. They do not expect to take delivery of the metal or wait until the maturity date of the contract. However, if you were to buy these futures and take physical delivery of your silver when the contract reaches completion, you could be buying at wholesale rates. Of course, you would need to keep playing the market, and over time, you could have a sizable amount of the precious metal.
Many investors who wish to buy wholesale silver, actually get registered as a precious metals wholesaler and open a company along with a company bank account, etc. However, this approach could take months and a whole lot of paperwork before you can get started. You would also need to report earnings, taxes, and comply with regulations pertaining to the industry as well as companies house compliance procedures in the UK.
Silver coins are a popular bulk purchase, as they require less storage space
Identifying wholesalers
Nevertheless, whichever route you choose to buy your silver in bulk, you will need to identify wholesalers who will sell you the metal in large quantities. Of course, the silver coins and silver bars are manufactured by reputed mints across the world. So, you could try getting in touch with them in the first instance. But, do bear in mind that many mints would only do business with you if you were a registered numismatic or precious metals trader or a financial institution registered with the FSA. In order to qualify, most companies require to show trading records over a number of years. So, this may not work too well for you if you are just starting out in the wholesale business.
Contact us to buy wholesale silver
At Physical Gold, there are wholesale buying options in the online store that you can certainly explore. You would not be required to have a whole lot of paperwork in place to avail of our bulk buying option for silver.
All you need to do is simply register yourself through our online account opening process. When you select the amount of silver you want to buy, you will see that we have an option for you to select large quantities within the dropdown menu itself. You would also notice that the larger the quantity of your purchase, the more substantial the discount. For example, you could save £2,219 if you were to buy 100 silver bars, weighing a kilo each.
Call us on 020 7060 9992 or email us with your wholesale requirements and an investment expert from our team would be happy to contact you and discuss your requirements. We also sell gold wholesale too.
Examining the accuracy of ridges on the sides of a silver coin can establish its authenticity
Whether you’re a serious or hobby numismatist, or an investor looking to build your wealth, silver coins can be a great investment. Currently, market analysts have become increasingly bullish on silver as an investment option and the future looks bright for the precious metal. Interestingly, silver investment with its significantly lower price parity when compared to gold, offers investors a great gateway to building a precious metals portfolio at a fraction of the price of gold.
For many years, Physical Gold Limited supplied VAT free. Due to an EU Treaty, this was legal and possible, but sadly Brexit brought this to an end and VAT free silver is no longer a possibility.
Brexit ended VAT free silver, but thankfully we are still able to sell popular silver coins and bars at all-in competitive prices. This is enabled due to:
Free delivery – we are now shipping silver directly from the UK, this means we can provide silver with free delivery (this was not previously possible).
Reduced product range – additionally, we decided to reduce the number of silver products we offered. Although, this may be worse for choice, it means we can bulk-buy the products we choose and negotiate much better prices – this discount is passed on directly to you!
Silver great for balance and protection
Savvy investors always turn to precious metals in order to hedge their risks and silver is an excellent choice for this purpose. In fact, historically, silver has always been a popular choice for coinage across the world.
Examining the accuracy of ridges on the sides of a silver coin can establish its authenticity
Why is silver used to make coins?
Silver is a popular metal for coinage, owing to its fungibility. Fungibility is the property of any commodity, where similar amounts of the commodity can be traded for each other, irrespective of its shape, size or form. If the value of both the traded items remains constant, the commodity is said to be fungible. In this case, 500 grams of silver can be simply exchanged for another 500 grams of the metal, in the form of bars, coins or any other form. Since the value of silver is calculated by the spot price per troy ounce, the two tradable items are considered to be interchangeable.
Apart from this, the other reasons for the popularity of silver for coinage are that silver is compact, easy to store and move and its density ensures that small quantities of the metal have high value. It is very durable and does not corrode easily. In addition to these factors, the metal is easily transformed from bars to coins and vice versa, through melting.
Silver coins are a popular investment option since storage is easy owing to their size. Like all other coins of numismatic or bullion value, they come packaged in their slabs. Buyers should always check that the slabs are intact at the time of delivery. Not only does this indicate that the coins have not been tampered with, but they also need to remain in their packaging in order to retain their value. Coins removed from their slabs can fetch a lower resale price, and it’s important to know this before investing in silver. As a silver buyer, it’s important for you to know certain facts about investing in silver coins before making your purchase.
Sets are popular with numismatists. Here is a set of 1oz Libertad de Plata from Mexico
Checking authenticity
Upon receiving your silver coins from your dealer or the mint, you need to first establish the authenticity of the coins. Of course, if it’s arrived along with a certificate from a reputed dealer, and you’ve already verified the seller, simply retain the coins in their packaging. But let’s assume you’ve bought them at an auction. Then, you need to ensure that the coins are legit. There are many ways to do this. There is a device called the Fisch tester which ascertains the actual age of the coins by testing them. These tests are based on weight and dimensions. An alternate method is to check the conductivity factor. As silver is a great conductor of heat, placing an ice cube on a coin will likely see the coin melting fast as the heat is transmitted to the coin.
Buying silver coins from Physical Gold
The process of buying silver coins from Physical Gold couldn’t be easier. All you need to do is open an account online. Next, you need to browse through the site and add the silver coins (such as Britannias) of your choice to your basket. Once you’re done, you can simply check out using your credit or debit card. Your transaction is protected by our 3D secure authentication process.
Remember, coins and bars cannot be clubbed together, and you will need to purchase them separately, although you can speak to us about pricing for bulk purchases. Your coins will then reach your address via a courier service that is completely insured to protect your investment. If you need guidance at any point in time, all you need to do is call us on 020 7060 9992 or email us. A member of our helpful team will be in touch with you right away. Happy investing!
Knowing your silver bullion is really important before you buy
Investors who buy precious metals have an affinity for gold, but often prefer to diversify their portfolio by buying silver bullion in the form of bars and coins. Silver is gaining ground as an investible asset class. There are a few reasons for this. Currently, the price of gold is almost eighty times higher than the spot price of silver. Investors see this as an opportunity to get more bang for their buck, as they can purchase a lot more silver for the same amount of money that they would have spent for gold, whether it be gold bars or gold coins.
Earlier, investors seemed a tad bearish about silver, as the prices never rose as per their expectations. However, that may well change this year as investment analysts believe that silver may well attain $20 per ounce. The current price is around $16 an ounce. This belief is based on the fact that industrial demand for silver is likely to soar, as silver is a much in demand commodity as a conductor of electricity. Innovations we are likely to see in the near future, including electric cars, solar technology and the increasing volumes of IT equipment. Mine production of the precious metal has collapsed as resources are fast diminishing, impacting supply. Many of these factors seem to be the reason for investors to turn bullish on silver.
So, how can you buy silver bullion and how do ensure its genuineness and who should you go to? Firstly, you need to know about the bullion you are buying.
Silver bars are an equally preferred form of silver bullion as coins
Buying silver bullion
Of course, one of the surest ways to ensure peace of mind when buying bullion is to purchase it from a reliable dealer. If you’re unsure about your dealer’s reputation, call us to speak to one of our investment advisors. The first port of call when checking the authenticity of silver bars is mintmarks. Every silver bar would have its mintmark, the mark imprinted by the producer. Go through the mark carefully, comparing with images of similar marks from the same producer. Check details like fonts, designs, etc. If any element or part of the mark isn’t there, it’s cause for concern. If there are no markings, it could well be that the bar is counterfeit. The markings on the bar should also denote the weight of the bar, its purity and its serial no. When checking coins, be sure to check for the mintage year as well as the denomination.
Identifying genuine silver coins
Bars are fairly standard, however, coins have designs and sizes that are hard to copy. The edge finish of coins was developed to prevent counterfeiting. Coins have different types of edges, depending on the design. These range from smooth, letterings, ridges, reeds, etc. If the coin is a fake, chances are that it will have poor workmanship, as forgers rarely invest in the kind of expensive infrastructure owned and operated by the top Mints in the world.
Devil’s in the detail
Another point to note is that silver is a dense metal. If another metal has been used to make the silver coin, the size wouldn’t be right. Referencing the exact weight and size is an important exercise when investing in bullion. This helps you to check the data when you measure and check the coins after they arrive. All it takes is some inexpensive equipment like a set of Vernier callipers and a jeweller’s scale. There’s even a device called a Fisch tester that measures and weighs your coins for genuineness.
Knowing your silver bullion is really important before you buy
Conductivity test
Here’s a test that works mainly for silver bullion. Silver is a highly conductive metal and transmits heat very easily. In order to test your coin to see if it’s genuine, place a cube of ice on your coin. The coin will start transmitting heat to the ice cube instantly and this will be visible as the ice will start to melt. In the event of a slow melting or no reaction at all, the coin is most likely a fake. Silver bullion may also be tested using an acid test kit. The acid should be applied to a very small area, almost like a dot. A change of colour to red, brown or green confirms that the bullion is genuine.
Of course, the return you can make on your purchase depends on international prices of silver and which the market moves. Nevertheless, by speaking to our UK-based investment advisors you are likely to get sound advice that’s based on solid research and knowledge. So, call us right away on 020 7060 9992 or email us and one of our silver experts will be in touch with you right away to discuss your requirements.
Silver is often a great addition to any investment portfolio. If we check silver prices over the last ten years, it’s interesting to note that the precious metal has always tracked gold. So, when gold prices rise, so does silver. Having said that, silver is a great investment, simply because you can buy more of it. The price of gold, when compared to silver is around 80:1. So, it’s a lot cheaper than gold and requires lesser investment to build a decent portfolio. Investment pundits are bullish on bullion silver for 2018 and silver prices are expected to go strong on the back of higher demand. It’s interesting to note that the higher demand for silver actually comes from industrial applications and not from investors looking to build a portfolio to maximise their wealth.
PhysicalGold.com don’t just sell gold! We’re also experts in silver and we’ve made it just as easy to buy silver from us as it is to buy gold. If you have any questions around how to invest in silver UK or foreign products, the amount to buy, whether to buy silver coins or silver bars or how it fits in your portfolio, then just give us a call and we’ll be happy to talk through your options.
How to buy physical silver in five steps
1. Register an account in seconds / log in
2. Select the silver product category
3. Add your silver to your basket
4. Pay using bank transfer or credit card
5. Receive your silver to your door
Step 1. Register an account in seconds / log in
Sign up for your free PhysicalGold.com account. It takes just a few minutes and we’ll provide you with expert tips and updates, to keep you informed of market movements, special offers and relevant insights. Just click on the ‘register’ button or log in to the site if you’re a returning user.
Step 2. Select the ‘silver’ product category
We offer four different main types of product categories. You can select either Silver Coins or Silver Bars from the relevant tab.
On the dedicated Buy Silver page, you should find all the information you need, along with short videos about your silver investment.
Since the beginning of 2021, customers can now buy gold and silver products in the same basket.
Step 3. Add your silver to your basket
On the silver page, you’ll be able to indicate how much silver you require. Please be aware that VAT is added to all silver products when purchasing in the UK.
If you’d like your silver stored, please enter that request in the notes field of your order, subject to min of £2,500 value.
Step 4. Pay using bank transfer, or credit card
We accept bank transfer or several types of credit card. Simply input your payment and address details, as you would with any other online transaction. PhysicalGold.com uses the 3D secure payment method, giving you extra protection and peace of mind.
Step 5. Receive your silver to your door (or use our secure storage option)
You’re done! We’ll send your silver coins directly to your door, using fast, secure and discreet delivery. Or if you want insured storage, we can place them into our own secure storage vault. Learn more about our secure storage option here.
Watch Daniel Fisher’s YouTube video, “Silver investing in 2019 and beyond”
Growth industrial areas stimulating demand for silver
The renewable energy business is growing in leaps and bounds as communities across the world are looking for ways to move to sustainable energy to reduce dependence on fossil fuels. Silver is a great conductor and is much in demand for photovoltaic applications, including solar panels. Demand for industrial silver grew to approximately 92 million ounces in 2017 and is predicted to keep rising. Another huge area of growth for silver is its application in electric cars.The electric car segment is expected to explode worldwide within the next ten years. Industrial demand for silver is expected to skyrocket on the back of these innovations. While demand is rising, supply has fallen. Experts believe that the global production of silver from mines has already peaked. Since 2011, the net production of mined silver has fallen by 72.1%. Yet, it remains a tangible asset and many investors turn to silver, looking to insulate themselves from the huge global risks of international stock markets, the falling US dollar, dwindling opportunities in the global money markets and the volatility of crypto-currencies. All of these factors make learning how to buy physical silver an important priority.
Buying silver online is really easy and very convenient
Yet another good reason to buy silver is that you can liquidate it in smaller quantities. This is a great advantage when selling silver for short term liquidity. Gold being way more expensive does not offer this opportunity. The researchers at Physicalgold.com actively study these market trends. So, for those of you who are seriously looking to buy silver, this article explores how you can do just that from Physicalgold.com.
How to invest in silver UK wide may seem like a daunting process for first-time buyers but adding some silver to your portfolio is as easy as doing your weekly shop online.At PhysicalGold.com, we secure silver at a fantastic rate, thanks to our size, market credibility and established history in the UK precious metals market. And our BNTA accreditation means you don’t need to worry about the quality of our metals (as you might at a high street merchant). We trade investment-grade silver only and even provide you with a certificate to prove it! And because we value our clients, you can always call us if you need that extra bit of guidance on any silver purchase. We are London-based, which is the heart of the UK financial services industry.
Get in touch to discuss how to buy silver online
We hope you have enjoyed our guide – “How to buy silver online”. So, as you can see, buying silver from PhysicalGold.com couldn’t be easier. If you need help at any step of the way – such as discussing types of silver or asking about buyback arrangements – all you need to do is call us on 020 7060 9992 or email us. We pride ourselves on our helpful and efficient service and we’ll get back to you straight away. Now you know how to buy physical silver, why don’t you browse our tax-free silver section.Shop SilverImage credit: Brian Shamblen
With the introduction of GDPR, the rules of engagement for the industry will change
What is GDPR?
From the 25th May 2018, a new EU privacy law will commence. This regulation will be called the General Data Protection Regulation (GDPR). The regulation will be put in place across the EU and EEA region and will be applicable to any company that sells to European citizens. Many of these companies, including those based in other parts of the world also store data relating to European consumers. Now, for the first time, these citizens will have greater control over how their personal data can be used, stored and protected.
For purposes of regulation, personal data means all names, images of persons, email addresses, bank details, postal addresses and even computer IP addresses. The regulation seeks to protect data about people irrespective of where they work. For example, the law recognises that people working in companies are people too and their data needs to be protected. Companies cannot refuse to comply with the pretext that when employees are at work, they are not in their personal space and therefore have no right to privacy. Needless to say, there are tons of work that companies need to do in order to be compliant and avoid hefty fines.
Entitlements of customers and employees
Every individual will have the right to access their personal data. This means that customers can always ask to see what data a company holds about them and also have the right to know how that data is being used. Companies will need to inform the customers that their data is being recorded and must provide them with a copy of all personal data, free of cost, on demand.
Customers will also have the right to data portability. This means that customers can ask for data to be transferred from one company to another when changing service providers. Interestingly, once they cease to be customers, they can also request to be forgotten and the company will require erasing their data already. Companies will also be required to notify a customer immediately if their data has been compromised, within 72 hours of a breach. There will be other rights as well, such as the right to stop their data from being processed and correct the information if required. With the introduction of GDPR, the rules of engagement for the industry will change
What does it mean for the gold and silver industry?
Online gold and silver dealers need to put in place several initiatives in order to comply with the new regulations. Firstly, they need to map all the personal data relating to their customers held on their systems. This includes setting access levels and conducting a risk audit. The next step involves cleaning out all unnecessary data to avoid the risk of non-compliance. Here at Physical Gold, we’ve long been a meber and adhered to the Information Commissioner’s Office guidelines, so GDPR isn’t a huge adjustment.
Dealers of precious metals will also need to invest in robust security systems to ensure that they are well protected against hackers or any possible breach. Lastly, they will need to put in place processes that clearly demarcate the data that needs to be stored as per customer approvals. Handling of data is likely to be a big challenge and simply implementing processes will not be enough. Staff need to be trained on how to handle data and maintain transparency with customers at all times. This could also include timely notification of any breach and disclosure to customers about their data held on file by the dealers.
Find out more about how GDPR affects your rights as a customer
Our industry experts are able to guide you on the impact of GDPR on the precious metals industry and how you can protect your data under the new laws. Call us on 020 7060 9992 or email us with your concerns and our experts will be happy to get in touch.
Coins need to always be stored in capsules to prevent damage
All collectors, irrespective of whether they’re philatelists, sigillographers or numismatists, require certain accessories to store or display their collections. While investing in bullion is not the same as numismatics, investors who have purchased gold coins require protection for their assets. A range of accessories is available to store your gold coins safely, as well as ensure that the coins do not get damaged in any way, thereby reducing their value. Physicalgold.com understands the requirements of gold and silver coin investors and have a range of useful and stylish accessories that you can choose from.
Coins need to always be stored in capsules to prevent damage
Coin capsules
Acrylic coin capsules are a great way to store your valuable coins safely away from dirt, dust, scratches or any other kind of damage. Our coin capsules are chemically neutral. This means that there can be no adverse reaction that’s likely to tarnish or discolour your precious metal coins. The coin capsules are manufactured to the exact sizes of the popular coins. Coin capsules designed to fit the full and half gold sovereigns are available from our online store. The gold full Britannia is another popular coin and an acrylic capsule for storage is also available to buy.
Storage accessories
Storing your gold at home can always be a risky business. Homes usually do not have the failsafe security devices that can be found in a bank or a secure storage vault facility. Your home is always vulnerable to a break-in by burglars. In the event of such a calamity, your precious metals are always at risk. In order to safely conceal them in your own home, it’s important to invest in innovative storage solutions for your home that can store your precious metals safely away from being discovered by criminals. An excellent solution is the secret stash wall clock. It looks just like an ordinary wall clock but opens up and has a storage compartment inside to store your gold coins, bars and jewellery.
So discrete, it looks like part of the wall!
Yet another innovative hidden storage solution is the wall socket hidden storage. It looks exactly like a standard UK electrical plug socket on the wall but opens up to reveal a deep cavity in which your bullion can be safely hidden away. These practical, yet clever storage accessories are unique and great as they conceal your precious metals right under the very nose of the burglars. So, while they’re searching for drawers, cupboards, walls and floorboards, they don’t realise that your valuables are in a very visible place. Lastly, there’s the lockable cash box, which is a great storage solution, although it isn’t a concealed one. Once you’ve put your precious metals in the box, you have to find a safe place to hide it.
Luxury presentation cases
At Physicalgold.com, we have quality presentation cases that come along with acrylic coin capsules. The cases are primarily for storing full or half gold sovereigns and can accommodate 10 coins in each case.
Call us to find out more about coin accessories
Our team consists of coin experts who can advise you on the best way to store your coins so that it stays in mint condition for years to come. Please call us on 020 7060 9992 or get in touch online to speak with a member of our team.
A troy ounce is equivalent to 31.21 grams and is a measure used for determining the weight of precious metals like gold and silver. There is an important difference between the troy ounce and the regular ounce. A lot of people mistakenly believe that they are alike, but they are different from each other. There are 16 normal ounces in a pound. But, when measured in trot ounces, there are 14.6. So, the troy ounce is actually heavier than the ounce.
The troy ounce – a guide to its history
The troy ounce was used as a unit of measure first introduced in a place called Troyes in France. That’s how the name first came into day to day use. The adoption of the troy ounce dates back to medieval times. It is possible that the troy ounce as a unit originated during Roman times. According to historians, the Roman Empire utilised bronze bars which could be split into 12 pieces, each weighing 31.1 grams. Each of these pieces were called ‘uncia’, from which the name ounce was derived.
Commercial development
Europe soon developed into a business hub and the need of the hour was to have a standardised weighing unit. Merchants who came from Troyes at the time may have introduced the troy ounce as a standard measure. By the year 1527, Britain had adopted the troy ounce as the official recognised standard for weighing gold and silver. The US adopted this system in 1828. This tradition was handed down through the years and today, the troy ounce is the only ancient measure still in use for weighing precious metals like silver and gold.
Gold is always weighed by the troy ounce
One of the reasons why the troy ounce is still in use is because gold and silver are measured using beam balances. When we compare the troy ounce to the regular ounce, we realise that the troy ounce has 2.75 grams more precious metals. If you are new to buying gold, it is important not to make the mistake and buy gold in regular ounces. It may not seem a lot at first, but if you purchase 100 ounces, this quickly adds up to 275 grams of gold. At the current spot price of gold of $42.66 per gram, this means that you have lost $11,731 of gold. Spot prices of gold and silver used in international markets around the world are always based on troy ounces. So, when we see that the price of gold is stated per ounce, it implies the troy ounce is in use as the unit of measure.
Call us to know more about buying gold
If you are new to buying gold, our team of investment specialists can talk you through everything you need to know about buying gold. All you need to do is simply call us on 020 7060 9992 or contact us online and a member of our team will be in touch with you right away.
Apart from walking you through the strategies of buying gold, we can also offer advice on making the right choices when it comes to investing in precious metals, so you can build a great portfolio that will reap rich rewards in the years to come.
purchase silver bullion in slightly larger quantities as it is often cheaper to buy one large coin rather than several smaller ones. It is also more convenient storing several larger coins as opposed to a collection of smaller ones.
