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The Countries Most Interested in Gold Prices

The Countries Most Interested in Gold Prices

Who follows the price of gold the most?

Gold is widely seen as the best investment when it comes to commodity markets as it, more often than not, increases in value over time, so it’s no wonder so many people are interested in investing in solid gold.

Intrigued about who is most interested in gold prices worldwide, we sought to find out which country is tracking the price of gold the most. To do this, we analysed search data to find out how many times the phrases ‘gold price’ and ‘price of gold’ were searched per month in 155 countries before exploring these search results per 1,000 active internet users in each nation*.

To make the data as reliable as possible, we explored each of the phrases related to gold prices both in English and the specific country’s primary language. This created a clear picture of which countries are tracking gold prices the most around the world.

The top 20 countries tracking gold prices

The Countries Most Interested in Gold Prices
The top 20 countries tracking gold prices

Country most interested in price of gold

Taking the top spot for the country tracking gold prices the most is the United Arab Emirates, with a staggering 521,000 average monthly online searches, or 58.45 online searches a month for gold price per 1,000 active internet users, either looking to invest in solid gold bars or being interested in the current value of the metal.

Singapore, self-titled ‘Garden City’, comes in second place. According to our research, Singaporean’s search for the price of gold 184,500 times a month on average, which equates to 38.27 searches per 1,000 active internet users.

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Third places goes to Qatar – one of the world’s richest countries – where residents make 76,800 searches per month on average. Despite having fewer searches than UAE and Singapore, when compared to the number of internet users in the country, this means there are 30.33 searches per 1,000 active internet users.

Even though New Zealanders make just 39,000 searches for ‘gold price’ on average each month, this equates to 9.12 searches a month per 1,000 active internet users in the country, ranking in eighth place.

UK and US in top 10

The United States and the United Kingdom follow closely behind each other in places nine and ten, respectively. The USA makes a total of 2,506,000 searches each month, which is equivalent to 8.02 searches per 1,000 internet users in the country. Comparatively, the UK falls short of this figure with 7.98 searches for ‘gold price’ for every 1,000 active internet users, after making 519,300 searches overall each month on average.


Download the 7 Crucial Considerations before you buy gold here 


India’s affinity with gold

Despite having the highest number of searches for ‘gold price’ on average each month (3,720,600), India comes in fifteenth place when compared to searches made by web users in the country. In fact, there are 4.92 average monthly searches per 1,000 internet users in the Asian nation, which is 53.53 fewer searches than the United Arab Emirates in the first place.

This low ranking is a surprise as it’s common knowledge that gold has a central role in the country’s culture. The precious metal is considered a store of value, a symbol of wealth and status, and a fundamental part of many rituals, which explains why up to 25,000 tonnes of gold is accumulated in Indian households in jewellery, bars and coins.

Lastly, rounding off the top 20 countries most interested in tracking the price of gold are Austria and Nepal. According to our research, both countries have 2.21 average monthly searches per 1,000 active internet users.

You may also like: Benefits of Gold Investment

Continents most interested in tracking gold prices

The Countries Most Interested in Gold Prices
Continents most interested in tracking gold prices

To identify which continents are most interested in tracking the price of gold, we calculated which continents each of the top 20 countries originate from.

Insider's Guide to gold and silver

Our analysis found that Asia is home to the most countries interested in tracking gold prices, as we found 13 Asian countries featured in the top 20. Europe comes next with four entries, including the UK, Ireland, Croatia, and Austria. Trailing behind with just two countries each are the continents of North America and Australia.

The full results

The Countries Most Interested in Gold Prices
Placings of all 50 countries researched

*Methodology:

  • For each country in the top 50, com gathered data for the number of overall active internet users in each of the respective countries.
  • To get the results for online searches for gold price per 1,000 active internet users – PhysicalGold.com divided the overall figure for the number of active internet users in each country by thousand.
  • Thereafter, the average monthly online searches for gold price for each country figure was then divided by the answer from the calculation that was made in stage two for each respective country to establish the average monthly online searches for gold price per 1,000 internet users in each of the countries in the top 50.
  • There wasn’t enough data to include China in our results.

 

Please note: When analysing the data, the two key search terms/phrases related to gold prices were explored in English as well as each country’s respective primary language (where applicable) to increase the reliability of the results.

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Gold Storage or Delivery?

gold storage

Gold Storage or Delivery

Is gold storage something you’re thinking about?  Are you interested in purchasing physical Gold or silver, but concerned about where you’ll store it?   Our infographic highlights the various options available; to help put your mind at rest.

The main advantage of owning physical gold is that it’s the real thing!  There’s no counterparty risk, as there’s no electronic trading or paper involved.   It’s as real and solid as can be and something that you have the pleasure of holding in your hand.

 

But how do you keep a precious metal safe and secure?

Insured delivery direct to your door

Delivered to you fully insured, our delivery is discreet, so the whole neighbourhood won’t know what you’re taking delivery of.  It’s packaged in plain, padded envelopes, safely and securely.   We also track every package that we post, which allows us to follow up on any queries and provide reassurance on when you should expect your delivery.    If your gold or silver is in stock, and you place your order before 2pm, then we should be able to get it to you by the next working day. Before 1pm to be precise.     Should your order be out of stock then we’ll aim to deliver it within 2 – 3 days – depending on the stock availability. From 2018 all gold orders benefit from free UK delivery.


Thinking of buying gold? Download the FREE 7 step cheat sheet first


Professional gold storage vaults at the Bank of England
Home safes often have a digital locking device

Gold Storage Options

Once you’ve received your package and signed for it, there are several options for you to consider regarding storage:

Home storage

Many people choose to keep their gold stored safely at home and there are many options available for home storage.  A steel safe is the most obvious choice for safety and security – preferable bolted down to the floor.   But if bolting the safe isn’t an option, then try to keep them safe somewhere out of sight, like in a cupboard, hidden by other items.

You can also use everyday household cupboard items, like tins, packets of cereal, boxes of tea bags etc. to hide and conceal your gold, but it’s important that you remember where you’ve stored it so it doesn’t accidentally get thrown away. There are many different steel safes available for home use. These include fireproof and waterproof ones. There are even models that can be unlocked by using your fingerprints. They can also be installed inside the flooring, underneath the carpet.

There are a number of ingenious secret storage items that you can purchase from PhysicalGold.com, such as clocks or wall sockets, to help you conceal & store your precious metals.

Hiding things under the mattress is also more common than you might think, but whichever home storage option you choose, you must ensure your home insurance covers the total value of the gold.  The advantage of keeping your gold at home is that you know exactly where it is, you can keep it close and touch it, as often as you wish.

10 commandments

Bank Deposit Box

Safety deposit boxes at banks are considered to be extremely safe and secure, so it’s worth visiting your bank to ask about the availability of one if this is of interest to you.   Many banks have been withdrawing these facilities over the past few years though, so there may be a waiting list or a box may be quite difficult to acquire.

Safety Deposit Facility

A third-party safety deposit facility offers boxes for you to rent to keep your small, personal household items safe.  These facilities are usually open 9 – 5pm for you to visit and generally cost between £100 – £1000 per year to rent.

Since tariffs are expensive, it could work well as a short-term arrangement. The benefits of using a safety deposit facility are that your valuable assets are stored away from your home.

Additionally, these boxes are available in various sizes and you can choose one according to your requirements. Of course, one of the disadvantages of this arrangement is that you cannot access the box at any time of your choice. You can only do so when the facility is open. Also, there could be a natural disaster like a flood that could damage your belongings stored inside the box. In many cases, the operator may refuse to re-compensate you for your damages when this happens, simply because their insurance may not cover it

Professional Vault Storage  

The most common (and safest) gold storage option is to arrange for the secure storage of your gold with your chosen dealer, as they have access to secure vaults.  These professional vaults offer 24hr safety and security, giving you reassurance and peace of mind.   The vaults are highly secure and generally don’t allow public visits, but rest assured your gold will be personally allocated and stored separately in a fully segregated account, within your own little section in the vault.

At PhysicalGold.com, pension gold, silver coins and gold coins are stored at Loomis International, UK – one of the UK’s most secure gold storage facilities.     Silver Bars are stored at Network Securities in the Channel Islands – a specialist vault facility that has dual controlled security systems and a direct connection to the local police station.

So if you choose to store your precious metals with us, we can reassure you that all of our stored gold and silver is fully insured, segregated and completely ring-fenced and you can request home delivery of your gold at any time.   However, given the high levels of security involved, it’s often not possible for the public to request to view their gold, but we can assure you that it is there – safe and secure.PHYS01_Animated_Gif_2_MPU

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Infographics

Where In The World Is The Gold? | Infographic

Where In The World Is The Gold?

Here at Physical Gold, we have been looking at where the biggest gold mines are in the world which in turn led us to create or latest infographic ‘Where In The World Is The Gold?’.

We looked at how much gold is produced in mines across the world and ranked the 10 largest producing mines worldwide. With anything, you like to know where your product was originally sourced, therefore we thought we would do the same for physical gold investors much a like yourself.

Where in the World is the Gold?
Where in the World is the Gold?
Created by Physical Gold

Discovery of gold

The craze for gold mining has been around for thousands of years. Archaeologists have found gold artefacts in Eastern Europe dating back to somewhere around 4700 BC. This would indicate that the practice of gold mining has been around for almost 7,000 years. Infact, gold was mined across the world. Gold mining sites have been found across Europe, North Africa, and even India. In India, gold was mined as early as the 2nd century AD and gold artefacts found in the ancient Harappa and Mohenjo-Daro civilizations, now part of modern-day Pakistan, have been traced back to the minefields in Kolar, in Southern India. The size of these operations grew during the reign of the Chola kings a few centuries later.

Roman miners used two different methods to mine gold. One was called hushing, which meant that a flood of water was released to expose the gold hidden below the silt and the soil. The other was called ground sluicing, which was essentially an open pit method. In the 19th century, there were a series of gold rushes all over the world, which led to the discovery of gold mining sites across the world.

Insider's Guide to gold and silver

top 10 gold mines
At the mining stage, the gold is buried inside the rock, fused with other materials

How much gold is there anyway?

So far, the amount of gold that has been mined is approximately 171,300 tonnes. While that may seem large a large amount, it is important to know that gold is one of the rarest elements. In comparison to the entire volume of the Earth’s crust, the precious metal is only 0.003 parts per million of the entire crust. In fact, the scarcity of gold is one of the factors that makes it so precious.

Gold supply running out?

It is widely believed that global gold production PHYS01_Animated_Gif_2_MPUpeaked in 2015 and since 2013, the output from almost all mines has slowed considerably. Some analysts have predicted that we have another 20 years or so of gold mining left. Of course, needless to say, once that happened it would dramatically spike the spot prices of gold.

However, new explorations continue to take place, as several countries continue to fund searches for new gold. China, the world’s largest consumer of gold is one such country. China recently discovered new precious metals deposits, valued at nearly $60bn near the shared border with its neighbour, India. However, China’s mining operations in the region could create border tensions between the two countries. On the other hand, mining company Polyus, from Russia claims that their 2018 output is likely to be at the topmost range.

Call our experts to know more about gold production

In this infographic, we have covered some of the significant gold mining projects across the world. China and Australia are the largest producers in the world, followed by the US, Russia, and Canada. Our team of experts can guide you on gold investing, how to generate good returns by investing in gold and when to buy and sell. For expert advice on gold investing, call 020 7060 9992 and speak to a member of our team, or drop us an email through the ‘contact’ section of our website.

 

Image credit: Wikimedia Commons

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Infographics

The Wonderful Uses Of Silver

Many uses of silver

We here at Physical Gold have recently been focusing our efforts on informing the masses about our great silver investment opportunities. In doing so we have created a new infographic called The Wonderful Uses Of Silver which details all sorts of intriguing facts and stats. For instance, did you know that early x-ray films all had a hint of silver in them? And that silver helps to protect spacecraft against the likes of space radiation? This useful material is more important than most people know, and there is much to be learned about its uses. Why not have a read to see what you can discover…

Silver basics one should know

With an atomic number of 47, the precious metal is instantly recognisable by its atomic symbol – Ag, which was historically adapted from the word ‘Argentums’, which is its Latin name. Silver has amazing conductive properties and has a moderate melting point. Infact, believe it or not, silver has a melting point of 961.8, placing the element right between Germanium and Berkelium. The metal has an atomic weight of 107.86. The discovery of silver was an important step for mankind and it was one of the early metals to be discovered, probably around 5000 B.C. Interestingly, the metal can be found in nature in its elemental form, as nuggets or sometimes as crystals. Electrum, a natural alloy found in the world, is actually an alloy of gold and silver.


Interested in silver investment? Download our FREE Comprehensive Silver Investing guide here


Interestingly, the quantity of silver on Earth, when compared to gold is 17 times more and the precious metal is also a rare bird in the English language, as it appears that there are no words in the dictionary that rhyme with the word, silver.

uses of silver
Silver is an essential component for making printed circuit boards

Medicinal use

Silver is a very powerful anti-microbial agent and is widely used to disinfect surgical equipment all over the world. Unknown to many, silver halides were used as an integral part of the manufacture of x-ray film. Amongst other medicinal uses, silver sulfadiazine is used to treat wounds and external infections. Even breathing tubes are lined with silver to kill germs and prevent pneumonia.

Solar panels and silver

Solar panels are constructed using crystalline silicon photovoltaic cells. Silver paste contacts are used by manufacturers, which are printed on these cells. Over 100 million ounces of silver are used each year by the solar energy industry. The semi-conducting layers of these cells use the energy from the sun to produce power. The industry uses another way to produce power, by using the reflective property of silver to reflect the solar energy. Collectors capture this energy and use salts for power generation.

Use of silver in electrical components

Silver is a metal with a very high rate of conductivity,

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and this property is used by the industry to manufacture every kind of electrical component. From electrical switches to modern gadgets in the kitchen, almost all electronic devices are made using silver in one way or another.

Even mirrors are made of silver

The reflective properties of silver make it perfect for use in manufacturing mirrors. Many years ago, mercury was used to create a reflective backing on glass. However, due to the toxic properties of this element, it has long been replaced with silver by the industry.

The use of silver in photography

Traditional photography used silver halide crystals to create images. When these crystals were exposed to light, their patterns would register a change, which could then be used to develop a photograph. Of course, with the advent of digital cameras, this practice is now prevalent only in special situations where traditional photography is still in use.

Uses in the automotive industry

The super conductive properties of silver were put to use by automotive manufacturers in keeping our cars heated to a comfortable temperature. Silver is introduced inside the glass used for the windows in cars, which in turn ensures that heat remains inside the vehicle, keeping us warm during winters. Due to its high melting point, silver is also used to lubricate bearings inside the car engine.

Other interesting uses

The reflective property of silver is also used to shield spacecraft against harmful solar radiation. Silver is also combined with aluminium to form a very strong alloy that is used extensively by the air force.

Call our investment team to discuss buying silver

Silver is, therefore, an essential element, as well as a precious metal that has contributed immensely to human society. Equally, it is an attractive investment vehicle and a great asset class to invest in when building your investment portfolio. Call us on 020 7060 9992 or contact us online to know more about the best ways to add silver to your portfolio.

Image credit: Diego Torres Silvestre

 

Insider's Guide to gold and silver

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Infographics

5 steps to gold investment

5 Easy Steps to Gold Investment

Whether you’re diversifying your existing portfolio, consider taking advantage of the security of gold or simply using gold and silver to save a little for your future, we would like to help you a little with your research. Included below is a link to our ‘5 steps to gold investment’ infographic. You might already know that you’re ready to own some gold or silver, but perhaps you’re unsure as to how to get started? Where do you go, what type of gold or silver do you purchase and what happens next?

Our simple five steps will provide all the information you need to begin investing. Simply click here or the image below, to view the infographic.
5 steps to gold investment

 

 

 

 

 

 

 

Are you interested in gold investment but uncertain as to how to get started? Our easy-to-follow infographic will give you all the information you need, showing how you can, in just 5 easy steps, diversify your portfolio, increase your investment returns or just put a little aside into the ultimate safe haven.

  1. Talk to an experienced gold dealer

Your best bet for securing your gold investment is to do your research and find an experienced gold dealer who are BNTA accredited, have good reviews and years of experience. Have an initial chat with them about who they are and what they do. Any credible precious metal dealer should be willing to talk through their services, explaining how they operate and your options for investing in gold. They should be able to get you the best possible price for your precious metal purchase and offer other options, such as storage or savings. They should be able to talk you through the benefits of owning gold and how it works as part of your investment portfolio.

What should I know?

Historically, the price of gold has risen steadily and predictions for gold prices in 2018 look good. Not only is gold an important asset class that you can use to diversify your investment portfolio, but it is also often considered to be a safe investment option that helps you reduce your overall exposure to market risk, especially if much of your money is invested in global stocks and bonds. In the last year alone, spot prices of gold have risen from USD 1220 to 1330. Apart from investments in gold bars, several investors enjoy investing in gold coins, which enjoy increases in price, depending on demand from numismatists around the world. Gold coins are often purchased by investors, not just for their value, but for their aesthetic appeal. All of these factors play an important role in your decision to purchase gold and you should consider discussing these with your gold investment broker, prior to purchase.


What are the 7 factors to consider before investing in Gold? Find out here


  1. Decide what type of gold you want to buy

Your dealer will be able to advise you on the different options of gold investment available, but it’s worthwhile having some idea of your objectives before you enter into the conversation.  There are generally three common choices for the type of gold you wish to buy; tax-free (UK) coins, gold bullion or foreign coins. Depending on your situation, and reasons for wanting to purchase gold, the type of coin or bullion that will be most suited to you will be different. But don’t worry. An expert broker will be able to analyse all of your requirements and give you some options on which type of gold to purchase.

  1. Decide how you want to buy your gold

Depending on which dealer you choose, there are different options available for gold investments, but it’s worth knowing a little about the different options available, before starting the conversation.

Three common options you’ll probably come across include;

  • Regular, monthly gold savings,
  • Pension gold
  • A simple one-off gold investment purchase.

Pension gold allows you to add gold as

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an element of a Self Invested Personal Pension (SIPP), diversifying and protecting your savings for your retirement.

The difference between the other two types is simply whether you just want to purchase one investment in gold or whether you want to save regularly (£250 per month, for example) to boost your gold holdings over time. The latter can often be a good option for those just starting out.

  1. Sort out some safe storage for your new gold

Whichever option you choose, you’ll soon be the proud owner of some genuine gold coins or bullion, so you’ll need to consider whether you want your gold stored or delivered to your home.

Some gold dealers will offer secure storage options, which is a very effective way of making sure your gold stays safe. But, if you do want to take delivery of your gold then you’ll need to think about some safe ‘at-home’ storage.  There are a number of clever, hidden gold storage options, like a clock or wall socket, that you can use at home. We do recommend somewhere a little more secure than under the mattress and that your home insurance covers the value of your gold investment.

  1. Complete your purchase and relax!

Once you’ve decided on all of the above, with a little guidance from your dealer if you need it, all you need to do is buy your gold online and your purchase will be complete.   Safe, insured delivery is usually within 24hrs if your gold is in stock.

Gold is one of the most resilient asset classes out there and historically, has often beaten the market benchmark for investment returns.

The most important step!

Perhaps the most important step! is to give us a call here at Physical Gold. We are here to help and can be relied on for impartial advice in all aspects of gold investment. Call us today on 020 7060 9992 or view our contact details here.

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Guides Infographics

Benefits of Gold Investment


Benefits of gold

What are the benefits of gold investment?

Gold is wonderful, whatever you use it for. Let’s be honest you can’t own too much gold! So why is gold so beneficial? We pondered this question and have provided a detailed explanation of the many and varied benefits of gold investment on this page. There is a lot to discuss so we felt an infographic was ideal, this visual format conveys a lot of information in an easy to consume manner.

This infographic can be found immediately below. Underneath the infographic, we go into more detail about exactly why gold is so beneficial. Enjoy our gold benefits article!

Benefits of Gold Infographic

Benefits of Gold Infographic

You can see the full-sized infographic here.

Simplicity

Gold has endured centuries as a mark of PHYS01_Animated_Gif_2_MPUwealth and the many benefits of gold investment begin with its simplicity. It is indestructible, relatively scarce and cannot be manufactured. It is a refreshing alternative to the complex investment products in the headlines today and is easy to both buy and sell. Infact gold is so simple it really is the one true global currency, that can be traded everywhere worldwide.

Watch the Physical Gold video – Gold investment as part of a balanced investment portfolio

Value

The gold price is still considerably lower than its previous high, back in 2011/12. This provides the opportunity to buy significantly more gold now, than 8 years ago, for the same amount of money.

Low Volatility

There’s a finite supply of gold in the world, which creates exponential price rises when demand increases. Production cannot simply rise to meet increased demand, so the supply/demand dynamic naturally drive prices higher. This also reduces the risk of devaluation, as lower prices then quickly attract more, new demand, which will once again fuel price increases.

Provides Portfolio Balance

One of the most popular benefits of gold investment is that it’s deemed to be a safe product, which investors have always turned to, in times of economic downturn. Its performance is apolitical and therefore independent of any one country’s policy agenda. It’s therefore perceived to be a hedge for anyone at risk of losses to their property value, ISA, stock portfolio, bonds, pension and also cash due to the effects of rampant inflation.

What can we learn?

History tells us that the financial world moves in cycles. In a period when one asset class performs well, another may yield losses. It is impossible, and far too risky, to try to call these exact cycles, by placing all your hard-earned money into one investment area. Instead, any Independent Financial Advisor (IFA) will recommend spreading the risk across the various asset classes, shifting the percentage of each holding according to the current economic conditions.

This way, an investor always owns a variety of assets, so any falls in one area will hopefully be offset with a different asset, producing good returns over the mid-term and maintaining balance. Owning physical gold actually reduces the overall volatility of a portfolio. In these current, uncertain times, experts believe up to 20% of holdings should be in gold, with perhaps 5-15% in better economic times.

No Counterparty Risk

In its physical form, the holder has no risk to any counterparty. This is particularly relevant in today’s new financial world, where the money is no longer even safe in a bank account. Investments in gold benefits also from avoiding the counterparty exposure that exists with investments in gold stocks, futures and options, which all have potential fraud risks.

Tax Advantages of Gold Investment

There are also great benefits of physical gold investment. There’s no VAT to be paid on investment gold. Also, unlike many other investments, there’s no Capital Gains Tax to pay on profits of UK Sovereign and Britannia coins, as they’re deemed to be legal tender. Tax relief of up to 45% is available on qualifying gold bars as part of a pension.

Predictable Liquidity

Gold is an internationally recognised, and trusted, form of exchange and has been since ancient times. Therefore, the worldwide network of dealers can provide prices 24 hours a day for both coins and bars. To enhance liquidity, investors should invest in smaller and flatter gold bars. These can be easily sold to fuel short term-liquidity, which may be required for investments in other asset classes. For example, a one-ounce American Gold Eagle coin is a very liquid asset as there are usually a lot of buyers and it is easy to sell.

That’s not all…

While many people consider gold as a commodity, in recent times it is being labelled as a currency, as well as a hedge. While the popularity of stock markets has increased manifold, markets are very sensitive to every kind of macro-economic impact. Markets react to global incidents, such as political instability, terrorist attacks, etc. It is often said that markets defy logic at times and move only on emotion. Gold has a low correlation with the stock market and is therefore somehow insulated against market movements. True, gold can never go up in a sudden blaze of glory like a technology stock, but it is this lack of volatility and steady growth, coupled with liquidity that makes gold attractive to investors.

Great Heirloom

More than just a valuable investment, gold coins are part of the nation’s historical heritage and can be both beautiful and collectable. Many gold investors and collectors take great pride in their coin portfolios, often preserving them within their families for several generations. This habit also contributes to limited market supply, creating a numismatic premium and once again affecting gold’s value!

Beat cash in the bank

Investors worldwide are nervous about a possible new global banking crisis. The very fundamentals of banking have changed forever, with the perception of strength and safety now a thing of the past.

Several of our large high street banks are now partially nationalised. With interest rates and therefore savings rates, at all-time lows, returns on bank deposits are negligible or even negative. Simply saving money in deposits is no longer the safe haven it once was.

What’s the story?

Trust and faith in numerous major world currencies are at an all-time low. Concerned savers and investors are seeking a new, more reliable store of wealth and many have turned to gold. Simply leaving your savings in the bank and burying your head in the sand will not safeguard the value of your money. Proactive savers are now moving some of their money into gold, to reduce their exposure to traditional currencies.

Yet another factor to consider is the effects of inflation. Inflation slowly, but surely erodes the value of cash in the bank. Interest rates are at an all-time low. They have remained stagnant for the longest period in the UK’s financial history, as the economy struggles to stabilise. It is likely to remain that way for some time now as the Bank of England staves off imminent interest rate hikes year after year. The UK’s GDP growth is a dismal 0.4% and the economic uncertainty surrounding Brexit does little to help the situation. In this scenario of doom and gloom, inflation will eventually erode cash in the bank. Gold, on the other hand, provides investors with an excellent avenue to hedge risks associated with the slowdown of the economy. The Spot price of gold has steadily increased over the last ten years and it makes sense for investors to invest more in gold to escape the doldrums of the current economic situation. Moreover, there are fears of the US dollar performing badly in the coming year against the Euro and the Japanese Yen. Should such a scenario occur, we would surely witness a gold rally in 2018 as investors scramble to pull out of currencies and park their money in alternative asset classes. Gold, given its stability, would be the obvious choice, as would silver, which tends to mirror gold price movements.

Why not benefit from buying gold by contacting us?

We hope you have enjoyed our benefits of gold investment article and would encourage readers to consider making an investment. Why not call us today on 020 7060 9992 or send an email to discuss how gold investment would benefit your circumstances.

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Infographics

Give Gold This Diwali

Diwali, the Hindu festival of lights, falls on 30th October this year and is celebrated by the giving of gifts. Gold is traditionally given, amongst other carefully considered gifts, to show thoughtfulness and creativity. Have a look at our special Diwali infographic, which will hopefully ‘shed some light’ on the dilemma of what to give the person who has everything.

Diwali

The Indian gold market has suffered some challenging times over the past few years, but yet every year during the final quarter, as wedding season gets under way, there’s a renewed interest as Indian families flock to buy the yellow metal.

Diwali, the Hindu festival of lights, falls in October and is celebrated by the giving of gifts. Gold is traditionally given, amongst other carefully considered gifts, to show thoughtfulness and creativity. Have a look at our special Diwali infographic below, which will hopefully ‘shed some light’ on the dilemma of what to give the person who has everything.

Give Gold this Diwali!

Diwali (or Deepavali) the Hindu festival of lights, is celebrated by the giving of gifts. Lakshmi, (one of the goddesses to whom Diwali is dedicated), is, in fact, the goddess of wealth, fortune and prosperity and the festival is a vibrant, joyous occasion – full of colour and light.

Gold is traditionally given, amongst other carefully considered gifts, to show thoughtfulness and creativity. So what are some of the usual presents exchanged?  Well, we’ve done a quick round-up of some of the gifts you might expect and some that are a little more… unusual!

Hopefully, if you’re scratching your head for gift ideas, you’ll be inspired after reading this.

Sweets

The traditional brightly coloured delicacies of gulab, juman, soan papdi, rasgulla and barfi make the perfect treat for anyone with a sweet tooth.

Dried Fruits

Are always well received as can be stored for long periods of time

Gift Hampers

There are some amazingly luxurious hampers available, combining flowers, fruit, sweets and even maybe a statue of Lord Ganesh

Now on to …

Gold – the gift that lasts

Any Diwali celebration is incomplete without gold based gift items.
Insider's Guide to gold and silver

Jewellery

Gold jewellery is always a firm favourite. For the lady in your life, how about a beautiful gold chain studded with jewels, or a stunning pendant, gold earrings, an ornate ring, bracelet or ankle chain …the list is endless! For kids, there are studded pendants of everything from penguins to elephants or even rocking chickens and glittering guitars!

And if you’re buying for a gentleman, how about some impressive gold cufflinks or a stunning watch?

A sleek, gold pen for recording all those momentous occasions in life?  Or how about a smart gold business card holder or a gold paperweight to sit on their desk for all to see?

As Diwali is a time of celebrating family and creating memories, what better idea than a gold photo frame?

We also came across a gold telescope, and an antique record player complete with gold horn.   But if you think a more modern gift might be more appreciated, how about a gold iPad or iPhone case?

Gold coins – you could also make a gift of gold coins, depicting the goddess Lakshmi, which is thought to bestow luck and prosperity on the recipient. Coins are something to treasure for a long time and make great heirlooms.

Silver

It’s not just all about gold. Silver is also a traditional gift for the occasion of Diwali. There are Lakshmi and Ganesh silver coins available, as as well as ornate silverware pieces.

Decorative pieces

For the home are always a good idea as it’s a great opportunity to give something they wouldn’t necessarily buy themselves. Diwali is all about new beginnings, so wall hangings, metal lanterns, gold vases & silver teaspoons are all well received. We even found a decorative gold canon!    You might even opt for a gold statue of Lord Ganesh engraved on a leaf.

At Physical Gold, we offer various options for purchasing tax-free gold from rare coins – which are collector’s items –  to gold bullion. By investing in certain gold coins, such as UK Sovereigns and Britannias, there’s no Capital Gains Tax as they are actually legal tender in the UK.

We also offer a range of options for investing in silver too and a monthly savers account.  Maybe not quite as romantic as a necklace, but still just as attractive if you’ve made a generous first deposit!

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Infographics

Does Gold Win Gold – Best investments of the past decade

What are the best investments of the past decade? We wanted to compare annual returns of the major asset classes over the past 10 years and then declare the top performing asset over the entire decade. What better way to illustrate this than the asset class decathlon! Each decathlon event represents returns over each of the previous 10 years.

Best investments

Best Investments overall

Over the 10 year period, UK gold prices rose more than any of the other major assets classes. Its total cumulative was a whopping 132.91% significantly higher than the runner up – Bonds (62.27%) and third-placed shares with a reasonable 56.14% rise. This doesn’t necessarily mean that every decade will produce the same results, and macro factors will always have an influence on results. As a safe haven investment, gold is generally bought in times of unrest. It’s no surprise then that it was the best investment during the period which witnessed the invasions of Iraq and Afghanistan and the downgrading of the US Dollar after the Global credit crunch.


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Best asset for consistency

Gold’s overall victory is also reflected in its consistency. Our infographic illustrates the fact that gold was the best performing asset class in four of the ten years, equalled by Shares. The remaining 2 years were won by Bonds’ performance. Gold only experienced a loss during one of the ten years, again the best of all the investment classes.

As expected, cash remained in the middle of the pack throughout the decade when interest rates remained very low. This also reflects that cash represents a low risk/low reward store of wealth. In other words, you may not get huge returns but you won’t suffer losses either.

How can this help us invest

The research demonstrates that over the length of a decade, the various asset classes each have their moment. By sticking to just one or two assets, you risk missing out on some potential significant gains. As any decent IFA will tell you, diversification is the key to protecting your portfolio from large losses, maximizing returns over the long term and providing a more predictable return.

Unless you have a crystal ball, Insider's Guide to gold and silveryou have to be incredibly lucky to pick each asset class at exactly the right time to buy low and sell high. This risky strategy tends to mix some good years with catastrophic losses. Not the best ingredients for a balanced portfolio.

What does it tell us about gold investment

The infographic and results supports our view of gold investment. Firstly, it plays an essential and unique role in anyone’s overall investment strategy. After all, if you’d invested in a mix of shares, bonds, property and cash, not only would you have missed out on gold’s huge gains, but some years may well have wiped you out.

Of course, analysis of other decades may show a different overall winner of investment returns, with gold performing far less favourably. But, this only goes to demonstrate the need for a balanced investment strategy. Gold plays a unique role because it tends to perform particularly well during times of political and economic turmoil. Crucially, the other asset classes all seem to do their best during stable times. But if an event causes disruption, whether it’s an economic downturn, an act of terrorism, banking crisis, currency devaluation or war, then all these assets fall in value together. Leaving the investor with a major headache. By owning some gold as part of an overall strategy, your wealth is protected from this volatility. Rather than taking risks, owning gold actually reduced the overall risk and volatility of your portfolio.

Other considerations

If you have a large appetite for risk, it’s possible

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you’ll be attracted to ‘get rich quick’ offers. Timing has to be perfect with these and you have to get lucky. Generally, you can lose all your money, but in the same respect, you can also double or triple your money in a very short period of time.

Gold should always be viewed as a medium to long term investment. The infographic supports this. While it performed impressively, it did fall significantly in 2013 after offering almost no return in 2012. It may not make you rich overnight, but investing in gold is a prudent investment, which can offer some balance with riskier short term opportunities.

Another important takeaway from this research is that gold beat the rate of inflation on eight of the ten years analysed. The best of any of the major asset classes. This supports the notion of gold investment as a store of wealth. It maintains your purchasing power over time and protects from the erosive qualities of inflation.

The final bonus which makes gold the best investment of the past decade is its possible tax efficiency.

Not only did it rise in value more than any other major investment, but it also did it tax efficiently. Tax free gold coins for example are VAT-exempt and Capital Gains Tax free. Outside of an ISA or Pension, the other investments struggle to be as tax efficient. And who wants to share their gains with the Treasury!?

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Infographics

Infographic: Gold Silver at Euro 2016

With Euro 2016 underway we decided to combine two of our passions… gold and England playing football! Just what are the links between everything European Championship-related and precious metals? We set out to find the answers…

Euro 2016

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Infographics

7 crucial considerations before you buy gold or silver (Infographic)

Considerations Before You Buy Gold

  1. Should you buy physical, electronic or paper gold?

This very much depends on your own personal, financial objectives and your own desired level of risk and returns.  Each option comes with its own level of risk, some higher than others.  Read about the Risk Pyramid below, where the highest risk options sit at the top, with the lower risk gold options at the bottom of the risk pyramid.

Derivatives (CFD, futures, spread betting) These suit short-term speculation but they can be very complicated and very high risk.   These sit at the top of the risk pyramid, as they are considered to be the highest risk.

Mining Co shares – These have the potential for higher returns if the mining company does well. Though they very high counterparty risk and any returns on the investment may take years

Precious metals fund – Well regulated and generally invested into a mix of mining shares. Annual management charges do apply and these funds tend to be mid-risk on the pyramid, as there’s no investment into physical metals

Fully Allocated ETFs – Slightly lower risk are ETFs. These are cheap, fast and easy to buy and sell, but they do come with counterparty risk.  It’s possible to leverage ETFs, but then the risks become higher.  Because there’s no actual gold, you cannot take delivery of these plus annual management charges will apply.

Physical coins and bars – These are the lowest risks on the pyramid because you buy and receive your own physical gold.  There’s no counterparty risk involved, as they’re solid, tangible assets, which you personally and fully own. You can store your gold at home and it can also be TAX-FREE if you purchase UK gold coins. Depending on which type of gold you buy, the costs can vary, but you can take delivery of any type of gold.

For more information on this please visit our page ‘Physical Gold versus Paper Gold.

 

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  1. Which type of physical coins or bars should you buy?

Within a UK pension fund, only gold bars are permissible.

If you buy with non-pension funds, then almost always UK legal tender coins will provide the best option.  Their advantages are;

  • Tax efficiency; Legal tender coins have no Capital Gains Tax to pay if you earn a profit. Bars and foreign coins are taxable.
  • Liquidity; Gold is easy to buy and sell due to its desirability and track record. Don’t buy obscure precious metals, as your sale price will reflect their limited appeal.
  • Divisibility; Owning one huge bar may appeal to your ego but it means that you have to sell all, or none, of your holding. Opting for coins means you have the flexibility to sell as little or much as you like when you like.
  • Value; You can benefit from economies of scale without compromising on your divisibility. When the time comes for you to sell, UK legal tender coins can fetch amongst some of the best prices in the market.

 

  1. Where should you buy from?

  • A Jeweller; This may be convenient for you to get to & pick up from, but they usually have a very limited supply of coins or bars. There should be no paperwork involved but they will pay you a vastly lower price when you wish to sell back to them.
  • eBay; You can browse from home and you may pick up a bargain if the seller has no reserve. This is a very high-risk option as the coins or bars may not be authentic and there’s no paperwork or recourse.
  • Auction; You may find some auctions have decent quantities, but these are few and far between. It’s quite a time consuming to attend an auction and can be more expensive, in the end, than you anticipate. There is also a high risk of buying illiquid gold, especially if you’re not experienced in this area.
  • Gold Dealer; More choice and higher quantities are available through a reputable dealer. They can provide expertise and guidance if required. And because they regularly buy and sell, dealers are in a position to offer good prices and should also offer a buyback guarantee. You should always receive certificates of authenticity, & the correct paperwork, to ensure you are in the best position to sell when the time comes.

Do your research when selecting a Dealer as not all are equal. Ensure they are members of The British Numismatic Trade Association (BNTA), do your research and read the customer reviews.
10 commandments

  1. How do you know it’s real and of high quality?

  • Buy from a reliable source
  • Obtain a certificate of authenticity
  • Only buy from BNTA members who must adhere to a code of ethics and standards
  • Otherwise, have it tested

 

  1. Is the timing right?

Gold is still 30% lower than its peak so offers value and experts are predicting a massive dollar crash is imminent!

The Global economic outlook is bleak, suggesting mainstream markets may suffer and gold thrive.

Terrorism and political turmoil is continuing, which generally affects the price of gold, as investors turn to the yellow metal as a safe haven.

Gold is a medium to long term investment, so exact timing isn’t crucial

You can cost average your buying, with a Monthly Saver account

 

  1. Where can you keep it?

Hide it at home, in a safe, under the bed or in some cleverly disguised secret storage; like a clock, or plug socket. But do ensure your home insurers will cover the value of your gold.

Keep it at your bank in a deposit box. But if you haven’t already got one, they’re extremely difficult to get these days as many facilities are closing down.

In a 3rd party safe deposit facility. This may cost around £150/year but you will be able to access it 24/7.

Use your gold dealer’s professional vaulting facility. This is the best option for peace of mind as it will be fully insured and kept in pristine condition. However, you can’t touch it (and fondly run it through your fingers)!

 

  1. How will you sell it?

To obtain the highest possible price for yourself, you can sell your coins one at a time to collectors, as and when there is a demand for them. But this may take time, so you’ll need to be patient.

You can sell to a jeweller for ease, but you might not receive the best value, as they are likely to melt down the gold.

Sell on eBay to potentially secure a very high price. But beware of additional Paypal charges and unscrupulous buyers. Don’t forget your reserve price!

Sell back to your dealer for an optimum mix of convenience, instant liquidity and the best price. You should ask if they offer a Buyback Guarantee when you originally purchase from them.

Categories
Infographics

Infographic: Why We All Dream In Gold

Are We Attracted to Gold More Than Other Metals?

What is it about gold that we seem to love so much? Besides it being a great long term investment strategy, humans seem to idolise and worship gold like no other metal. Maybe not as much as people such as Goldfinger, but there is definitely an obsession there! So are we attracted to gold more than other metals?

Widespread use of gold in our society

Perhaps we may not notice it, but gold surrounds us in our society. From our gold-plated jewellery to gold stars or gold medals for achievements, gold is something that we desire to achieve or show off.

We see gold everywhere, especially in the coins and money that we use

It would seem that we are attracted to gold on two fronts. Firstly, there is a scientific factor behind our attraction. We are naturally attracted to more colourful, shiny objects and items, and gold easily falls into this category.

While we have an attraction to items such as silver, gold is without a doubt the most colourful metal. All the other metals on the periodic table have a silvery or brown colour, and while silver is still attractive, gold stands out above the rest.


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Gold in the movies

The second front that causes us to be attracted heavily to gold is down to the associations that we have placed upon it. As can be seen in our infographic below, gold is featured heavily in the films that we watch and the awards that are presented to the actors featured in these films.

Dream In Gold

These awards, alongside ‘gold’ being attributed to coming in first place, and the way that many of these films are heavily centred around gold, have given gold a reputation of being associated with power, wealth and success.

And, being humans, we are naturally attracted towards feelings of power, wealth and success. It makes us feel valued and worth something, and humans generally like to do this through items; gold is the perfect item for doing this.

What other benefits does gold have?

But what other benefits does gold have that makes it more attractive to us over other metals? Chemically, gold is one of the most reliable metals in the world. It can’t age, rust or tarnish, meaning the quality and value of your gold is assured for centuries to come. It is also malleable, durable and rare.

Thanks to the associations we’ve placed on gold and the science behind this attraction, gold has a timeless appeal as well. This coincides with the fact that the value of gold has been steadily rising for hundreds of years. It also doesn’t look like this rise in value is going to stop either!

Gold is great as an investment strategy. And for building huge palaces!

Finally, there are the financial benefits that make gold so attractive, especially as an investment opportunity. Gold has no counterparty risk, meaning that it is not someone else’s liability. It is also easy to convert into cash, easily portable, and has a high-value density, meaning a small piece of gold is still worth a hell of a lot of money! And, gold can’t be printed, inflated or counterfeited, so its quality is assured.

Want to know more about how gold can benefit you?

Have you got an insatiable attraction to gold that you just need to satisfy? Or perhaps you want to know more about how gold can benefit you as a long term investment strategy, with options such as tax-free gold coins? To find out more, you can contact us today on 020 7060 9992.

Image credits: freeimages9.com and sirinat Inopas

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Why we all Dream in Gold

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Infographics

Hollywood Gold Infographic: Gold in the movies – who got the biggest haul?

 

Hollywood gold

Hollywood Gold

When it comes to fictitious piles of the yellow metal, you can’t beat Hollywood Gold stories and films, involving huge stacks of bars and roomfuls of coins!

In the 1964 James Bond film Goldfinger, Bond comes up against a villain obsessed with gold. With Bond never going out of fashion – and Physical Gold’s obvious interest in all things gold – we decided to do some research. Just how much gold did Auric Goldfinger try to get away with and was his heist set to be the largest return ever seen on screen?

Armed with the essentials of a comfortable chair, a big TV and a Vodka Martini (shaken, not stirred), we set out to investigate the silver screen’s biggest Hollywood gold heists.  Just exactly how much has gold starred in popular films over the years and how does fiction compare to the facts?

Fort Knox Gold

The popular gold trivia question “How much gold is in Fort Knox?” is answered by James Bond in the film Goldfinger, where the figure was 15 billion dollars.   Those who know the film remember that the villain’s plan is to blow up and destroy the gold, thus increasing the worth of his own personal gold holding. Needless to say, our hero Bond, in the finale, dramatically foils him. Perhaps Goldfinger should have waited as a 2016 count estimated the value of Fort Knox’ gold at $180 billion!

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Gold Treasure

Gold Treasure is a popular narrative in Hollywood movies and the memorable opening of Indiana Jones And The Raiders Of The Lost Ark sees
 our treasure hunting hero making off with gold in the form of a small statue – a Golden idol – which rests on a booby-trapped pedestal. The weight of the Idol is approximately 3 pounds, which counterbalances a trigger to make the temple collapse. The Gold Idol in the film was, of course, a prop, rather than real gold, but had it been solid, it would have been worth somewhere in the region of £40,000.

Perhaps the most famous appearance of Hollywood gold is featured in the British film ‘The Italian Job’ with Michael Caine’s “Lads, I’ve got an idea” declaration. Based in Turin, Caine and his crew attempt to pilfer $4 million in gold, which, at today’s prices, equates to approximately 111 x 1kg bars. That’s a lot of gold left precariously dangling over the Alps. In subsequent interviews, Michael Caine has revealed that the ending was filmed to leave an opportunity for a sequel, in which he and his gang would escape but the gold, and the bus, would crash to the ground, leaving the mafia to pick it up and escape… The mafia was actually genuinely involved in the making of this film, as the Italian authorities refused to close down the roads, so the Mafia did instead, shutting down whole sections of Turin…

All the gold in the world, plus more…

In J.R.R. Tolkien’s The Hobbit, a group of dwarves want to reclaim their mountain home, and their pile of gold, from the dragon Smaug. The pile was brought to life in the most recent 
film versions, with some enterprising mathematicians calculating that Smaug sits on around 158 cubic metres of gold.  Clearly Tolkien’s Middle Earth is very different to our own earth, where only 21 cubic metres have ever been mined, according to the World Gold Council.

Seven Cities of Gold

Rumoured to be an area of great wealth, and based on the reports of a returning priest, the Spaniards were eager to find and conquer the legendary Seven Cities of Cibola founded on stories of them being filled with untold riches and glittering in gold. The 16th-century expedition was unsuccessful and ended only after months and miles of exploration of what is now Kansas, USA.

Three King’s gold

In an unselfish Hollywood Gold moment, Three Kings is a Gulf War movie, with a trio of US soldiers embarking on a mission to retrieve Kuwait’s stolen gold – rumoured to be hidden in some nearby bunkers – and keep it for themselves.  Using a map found between someone’s buttocks, the three soldiers find the gold but inadvertently find themselves in the middle of a hostile situation.  The soldiers end up sacrificing their haul to save the lives of refugees. All’s well that ends well, including the case of the fictitious gold, which is returned to its fictitious owners, but “strangely” the film states, with ‘a few bars’ unaccounted for!
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Infographics

Infographic: Revealed! The history of the British pound

The British Pound

If you’ve been reading the Physical Gold blog recently then you may already know that the Great British pound coin unfortunately features no actual gold whatsoever. However, did you know that when it was first introduced in 760, pound sterling coins were made of pure silver? In fact, it was only in 1946 that Britain stopped using silver to make coins, switching to the current alloy system. Those facts, and more, have been collated into this great infographic about the history of the British pound – from launch, right up to the present day creation and usage of our currency.

 

History of the Pound Infographic from Sainsburys Bank

 

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Infographics

Worldly Wealth Interactive Infographic

In 2014, we took a look at where in the world the most gold was mined. Now, we want to take that a step further and look at which countries in the world hold the most gold reserves.
Countries hold gold as a precaution to safeguard themselves against inflation, loans, debt and economic disasters. The total gold holding globally was just under 32,000 tonnes in the summer of 2014.
So, with this in mind we want to take you around the world with our latest interactive infographic to show you which countries have the most gold.

 
Insider's Guide to gold and silver

Categories
Infographics

Why Gold Is Making The World A Better Place

This infographic explores the many uses of gold in every day life, from its use within technology to even space exploration.
Gold makes for an excellent investment opportunity for anyone looking to vary their investment portfolio.
How Gold Is Making The World A Better Place (ON HOLD)
Insider's Guide to gold and silver