Getting the Most Metal For Your Dollar
For many precious metals investors, the goal is simple: Acquire as many ounces of gold, silver, platinum or palladium as possible. Needless to say, buying numismatic or collector’s coins is not going to help one accomplish this goal. Here are some simple tips to help you acquire more ounces of gold or silver and to make your precious metals investment dollars work harder for you.
- Stick to the basics: When looking to acquire as much bullion as possible, it is imperative that one stick to the basics. The basics include silver rounds, silver bars, silver bullion coins, gold bars and gold bullion coins. Rounds tend to carry the lowest premiums of all bullion products followed by bars and then coins. That being said, if you are looking to get as many ounces of silver as possible, you may consider sticking with silver rounds as you will be able to get more silver for your money. If you are looking to get as many ounces of gold as possible, then you may consider sticking with gold bars.
- Pay attention to shipping and insurance costs: Shipping and insurance can potentially add a significant amount to a gold or silver purchase. Different dealers will offer different shipping methods as well as costs. Some dealers may even offer free shipping for certain purchases. Make sure to factor these costs into the total per-ounce cost of your purchase.
- Compare bullion dealers: With many bullion dealers operating online, it has never been easier to compare bullion dealer pricing than it is today. You can shop different dealers from the comfort of your own home or office, and choose the dealer you believe has the best combination of price, selection and reputation. For easy price comparisons, simply choose a few products such as the one ounce Canadian silver maple leaf coin and a Royal Canadian Mint one ounce gold bar. Compare prices for these bullion products at various dealers, and also factor in other costs such as shipping and insurance. Like anything else, the lowest price is not necessarily the best. Also take into consideration the dealer’s reviews and time in business.
- Buy in Bulk: A very simple trick to saving money on your next gold or silver purchase is to buy in bulk. Most precious metals dealers will offer product pricing that is tiered based on the amount being purchased. For example, a dealer may offer the Royal Canadian Mint one ounce gold maple leaf coin at a price of $1275 for one to nine, a price of $1268 for 10-25 and a price of $1265 for quantities of 26-50. 50 and above may offer even further discounts. Not only does buying in bulk give you the opportunity to pay less per-ounce in premiums, but it also gives you a way to save money on shipping and insurance. Some dealers may offer free shipping on bulk purchases reducing the total per-ounce cost even further. Either way, buying more metal per transaction will save on shipping and insurance costs.
- Forget numismatics and graded coins: Numismatic coins as well as graded coins will carry significantly higher per-ounce premiums than bullion coins, rounds or bars. If your goal is to get as much metal as possible, stick to the bullion products with the lowest premiums.
- Look for dealer specials: Precious metals dealers will often offer specials on certain bullion products. By keeping your eye out for these specials, one may be able to take advantage of sale prices. One easy way to stay abreast of dealer sales is by signing up for a dealer’s email list or newsletter.
Following these simple guidelines can potentially save one vast sums of money not only on individual purchases but over time as well. With a little research and smart product choices, one can stretch their precious metals dollars further and acquire more ounces over time.