Saturday, November 19, 2011

Buy 1 gram gold bar: wise or not?

Is it wise to buy 1 gram gold bar?

Talking purely from an investment standpoint, it is plain stupid to buy such tiny bars.  No investor will tell you to buy 1 gram gold bar.

The premium over spot rate is very high, since the effort is to produce the gold bars, whether 1 gram or 100 grams, is basically the same.

The mint will have to mint the bullion.

The mint will have to insure the bullions, and transport them to the retailers.

The shop will have to pay the same salary to the salespersons, even if the salespersons spend all days selling the 1 gram gold bars.

That is why small bars incurred a large transaction cost in relation to the weight.

Many 1 gram gold bar also comes with Assay card.

That is added cost to the investors.

If you have the money to buy 1 ounce gold bar, it is best you buy a single 1 ounce gold bar, and not many 1 gram gold bars.

However, there are times when you can consider buying 1 gram gold bars.

The main reason is gift giving.

Instead of buying gifts that look nice, and do not have any practical value, you can consider buying 1 gram gold bars for your loved ones.

Hopefully this gesture will interest them to the world of precious metal investment.

Many people love the novelty of gold.  It seems that this metal has a special place in the history of mankind.

Men and women love gold, even though they know that the love for gold is one sided.

You cannot expect the gold bars or gold coins to return your love.

Buy 1 gram gold bar is a way to show love, and teach about investment.

You can consider buying several such items for Christmas season.

Your gift will capture the attention and heart of your loved ones, and close friends.  Just when they are expecting chocolate or wine, you give them a beautifully wrapped and unique item.

Imagine their curiosity to receive such small gifts, and imagine their joy to see the wonder of gold, pure gold!
1 gram gold bar is 99.9% pure gold.  You can never get any purer than this.

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