Gold is one of the most popular metals in terms of investment and sale. Indians buy gold for various purposes ranging from jewelry to investment. Gold is not just about flashy bling but also about substantial savings and returns on the money that is invested in the metal. Buying gold in the form of bars or coins is generally done by customers who are looking at it from pure savings perspective. The value of gold, historically, has always appreciated with time, making it an extremely rewarding metal to own.
The crucial role played by gold in almost all Indian weddings and during all major festivals is what makes customers so drawn towards the yellow metal. There are times when people want to just buy gold in its purest form and keep it for future use. This future use could be getting jewelry made out of it at some point of time later or selling the pure gold after it has appreciated well enough to yield substantial profit. Any customer who is looking to buy pure gold for keeping it as savings, has two forms that can be availed, coins and bullions or bars.
Pros and cons of buying gold bars
For seasoned and large scale investors, gold bars are a better way of investing in gold. These large bars are usually available at the lowest prices as compared to their smaller counterparts. However, there is a catch in buying large bars. These bars do not have the same saleable nature as smaller ones. This is because your choice of buyer gets restricted owing to the bigger size and consequently higher price of large gold bars.
Also, since bars are large pieces of gold, hence these can also be difficult to melt and reshape and hence might involve additional handling charges when a gold bar or bullion owner tries to resell these. Premiums on gold are almost always increasing and so is their value. The exact price of these bars depends upon several market factors that are in play at any particular point of time.
Also check Today's Gold Rate in the most popular Indian cities
Pros and cons of buying gold coins
Gold coins lag behind gold bars in terms of the price at which they come. However, apart from this one disadvantage, gold coins are generally better disposed to be useful as compared to gold bars. The first and foremost feature of gold coins is that they are available in several denominations ranging from 0.5 gram to 100 grams. Gold coins thus, can be purchased strictly in-line with the purchasing power of an individual at any point of time. So, if customer X is unable to pay a huge chunk of money for obtaining 1 bar of 50 grams, he can still shell out money for buying a coin of 1-2.5 grams or perhaps more.
Another great advantage of gold coins is that these can be easily traded owing to their smaller size. The customer base for these automatically becomes large and as such you do not have to sit and wait for a buyer. Gold coins are also universally recognized and as such are easier to sell.
Taking into consideration all the above listed points, we can safely claim that big bullions or bars of gold are suited for customers who are looking for lower purchase price so as to extract
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