What Is The Smallest Gold Buy I Can Make?
Purchasing gold can be an expensive investment, and some people that are interested in getting started look for ways to lower the buy-in. When dealing with a gold exchange, knowing what the smallest gold buy you can make is important for determining your investment amount.
Since the early 1970s, gold spot prices have been on a steady climb. Gold that cost $37 per ounce in 1970 is over $1,100 per ounce in 2010. During these forty years, the value of the United States dollar has actually fallen, meaning that spending on gold is becoming more costly. A 200 ounce purchase of gold in 1970 would have only cost around $7,400, while the same purchase today would cost nearly $230,000, well more than the vast majority of people even make in a year.
Minimum gold purchases from an exchange vary depending on the company involved. Most reputable exchanges have minimum order amounts that can range from 10 to 20 ounces. These companies are generally very straightforward with their pricing, and they have a professional process to make purchasing coins very simple. Some Internet-based companies claim to offer no minimum limit purchases, but they frequently charge higher fees for purchase commissions, shipping and sales commissions. In addition, many of these companies do not disclose the details of shopping with them, meaning that potential clients are forced to call the company and attempt to get full information.
Generally speaking, a gold investor is wise to do some comparison shopping prior to making a gold purchase. While the smallest gold buy possible may be desirable, the results of the purchase may not be so desirable if the exchange adds on extra charges and misrepresents its services.