Steve Rand
General Manager / Sr. Precious Metals Advisor
Steve Rand is the General Manager and a Sr. Precious Metals Advisor at Scottsdale Bullion & Coin. He brings over 20 years of experience in the physical precious metals markets.
Gold Bars are among the most attractive options for precious metals investors. They come in a variety of sizes from one-tenth ounce all the way up to 100 ounce bars and even gram sizes. The myriad of offerings make gold bars a versatile and convenient way to diversify a portfolio. Gold bars are ideal for large investments, offer instant liquidity and provide a hedge against rising inflation.
If you currently have gold bars as part of your portfolio, you may be wondering how to determine the current value in such a complex and ever-changing marketplace. To get started, it helps to know a little about why gold bars are produced and where they fit in the global marketplace.
About Gold Bars
The highest quality gold bars are produced by a handful of reputable mints with their weight and metal content clearly marked. Some of the most recognized mints include Switzerland’s PAMP Mint, Valcambi Suisse, the Royal Canadian Mint and of course the Perth Mint out of Australia. There are dozens of mints around the world producing gold bars of varying weights and purity.
Both privately held and government-owned mints produce bullion in coin and bar form. The Royal Canadian and Perth Mints are among the most respected state-owned mints while PAMP is highly regarded as a private mint.
Common Gold Bar Sizes
Most commonly, you’ll find gold bars being sold in ounce sizes, but there are plenty of options to choose from.
1/10 oz
This smaller size is growing in popularity, especially among new investors who want to get started but might not be looking to spend as much money up front. One-tenth ounce sizes are a great way to gradually increase holdings.
1 oz
This is the most commonly traded size gold bar. With the gold spot price being set by the ounce, having one-ounce bars makes it easy to calculate the value of your gold bars.
10 oz
Ten-ounce bars are valued by serious investors looking to strike the right balance between convenience and investment potential.
1 Kilo
A one kilo gold bar weighs 32.15 ounces. Because of their large size, storage can be a challenge, but these bars are a great long-term hedge against rising inflation.
100 – 400 oz
These extremely large gold bars are designed for institutional investors with a capacity to store very large amounts of gold bars.
Gram Sizes
Gold bars weighed by the gram open up investment for more customers by offering a wider range of pricing and sizes to match someone’s needs. Popular gram sizes include:
- ½ gram
- 1 gram
- 2 grams
- 5 grams
- 10 grams
- 100 grams
- 250 grams
- 500 grams
The sizes mentioned above are some of the more common weights on the market. However, if you have gold bars outside of the range, you can still sell or trade with a reputable gold dealer like Scottsdale Bullion & Coin.
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Request the Free GuideWhat Factors Influence the Gold Bar Price?
The value of gold is in nearly constant fluctuation. Events and economic conditions around the world can have an influence on how much you can sell your gold bars for at any given time. Let’s take a look at a few of the major influences on the value of gold bars.
Global Crisis
Instability around the world has a direct impact on precious metals. When people lose confidence in the government and financial institutions, the price of gold rises. It makes sense, considering how a single conflict can decimate a country’s paper currency while gold bars are valued as currency throughout the world.
Inflation
Gold is considered a hedge against inflation and often rises in value when inflation puts pressure on the U.S. dollar. Over the long term, gold tends to offer more value stability than the dollar, which loses value continuously as inflation increases.Central Bank Instability
The central bank in the United States is called the Federal Reserve. Other countries have their own version of a central bank. When these banks experience instability or changes due to economic policy, people turn to gold as a safe haven investment.
Supply and Demand
Of course, supply and demand is a driving factor in determining how much your gold bars are worth. Because precious metals are a finite resource, mines will produce more in some years and far less at other times. When supply can’t keep up with demand, prices will increase.
NOTE: These are just a few examples of the forces that drive the value of gold. Get a more in-depth look at the factors that influence the price of gold.
How to Determine the Value of Your Gold Bars
The value of your gold bars will be based on weight, metal content and the current spot price. If your gold bars were produced by a major mint, government or private, the content is likely 99.99% (.9999) fine gold.
Once you know the weight and quantity of your gold bars, be sure to check the current spot price to get an idea of how much your gold bars are worth.
NOTE: If you purchased through a gold dealer, look for your invoice or receipt. Depending on where you bought your gold bar(s), you may have a buyback price listed. This could be the best way to get the most for your bar.
How To Find the Weight of Your Gold Bars
Raw Bar
Look for a physical stamp on the gold bar itself. The weight could be marked in ounces (oz), kilograms (kg) or grams (g).
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Bar Packaged in an Assay Card
If your gold bar came packaged in an assay card, the card (and the bar itself) will show you the weight. Assay cards verify the authenticity of gold bars in terms of fineness and weight. On the card, you will also find the weight marked either in ounces (oz), kilograms (kg) or grams (g).
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How To Find the Metal Content of Your Gold Bar
Raw Bar
Raw gold bars will have the metal content stamped directly on the bar. You will often see gold bars marked with 999.9, which indicates the bar is 99.99% pure and only 0.01 percent is made up of other metal, usually copper or silver. More rarely, you will see gold bars stamped with 999.99, which is the purest gold currently produced. A bar marked 995.0 is still very pure and meets the minimum requirement to be held in the gold reserves of many governments’ central banks and in a gold IRA.
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Bar Packaged in an Assay Card
If your gold bars came in an assay card, information about fineness will be listed there, as well as on the bar. You’ll find the same type of numerical system used to indicate the fineness.
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What is the current spot prices of gold
Spot price is a great indicator of the investment value of your gold.. If you’re looking at the spot price to determine how much you can sell gold for, expect to get an offer that’s within a percentage of the spot price.
EXAMPLE: If the current spot price is $1,900 and the dealer takes a one-percent fee for processing, overhead and storage, you’ll receive $1,881 per ounce. If the fee is 2%, you’ll be paid $1,862 per ounce.
The percentage you pay will vary by dealer and depend on different factors. Gold dealers have to pay for storage, processing, shipping and other expenses, so buying gold at the spot price is very unlikely.
How to Sell Your Gold Bars
It’s important to know what to expect when selling gold bars. While the current spot price will give you an idea of the value, you should realistically expect to get a percentage or so under spot value when selling to a dealer. The dealer you sell to will have to pay to store the gold and processing the transaction incurs labor costs.
If you are considering selling your gold bars, get in touch with a knowledgeable appraiser at Scottsdale Bullion & Coin. They can help ensure you get a fair price for your gold bars based on the current market value.
How to Buy Gold Bars
If you’re looking to diversify your investment portfolio with gold bars, you’ll want to speak with a precious metals advisor at Scottsdale Bullion & Coin. They can help you navigate the complexities of the current market and ensure a sound investment when you buy gold bars.
You’ll also get a good idea of what’s currently on the market and what options will make sense for you. Schedule your appointment today!
Is Now a Good Time to Sell Your Gold Bars?
If you are looking to liquidate a portion of your gold bullion bars, now may be a good time to sell, depending on when you purchased.. Gold bars are easy to liquidate so you can get the cash you need fast and get a good price based on the current market when you choose Scottsdale Bullion & Coin.
If the spot price looks right, and you need the cash, don’t hesitate. Markets shift constantly and there’s no guarantee you’ll get a better price down the road. However, a lot of market analysts are predicting the price of gold to rise in 2022. Determining when to sell is dependent on your needs.
Looking to Sell Gold Bars? Here’s How to Take the Next Step
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