Best place to buy Gold stocks?
Discussion
It's not yet possible to put gold into an ISA in any meaningful form that I've come across. You can of course have mining shares in your ISA but shares and physical metal are two very different animals.
The markets for platinum and palladium are thinner than gold, so spreads around the spot price are wider - typically 6-7% for platinum and 10% for palladium (as opposed to up to c. 3% for gold). Platinum is at near price parity with gold at the moment and represent excellent value for money imho. Having talked about "typical" spreads, nothing about the physical investment market is typical at present. Shortages of investment raw material and huge demand for physical metal has led to 100% spreads over spot not being atypical. if you can afford to take a contract out on the London or US (Comex) markets then you'll get the metal at spot if you demand delivery, but 100oz of palladium is a few quid, let alone good delivery bars of gold and platinum. To be fair, the spreads in the physical investment market is coming back a little, but very wide spreads are still the order of the day at present. Remember, if buying physical investment gold, no VAT is chargeable, but it is on silver, palladium and platinum. You can buy these metals elsewhere in Europe at lower rates of VAT and you wouldn't be liable for any UK VAT if you did this on importation to the UK. I'd get advice first if you want to do this - I'm not an expert, but this is my opinion after investing in this market for quite a few years.
I only buy physical metal (which is then stored in a deposit box), not mining stocks or ETF's etc. If you look at the Comex holdings of all PM's and then look at the traded volumes, it wouldn't take a lot of physical deliveries for markets to default on their metals (most contracts are not settled by delivery of metal). ETF's are just as bad, if not worse imho, especially if you are buying unallocated metal.
I've had a long conversation with my accountant about my company (one man consultantcy) buyng metal and me getting paid with this. As I understand it, I would get "paid" at the going rate for the metal on the day of payment, with any loss incurred between purchase by the business and "payment" to me off-settable, which appears to be the safest way to invest in metals at the moment in what is a very volatile market.
HTH
The markets for platinum and palladium are thinner than gold, so spreads around the spot price are wider - typically 6-7% for platinum and 10% for palladium (as opposed to up to c. 3% for gold). Platinum is at near price parity with gold at the moment and represent excellent value for money imho. Having talked about "typical" spreads, nothing about the physical investment market is typical at present. Shortages of investment raw material and huge demand for physical metal has led to 100% spreads over spot not being atypical. if you can afford to take a contract out on the London or US (Comex) markets then you'll get the metal at spot if you demand delivery, but 100oz of palladium is a few quid, let alone good delivery bars of gold and platinum. To be fair, the spreads in the physical investment market is coming back a little, but very wide spreads are still the order of the day at present. Remember, if buying physical investment gold, no VAT is chargeable, but it is on silver, palladium and platinum. You can buy these metals elsewhere in Europe at lower rates of VAT and you wouldn't be liable for any UK VAT if you did this on importation to the UK. I'd get advice first if you want to do this - I'm not an expert, but this is my opinion after investing in this market for quite a few years.
I only buy physical metal (which is then stored in a deposit box), not mining stocks or ETF's etc. If you look at the Comex holdings of all PM's and then look at the traded volumes, it wouldn't take a lot of physical deliveries for markets to default on their metals (most contracts are not settled by delivery of metal). ETF's are just as bad, if not worse imho, especially if you are buying unallocated metal.
I've had a long conversation with my accountant about my company (one man consultantcy) buyng metal and me getting paid with this. As I understand it, I would get "paid" at the going rate for the metal on the day of payment, with any loss incurred between purchase by the business and "payment" to me off-settable, which appears to be the safest way to invest in metals at the moment in what is a very volatile market.
HTH
limpsfield said:
Welshbeef said:
Looking at switching a number of share investments over to Gold.
can I ask why?Welshbeef said:
limpsfield said:
Welshbeef said:
Looking at switching a number of share investments over to Gold.
can I ask why?Edited by limpsfield on Wednesday 3rd December 10:52
First of all; there is no point trying to buy gold stocks or bonds. Why? Because it is just a piece of paper and worth nothing.
You want gold in a solid and tangible form.
If the world economy goes belly up, for arguments sake, that paper will be worth nothing and the people you have 'bought' off will disappear with the gold. It's very simple.
Assets don't disappear, they merely change hands.
PS: Good luck trying to buy gold now anyway.
You want gold in a solid and tangible form.
If the world economy goes belly up, for arguments sake, that paper will be worth nothing and the people you have 'bought' off will disappear with the gold. It's very simple.
Assets don't disappear, they merely change hands.
PS: Good luck trying to buy gold now anyway.
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