Gold bars are the most efficient way to hold gold by weight. They cost less per ounce than sovereign coins because they are cheaper to manufacture, and that difference widens as the bar gets larger.
The trade off is divisibility and, at the top end, verification. Here is how to think about both.
Cast and minted bars
Two production methods, two quite different products.
Cast bars are made by pouring molten gold into a mould. The result has an organic, slightly irregular surface, with the refiner, weight and purity stamped afterwards. Cast bars are cheaper to produce, which shows in the price, and they are more common in larger sizes.
Minted bars are cut from rolled sheet and struck under pressure. They have sharp edges, a polished face and a precise finish, and they usually arrive sealed in tamper evident assay packaging carrying a serial number.
Neither is better gold. Minted bars cost more and present better, and the sealed assay card carries real practical weight for verification and resale.
Choosing a size
Gold bars run from one gram to a kilogram and beyond. The cost per ounce falls as size increases, because fixed refining, handling and packaging costs spread across more metal.
Against that, a bar is a single unit. A 100 gram bar cannot be sold in parts. If you may want to release a portion of a holding rather than all of it, several smaller bars give you that option, and the extra cost per ounce is the price of the flexibility.
A reasonable middle path for a larger holding is a mix. Some larger bars for weight efficiency, some smaller units for divisibility.
Refiner matters
This matters more for bars than for coins. A sovereign coin is recognised on sight anywhere. A bar is recognised by its refiner.
Bars from established refiners and mints move easily through the dealer network. Bars from unfamiliar or obscure producers can attract additional scrutiny at resale, and some dealers will want to verify them before quoting, which costs you time and potentially margin.
We stock minted gold bars from Perth Mint and Germania Mint. Sticking to recognised names removes friction later.
Keep the packaging intact
If a bar arrives sealed in an assay card, leave it sealed.
The card carries the serial number, the stated weight and purity, and the refiner's assay. Breaking it out satisfies curiosity and costs you the verification chain, which can mean a dealer wants to test the bar before buying it back.
Verification on larger bars
One honest caveat. The counterfeit that defeats simple checking is a tungsten core in a gold shell, because tungsten has a density close to gold and can pass both weight and dimension tests.
This is a risk almost exclusively on larger bars, because a shell needs volume to conceal a core. It is rarely attempted on small bars or coins. Two defences work well. Buy larger bars sealed from recognised refiners, and buy from a dealer with electronic verification. Our guide to spotting fake bullion covers the detection methods.
Frequently asked questions
Are gold bars cheaper than gold coins?
Per ounce of gold, generally yes. Bars cost less to manufacture than struck sovereign coins, and the saving shows in the price above spot.
What size gold bar should I buy?
Larger bars cost less per ounce but cannot be divided. If you may want to sell part of a holding, smaller units give you that flexibility.
Should I open the assay packaging?
No. The sealed card carries the serial number and the refiner's assay, and keeping it intact makes resale simpler.
What purity are gold bars?
Modern bullion gold bars are typically 9999 fine, meaning 99.99 percent gold. The purity is stamped on the bar and stated on the assay card.
Are cast bars worth less than minted bars?
The gold content is identical for the same weight and purity. Minted bars cost more to buy because they cost more to produce and present better.
Browse gold bars
We stock minted gold bars from one gram upward, alongside gold coins from the major sovereign mints. See the range or visit the showroom at 124 Peterborough Street, Christchurch. For the wider picture, start with our gold buying guide.