Where to buy gold or silver cheaply in Singapore / World?

Many people like to buy silver and gold bullion bars and coins as an investment for the future, where can they buy in the world?

Metalor gold bar 1 kg
Metalor gold bar 1 kg

Where do buy gold and silver?

Singapore happens to be the cheapest and best place in the world to buy gold and silver. We all know that gold is a solid investment, and ethnic Chinese and ethnic Indians love physical gold as an investment for old age or to pass to their children. Silver, as an useful industrial precious metal, is also very popular to buy and hold.

Why is it cheapest to buy gold and silver in Singapore and where?

Singapore, with high GST (Goods and Service Taxes aka VAT) has NO tax on pure bullion gold and pure bullion silver. You are able to buy gold at 0% tax. Many countries in the world impose GST, luxury tax or various way of taxation on gold and silver, and only Singapore and Hong Kong has no tax on gold and silver.

Silver bar 500g Singapore
Silver bar 500g Singapore

Where can we buy gold and silver in Singapore?

1) Jewellery shops

Many jewellery shops that sell gold and silver jewellery at a high premium (craftsmanship and branding for jewelries are expensive) have also pure gold and silver bars in their shop.

Advantages:

Convenient. They are everywhere in shopping malls.
Trustworthy as most jewellery are big corporations

Disadvantages

Costly Premium – They have a high premium on gold and silver bar even when there is no craftsmanship involved.

2) Pawnshop

Many pawnshops do list gold and silver bars and coins from people who have pawned and sold their precious metals.

Advantages:

Convenient. You can find pawnshops in major shopping malls or town centers.
Premium is lesser than jewellery shops.

Disadvantages:

There is still quite some premium attached as the pawnshops need to earn profitably.
Stigma of “old gold” as the gold or silver is sold by someone who needs money.

3) Bullion shops that specialise in gold, silver bullion bars and coins.

We have seen the rise of bullion shops that specialise in selling beautiful coins collection, silver and gold bullion bars and coins. They do not charge a premium as they are non-jewellery shop and does not focus on the branding and craftsmanship.

Advantages:

The lowest premium you can find on gold and silver

Disadvantage:

Not as convenient as there are only 4-5 bullion shops in Singapore. You need to google search for their shops.

Gold Silver City is an ecommerce shop for gold and silver operating in Singapore for almost 10 years. We do insured courier delivery for numismatic coins, and for large value of bullion silver and gold – we are able to visit you at your selected location and deliver personally.
Buy your gold and silver here in Singapore!

Royal Canadian Mint - Gold Maple Leaf
Royal Canadian Mint – Gold Maple Leaf

Buying Gold Silver Guide – Does Brand matter?

GoldSilverCity sells a large variety of brands for both silver and gold, so the question on everyone’s mind is:-

Is brand important for bullion Gold or Silver?

© A2CLICK © A2CLICK

Currently there is a wide variety of differet gold and silver brands.

There are refinery that cast or mint their own brands, selling it as close to spot prices as possible. There are private mints and are government / public mints, there are also financial institutes (such as banks like UOB Gold bar) that forge their own brands on gold / silver that is refined by other 3rd parties.

There are European brands, Americans, Australia brands, Chinese brands etc etc.

Do brands matter?

It actually depends on investors’ preferences. Some brands like RCM (Royal Canadian Mint) is reputed with very pure silver at the lowest premium in the market. Certain other brands, would demand a higher brand premium over the metal value of the bar / coin.

Bar / Coin = Metal Value + Premium

As the metal value depends on the spot prices of the gold and silver, you are essentially paying the premium of the brand.  RCM has low premium. Certain brands like Panda series from China Mint has a much higher premium for its coins.

MintedRectangular_pack_50g_A_800_20130110

Whether it is worth it, it depends on the investor prospector. For example, CML (Canadian Maple Leaf) and ASE (American Silver Eagle) has very low premium over their coins, while Chinese Panda has a high premiums. This premium may not be fixed.

For example, if you have bought CML or ASE in 2011 or 2013 because it costs a lot less than the Chinese Panda series, the current value of CML and ASE in 2015 is still roughly the same as the metal value and the same low premium. Those collectors with the Panda series would be laughing their ways to the banks as the Panda’s premiums has rocketed. Of course this is not a sure thing, so collectors may have to judge their risk-reward ratios.

Pamp Suisse Gold Bar Lady Liberty 1 oz
Pamp Suisse Gold Bar Lady Liberty 1 oz

Another factor is the recognition of the brand. For example PAMP Suisse is highly recognised, especially by the elder generation. Hence PAMP Suisse is seen as a more luxurious brand.

Bullion gold in Singapore has NO GST no TAXES

Lastly, in Singapore, for investment silver and gold that investors can enjoy stacking up without paying the extra 7% GST, they have to patronise only certain brands that are considered IPM (Investment Precious Metals). These brands has to be under LBMA’s (London Bullion Market Association) Good Delivery lists. As such, it is important for stackers to buy silver or gold from these lists as you would be buying them a lot cheaper than if you were to buy a jewellery-branded gold bar that attracts 7% GST.

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What is your favourite brand?

We have all major favourite gold and silver brands.

Except for numismatic bars and coins set, all the silver and gold in Gold Silver City are all classified under IPM, and hence has NO addition GST on them. It would be much more financial prudent to start investment without paying this extra 7% tax.

 

Buying Gold Silver Guide – Bars or Coins?

Many new stackers would ask, be it Gold or Silver,…

Do I stack in coins or do I stack in bars?

Coins

Funnel web spider silver coin 1 oz
Funnel web spider silver coin 1 oz

Coins generally are a favourite among collectors. They comes in different size, from 0.10, 0.25. 0.5, 1, 2 ounces for gold coins, and more common of 1, 2, 5 ounce for silver coins (silver has a wider range from 0.5 ounce to also 1kg or 10kg silver coin, but less commonly bought)

Coins are easy to stack, since you can stack a brunch of them in easily available tubes. And as we use coins in our everyday currency, coins gain legitimacy and recognition easily.

As most coins are in the common 1 oz size, it is also fairly standardised and easy to compare in value.

And there are many different designs and branding available on coins, such that certain coins’ design attracts a fatter premium. These wide range of designs available on coins allow collectors to diversify and beautify their collections, crossing their investment portfolio as an interesting hobby as well.

The biggest disadvantage of silver coins is that minted coins are prone to milkspots. These are white spots on silver bars or coins, even when you bought it fresh from the mint. Royal Canadian coins are notorious for milkspots on their coins, and generally, collectors have learnt to live with it. Do note that there are ways to remove milkspots, but most investors would not do that as it may reduce the value of the coin. Silver coins also may get “toning”, getting blackish and brown over the years due to discolouration from the oxidation.

Coins also have a bit more premium than bars. Generally you are paying for the melt-value of the metal (the spot price of the precious metals) and the brand / design of the coin. In this aspect, coins has a bit more premium that you have to pay for compared to bars.

On another note, precious metals in round shaped are only classified as “coins” if they are minted by public / government mints and declared as “legal tender”. If they are minted by private mint, they do not have legal tender, and the more correct name for them is “rounds”.

Bars

 

PAMP Suisse 100g Minted Gold Bar
PAMP Suisse 100g Minted Gold Bar

Gold bars and silver bars are common for investors to buy and stack, as they are easy to stack especially in larger volumes. The bars can come in as small as 5g or 1g for gold, and more commonly in larger sizes for stackers, such as 100g bars or 1 kilo bars for gold, or 100 oz, 1 kilo, 5 kilo etc for silver bars.

Silver bars of any size are an excellent way to invest in pure Silver while avoiding the premiums usually found on legal tender bullion coins. They are easily bought and sold, stored, stacked and counted..

Minted bars may still face milkspots, though cast bars are generally more robust and less likely to have milkspot problems. Cast bars also provide a more industrial and raw feel and appeals to some collectors.

Bars has less designs compared to coins, and heavier bars are harder to liquidate due to the weight and large monetary value.

In summary

Coins- Pros

More similar to day-to-day currencies, more standardised.
Many designs available.

Coins- Cons

More premiums payable
Some coins are more prone to milkspots

Bars- Pros

Less premiums, and more large size available for stacking

Bars- Cons

Less designs. Larger bars slightly more difficult to liquidate.

Gold Silver City has categorised gold and silver into bars and coins for easier viewing. Check out Gold Bars or Gold Coins and of course, Silver Bars and Silver coins for different sorting. Hope that helps with your viewing pleasure!

Gold Silver Charting TA 23 Aug 2015

Gold and Silver

Gold
DT
Gold break out of inside day and Diff on Wed, closed off above 1,155 resistance and TL2.  If Gold can hold above 1,155 and TL3 for next few days, it may test 1,224
Potential Resistance  1,224 and 1,293
Potential Support 1,155, 1,072 and 995

Silver
DT
Silver formed a Doji on weekly chart, resisted by TL2.  Outside day is formed on daily and weekly chart, potential of a new trend
Potential Resistance 15.60, 16.68 and 17.55
Potential Support 14.38, 14.22 and 12.70

Sourced with permission from Cillin
http://cillinsg.blogspot.sg/2015/08/gold-and-silver_23.html