Why buy gold?
Best place to buy gold in Switzerland,there are various reasons to buy gold, whether as a classic gift, for saving for diversification or to have a barter commodity for emergencies that is also widely accepted independently of state currencies.
Where can you buy gold?
Switzerland is the hub of the international gold trade. Around 60% of the gold mined each year is refined in Switzerland. It is therefore hardly surprising that gold is easy to acquire in Switzerland. Two thirds of the Swiss buy their gold directly from their house bank, and there are also precious metal dealers. For small quantities of gold you have to calculate carefully, the prices that banks and dealers charge for small quantities are often very high. It is also advisable to check the possibility of trading gold directly with other consumers. BonasGold provides an excellent place for this purpose.
Is it possible to buy gold anonymously?
Gold can be bought anonymously in Switzerland from gold dealers in spot transactions for up to CHF 15000 and paid for with cash. Since banks only sell precious metals to their own customers, anonymous purchases are not possible. In other EU countries, the limits for the anonymous purchase of gold and other precious metals are for the most part much lower, in Germany 2000€, in Italy even only 1000€.
When trading gold between private persons, there is no upper limit, but we still recommend that precious metals are always traded against receipt only.
What are the advantages of gold over other precious metals?
As described above, banking gold is exempt from VAT, this is of course a significant advantage over other precious metals such as silver, platinum and palladium which are also traded for savings purposes but are always subject to the current VAT rate.
The ratio between gold already mined and the new gold mined each year, also called the stock-to-flow ratio, is very high. At today’s rate of mining, it would take over 70 years to mine that much gold again. For silver it is still 22 years, for platinum and palladium it is less than one year.
All precious metals are used or consumed in industry, although the gold consumed in industry is negligible in relation to jewellery and investment gold.
In the case of white precious metals such as silver, platinum and palladium, the low stock-to-flow ratio and high consumption in industry can be a disadvantage, as this means that a change in demand is also strongly reflected in the price.
Frequently asked question about buying gold
Is gold VAT-free in Switzerland?
Yes, gold for savers is exempt from VAT in Switzerland. This includes the well-known coins such as the Krugerrand, Maple Leaf, Eagle, Vienna Philharmonic and gold bars with a purity of at least 995. Former exchange rate coins such as the gold Vreneli or the Napoleon d’Or can also be traded VAT-free.
How to buy gold anonymously?
In Switzerland, gold dealers are only obliged to establish the identity of a customer if the amount exceeds CHF 15,000; below this limit, gold can be bought anonymously. There is no limit when trading between private individuals.
In which denomination should I buy gold?
Since the surcharge is smaller the larger the denomination, one should not choose a denomination that is too small. It should be noted, however, that one should not exclusively buy large bars and coins, as otherwise one would have to sell a large amount of gold if one has a small need for liquidity. There is therefore no universal answer to this question, but it always depends on the individual needs of the saver.
Where can you buy gold?
Besides the platform BonasGold where you can buy gold directly from other private persons, it is also possible to buy gold at the bank or from a specialized gold dealer.
- Gold Futures
A gold futures contract is an agreement to buy or sell a certain amount of gold at a later date. Gold futures enjoy more liquidity than physical gold without management fees, though brokerages may charge a trade fee per contract.
Gold Bars
Gold bars are one of the most popular ways of investing in physical gold in Switzerland.They are available in various sizes, ranging from a few grams to a kilogram or more.
Gold bars usually have a lower premium than coins for the following reasons:
- Gold bars often have less intricate designs than coins, allowing the manufacturing or minting costs to be lower.
- Gold bars are often produced with higher weights than gold coins. In general, the heavier the gold bar, the lower the price premium will be, given the manufacturing economies of scale.
Within the bullion industry, there are 2 types of gold bars produced in general – minted gold bars and cast gold bars.
Store Inside a Home Safe
You can buy a good safe to store gold at home without additional storage costs. However, do note that the safety of your gold is dependent on your home security. In addition, most home insurance may not cover or be insufficient if you have substantial gold holdings if they are damaged
Contact us and we shall be pleased to help you accordingly.
