The Top Three New Bullion Buyer Mistakes and How to Avoid Them

Overview

Bullion is thought to be one of the safest ways to invest in precious metals. People who are new to this market, even the smartest ones, can fall into common mistakes when they first start. We can assist you because we are experienced bullion dealers who have seen everything in the market. 

First Error: Concentrating Only on Cost 

Assuming that all of the precious metals are of equal value, first-time buyers frequently select gold or silver based on the lowest price per ounce. They frequently go to unfamiliar websites or to private sellers who offer bars or coins at ridiculously low prices, which is often the case. One way to avoid it is to go to a reputable dealer. At AU Bullion, we provide both transparent pricing and product descriptions to our customers. 

Second Mistake: Buying the Wrong Amount

A lot of the time, new investors don't know about the different uses for bullion. Some people want to get rich by buying coins that are worth a lot. Some people buy one kilogram of gold or one hundred ounces of silver bars, but they find it hard to sell or trade them. 

If you don't think about your financial goals when choosing gold bars , silver rounds , coins, or fractional pieces, you might get frustrated and waste time.

How to stay away? Determine your goals. Is your goal to diversify your portfolio, achieve short-term liquidity, or achieve long-term security through your investments? 

• • You might want to think about fractional items like 1 oz silver rounds, 5 oz silver bars, or Maple Leafs when it comes to liquidity. It's easier to sell or trade an item like this when you need to. 
• • Gold bars, especially those made by well-known mints, are a simple and cost-effective way to keep your money safe.

The Third Error: Not Having A Buyback And Exit Plan

When people are excited about buying something for the first time, they often forget how they will get out of the deal. They might think that any dealer will buy their bullion back at the best price on the market at that time, but they find out that not all products are accepted. 

How to avoid this? You should stick with gold bars from the Royal Canadian Mint, silver from Asahi or PAMP Suisse, or silver eagles from the United States Mint because these are more widely accepted and easier to liquidate. 

AU Bullion can help you find balance in your gold and silver bullion portfolio if that's what you're looking for.