A complete guide to buying, selling and investing in gold

Learn more about gold, why it is seen as 'safe', and how you can invest today.

Last updated:

Warning: your capital is at risk. The value of investments can fall as well as rise, and you may get back less than you invested. Past performance is no guarantee of future results.
For centuries, gold has been a popular store of wealth. In turbulent times, you might notice people talking about gold as an investment.

How to invest in gold

There are three main routes to investing in gold:

1. Buy gold mining stocks

One option is to invest in gold mining firms. You can find many large firms listed on the FTSE 100. Equally the Alternative Investment Market (AIM) can offer access to smaller, newer enterprises. Through investing in mining stocks, you’re directly linking your capital to the success of these companies, and the changing value and price of gold.

While heavily correlated, the performance of gold mining stocks will not perfectly match the price of gold. Unlike the resource itself, companies are subject to a number of external factors such as employees taking strike action, geo-political implications for the area, natural disasters, and business decisions.

Pros
  • You can pick and choose a range of stocks through a Stocks and Shares ISA, and cash out when you want.
Cons

  • Like any investment, mining stocks are not immune to risk.

2. Gold ETFs

ETFs are another option worth considering. ETFs give access to a whole load of assets, without having to put all of your money into one or two firms. If you need to brush up on ETFs, check out our guide.

Simply, ETFs allow investors to minimise risk, while taking advantage of the performance and general popularity of a particular sector – in this case gold.

There are loads of gold-based ETFs to select from, covering off a whole host of different companies within the industry. There are mining companies, exploration companies, as well as the actual asset itself. Gold ETFs are a pretty good choice for those who are new to investing, as well as those looking to secure their portfolio.

Pros
  • ETFs allow for instant diversification across the whole gold industry, at a low price.
Cons

  • By placing your money in an ETF, you are trusting your gold portfolio to a robo—adviser, and so you naturally relinquish some control over the split of assets.

3. Buy solid gold

For some people, part of the appeal of gold is being able to hold it. If you’re one of those people then good news, buying solid gold has never been easier. Traditionally, you can buy gold Bullion via the Royal Mint.

The Royal Mint is the government owned mint that produced the UK’s coins. Head to The Royal Mint site and you’ll be able to choose from a range of Gold Bars. From 1g up to 1kg, you can buy it online today.

Alternatively, there are plenty of UK based dealerships that will buy and sell gold for competitive prices.

Pros
  • You have a tangible asset which is yours to hold, store, or pass on to someone else.
Cons

  • You will need to factor in the cost of secure storage and insurance if you plan to build up a stockpile of gold. These costs will stack up over time, even if the value of your gold decreases.

Compare these providers for access to gold ETFs and more

Updated October 15th, 2019
Name Product Price per trade Frequent trader rate Platform fees
£1.75 + 0.022% (max £5.00)
£1.75 + 0.022% (max £5.00)
Portfolio transfer fees (in & out)
Your capital is at risk.
eToro Free Stocks
eToro Free Stocks
0% commission, no markup, no ticket fee, no management fee
N/A
Withdrawal fee & GDP to USD deposit conversion
Your capital is at risk.
from £7.50 on the Frequent Dealer Option (or 1% minimum £7.50)
£24 per quarter
£2.00 for a Share Account
Your capital is at risk.
£8
0.05% (min £5)
0.12% per year & transfer-out fee
Your capital is at risk.
From £7.99 on the Investor Service Plan
From £7.99 on the Investor Service Plan
No transfer fees or exit fees. £9.99 a month on the Investor Service Plan
Your capital is at risk.
£8
From £5
£0 - £24/quarter
Your capital is at risk.
£11.95
£5.95
Transfer out fee
Your capital is at risk.

Compare up to 4 providers

Updated October 15th, 2019
Name Product FTSE 100 daily spread Wall Street daily spread GBP-USD daily spread EUR-USD daily spread
eToro CFD Trading
eToro CFD Trading
150pips.
-
4pips. (variable)
3pips. (variable)
65% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
24option.com CFD Trading
24option.com CFD Trading
1pt. (fixed) margin: 0.5%+
0.8pts. (fixed) margin: 0.5%+
1.0pips. (fixed) margin: 0.5%
0.8pips. (fixed) margin: 0.5%+
84.94% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
IG CFD Trading
IG CFD Trading
1pt. (variable)
margin: 5%+
1.6pts. (variable)
margin: 5%+
0.9pips. (variable)
margin: 3.33%+
0.6pips. (variable)
margin: 3.33%+
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Plus500 CFD Account
Plus500 CFD Account
1pt. (variable)
margin: 0.33%+
4pts. (variable)
margin: 0.33%+
2.1pips (variable)
margin: 0.33%+
0.6pips (variable)
margin: 0.33%+
80.6% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
XTB CFD Trading
XTB CFD Trading
0.5
1
0.1
0.2
79% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

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Updated October 15th, 2019
Name Product FTSE 100 daily spread Wall Street daily spread GBP-USD daily spread EUR-USD daily spread
IG Spread Betting Account
IG Spread Betting Account
1pt. (variable)
margin: 0.5%+
1.6pts.
(variable)
margin: 0.5%+
0.9pips.
(variable)
margin: 1%+
0.6pips.
(variable)
margin: 0.5%+
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

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Updated October 15th, 2019
Name Product Cryptocurrencies Bitcoin daily spread Ethereum daily spread Market hours
eToro CFD Trading
eToro CFD Trading
Bitcoin, Ethereum, Bitcoin Cash, Ethereum Classic, Ripple, Litecoin + more
0.75%
1.90%
24/7
65% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
24option.com Cryptocurrency CFD Trading
24option.com Cryptocurrency CFD Trading
Bitcoin, Ethereum, Bitcoin Cash, Ethereum Classic, Ripple, Litecoin
30pips (variable)
6pips (variable)
Sunday 22:00 - Friday 21:59
84.94% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
IG crypto CFD Trading
IG crypto CFD Trading
Bitcoin, Ethereum, Bitcoin Cash, Bitcoin Gold, Litecoin, Ripple
110 pips (variable)
leverage: 1:20+
5 pips (variable)
leverage: 1:5+
Saturday 8am -
Friday 10pm
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Plus500 Cryptocurrency CFD Trading
Plus500 Cryptocurrency CFD Trading
Bitcoin, Ethereum, Bitcoin Cash, IOTA, Litecoin, Ripple
24/7
80.6% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
XTB Cryptocurrency
XTB Cryptocurrency
1%
1%
24h from 04:00 to 22:00
79% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

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Updated October 15th, 2019
Name Product EUR/GBP daily spread USD/JPY daily spread GBP-USD daily spread EUR-USD daily spread
eToro Forex Trading
eToro Forex Trading
4 pips
2 pips
4 pips
3 pips
65% of retail investors lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
24option.com Forex Trading
24option.com Forex Trading
4 pips
3 pips
4 pips
3 pips
84.94% of retail investors lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Pepperstone Forex Trading
Pepperstone Forex Trading
1.9pips
1.2pips
1.9 pips
1 pip
74.6% of retail investors lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Plus500 Forex Trading
Plus500 Forex Trading
-
-
-
-
80.6% of retail investors lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
IG Forex Trading
IG Forex Trading
0.9 pips
0.7 pips
0.9pts (variable)
margin: 3.33%+
0.6pts (variable)
margin: 3.33%+
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
FXTM Forex Trading
FXTM Forex Trading
2.4 pips
2.1 pips
2.1 pips
2.0 pips
64% of retail investors lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
XTB Forex Trading
XTB Forex Trading
0.1 pips
0.1 pips
0.1 pips
0.2 pips
79% of retail investors lose money when trading CFDs with this provider. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Compare up to 4 providers

How much is gold worth now?

Why is gold a ‘safe haven’?

There are many reasons people view gold a safe haven for investors. For example:

  • Gold is a physical asset
  • It is not easily created or destroyed
  • It does not change (it is resistant to oxidation, gold looks the same hundreds of years from now)
  • Cultural and historical value – gold predates modern currency, and has always been seen as beautiful and special
  • This is partly why governments turn to gold in times of financial crisis, which in itself adds to gold’s stability

What is a safe haven?

A safe haven investment is typically stable in times of market volatility. A safe haven is also useful for investors looking to diversify their portfolio, decreasing exposure to riskier assets or investments.

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