A gold bar, also known as gold bullion or a gold ingot, refers to a quantity of refined metallic gold that can be shaped in various forms, produced under standardized conditions of manufacture, labeling, and record-keeping. Larger varieties of gold bars, produced by casting molten metal into molds, are called ingots. Smaller bars are often created through minting or stamping from rolled gold sheets. Central banks typically hold the standard 400-troy-ounce (438.9-ounce; 27.4-pound; 12.4-kilogram) Good Delivery gold bar in their gold reserves and it is widely traded among bullion dealers. Additionally, the kilobar, weighing 1,000 grams (32.15 troy ounces), and the 100-troy-ounce (109.7-ounce; 6.9-pound; 3.1-kilogram) gold bar are popular for trading and investment due to their more manageable size and weight. [1] These bars carry a minimal premium over the spot price of gold, facilitating small transfers between banks and traders. While most kilobars have a flat appearance, a preference for brick-shaped bars exists among some investors, particularly in Europe. [2]
Gold bars are classified based on their production process into cast or minted forms, each differing in their appearance and market value. Cast bars, similar to ingots, are formed by pouring molten gold into a mold shaped like a bar, then allowing it to cool and solidify. This method often results in bars with irregular shapes and uneven surfaces, granting each bar a unique identity and making them easily recognizable. Due to their relatively simple production process and minimal handling, cast bars are generally less expensive than their minted counterparts.
Minted bars are made from gold blanks, which are precisely cut from a flat gold sheet to achieve the desired dimensions. These bars are characterized by their smooth and uniform surfaces, reflecting a more refined and labor-intensive manufacturing process.
Manufacturers have developed measures to ensure the authenticity of gold bars and to protect them against counterfeiting or theft. The most prevalent method involves marking bars with unique registered serial numbers or issuing a certificate of authenticity. Some refineries emboss even the smallest bars with serial numbers, which should correspond with the numbers on their associated certificates. [3]
In contrast to cast bars, which may be handled directly, minted bars are typically enclosed in protective packaging or equipped with tamper-evident technology to deter tampering and prevent damage. Additionally, a security feature known as a Kinegram, a type of hologram, can be embossed directly onto a gold bar. Bars containing this feature are referred to as Kinebars. [4]
Gold is measured in troy ounces, often simply referred to as ounces when the reference to gold is evident. One troy ounce is equivalent to 31.1034768 grams. The troy ounce is heavier than the avoirdupois ounce, a commonly used unit for measuring weight in the United States customary system. One avoirdupois ounce equals 28.349523125 grams. [5]
The standard gold bar held and traded internationally by central banks and bullion dealers is the Good Delivery bar with a 400 ozt (12.4 kg; 27.4 lb) nominal weight. However, its precise gold content is permitted to vary between 350 ozt (10.9 kg; 24.0 lb) and 430 ozt (13.4 kg; 29.5 lb). The minimum purity required is 99.5% gold. These bars must be stored in recognized and secure gold bullion vaults to maintain their quality status of Good Delivery. The recorded provenance of this bar assures integrity and maximum resale value. [6]
Manufacturer | Bar sizes | |||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Grams | Ounces | Taels | Tolas | |||||||||||||||||||||||
1 | 2 | 2.5 | 5 | 10 | 20 | 50 | 100 | 250 | 500 | 1,000 | 1⁄10 | 1⁄4 | 1⁄2 | 1 | 2.5 | 5 | 10 | 100 | 400 | 1 | 1 | 2 | 3 | 5 | 10 | |
Baird & Co. [7] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||||
Emirates Gold [8] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | |||||||||||||||
Heraeus [9] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | |||||||||||||||
Metalor [10] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||||||||
PAMP [11] [12] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||
Perth Mint [13] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | |||||||||||||
Royal Canadian Mint [14] [15] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||||||||||||||
Royal Mint [16] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||||||||||||
Umicore [17] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||||||||
Valcambi [18] [19] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ||||||||||||
UBS [20] | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() | ![]() |
The world's largest gold bar stands at 250 kg (8,038 ozt), measuring at the base 455 mm × 225 mm (17.9 in × 8.9 in) and 170 mm (6.7 in) high with 5 degree draft angle (equal to 15,730 cm3 or 960 cu in). It was manufactured by the Mitsubishi Materials Corporation, a subsidiary of Mitsubishi. It went on display at the Toi Gold Museum on 11 July 2005. Its gold content was valued in 2005 at 400 million yen (approximately US$3,684,000 at the time). [21] [22] [23] As of January 2023 [update] , it is worth approximately US$15.1 million. [24]
The pound or pound-mass is a unit of mass used in both the British imperial and United States customary systems of measurement. Various definitions have been used; the most common today is the international avoirdupois pound, which is legally defined as exactly 0.45359237 kilograms, and which is divided into 16 avoirdupois ounces. The international standard symbol for the avoirdupois pound is lb; an alternative symbol is lbm, #, and ℔ or ″̶.
Tael, also known as the tahil and by other names, can refer to any one of several weight measures used in East and Southeast Asia. It usually refers to the Chinese tael, a part of the Chinese system of weights and currency. The Chinese tael was standardized to 50 grams in 1959.
The gram is a unit of mass in the International System of Units (SI) equal to one thousandth of a kilogram.
Troy weight is a system of units of mass that originated in 15th-century Kingdom of England and is primarily used in the precious metals industry. The troy weight units are the grain, the pennyweight, the troy ounce, and the troy pound. The troy grain is equal to the grain unit of the avoirdupois system, but the troy ounce is heavier than the avoirdupois ounce, and the troy pound is lighter than the avoirdupois pound. One troy ounce equals exactly 31.1034768 grams.
Precious metals are rare, naturally occurring metallic chemical elements of high economic value. Precious metals, particularly the noble metals, are more corrosion resistant and less chemically reactive than most elements. They are usually ductile and have a high lustre. Historically, precious metals were important as currency but are now regarded mainly as investment and industrial raw materials. Gold, silver, platinum, and palladium each have an ISO 4217 currency code.
The ounce is any of several different units of mass, weight, or volume and is derived almost unchanged from the uncia, an Ancient Roman unit of measurement.
The United States Bullion Depository, often known as Fort Knox, is a fortified vault building located next to the United States Army post of Fort Knox, Kentucky. It is operated by the United States Department of the Treasury. The vault is used to store a large portion of the United States' gold reserves as well as other precious items belonging to or in custody of the federal government. It currently holds roughly 147 million troy ounces of gold bullion, a little over half the total gold presently held by the federal government. The United States Mint Police protects the depository.
The American Gold Eagle is an official gold bullion coin of the United States. Authorized under the Gold Bullion Coin Act of 1985, it was first released by the United States Mint in 1986. Because the term "eagle" also is the official United States designation for the pre-1933 ten dollar gold coin, the weight of the bullion coin is typically used when describing American Gold Eagles to avoid confusion with the pre-1933 coins. This is particularly true with the 1/4-oz American Gold Eagle, which has a marked face value of ten dollars, the same as that of its predecessor.
The Canadian Gold Maple Leaf (GML) is a gold bullion coin that is issued annually by the Government of Canada. It is produced by the Royal Canadian Mint.
Of all the precious metals, gold is the most popular as an investment. Investors generally buy gold as a way of diversifying risk, especially through the use of futures contracts and derivatives. The gold market is subject to speculation and volatility as are other markets. Compared to other precious metals used for investment, gold has been the most effective safe haven across a number of countries.
The Chinese Silver Panda is a series of silver bullion coins issued by the People's Republic of China. The design of the panda is changed every year and minted in different sizes and denominations, ranging from 0.5 troy oz. to 1 kilogram. Starting in 2016, Pandas switched to metric sizes. The 1 troy ounce coin was reduced to 30 grams, while the 5 troy ounce coin was reduced to 150 grams. There is also a Gold Panda series issued featuring the same designs as the Silver Panda coins.
Silver may be used as an investment like other precious metals. It has been regarded as a form of money and store of value for more than 4,000 years, although it lost its role as legal tender in developed countries when the use of the silver standard came to an end in 1935. Some countries mint bullion and collector coins, however, such as the American Silver Eagle with nominal face values. In 2009, the main demand for silver was for: industrial applications (40%), jewellery, bullion coins and exchange-traded products. In 2011, the global silver reserves amounted to 530,000 tonnes.
Platinum as an investment is often compared in financial history to gold and silver, which were both known to be used as money in ancient civilizations. Experts posit that platinum is about 15–20 times scarcer than gold and approximately 60–100 times scarcer than silver, on the basis of annual mine production. Since 2014, platinum prices have fallen lower than gold. Approximately 75% of global platinum is mined in South Africa.
The Chinese Gold Panda is a series of gold bullion coins issued by the People's Republic of China. The Official Mint of the People's Republic of China introduced the panda gold bullion coins in 1982. The panda design changes every year and the Gold Panda coins come in different sizes and denominations, ranging from 1⁄20 to 1 troy ounce.
The Russian George the Victorious is a bullion coin issued in gold and silver by the Central Bank of Russia. Mintage began in 2006 with quarter-troy ounce (7.78g) gold coins with a face value of 50 rubles and later in 2009 a one-troy ounce silver coin was introduced with a face value of 3 rubles. Since then, tenth, half, and one-troy ounce gold coins have been minted.
The Good Delivery specification is a set of rules issued by the London Bullion Market Association (LBMA) describing the physical characteristics of gold and silver bars used in settlement in the wholesale London bullion market. It also puts forth requirements for listing on the LBMA Good Delivery List of approved refineries.
MKS (Switzerland) SA is a trader of precious metals. Based in Geneva, the group employs approximately 1,500 workers. MKS is an associate of the London Bullion Market Association (LBMA), and its subsidiary PAMP has been on the LBMA's Gold List, widely recognised in the financial services industry as the indicator of quality, since 1987.
The London bullion market is a wholesale over-the-counter market for the trading of gold, silver, platinum and palladium. Trading is conducted amongst members of the London Bullion Market Association (LBMA), tightly overseen by the Bank of England. Most of the members are major international banks or bullion dealers and refiners.
The Vienna Philharmonic, often shortened to Philharmonic, is a bullion coin of gold, silver, or platinum produced by the Austrian Mint. The coin is named for the Vienna Philharmonic orchestra, which inspired the design of both sides. It was introduced in 1989 as a one-troy ounce (ozt), gold coin with a face value of 2,000 Austrian schillings. It is generally one of the world's best selling bullion coins. In 2002, with the adoption of the euro currency, the nominal value of the one-ounce coin was changed to 100 euros. In 2008, the Mint introduced a one-ounce silver version of the coin with a nominal value of 1.50 euros. The silver coin is also one of the top selling bullion coins, ranked third in 2013. In 2016, the mint introduced a one ounce platinum coin with a face value of 100 euros.
PAMP SA is an independent precious metals refining and fabricating company, and a member of the MKS Group. Established in 1977 in Ticino, Switzerland, the company originally started as a minting facility for bars weighing less than 100 grams and as an alloy specialist for the jewelry and luxury watch-making industries. It has since expanded to provide a full range of services, from collecting doré from mines to assaying, hedging, and delivering its bars and other products. PAMP produces bullion bars ranging from 1 gram to 12.5 kilograms.