Building your own stash of gold doesn’t have to be this risky…!
HOW CAN BUYING GOLD AND SILVER HELP TO PROTECT MY WEALTH?
Have you ever wondered what it would be like to own Physical Gold and Silver? Far from the slightly risky image portrayed in crime films, Gold and Silver are one of the most traditional safe havens known to the financially prudent.
Wealth held with banks or by other large financial institutions and governments is no longer considered as safe as it once was. Consequently, we at Bleyer have seen an increasing demand in the precious metals market over recent years, we continue to meet the varying needs of clients wanting to flexibly hold a proportion of their wealth in this ancient and trusted form. A generation returning to the wisdom of their grandparents, when owning Gold and Silver British coins particularly, was perfectly normal. In 1970 you could buy an ounce of gold for £14.60, an ounce of gold in 2015 is looking very appealing again at a low price of £780. This may seem comparatively high but it did reach almost £1,200 in 2011.
Gold and silver are often used in conjunction with other investments as a hedge or for other advantages.
Read on to find out how you can get into precious metal investments at our current low prices and how to avoid missing the Horse!
WHAT FORM OF PRECIOUS METAL SHOULD I BUY?
People can get confused between assets they love like jewellery and their homes, convincing themselves they are investments when this is not generally the case. An ounce of pure gold in jewellery form is likely to cost you in the region of £2,340, whereas a pure gold coin or bar with no VAT would cost closer to £818. Therefore, wisdom is often found in what form we choose to buy our Gold. Everyone knows Gold is valuable. It has been a traditional store of wealth for centuries. You pay production costs when you buy and don’t usually get them back when you sell.
A further advantage to buying bullion coins and bars is that you will know exactly how much Gold you have – it is pure bullion – 99.99% Gold. There is no higher rating. The 0.01% has to legally be in there to account for minute particles of dust – so say the London Bullion Market Association (LBMA). We at Bleyer only buy our bars and coins from trusted refiners and sources.
“The LBMA is an international trade association, representing the London market for gold and silver bullion which has a global client base. This includes the majority of the gold-holding central banks, private sector investors, mining companies, producers, refiners and fabricators. The on-going work of the Association covers a number of areas, among them refining standards, trading documentation and the development of good trading practices.”
So knowing the purity, authenticity and value of your Bars and Coins is vital for when you come to sell them back, either to Bleyer or any other Bullion company. The money you receive back for your investment is based on the gold content.
How much will I get when I come to sell my gold?
If we are talking about Gold Jewellery, it often bought as ‘scrap gold’ and selling it back puts the client sometimes at risk of being under-quoted the true value of their Gold, simply because the client cannot easily tell the exact content, the daily current fix price and the grams of Gold in their jewellery. There are also processing costs involved to get back to pure gold for recycling.
Alternatively, when someone wishes to sell Gold bullion coins or bars to Bleyer, it is much more straightforward. We quote the price based on the daily current market price, which can be verified by you the client, by simply checking the internet. The process is extremely transparent, accurate and most importantly the client can see exactly how accountable we are to them. We typically buy back at 95% to 98% of the daily fix price and the main factors that affects this is the condition of the bar or coin and its desirability. It’s that straight-forward.
So buying Gold bullion from Bleyer will save you VAT and give you peace of mind. But there is even more inside knowledge which we would like to share with you.
If you buy certain Gold products from us, you will save not only your VAT, but also your Capital Gains Tax as well. This is the tax you pay when you make gains on the sale of capital assets in any one tax year. A certain amount of gain is exempt (currently £11,100 pa), and then after that you pay tax on the remainder.
Is there a way out of this legally, transparently and by using Gold Bullion as your investment?
There is. The 1oz Gold Britannia coin, 1 ounce Lunar coins as well as the smaller Gold Sovereign coin, are all actually classed as legal tender in the United Kingdom. Because of this they are both Capital Gains Tax exempt! CGT. rates currently stand between 18%- 28%, depending on your income bracket. So this is a considerable saving, simply by investing in certain physical Gold products over others. We have clients who have bought large amounts of their investments in these 1oz Gold coins, thereby lining up for themselves potential massive savings later on.
The 1 oz Silver Britannia coin and 1oz Silver Lunar coins, classed as a ‘coin of the realm’ are also CGT exempt. But silver does carry VAT which would effectively off-set most or some of the CGT gain, depending of course on how long you are prepared to hold the coins.
So, if you have an investment to make, consider placing your money into Physical Gold to save yourself both your VAT and CGT.
Another advantage especially of Gold, beyond the tax advantages, is it’s EXTREMELY PORTABLE. A 100 gram bar of Gold is currently selling for £2,578.00, yet it is small enough to slip into a small pocket or middle sized purse. So, clearly Gold and Silver have many advantages.
When is a good time to buy? Now whilst the prices are low or wait until the prices shoot up and jump on the bandwagon “when I feel more certain”?
Here is a Gold chart from June 2005 to June 2015. As you can see, the price has consolidated considerably and all signs hint at a push for Gold to go higher. There has been a pull-back for a number of months. Although we are unable to say that now is a good time to buy, it looks like the price is more likely to go up than down following a long period of consolidation.
Yet if we look out from the charts and numbers to the world stage, I’m sure you are aware that Russian China and even Germany are all buying Gold in large quantities. Germany, particularly, is doing so on the worry that the Greek currency will default.
As recently as May, The Telegraph’s Commodities editor, Andrew Critchlow, headlined his overview with the words “Economic uncertainty in Europe and fear of a Greek default are turning people to buy gold bars and coins.” In Britain nowadays we simply cannot ignore our relationship to Europe and other financial markets.
“Latest figures from the World Gold Council show that Germans increased their buying of gold coins and bars of bullion by 20pc to 32.2 tonnes in the last quarter, the highest rate of purchases seen in a year. The strong buying of gold – which is traditionally seen by investors as a safe-haven asset – was seen across Europe amid growing uncertainty over central bank policy and the standoff between Athens and its creditors. This was the strongest start in Europe for gold coins and bars that we have seen since 2011,” Alistair Hewitt, head of market intelligence at the World Gold Council told The Telegraph. “German investors are fretting over the ECB, Greece and Ukraine.”
We at Bleyer notice that the majority of new clients, people like yourselves who may not have ventured into even thinking they could buy Gold and Silver, often then do buy – but after the price has seriously begun to rise. This means unfortunately many people buy when the price is high, thus wiping out much of their profit over the long run. We would like to encourage our readership to think of the monetary advantages to buying when the price is steady and lower, to venture into the financial future ahead of the crowd.
We all like to be ahead of the crowd, to be onto a good thing before the other people around us have noticed. With a small amount of research or even with a quick phone call to Bleyer, we hope to encourage you to see the advantage of buying “low” and holding “long.”
For those of you liking Silver the gains can be even greater, despite VAT and other factors, it is not as portable but here is the graph for you to see for yourself.
Panic buyers coming into the market
To make the very best of your investment, have a look at our constantly changing Special Offers page, which offers the best prices in the UK on several products from 1oz Gold coins to a 5kg Silver bar.
If you do not wish to take physical delivery of your Gold, we offer a Secure Storage facility in the UK for a small fee. Your Gold remains in your name in an allocated account. For a small transfer fee to cover administration, you can change your mind and take delivery at any time.
Lastly, we can even offer Gold products to be held in your Pension and are happy to talk you through this with a no-obligation phone call.
To find out how simple it is to own your personal Physical Gold and Silver call one of the Bleyer Team on: 01769 618618 or email:sales@bleyer.co.uk
Either way, you decide how much Gold and Silver you would like to hold, either personally or in storage. Unlike many Bullion Companies we do not require you to buy in bulk. We provide an extremely personal bespoke service enabling you to look at how best to protect your wealth. Many of our clients come back to us again and recommend their family and friends to our caring, professional service. We are also very discreet, understanding the security you want to feel when you buy Physical Gold and Silver. Only if you spend more than £5,000 or cumulative purchases over £10,000 in any 12 month period, are we legally bound to ask you to complete a Client Application Form. We store this under Data Protection Laws. This simply involves you providing two forms of identification. You do not need to send us your original documents. For details please see our website or request a Client Application Form, together with our Terms and Conditions.
Lastly, our delivery can be either to your home address; or if more convenient to your work or other address if you put this in writing and pay by bank transfer. All our deliveries are fully Insured, signed for and mostly guaranteed next day before 1.00 pm, if your items are in stock.
We would like to help you into owning a very traditional, authentic and transparent store of value for your wealth and savings. Please call us for details on 01769 618618.
Many Gold and some Silver Bars and Coins are TAX FREE. A great reason to investigate further. Bleyer Bullion is a family run business based in Devon. Established in 2006, just before the property crash, the founding partners moved out of property into Gold and Silver. There are a small, friendly, family run business with three generations of asset management. Here they explain the TAX ADVANTAGES even to a small investor of both their VAT free and CAPITAL GAINS TAX free products:
“We at Bleyer have a very high code of ethics. Working with products as valuable and traditional as Gold and Silver gives us that perspective. But if there is a way to legally avoid paying tax we like to inform our clients about it. Did you know that ALL Gold Bullion bars and coins are free from V.A.T.? So that is a saving of 20% right there.”
