Hi,
If you’re a beginner at purchasing precious metals, it might take some deciphering to understand what’s going on in reading a listing for a bullion product. Fineness, weight, and purity are all critical to knowing what you’re purchasing, but they’re not always clear at first glance.
At AU Bullion Canada, we think you’ll feel better knowing you’re making the right purchase. That’s why we want to inform you about the important specifications you’ll find on gold, silver, and platinum bullion items—so you can buy with confidence.
Weight
One of the key considerations in the purchase of bullion is weight, as it has a direct impact on the worth of your investment.
Ounces (oz) – Bullion is usually measured in troy ounces, not to be confused with conventional (avoirdupois) ounces.
Grams (g) – Smaller bars and coins are usually expressed in grams.
Kilogram packs – For bulk purchases, there are some bars available in kilogram packs.
Typical weights are:
One troy ounce is equal to roughly 31.1035 grams.
Purity
Purity is the proportion of pure metal within a product of bullion. It’s typically given in two primary formats:
Percentage (%): For instance, a gold bar with 99.99% purity.
Parts per thousand (‰): For instance, .9999 fine gold.
Typical Purity Levels
- Gold: .9999 (24 karat) or .999 (99.9%)
- Silver: .999 or .9999
- Platinum: .9995
Increased purity typically translates to a higher cost per ounce or gram, but to a better investment as well.
Fineness
Fineness is a descriptive method of detailing purity and is usually employed to denote high-grade bullion goods.
- .9999 Fine Gold – Called 24 karat gold, usually seen in Royal Canadian Mint Gold Maple Leafs.
- .999 Fine Silver – Investment-grade standard for silver bars and coins.
- .9995 Fine Platinum – Used for platinum bars and coins.
Fineness is important because it influences the melt value and resale value of your bullion.
Face Value
Certain bullion coins, such as American Eagles or Canadian Maple Leafs, have a face value even if their metallic content is much more valuable.
For instance:
- 1oz Gold Maple Leaf Coin: CAD $50
- 1 oz Silver Maple Leaf Coin: CAD $5
Its face value confers to the coin legal tender status in its home country, regardless of its melt value being much greater.
Mint and Brand
The brand or mint which is creating the bullion will also have an effect on both its value and attractiveness. Certain mints are renowned for high quality, and others boast special security elements.
Top Mints and Brands
- Royal Canadian Mint (RCM) – Renowned for gold and silver coins of high purity.
- PAMP Suisse – Renowned for its exquisite designs and security.
- Asahi Refining – A brand you can trust in both gold and silver.
- Valcambi Suisse – Famous for its cutting-edge designs such as the CombiBar.
Purchasing from reputable mints guarantees you receive legitimate, high-quality bullion.
Serial Numbers and Assay Cards
Several premium gold bars are sealed in Assay cards to authenticate the weight, purity, and authenticity of the product. The card usually has a serial number to provide additional security.
For instance:
PAMP Suisse Fortuna Bars are sealed with a hologram and a serial number.
Valcambi gold bars usually come with an Assay card to facilitate verification.
Dimensions and Thickness
For vault storage or home safes, size does matter. Dimensions and thickness will usually be provided in product listings to enable you to budget your storage space.
Circulated vs. BU vs. Proof
You’ll also notice the following terminology appearing in product listings: Circulated, BU (Brilliant Uncirculated), and Proof.
Circulated: Used, tends to be offered at lower premiums.
BU: Uncirculated coins which have not been put into general circulation.
Proofs are collectible, high-quality coins featuring mirror-like finishes.
They have varying prices and attractiveness, according to your investment objectives.
Where to Buy At AU Bullion Canada, we include specific specifications for all our gold, silver, and platinum items to ensure you know what you’re purchasing. We have live pricing, expedited shipping, and individualized service to ensure your bullion purchase is as seamless as possible.
Final Thoughts
As we know, bullion product specifications are an important step to take to become a confident investor. From purchasing one gold coin to investing in the Silver Monster Box, understanding the specifications will allow you to make informed purchasing decisions. Ready to build your precious metals portfolio? Stop by AU Bullion or visit one of our Vancouver or Brampton branches to see our entire lineup of products.
