The idea of buying gold in the form of bars might sound a little comical to the uninformed, however, those who are aware of their true value definitely get the last laugh.
Additionally, in the Philippine market, jewelers and pawnshop franchises now offer affordable gold bars in 1, 5, 10, and 20 grams.
Purchasing gold has been an option for the investment-savvy for centuries. The main reason is that gold maintains its value during political and economic turmoil unlike currencies and other assets such as properties, stocks, and bonds. At any point, gold can be used to make purchases and engage in trade. It never depreciates and it is unaffected by inflation and deflation, making it an excellent choice for individuals looking to deepen—and protect—their investment portfolios.
Today, more and more Filipinos are exploring this option to grow their wealth. To help you learn the basics of buying gold and investing in gold bars, we provide a guide that every beginner can refer to.

Buying Gold Bars: Tips to Consider
Finding reputable sellers
Authentic gold bars are sold by only a handful of trusted sources. Banks, reputable jewelers, and known precious metals dealers are your best bets. Some of these establishments may even be licensed by the government. Do perform due diligence when assessing a seller. It goes without saying that you mustn’t trust sellers right at face value (especially if you are shopping online), that it’s good to seek second opinions if you are unsure of a purchase, and to require sellers to provide certificates of authenticity.
Gold bars vs. gold jewelry: Which is better?
Simply put, gold jewelry is for those looking for something valuable and stylish—an investment piece that you can wear. Gold bars could be a better choice for those looking for something they don’t necessarily want to display and simply want to invest in. Both are valuable, however. Gold bars may be even more so because they are “purer” (i.e.: they have more gold content). Gold jewelry may be a product of gold being mixed with other metals. Both can be resold on the market but gold bars may have higher returns because of their purity.
Gold bar storage
There is no strict rule for storing gold bars, only that they need to be kept secure to guard them against theft as well as the elements. Gold is a soft metal so you will still want to keep it away from items that can damage it as well as fluctuating temperatures and light to preserve its quality as best as you can. You can set up a heavy-duty safe at home or rent out a bank vault or safety deposit box. You may also want to consider purchasing insurance for your gold bars for an extra layer of security and peace of mind.

Pawning gold bars
Yes, gold bars are pawnable. If for whatever reason you decide to sell your gold bars to a pawnshop, this is a way to obtain funds quickly. It might not get you what your bars are truly worth so only consider this option if instant payouts are what you’re looking for. To protect yourself from bad deals, learn how price is computed based on karat and how factors such as supply and demand, economic activity, and global market trends affect your investments’ value. More so, sell only to trusted pawnshops as they may be fairer in terms of pricing. Be discerning with whom you approach for this kind of transaction. Also, consult a professional jewelry appraiser to ascertain the value and authenticity of your gold bar.
Understanding karats
Gold bars are typically 24 karat—the highest it can go. The higher the karat, the purer the gold, the better the quality, and the more valuable your investment. Lower karats indicate that your gold bar has other metals present in it. While this can be good for good jewelry (the presence of other metals makes gold jewelry easier to work with and stronger, considering that pure gold is very soft and prone to damage), you want your gold bars to be as pure as possible.
Bargaining a good price
Finally, know how to strike a good deal with a seller by having enough knowledge of spot and premium prices. Spot price is a term used for the going rate of gold bars. A premium price is what you will likely pay because sellers need to cover costs for shipment, packing, and storage. Premium price is also affected by global trends, availability or scarcity of gold bars, quality, size, and karat. Before you even speak with a seller, be armed with good research to be able to make a good bargain. Again, feel free to consult a professional jewelry appraiser.
Long-term investment
Gold bars are a long-term investment especially if you plan to sell them eventually. They are not recommended for those who may need to liquidate assets quickly. You may be selling at a loss if you let go of gold bars only a few months or a couple of years after purchase, especially because their going rates are easily affected by volatile market trends. Furthermore, gold bars in themselves do not earn a profit. Unless you sell them, they will not earn you income the same way other investment options can.
With these basics on purchasing gold bars, even new investors can make better-informed decisions. Understand the basics, and the advantages and disadvantages, of buying gold bars to know if this investment is right for you.
Want to learn more about gold investments or would like to authenticate your gold pieces? Schedule an appointment with Willyn Villarica, the only NAJA-recognized Filipino appraiser and gemologist.
Send your inquiries via willynvillarica@willynvillaricajewelry.com or through Facebook (Willyn Villarica Jewelry) or Instagram (@willynvillarica_jewelry).