Bullion
Education
& Resources

Everything you need to invest with confidence — from understanding spot prices and premiums to reading hallmarks, comparing metals, and choosing the right products. Researched and written by the Solomons Bullion team.

Getting Started
with Bullion

Buying physical bullion for the first time is simpler than most people expect. Follow these steps to invest with confidence — and don't hesitate to contact our team for guidance at any stage.

1
Understand What You're Buying

Physical bullion means actual metal — bars or coins — that you own outright. Unlike ETFs, paper gold, or futures contracts, there's no counterparty risk. The metal exists, and it's yours.

2
Check the Live Spot Price

The spot price is the global benchmark price for immediate delivery of a metal. All bullion is priced relative to spot. View our live prices before purchasing to understand what you should expect to pay.

3
Choose Your Metal & Weight

Gold, silver, or platinum — all in a range of sizes from 1 gram to 1 kilogram. Smaller bars have higher premiums per gram; larger bars are more efficient but require higher upfront capital.

4
Decide on Storage

Will you store at home, in a bank safe, or in a professional vault? Solomons Bullion offers 3 months free allocated vault storage with every purchase — the safest and most insured option available.

5
Buy from an Authorised Dealer

Always buy from an authorised distributor of major mints — like Solomons Bullion — to guarantee authenticity, full insurance, and a genuine buyback price when you're ready to sell.

Why Invest in
Physical Bullion?

Physical precious metals have served as stores of value for over 5,000 years. In modern portfolios, they serve as insurance against currency debasement, inflation, geopolitical risk, and systemic financial instability.

No Counterparty Risk

Physical gold is one of the few assets with zero counterparty risk. You own it outright — it's not a promise, a contract, or a liability of any institution.

Inflation Hedge

Gold has historically maintained purchasing power over centuries. While fiat currencies lose value to inflation, gold's purchasing power has remained relatively stable over long time horizons.

Global Liquidity

Physical bullion from major mints is accepted and traded worldwide. You can sell investment-grade gold in any major city on earth, making it one of the most liquid assets you can hold.

Portfolio Diversification

Gold typically has a low or negative correlation with equities and bonds, meaning it tends to hold value or rise when other asset classes fall — providing crucial balance in a diversified portfolio.

Finite Supply

All the gold ever mined would fill roughly 3.5 Olympic swimming pools. Unlike currencies, gold cannot be printed — its scarcity is structural and permanent.

Gold — Key Historical Data
Total ever mined~212,000 tonnes
Annual new supply~3,500 tonnes
Central bank reserves (global)~35,000 tonnes
Australia's gold reserves rankTop 10 globally
Perth Mint — founded1899
AUD/USD gold return 20yr+600%+ (approx.)
Purity of investment gold99.99% (24ct)
Melting point1,064°C
Density19.3 g/cm³ (very dense)
Atomic number79 (Au)
Metal Comparison

Gold vs Silver
vs Platinum

Each precious metal has distinct characteristics, use cases, and investment profiles. Understanding the differences helps you build the right portfolio.

Characteristic 🥇 Gold 🥈 Silver ⚪ Platinum
Purity (investment grade) 99.99% (24ct) 99.99% 99.95%
Rarity Rare More abundant Rarer than gold
Primary driver Monetary / store of value / central banks Industrial + investment (~60% industrial) Automotive / industrial / jewellery
Volatility Moderate High (2–3× gold) High, driven by industrial cycles
Entry price (1 oz) ~$4,800–$5,200 AUD ~$55–$70 AUD ~$1,500–$1,800 AUD
Storage cost per $ Low (high value density) High (bulky relative to value) Low (similar to gold)
GST in Australia No GST (investment grade) No GST (investment grade) No GST (investment grade)
Global liquidity Extremely high Very high Moderate
Best suited for Wealth preservation, large holdings, low storage cost Industrial exposure, smaller budgets, upside potential Industrial upside, diversification, lower entry than gold
Australian GST-free threshold ≥99.5% purity ≥99.9% purity ≥99% purity

How to Read
a Gold Bar

Every investment-grade bullion bar carries specific markings that confirm its authenticity, purity, and provenance. Understanding these lets you verify exactly what you're buying.

The Perth Mint · Australia 1 oz 99.99% PURE GOLD C000001
Mint name The producing institution — e.g. The Perth Mint, Royal Australian Mint, PAMP Suisse. Only buy from recognised government or accredited private mints.
Weight Expressed in troy ounces (oz) or grams (g). Note that 1 troy oz = 31.1035g — different from a standard ounce (28.35g).
Purity Investment grade gold is 99.99% pure (also written as 9999 or 24ct). This means less than 0.01% impurities.
Serial number Unique identifier for allocated storage and insurance purposes. Keeps the bar traceable and individually verifiable.

Understanding
Hallmarks & Fineness

Fineness expresses purity as parts per thousand. A bar marked 999.9 means 999.9 parts out of 1000 are pure gold.

999.9
24ct — Investment Grade
99.99% pure. Standard for all investment bullion bars and coins. No GST in Australia.
999
24ct — Fine Gold
99.9% pure. Common in cast bars. Still investment grade, no GST.
916
22ct — Coin Gold
91.6% pure. Used in Krugerrands and some sovereign coins. Not investment grade for GST.
750
18ct — Jewellery Gold
75% pure. Most common jewellery standard. We buy scrap at per-gram rates.
585
14ct — Jewellery Gold
58.5% pure. Common in US and European jewellery. We buy scrap at per-gram rates.
375
9ct — Jewellery Gold
37.5% pure. Most common in Australian jewellery. We buy scrap at per-gram rates.

Understanding
Premiums & Spot Price

The spot price is the raw market price of a metal. The premium is what you pay above spot to cover minting, distribution, dealer costs, and market supply and demand. Understanding this helps you evaluate whether you're getting a fair price.

Solomons Bullion operates on competitive premiums — typically 3.2% for gold bullion — and pays full spot price on buyback, meaning you capture the full market value when you sell.

Example: 1 oz Gold Bar (indicative)
Spot price (market)
$4,950 AUD
Buy price (spot + 3.2% premium)
$5,108 AUD
Sell / buyback (full spot)
$4,950 AUD
Prices are illustrative. See live pricing for current rates.
Minting Cost

Each bar or coin costs money to produce — design, pressing, certification, packaging. Smaller denominations have a higher cost per gram.

Product Type

Minted bars and coins carry higher premiums than cast bars. Numismatic or proof coins can be significantly higher again.

Weight

Smaller bars = higher premium per gram. A 1g bar might carry 10–15% premium; a 1kg bar might be 1.5–2% over spot.

Supply & Demand

During market stress, premiums spike as demand surges. In calm markets, premiums compress. Timing your purchase matters.

1g
Typically 8–15% premium over spot. Highest per-gram cost but lowest entry price.
5–10g
4–8% premium. Good starter size balancing cost and accessibility.
1 oz
2.5–4% premium. The most liquid and widely traded size globally.
100g+
1.5–3% premium. Efficient for larger investors. Less liquid than 1oz coins.
1kg
1–2% premium. Most cost-efficient per gram. Best for serious investors.
Trusted Sources

Recognised Mints &
Refiners

Only buy bullion from government mints or internationally accredited private refiners. These institutions guarantee purity, authenticity, and resale liquidity worldwide.

Authorised Distributor
The Perth Mint
Perth, Western Australia

Founded in 1899 and owned by the Government of Western Australia, the Perth Mint is Australia's oldest and largest precious metals refiner and mint. It is the world's largest producer of gold bullion coins and bars under the LBMA Good Delivery List.

Key products: Kangaroo gold & silver coins, Lunar series, minted gold bars (1g–1kg), cast gold bars
Visit Perth Mint
Authorised Distributor
Royal Australian Mint
Canberra, Australian Capital Territory

The Royal Australian Mint in Canberra is Australia's national mint and the sole producer of Australian circulating coins. It produces investment-grade bullion coins and commemorative products to international standards.

Key products: Australian gold & silver coins, special edition bullion sets, proof coins
Visit RAM
Partner
PAMP Suisse
Castel San Pietro, Switzerland

Produits Artistiques Métaux Précieux (PAMP) is one of the world's most respected independent precious metals refiners. Their Lady Fortuna bars are among the most recognised and traded bullion products globally, known for exceptional quality and unique artistic design.

Key products: Lady Fortuna gold & silver bars, CertiCard assay certified bars (1g–1kg)
Visit PAMP
Partner
ABC Bullion
Sydney, New South Wales

Australian Bullion Company (ABC Bullion) is one of Australia's most established and trusted bullion dealers and refiners. ABC produces its own range of gold and silver bars, and is an LBMA accredited refiner.

Key products: ABC gold & silver bars, cast and minted products (1g–1kg)
Visit ABC Bullion
Partner
Royal Canadian Mint
Ottawa, Canada

The Royal Canadian Mint produces some of the world's most respected bullion coins, including the Canadian Maple Leaf — one of the purest and most widely traded gold coins ever produced, with a purity of 99.999%.

Key products: Maple Leaf gold, silver & platinum coins, gold & silver bars
Visit RCM
Partner
Valcambi Suisse
Balerna, Switzerland

Valcambi is one of the world's largest precious metal refineries and a leading producer of investment-grade gold, silver, platinum, and palladium bars. LBMA Good Delivery accredited.

Key products: CombiBars, gold & silver bars (1g–1kg), assay certified products
Visit Valcambi
Terminology

Bullion Glossary

40+ terms explained in plain English. Use the search or browse alphabetically.

Allocated Storage

Storage where specific, individually identified items are registered to your name. Your metals never appear on the dealer's balance sheet and are protected in insolvency. The only truly safe form of vault storage.

Alloy

A mixture of two or more metals. Most jewellery gold is an alloy (e.g. 18ct gold is 75% gold + 25% other metals). Investment bullion is not an alloy — it is pure metal.

Ask Price

The price at which a dealer sells bullion (i.e. the price you pay to buy). Also called the offer price. Slightly higher than the spot price due to the dealer's premium.

Assay / Assay Certificate

The process of testing a precious metal to determine its purity. An assay certificate or assay card accompanies many bullion bars as proof of purity, issued by the producing mint or an independent testing laboratory.

Bid Price

The price at which a dealer buys bullion from you (the price you receive when selling). Usually slightly below the spot price. Solomons Bullion pays full spot price on investment-grade buybacks.

Bullion

Physical precious metal — gold, silver, or platinum — in bar or coin form, valued primarily for its metal content rather than rarity or collectibility. Investment bullion is 99.5%+ pure.

Carat (ct) / Karat (k)

A measure of gold purity. 24ct = 99.99% pure. 18ct = 75% gold. 9ct = 37.5% gold. Investment grade gold is always 24ct. Note: "carat" is also used for gemstone weight — an entirely different measurement.

Cast Bar

A gold bar made by pouring molten metal into a mould. Cast bars have a rougher, more organic appearance than minted bars and typically carry a lower premium. The Perth Mint produces iconic square cast gold bars.

Coin (Bullion)

A round piece of precious metal produced by a government mint and issued with legal tender status. Examples: Perth Mint Kangaroo, Canadian Maple Leaf, American Eagle. Coins typically carry a slightly higher premium than bars.

Counterparty Risk

The risk that the other party in a financial contract fails to meet their obligations. Physical bullion has zero counterparty risk — unlike ETFs, paper gold, or futures, where you rely on a third party's solvency.

Fineness

Purity expressed as parts per thousand. 999.9 fineness = 99.99% pure gold. 925 fineness = 92.5% silver (sterling silver). All investment bullion is 999+ fineness.

Good Delivery

The London Bullion Market Association (LBMA) standard for gold and silver bars traded on professional markets. A Good Delivery bar must meet strict weight, purity, and marking requirements. Most major mints are LBMA accredited.

GST on Bullion (Australia)

Investment-grade precious metals are GST-free in Australia. Gold ≥99.5% pure, silver ≥99.9% pure, and platinum ≥99% pure are exempt from GST when sold by a registered precious metals dealer.

Hallmark

An official mark stamped on a precious metal item confirming its purity and the assaying institution. On bullion bars, hallmarks include the mint logo, fineness, weight, and serial number.

Hedge / Inflation Hedge

An investment that tends to maintain or increase in value when another asset or economic factor declines. Gold is widely used as an inflation hedge because its purchasing power has historically remained stable over long periods while fiat currencies lose value.

LBMA

London Bullion Market Association — the international trade association for the professional over-the-counter bullion market. The LBMA sets the global benchmark for gold and silver quality (Good Delivery) and publishes the LBMA Gold Price twice daily.

Minted Bar

A gold bar produced by precision stamping or pressing refined metal into a die. Minted bars have sharp, clean edges and a mirror-like finish. They carry a slightly higher premium than cast bars due to the more labour-intensive production process.

Numismatic Coin

A coin valued primarily for its rarity, historical significance, or condition — not just its metal content. Numismatic coins can trade at significant premiums above spot. Solomons Bullion specialises in investment bullion, not numismatics.

Paper Gold / ETF

Exposure to gold price movements without owning physical metal. Includes gold ETFs, futures, and CFDs. Paper gold carries counterparty risk — in a financial crisis, you may not be able to take delivery of physical metal.

Premium

The amount above the spot price paid for physical bullion. Premiums cover minting, refining, distribution, dealer costs, and supply/demand dynamics. Premiums typically range from 1.5% (1kg bars) to 15%+ (small coins).

Proof Coin

A specially minted collector coin produced with a polished die, giving a mirror-like background and frosted relief design. Proof coins are typically issued in limited numbers and carry significant premiums above bullion coins.

Scrap Gold

Old gold items — jewellery, dental gold, gold fragments — that are sold based on their gold content rather than their form. We buy scrap gold at per-gram rates calculated from the live spot price and declared carat.

Serial Number

A unique identifying number stamped or engraved on a bullion bar by the producing mint. Serial numbers are used to register allocated storage holdings and enable individual bars to be traced and verified.

Spot Price

The current market price for immediate delivery of a precious metal. Published continuously during market hours and derived from global trading on the COMEX, LBMA, and other exchanges. All bullion prices are expressed relative to spot.

Spread

The difference between the buy (ask) price and the sell (bid) price. A tighter spread means less cost to buy and sell. Solomons Bullion offers competitive spreads, and pays full spot on buybacks — effectively a zero spread on the sell side.

Troy Ounce (oz)

The standard unit of weight for precious metals. 1 troy ounce = 31.1035 grams. Note: this is different from a standard (avoirdupois) ounce of 28.35 grams. All bullion prices are quoted in troy ounces.

Unallocated Storage

Storage where you own a share of a pooled holding rather than specific identified items. The metal sits on the dealer's balance sheet, making you an unsecured creditor. Solomons Bullion does not offer unallocated storage — only allocated.

XAU / XAG / XPT

International forex market ticker symbols: XAU = Gold, XAG = Silver, XPT = Platinum. These are used by financial institutions and API providers to represent one troy ounce of each metal in any currency.

Common Questions

Frequently Asked
Questions

Buying
Selling & Pricing
Ready to Invest?

Start Your
Bullion Journey

Browse our full range of gold, silver, and platinum bullion at live spot prices — or contact our team for free, expert guidance.