Gold
Allocated gold means specific bars in a vault, recorded against a name. You own metal, not a promise to pay its price.
ConceptA portfolio concept with demo data. It is not an investment offer, and no money can be deposited.
The price is the return
- Allocated, not pooled
- Each bar has a number and a weight on a list with the holder's name. In a pooled account you hold a claim on a shared stock, and you share its risk.
- No yield
- Gold pays nothing while it sits. Its value moves with the price, up or down.
- Hand to hand
- Gold bought with money must be settled on the spot: ownership and payment change hands together, with no delay on either side.
- Storage
- Bars in a vault cost money to keep. Demo fee: free for 12 months, then 0.15% a year.
Questions to ask any gold account
- Where are the bars?
- Which vault holds them, and who checks it.
- Is there a bar list?
- Bar numbers and weights with your name, published regularly.
- Can I take delivery?
- Whether you can collect the metal, and what it costs.
What can go wrong
The gold price can fall and stay low for years. Storage costs money after the first 12 months.
Gold and zakat
Gold kept as savings is zakatable: 2.5% of its value, counted with your other zakatable wealth, once the total reaches the nisab and a lunar year has passed.