Coins, rounds and bars

The short version: Coins are issued by governments and carry a face value. Rounds look like coins but are made by private mints. Bars are made by refiners and cost the least over spot.

Bullion is metal valued mainly for its weight and purity. It comes in three main forms.

Coins

Bullion coins are made by national mints and carry a legal-tender face value, such as the American Gold Eagle, Canadian Maple Leaf, South African Krugerrand and Austrian Philharmonic. The face value is symbolic; the metal is worth far more.

• Pros: instantly recognized worldwide, easy to sell, government-guaranteed weight and purity.
• Cons: higher premiums than rounds or bars.

Rounds

Rounds are coin-shaped pieces made by private mints. They have no face value and are not legal tender.

• Pros: usually cheaper per ounce than government coins.
• Cons: less recognized, so some buyers pay slightly less for them.

Bars

Bars are cast or stamped by refiners and come in sizes from 1 gram to 1 kilo and up. Good bars carry the refiner's name, weight, purity and often a serial number or assay card.

• Pros: the lowest premium per ounce, especially in larger sizes.
• Cons: large bars are harder to sell in part; you sell the whole bar.

A note on gold coin weights

Some gold coins, such as the American Gold Eagle and the Krugerrand, are 22k gold. They still contain a full troy ounce of gold; the added alloy makes the coin slightly heavier. See Gold karats and silver purity.