"I want to buy gold but I don't know which kind to buy." This is a very common question that many people have that are new to the field. It is a very good question because there are so many different kinds of gold out there and just as many places to buy it from. This can make it tricky for anyone - even the experienced buyers. So how do you make the decision?
What kind of gold to buy will depend largely on your reasons for buying gold as well as how much money you have available to spend. If you are only buying for decorative purposes then you are going to buy something completely different than someone who is looking to invest in gold.
If you're just looking to buy for decorative purposes then you'll be just fine buying any gold jewelry or coins that are appealing to you. Investment is not a problem for you so how much you can spend will be your only issue.
On the other hand, for those looking to invest in gold, it is probably a good bet that gold bullion is what you're looking for. Gold bullion comes in many different forms such as gold coins, bars, ingots, nuggets, and so on and so forth. When buying for investment purposes the price of the gold becomes very important. Small coins and bars are easy to invest in because you can buy them for much less than other forms of gold bullion. But it is not as worthwhile because you will pay a premium markup which can be as much if not more than the value of the gold. You should really only consider investing in gold if you can afford at least 1 kg of gold. This will be enough to minimize the amount you pay over the spot price of gold and will allow you to reclaim your investment much faster than is possible with smaller amounts.
Another investment you should look into is Exchange Traded Funds, or ETF's. You only have to pay a small amount over gold spot price (broker's fees) to get a voucher that represents how much gold a bank is holding for you in your name. You do not have to handle the gold yourself at all. The only issue with ETFs is that you must pay taxes on any income made because they are considered more of an investment than small gold coins or bars.
Whatever gold you buy it is important to you understand the reasons for making the purchase and to choose the appropriate type. ETFs are probably the best bet for most investors unless you are one of the few who want to actually hold the gold in their own hands. Then gold bars or other forms of bullion are more suitable. Investing in gold is a smart decision and will give you more value for your money than paper currency ever could.