Stacking small grams of gold as part of my long term plan. Buying cheapest gram of gold above spot and comparing several sites on a daily basis with postages costs etc Easy to do when all 24ct, but want to throw 22ct into mix such as sovereigns or other older coins which are 22ct. Sure answer is so simple I am going to kick myself. What is formula for comparing 22/24ct when tring to work out cheapest gram. Thought I had it sussed with a programme I use called gold tracker, but it says a sovereign today at spot for 22ct would cost 232.80, yet sites are charging 262 which makes it damn expensive. Have to say having trouble beating the gurnsey mint as free postage and not much above spot on small gram bars.
Yep thats right spot value $232.80, sites charge a premium on spot which in this case brings it to $262.00.
I actually was just working this out myself the other day! Here is the method I used to get a rough idea of what sizes carried different premiums: One kilogram is approx 32.15 troy ounces, and there are 1000g to the kilogram. So, if you know the gold content (in grams) of the item you are looking at (such as a sovereign which is 7.3224g), and the current spot price in troy ounces, you will be able to work out the value (roughly) using this: Spot price (ozt) x 32.15 = the spot price per kilogram (Spot Kg) Spot Kg divide by 1000 = the spot price per gram (Spot g) Spot g x the content of your item = the value of its gold content. So supplement your own currency here, but for a sovereign at prices right now in australian dollars (spot at Au$1699.27), the value would be: 1699.27 x 32.15 = $54631.53/kg 54631.53 / 1000 = $54.63/g 54.63 x 7.3224g = $400.02 At the same time, a sovereign from a particular bullion dealer here (just the first one I looked at) is going for $473.71, and we can calculate that there is a premium on that of $73.69. 18.42% over the current value of the gold content of the coin. Compare that to a 5g minted bar from the same supplier, at $308.00 (54.63x5 = $273 metal value) with a premium over the metal value of $35 or about 11%. Hope this helps... add more decimal places for more accuracy : ) Oh and I failed maths in high school... so feel free to correct anything I got wrong... lol
I think sovereigns attract gst when you buy them from a dealer, which may account for some of the premium over spot.
Don't you guys use the calculator on top of page? Items cost is spot + manufacture/fabrication + profit.
Never tried it but surely as 24K is taken to be 100 so thats what I am going to use, but surely as lets say $1000 = 1Oz 24 karet, using basic percentage math then to solve for a specified karet we use the following values (percentages) in the formula show (Spot Price * Number of Oz)*Percentage as a Fraction from the karet > percentage to conversion. this gives the spot price based upon the gold content, using the above values of $1000 and 1 Oz the formulas are below 24 karat (100.0%) =(1000*1)*1 1,000.00 23 karat (95.83%) =(1000*1)*0.9583 958.30 22 karat (91.67%) =(1000*1)*0.9167 916.70 21 karat (87.5%) =(1000*1)*0.875 875.00 20 karat (83.33%) =(1000*1)*0.8333 833.30 19 karat (79.17%) =(1000*1)*0.7917 791.70 18 karat (75%) =(1000*1)*0.75 750.00 17 karat (70.83%) =(1000*1)*0.7083 708.30 16 karat (66.67%) =(1000*1)*0.6667 666.70 15 karat (62.5%) =(1000*1)*0.625 625.00 14 karat (58.33%) =(1000*1)*0.5833 583.30 13 karat (54.17%) =(1000*1)*0.5417 541.70 12 karat (50%) =(1000*1)*0.5 500.00 11 karat (45.83%) =(1000*1)*0.4583 458.30 10 karat (41.67%) =(1000*1)*0.4167 416.70 9 karat (37.5%) =(1000*1)*0.375 375.00 8 karat (33.33%) =(1000*1)*0.3333 333.30 7 karat (29.17%) =(1000*1)*0.2917 291.70 6 karat (25%) =(1000*1)*0.25 250.00 5 karat (20.83%) =(1000*1)*0.2083 208.30 4 karat (16.67%) =(1000*1)*0.1667 166.70 3 karat (12.5%) =(1000*1)*0.125 125.00 2 karat (8.333%) =(1000*1)*0.08333 83.33 1 karat (4.167%) =(1000*1)*0.04167 41.67
The Channel Islands don't usually charge VAT/GST which is why they are a bit better priced than Sovereigns. That is my understanding anyway from back in the days when you bought CDs from the Channel Islands cheaper than you could get them in the local high street.
However, sovereign purchases in the UK *also* do not attract VAT (as does any purchase of UK legal tender). However, bringing 'em in to Australia in bulk will get you clobbered with GST and duty above $1,000, if my reading of the regs is correct (I have a question still open in the Sovs section). I had rather hoped that Sovs would be counted under the currency rules, which require declaration above $10k but no actual limit. However, because they are less than .995 they are not treated either as PM or as legal tender (I believe). Cheapest I've found is Atkinson's, at around spot + 3%. New Sovs were QEIIs at Baird; Maples at Baird looked good also (postage may have an impact). You could mail them in packets of less than $1,000 value with no tax hit, AFAIK, although the ordering/postage/handling might get painful.
