Author Topic: [UK] Royal Mint investment offer - opinions? (Physically backed precious metals)  (Read 509 times)

Vashy

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Hi all,

I've just come across this: https://www.royalmint.com/digital-investments/digigold/ (I was actually looking for information and ended up on their historical coin site and then went down the rabbit hole). I'm not a gold bug on any measure (I don't own any gold except a random coin given to me as a gift and was actually thinking of selling it), but if I *were* to diversify into gold/silver/platinum (which is more than a year down the line and purely for diversification), what do you think of the Royal Mint's "investment offer"? Do you have better ones?

Thank you!

celerystalks

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Not UK based. But I have to say this is interesting.

Since it does not appear to offer physical delivery of the gold bought, it does not strike me as a way to actually own gold but instead to speculate on the price of gold. An ETF, if available, would provide the same basic function.

Rob_bob

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I'm not in the UK either.  It looks interesting, I assume you are looking at the Digi Gold? You might want to see if there is an ETF available for gold and compare the expense ratio.

It looks like they sell physical gold too, I saw a James Bond bar, it is listed as a popular choice hahhaa.  I would want to know if they will buy metals back or if you have to find a local dealer to sell to.

Personally I don't invest in gold, I did back in the 1980's and it took me around 20 years to recover my losses.  I do have some collectable coins just because they are nice to look at and have in your hand as a part of history.

vand

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It doesn't look like its CGT exempt and you can't put it in a tax wrapper.

I personally can't see an advantage over having ETFs within a tax wrapper, unless you really expect to convert it to physical at some point, but if you want physical then just... buy physical. The whole point of physical is that you hold it at all times and don't rely on a counterparty.

drstarter33

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cost includes 0.33% MER
0.5% vault fee + VAT
1% sell fee
CGT as well (not sure if this applies to non-UK residents)