While deals on Costco gold bars can sometimes be appealing, buying gold in smaller increments is often more affordable. Fractional bars are smaller than a full ounce of gold, making them more affordable.
Investors can preserve wealth in a tangible asset by converting cash from a low-rate savings account into fractional gold bars.
Many financial analysts, like JP Morgan, expect the price of gold to continue to rise over the next few years. Buying gold bars is buying a tangible asset that cannot be printed or manipulated by central banks.
Fractional Gold Bars
Fractional gold bars are smaller bars that weigh less than the standard 1-ounce bar. They are available in weights of 1 gram, 2.5 grams, 5 grams, 10 grams, and 20 grams.
These gold bars provide an affordable entry point into investing for those who cannot purchase more significant quantities in one go.
Many of the world’s leading refineries manufacture fractional gold bars, including PAMP Suisse, Valcambi, Credit Suisse, and the Perth Mint. Other less-known brands include Argor-Heraeus, Istanbul Gold Refining, and Asahi Refining.
All investment-grade gold bars are made from 24k gold refined to 99.99% purity.
Premiums Vs. Melt Value
Smaller bars, such as 1 gram or 2.5 grams, typically carry a premium ranging from 15% to 35% over the spot price of gold.
Midsize bars, like the 5-gram, have slightly lower premiums; 10% to 20% is typical.
Larger fractional bars, like the 10-gram or 20-gram sizes, have lower premiums and can be found for as low as 5% to 15%, as they are closer to the standard 1 oz gold bar.
The premium is generally higher due to the increased cost of production, packaging, and distribution per gram.
Comparing Gold Bar Prices
While fractional gold bars offer flexibility, their premiums are higher than larger ones. However, they are still favored by investors who want affordable, smaller increments of gold and liquidity for the future.
20 Gram Gold Bar Premium Chart
Each 20 Gram Gold Bar contains 0.643015 troy ounces of gold, roughly 2/3 of an ounce.
| Brand | Average Premiums over Spot |
| PAMP Suisse 20 g Bar | 3%-6% |
| Valcambi 20 g bar | 2.5%-5% |
| Argor Heraeus 20 g Kinebar | 3.5%-7% |
| Britannia 20 g bar | 3.5%-7% |
| Geiger Edelmetalle 20 g bar | 4%-5% |
| Valcambi 20 g Combibar | 9%-15% |
| Secondary Market 20 g bars | 1.5%-4% |
10 Gram Gold Bar Premium Chart
Each 10 Gram Gold Bar contains 0.321507 ounces, roughly 1/3 of a troy ounce.
| Brand | Average Premium over Spot |
| PAMP 10 g Lady Fortuna Bar | 5%-9% |
| Argor Heraeus 10 g Kinebar | 4.5%-8% |
| Britannia 10 g bar | 5%-9% |
| Perth Mint Kangaroo 10 g bar | 4%-8% |
| Secondary Market 10 g bar | 3%-7% |
| Valcambi 10 g bar | 4%-8% |
5 Gram Gold Bar Premium Chart
Each 5 gram gold bar contains 0.160754 ozt.
| Brand | Average Premium over Spot |
| Perth Mint 5 g bar | 5%-10% |
| PAMP 5 g bar | 7%-12% |
| Secondary Market 5 g bar | 4.5%-8% |
| Britannia 5 g bar | 8%-12% |
1 Gram Gold Bar Premium Chart
Each 1 gram gold bar contains 0.0321507 ounces.
| Brand | Average Premium over Spot |
| Valcambi 1 g bar | 17%-25% |
| PAMP 1 g bar | 18%-30% |
| Britannia 1 g bar | 25%-30% |
| Secondary Market 1 g bar | 15%-25% |
| Perth Mint 1 g bar | 20%-25% |
How to Buy the Cheapest Gold Bars
Secondary market gold bars typically carry lower premiums than newly minted bars. They are more affordable, previously owned, tested by dealers to ensure authenticity, and then offered at a discount.
Many dealers offer additional discounts for specific payment methods, such as ACH transfers and wire transfer payments.