CBS News
1-gram vs. 1-ounce gold bars: Which investment is better in 2024?
Getty Images
No matter what the economic landscape looks like, most savvy investors will explore diverse avenues to safeguard their wealth. What that typically means is reducing the risk from more volatile investment assets, like stocks or real estate, by adding more stable investments to the mix.
And, one of the safer alternative investment assets that has grown in popularity recently is gold. In fact, gold investing hit an 11-year high in 2023, due in large part to gold being a reliable investment that offers unique benefits — like long-term price stability and inflation hedging — when used to diversify portfolios.
That said, there are lots of different gold assets to consider, from gold bullion to gold stocks, gold ETFs and gold IRAs. But one of the more popular options is gold bars, which are available in different sizes, including 1-gram and 1-ounce gold bars. If you’re considering a gold bar purchase this year, though, do 1-ounce or 1-gram gold bars make more sense right now?
Explore the top options you have for gold investing here.
1-gram vs. 1-ounce gold bars: Which investment is better in 2024?
The right choice between 1-gram or 1-ounce gold bars depends on unique factors, like your investment goals, budget, portfolio diversification needs and more. However, it can help to weigh the potential benefits and downsides of each option to help determine which makes the most sense for you.
The pros of investing in 1-gram gold bars
When it comes to investing in 1-gram gold bars, there are some potential upsides to consider, including:
Accessibility and affordability
One of the most significant advantages of 1-gram gold bars is the accessibility and affordability these smaller bars offer. By buying this weight of gold bars, investors with limited capital can enter the gold market without committing to a substantial upfront cost. For example, it’s easy to find 1-gram gold bars for $75 to $100 right now, though the prices can vary significantly by gold dealer.
Still, with the spot price of gold hovering above $2,000 per ounce, the lower price of a 1-gram gold bar offers a less expensive way to add gold to your portfolio. This can make 1-gram bars an attractive option for those who are just starting their investment journey or wish to diversify their portfolio without a significant financial commitment.
Learn more about how you can get started with gold investing today.
Liquidity and flexibility
Smaller denominations of gold bars also offer increased liquidity and flexibility and 1-gram gold bars are no exception. One of the big advantages to this type of bar is that they can be easily traded, sold or used for transactions when needed, which isn’t always the case with larger bars — which have a higher price point and therefore can limit the buyer pool.
This liquidity can be particularly advantageous during times of market volatility, allowing investors to respond swiftly to changing economic conditions.
Portfolio diversification
For investors looking to diversify their portfolios without allocating a large portion of their assets to gold, 1-gram bars provide an ideal solution. These smaller increments allow for a more nuanced and diversified investment strategy, reducing exposure to risks associated with larger, more concentrated holdings.
The cons of investing in 1-gram gold bars
There are also a few downsides to consider when investing in 1-gram gold bars, including:
Premiums and transaction costs
While 1-gram gold bars have lower upfront costs, investors should be mindful of the premiums and transaction costs associated with these smaller denominations. In some cases, the percentage markup on 1-gram bars can be higher than that of larger bars — and buying smaller denominations could also mean losing out on potential bulk discounts offered by gold dealers. So, it’s crucial to factor in these costs when assessing the overall return on investment to make sure it’s the right move for you.
Storage challenges
Investors who accumulate a significant quantity of 1-gram bars may also face storage challenges. Storing a larger number of smaller bars can be cumbersome and may require additional security measures — and, in turn, increased storage or insurance costs. This consideration becomes more relevant for investors with long-term holding strategies, who may find the storage challenges to be a significant downside over time.
The pros of investing in 1-ounce gold bars
If you’re wondering whether 1-ounce gold bars make more sense to invest in, here are a few potential upsides to consider:
Store of value
Historically, 1-ounce gold bars have been considered a reliable store of value. Their larger size allows investors to hold a considerable amount of wealth in a single, tangible asset. During times of economic uncertainty, the perceived stability and intrinsic value of 1-ounce bars can be a reassuring factor for investors, adding to the allure for investors.
Lower premiums
While 1-ounce bars may have higher upfront costs due to the higher cost of buying in, they often come with lower premiums compared to smaller denominations. This means that, proportionally, investors pay less over the spot price for larger bars. For those with a long-term investment horizon, lower premiums can contribute to a more favorable return on investment.
Easier storage
Investors holding 1-ounce gold bars may also benefit from easier storage solutions. A smaller quantity of larger bars can be more conveniently stored, reducing the logistical challenges associated with safeguarding a sizable gold investment.
The cons of investing in 1-ounce gold bars
There are also a few downsides to consider before investing in 1-ounce gold bars. These include:
Entry barriers
The higher initial investment cost required for 1-ounce bars may pose a barrier for some investors, especially those with limited capital. This can limit accessibility and may not be suitable for those seeking a more modest entry into the gold market.
Less flexibility
Larger denominations also offer less flexibility in terms of liquidity. For example, selling a portion of a 1-ounce gold bar may involve more significant transactional complexities compared to smaller increments — and the higher buy-in point for a full 1-ounce gold bar may further limit the pool of buyers. This reduced flexibility may be a consideration for investors who value quick and agile responses to market conditions.
The bottom line
The choice between 1-gram and 1-ounce gold bars this year ultimately depends on individual investor preferences, financial goals and risk tolerance. Both options have their merits, and understanding the specific advantages and considerations associated with each is crucial for making informed investment decisions. Ultimately, investors should align their choices with their broader financial objectives for a well-rounded and resilient portfolio.
A passenger successfully landed a small plane on Friday after the pilot had a medical emergency, the Federal Aviation Administration said.
The twin-engine Beechcraft King Air 90 was traveling from Henderson Executive Airport in Las Vegas, Nevada to Monterey Regional Airport in California, with a pilot and one other person on board, the FAA said.
The pilot suffered an unspecified medical emergency while flying, the FAA said, forcing the passenger to take the controls and make an emergency landing at Meadows Field Airport in Bakersfield, California.
The Kern Fire Department told CBS News affiliate KBAX that firefighters were called to a report of a medical emergency on the plane. The pilot was reported to be “incapacitated,” the fire department said. Firefighters saw the plane approach and land safely, then “chased” the plane down the runway in emergency vehicles to meet it.
The FAA did not release the passenger or pilot’s identities nor give an update on the pilot’s condition. The pilot was taken to an area hospital by ambulance. The passenger did not report any injuries.
The FAA and the National Transportation Security Board will investigate the incident, the FAA said.
Congolese authorities began vaccination against mpox on Saturday, nearly two months after the disease outbreak that spread from Congo to several African countries and beyond was declared a global emergency by the World Health Organization.
The 265,000 doses donated to Congo by the European Union and the U.S. were rolled out in the eastern city of Goma in North Kivu province, where hospitals and health workers have been overstretched, struggling to contain the new and possibly more infectious strain of mpox.
Congo, with about 30,000 suspected mpox cases and 859 deaths, accounts for more than 80% of all the cases and 99% of all the deaths reported in Africa this year. All of the Central African nation’s 26 provinces have recorded mpox cases. Officials in Congo previously told CBS News that they’ve struggled to diagnose patients and provide basic care in the vast country of 100 million people, where a fragile, under-resourced healthcare system is also burdened by the stigma associated with the virus.
Although most mpox infections and deaths recorded in Congo are in children under age 15, the doses being administered are only meant for adults and will be given to at-risk populations and front-line workers, Health Minister Roger Kamba said this week.
“Strategies have been put in place by the services in order to vaccinate all targeted personnel,” Muboyayi ChikayaI, the minister’s chief of staff, said as he kicked off the vaccination.
Moses Sawasawa / AP
At least 3 million doses of the vaccine approved for use in children are expected from Japan in the coming days, Kamba said.
Mpox, also known as monkeypox, had been spreading mostly undetected for years in Africa before the disease prompted the 2022 global outbreak that saw wealthy countries quickly respond with vaccines from their stockpiles while Africa received only a few doses despite pleas from its governments.
However, unlike the global outbreak in 2022 that was overwhelmingly focused on gay and bisexual men, mpox in Africa is now being spread via sexual transmission as well as through close contact among children, pregnant women and other vulnerable groups, Dr. Dimie Ogoina, the chair of WHO’s mpox emergency committee, recently told reporters.
More than 34,000 suspected cases and 866 deaths from the virus have been recorded across 16 countries in Africa this year. That is a 200% increase compared to the same period last year, the Africa Centers for Disease Control and Prevention said.
A lack of diagnostic materials and basic medicines to treat the virus, which can improve survival rates, have also hampered efforts to contain the outbreak, and access to vaccines remains a challenge.
Moses Sawasawa / AP
The continent of 1.4 billion people has only secured a commitment for 5.9 million doses of mpox vaccines, expected to be available from October through December, Dr. Jean Kaseya, head of the Africa CDC, told reporters last week. Congo remains a priority, he said.
At the vaccination drive in Goma, Dr Jean Bruno Kibunda, the WHO representative, warned that North Kivu province is at a risk of a major outbreak due to the “promiscuity observed in the camps” for displaced people, as one of the world’s biggest humanitarian crisis caused by armed violence unfolds there.
The news of the vaccination program brought relief to many in Congo, especially in hospitals that had been struggling to manage the outbreak. Doctors with several charities working in the country have told CBS News they’re overstretched and short on supplies, even having to use tents and mattresses on the floor of makeshift isolation wards to treat a constant influx of patients.
“If everyone could be vaccinated, it would be even better to stop the spread of the disease,” said Dr. Musole Mulambamunva Robert, the medical director of Kavumu Hospital, one of the mpox treatment centers in eastern Congo.
Eastern Congo has been beset by conflict for years, with more than 100 armed groups vying for a foothold in the mineral-rich area near the border with Rwanda. Some have been accused of carrying out mass killings.
Watch CBS News
Be the first to know
Get browser notifications for breaking news, live events, and exclusive reporting.
