what is precious metal financing? Precious metal financing is a financial management method with precious metals as the investment target, such as gold and silver. Take gold as an example, there are three common ways to invest in gold:
1. The common physical gold includes gold bars, commemorative coins and gold ornaments, and the rising price of gold is the main profit way of physical gold investment. Gold bars belong to investment gold, the production process is relatively simple, and the gold purity is high. Their prices are generally guided by the real-time price of gold in Shanghai Gold Exchange, and are priced according to the weight of gold. Commemorative gold coins issued by the central bank have both collection value and circulation value equivalent to RMB of the same denomination. The issue price of gold coins is generally the same as the denomination of gold coins, but after investors hold them for a period of time, gold coins will appreciate in different degrees, and their prices have nothing to do with the real-time gold price. The price of gold jewelry includes a large amount of process production fees, and the premium is high, so gold jewelry is generally not recommended for investment.
2. Spot gold Spot gold is also called London gold trading, which belongs to electronic trading and does not involve physical delivery of gold. Spot gold supports two-way trading, which can buy up or down.
3. Paper gold Paper gold generally belongs to the precious metal business of banks. Transaction records are recorded through the gold passbook account, and virtual gold is also bought and sold, so there is no physical gold withdrawal and delivery. Investors earn the difference profit by selling high and buying low. Generally speaking, the purchase method of physical gold is simple, but the appreciation space is limited, and it is troublesome to realize it. Paper gold and spot gold are more suitable for small and medium-sized investors. In addition, gold T+D and gold futures also belong to a gold investment mode, but the investment risk is relatively high. The above content about what is precious metal financing, I hope to help you. Warm reminder, financial management is risky and investment needs to be cautious.