I'm looking to protect some of my wealth by purchasing bullion. I've been watching the markets for a little while waiting to buy in a low, but the fluctuating value of the Canadian dollar seemingly makes it harder to take advantage of any dips. Whenever commodity prices go down, so does the Canadian dollar, so the price of gold remains somewhat constant.
I guess I'm wondering, as a Canadian, should I wait for our dollar to strengthen against the USD to purchase gold, or is it foolish to wait because the price of gold will likely rise at the same time anyway?
I tend to say that if you want to "protect some of your wealth", then you can start buying gold and silver at any time. But there is of course a probability that gold, silver or anything else you are investing in loses value. It won't go to zero though and even if you face a 20% or even higher loss, your wealth is protected. So if you don't see it as a chance to make a profit and if you are not hurt when prices are falling, then it's a good investment.
You should be able to get gold (Canadian Maple Leaf 1oz coins) at your local bank. CIBC, Scotiabank, etc.. you may have to order them.
You can also look into:
Canada doesn't have the debt or housing problems of the USA. However, Jim Flaherty is running the Bank of Canada printing press in tandum with the rest of the world to help make cheap money and to regulate the exchange rate. This will cause exchange rates to remain around the same, but dollar purchasing power will fall in the future.
When the price of oil comes back, so will the $CDN. Having said that, there's no harm in having at least 5% - 10% of your investment savings in gold.
Since this is my first post, a bit about myself first: I am a U.S. citizen, relocated to Southern Ontario last July from western Massachusetts. I was fortunate to have met CM when he was in a men's support group that I also attended. Caught his "End of Money" half-day presentation, then did a full weekend of the same in early 2007. Successfully sold my house in Nov 2007, eliminating all my debt in one fell swoop. I have a temporary ( 18-month) work permit that allows me to work in healthcare here in Ontario; I'm hopeful of being invited to stay longer.....
[I checked out Scotia bank, but was too costly when I compared...].
I've been obtaining my bullion coin (gold/sil maples and sil junk) mostly from J&M in Vancouver:
-nice, friendly, no muss/no fuss reasonable prices, I think. I have also used Kitco:
a couple of times, though my sense is they were slightly more costly than J&M.
BTW, I'm just beginning to find like-minded folks here in Windsor. Envious of those of you with more fully-established communities.
My daffodils are finally up this week and I actually saw some violas blooming in a sunny spot of grass today!
Keep the faith, brothers and sisters.
Thanks for the tip on J&M -- I'm in Vancouver and they are very close to me. Looks like they make it easy to order over the phone too. I also looked into buying from Scotia Bank, but like you said, I think they cost a bit more and the process was overly complicated because, as a non-member without a Visa card, amounts greater than $3000 could only be paid by certified cheque! I was considering buying from Vancouver Bullion & Currency Exchange, but I like the looks of J&M better.
The only question is when....
Glad I could help. Say hello to Vince at J&M from "John in Windsor"
As to when- I say, whenever you're ready. Purchase a few for starters, then a few more periodically. Feel free to dive in for larger purchases as you become comfortable with the process. Look carefully at the J&M website for "How to Purchase." They sell coins at no minimum purchase amount and, if paid by bank draft or wire transfer, no cash declaration form needs to filed with the gov't. Therefore, the transaction is your business and yours alone. I like that. Also, no GST/PST on purchase, although GST on shipping. (Sounds like that last would not pertain to you.)
I was briefly in Vancouver quite a few years ago for the Folk Fest. I mostly remember that I had a great time!
You may wish to consider moving some CND Dollars to a US dollar Savings account when the CND dollar is strong. When the price of gold is low (in terms of US dollars) you can purchase gold in US funds. This removes the double exchange got-cha.
The sale of canadian gold coins require sales tax to be paid. Sales tax is not applicable to gold bars.
Independent coin dealers can often provide bars at resonable prices. You can always contact J&M to confirm your quote to purchase is competitive, then haggle.
or..., see: Not Under Your Bed!
Have you guys used them yet?
Balazs in Alberta
The Bank of Nova Scotia is one of the world's largest precious-metals dealers. If you go to the Hollis Street branch in Halifax, Nova Scotia, or the King Street West branch in Toronto, they'll sell you Canadian Maple Leaf coins at a 3.7% premium to spot and one-ounce wafers at a 2.6% premium to spot.
P.S. Gold doesn't show up in airport security metal detectors. I've tested this with gold coins before. But if you're traveling across the border with more than $10,000 worth of gold or currency, you must declare it at the border. They'll run your name and make sure you're not a money launderer. That's it
Buying at scotia's not bad if you live close to one. They want way too much (and so does Brinks) to get it to me way up here in Thunder Bay. I've been using silvergoldbull and not had any problems. You just need to order at the top $ limit where the shipping goes up.
BMO wanted spot+premium+ face! Then asked me why I didn't just buy some paper silver from them...I mentioned 100:1 leveraging and he frowned and said, "...so what? What has that got to do with the price of silver?"
You should take the drive to Silvergoldbull in Rocky Mountain House. Beautiful drive up the David Thompson Hwy and you can take delivery right away (call 1st). It's the one thing I miss about Alberta. (that and the 12000 net a month from Fort Crack)
I Would just BUY!!! always do, never look back and never stop!!! Also buy more silver then gold because the COA is much lower.
How do i buy gold coins from CIBC branch ? Any idea ?
Re: purchasing from a local bank:
If you ask for instructions at your local branch, you may be directed to the Accounts desk at a main regional branch, where orders are taken and deliveries are received. Try to go when it's very quiet. Ask to meet privately in a meeting room, so you aren't overheard by any more people than necessary. Request and keep a copy of the order paperwork. Write down the name of the each person who helps you. When the delivery arrives, you will receive a call for pickup. Check the delivery one piece at a time. If you intend to store the metal at another location within the same institution, they should offer to deliver it free of charge. If you plan to pick up the product and move it to a different institution, bring an inconspicuous opaque container. Go with someone you trust completely. Do not go alone. If the package is broken or tampered in any way, insist that it be replaced with one that is unopened.
Hope that helps. I heard a rumor that the process is about to become more difficult, but have no specifics at this time. Pawnshops in Canada are very eager to purchase and will offer you a good price if you negotiate firmly.
Any additional thoughts on where to go to purchase gold in the Mississauga/Toronto area?
Also suggestions on where to store?
Are there any requirements when moving gold/silver across the boarder (US)?
I just recently purchased some gold and silver bullion from Scotia Bank's estore. Buying from Scoita is a easy and safe way to buy billion though there are probably other local dealers (Vancouver) with better prices. I'm very bullish on metals so for me, the exact price of gold/silver is not very important because I think they will double/triple/quadruple in due time. My purchasing strategy is to buy a bit of bullion every month or so (dollar-cost-averaging) to balance out the ups and downs of the market. Happy investing everyone! :D
PS. For those of you who have purchased from J&M, can one just drop by the store and buy bullion with cash? Or do you have to phone ahead? Thanks!
I figured my first post should be about something canadian, i was born and raised in oakville ontario canada..its about 30 min west of toronto. I found the best way to buy gold or silver around here is to just use canada 411 and search coin dealers near you. These small stores understand whats going on in the world today and are keeping a good supply of gold and silver coins and smaller bars. For big purchaces i go to these guys in Toronto http://thebullionmart.com/productRates.php . I have heard nothing but good things about J&M but i cant vouch for a company i havent used but like i said...never a bad word. The best way Ive found is to make weekly purchases is from a small well stocked coin store. The price might be a buck higher for a maple but the relationship you build with them is critical..they are your eye into the silver market. They watch it like a hawk like im sure we all do but they always seem to have a different take on things. If you think about it most coin stores have been in buisness a very long time, after all they do sell money =). Most of these stores are owned by old timers, people who have ran a SUCCESSFUL small buisness for sometimes a generation or more. ..you want to talk about a wealth of knowledge at your finger tips ?? and they are more then willing to share their information with you lol. Last week I brought my 3 year old into the local guys store and i bought out traditional 2 silver maples..After I pay he asks my daughter if she likes coins and she went on about her collection of maples at home. He reaches under the counter and grabs one of the new 1oz canadian moose coins from the new wildlife series and says do u have one like this ?? she says " no, daddy only buys maples...its pretty though" that made me kinda proud but I knew I would have to buy it at this point. Then he just tucks it in her pocket and says " you just add that to your collection of maples", smiled at me and said "teach them to save NOW". That whole experience would be lost using the internet for small purchaces
Hope thats helpful in someway, G
I have bought gold from many places over the past five years.
The banks charge an arm and a leg and if you want to spend more than 10 K, there are all kinds of problems and reporting issues. I would not recommend Scotia.
The you have private dealers.
I have bought from border before, and they take quite a while to deliver, and the product selection is really limited, so are there hours of operation.
There is also silver gold bull that I have ordered from. They are not bad, however there product selection isn't that great. Never the less I have ordered from the before.
I have ordered from a company in Toronto called Precious Metal House. They seem to be the cheapest in Canada, and I recieved my product in 5 days. They also have the Chinese Pandas which I wanted. I also buy a lot of Perth Mint products, to may knowledge they are the only Perth Mint Authorized distributors in Canada.
I believe Precious Metal House use to only do wholesale, however they now do retail, and if you are looking for a nice selection, and great pricinig I would reccommend them.
I have tried some US dealers before, by I also seemed to get nailed for taxed even though bullion shouldn' be taxed.
Anyways, thats my two cents, but if you are looking for good product selection and good pricing, I would suggest Precious Metal House.
They will match prices if you find better prices in Canada
I run an internet company and for a few years we were the only one in our space that accepted e-gold as payment. I had some reservations about e-gold because compared to other DGC's (Digital Gold Currencies), their governance was crap and I felt they were an accident waiting to happen - but they were ubiquitous so I went with them.
I just made sure to out-exchange the gold as fast as it came in, I used xgold.ca out of Quebec and whenever we amassed our threshhold in e-gold, we'd use it to buy gold maple leafs, US eagles or Krugerrands which they'd then ship to our office.
We pulled the plug on this as e-gold ran into problems, but it lasted long enough to build up a decent sized stash.
I am revisiting this now and am going to look at once again accepting some DGCs online, in particular I'd like to accept goldmoney(.com) (in fact we moved a portion of our earnings into goldmoney years ago and it's still there) and have used pecunix in the past.
So it's an interesting way to accumulate physical: you earn digital gold online via a DGC and then you out-exchange it for physical.
Like I said, it's not for everybody. But if you're a geek, .com-person, techie, programmer, etc. this is one way to do it.
Silver is probably a better buy than gold.
In Canada, there are many place you can buy silver. I suggest staying away from banks and kitco. they charge high premiums.
check out this interesting article on where to buy junk silver.
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