Bullion
 |
Definition of 'Bullion'Gold and silver that is officially recognized as being at least 99.5% pure and is in the form of bars or ingots rather than coins. To create bullion, gold first must be discovered by mining companies and removed from the earth in the form of gold ore, a combination of gold and mineralized rock. The gold is then extracted from the ore with the use of chemicals or extreme heat. The resulting pure bullion is also called "parted bullion." Bullion that contains more than one type of metal is called "unparted bullion." |
 |
Investopedia explains 'Bullion'The price of gold bullion is influenced by demand from companies that use gold to make jewelry and other products, and by perceptions of the overall economy (for example, gold becomes more popular as an investment during times of economic instability).Central banks and investors who hold gold typically do so in the form of bullion, but it is expensive to store and insure. Bullion is traded in the bullion market, which is primarily an OTC market open 24 hours a day. Trade volume in the bullion market is high, and most transactions are completed electronically or by phone. |
Related Definitions
Articles Of Interest
-
What Is Wrong With Gold?
Despite its historic and symbolic appeal, this metal is simply a commodity. Here we explore its meaning as an investment. -
8 Reasons To Own Gold
This precious metal's rich history stems from its ability to maintain value over the long term. -
The Gold Showdown: ETFs Vs. Futures
ETFs and gold futures are two ways to diversify into the metals asset class, but there are advantages and disadvantages to both instruments. -
The Gold Standard Revisited
Think the value of gold is unshakable? Read this chronicle of its rise and fall. -
Using Technical Analysis In The Gold Markets
The quest for this shiny commodity has made millionaires of paupers and, on the flip side, ruined many an investor. -
Trading The Gold-Silver Ratio
This method may seem arcane, but many well-established strategies rely on it. -
How can I invest in gold?
Investing directly in commodities, such as gold or oil, tends to be more difficult for investors than investing in stocks and bonds. A major reason for this is that stocks and bonds are readily ... -
Does It Still Pay To Invest In Gold?
This asset's appeal dates back thousands of years. Find out whether it can live up to the hype. -
Is The Gold Pain Over?
After falling more than 13%, gold has staged a rebound but is that for fundamental reasons or the work of value investors? Will gold reward investors who didn't give up or is there more pain ... -
The Best Way To Buy Silver
Discover whether ETFs or physical bullion is the best way for investors to get exposure to silver.
Free Annual Reports
