Precious Metals Glossary (A–Z)
A
Allocated Storage
Specific bullion is assigned to an investor and stored in a secure, segregated vault with full ownership retained.
Argor-Heraeus
A Swiss private mint and refinery producing gold bars widely accepted across European and international markets.
Asahi Refining
A private mint and refinery, formerly Johnson Matthey, producing .9999 fine bullion products widely used in IRAs and investment portfolios.
Assay
A scientific test used to determine the purity and content of precious metals, often required before resale or certification.
Aurum
Latin for gold. The element symbol “Au” is derived from this word.
B
Bar (Bullion Bar)
A rectangular or cast piece of precious metal, stamped with purity, weight, and refinery origin.
Bid Price
The price at which a dealer will purchase precious metals from an investor.
British Royal Mint
The sovereign mint of the UK, known for Britannia and Queen’s Beasts bullion coins with advanced anti-counterfeit features.
Bullion
Precious metals in the form of bars, coins, or rounds valued by purity and weight, not by face value.
C
China Mint
Issuer of the Gold Panda and Silver Panda coins, known for annually changing designs and investment popularity.
Coin (Bullion Coin)
A legal tender coin made of precious metal, valued more for metal content than face value.
Comex
A division of the NY Mercantile Exchange where gold and silver futures are traded.
Combibar
A minted sheet of small gold bars (usually 1 gram each) that can be broken off individually. Popularized by Valcambi Suisse.
Custodial Storage
Third-party insured storage for precious metals held on behalf of clients.
D
Diversification
A risk management approach where investors include precious metals to balance portfolios during market volatility.
E
ETF (Exchange-Traded Fund)
A publicly traded security that tracks the price of a metal like gold or silver but does not involve physical ownership.
F
Face Value
The legal tender value printed on a coin, usually far less than its bullion value.
Fine Gold
Gold of at least 99.9% purity, typically marked as 24K or .999.
Fineness
Another term for purity. Expressed in decimal form (e.g., .9999 fine gold equals 99.99% pure).
G
Grain
A small unit of measurement for weight; 480 grains = 1 troy ounce.
Gold Standard
A former global monetary system where currencies were backed by physical gold.
H
Hallmark
A stamp on bullion that certifies metal content and origin, usually by a refinery or sovereign mint.
Hedge Against Inflation
A function of precious metals, especially gold, to protect wealth when fiat currencies lose purchasing power.
I
Ingot
A larger, cast form of precious metal. Typically heavier and used in industrial or large-scale storage.
Intrinsic Value
The raw metal value of a bullion product, based on weight and spot price.
J
Johnson Matthey
A historic British refinery known for producing highly trusted gold and silver bars before its refining division was acquired by Asahi.
K
Karat (K)
A unit of gold purity. 24K is pure gold; 18K is 75% gold.
L
LBMA (London Bullion Market Association)
Sets international standards for bullion trading and accredits refiners, bars, and storage practices.
M
Metal Premium
The markup above spot price for minting, distribution, and dealer costs.
Mint
A facility that produces coins and/or bars. Can be sovereign or private.
Mint Mark
A small symbol or letter stamped on a coin or bar that identifies the mint of origin.
Mints by Category
Sovereign Mint: Government-run mint producing legal tender. Private Mint: Non-government facility producing bullion products without legal tender status.
N
Numismatics
The study and collection of coins for historical, artistic, or rarity value beyond metal content.
O
Over-the-Counter (OTC)
Direct metal trading outside formal exchanges, often used for large or private bullion deals.
P
PAMP Suisse
Prestigious Swiss private mint known for .9999 fine gold bars and Veriscan anti-counterfeit technology.
Perth Mint
Australia's sovereign mint, known for Gold Kangaroo, Koala, and Lunar Series bullion coins.
Private Mint
Non-government refinery producing bullion bars and rounds. No face value or sovereign backing.
Purity
The percentage of the precious metal in a bullion item, such as .999 or .9999.
Q
Quantity Break
A pricing discount given to investors who purchase larger quantities of bullion or coins in a single order.
R
Refinery
A facility where raw precious metals are processed into investment-grade bullion.
Rounds
Coin-shaped bullion produced by private mints, not legal tender.
Royal Canadian Mint (RCM)
Canada's sovereign mint, known for advanced security coins like the Gold Maple Leaf (.9999 purity).
S
Silver Certificate
Paper currency once redeemable for silver held in U.S. Treasury vaults. These are no longer in circulation but are collectible.
South African Mint
Producer of the Krugerrand, the first modern gold bullion coin.
Sovereign Mint
Government-backed mint issuing coins with face value and legal tender status.
Spot Price
The current market price for immediate delivery of gold, silver, platinum, or palladium.
Storage Fee
The cost of keeping precious metals in a secure, insured vault.
Sunshine Minting (SMI)
U.S.-based private mint known for secure bullion rounds and blanks for sovereign mints.
T
Tokenized Gold
A digital token on a blockchain backed by physical gold stored in a vault.
Troy Ounce
The standard weight used for precious metals. 1 troy oz = 31.1035 grams.
U
U.S. Mint
The sovereign mint of the United States. Issues the Gold Eagle and Buffalo series.
Unallocated Storage
Precious metals held in bulk by a custodian without specific bar or coin ownership assigned.
V
Valcambi Suisse
Swiss private mint known for precision-minted bars and innovative combibars (breakable gold bars).
Vault
A high-security facility for storing bullion. May include insurance, biometric access, and audits.
W
Weight Class
The size category of a bullion product: 1 oz, 10 oz, 1 kilo, etc.
Wire Transfer (Payment Method)
Common method for large precious metals transactions, offering fast and secure settlement.
X
XRF Analyzer
A non-destructive machine that uses X-ray fluorescence to instantly test metal content and detect fakes.
Y
Yield (Precious Metals)
Precious metals do not produce interest or dividends. Gains are based on appreciation.