The precious metals industry is full of risk for any investor. As such, finding the right gold dealer to work with is vital. However, with so many new precious metals companies popping up daily, this is not always an easy task.
That is why many shrewd investors find it much safer to deal with certified banking institutions rather than risk buying expensive precious metals from an unreliable dealer.
In North America, Canada’s TD Bank Precious Metals is offering investors a great opportunity to provide an inflation hedge for their funds by investing in gold and silver bullion.
Speaking of unreliable dealers, I’ve been covering retirement investing for over 10 years on this blog. I’ve kept careful watch on the space and constantly update my list of the most reputable gold companies.
Click through to that page to see if TD Bank made my list, OR, continue reading the TD Precious Metals review.
Investing in Precious Metals Through Banks
Most investors know that they can buy gold, silver, and platinum bullion from any one of the many gold dealers in the country. However, another option they could consider is going directly to a trusted bank. As an institution based on trust and reliability, a bank offers investors a way to avoid some of the major pitfalls of buying gold and silver from the open market.
Just like private gold dealers, each bank has its own way of providing precious metals investment opportunities. Investors will have to look at each option and decide which bank best suits their needs and long-term goals.
Banks usually allow investors to buy gold and silver outright or to invest in precious metals futures if they do not have the funds at the time.
If you have some physical gold you want to sell, most reputable banks will usually accept this as a deposit made on behalf of the central bank. The seller can then be paid according to the spot price of gold at the time of the transaction.
How Gold Is Priced by Banks
Reputable financial institutions, such as TD Bank Precious Metals, usually use either the spot price or futures price when determining the value of gold or other precious metals.
The spot price is based on the current market value of gold and is reserved for transactions that involve the immediate selling of the precious metal. On the other hand, the futures price is based on an agreement for the future delivery of gold that will be sold at a predetermined price.
Investors who are looking for immediate value will be better served by using the spot price, while futures are great as long-term investment opportunities. TD Bank will offer you various types and sizes of precious metals at either the spot or futures price.
What Is TD Precious Metals?
TD Precious Metals is a division of TD Bank that specializes in precious metals transactions. It is one of the biggest banks in North America and is a popular choice for many investors. The bank decided to create this specialized division as a way to meet the growing demand for portfolio diversification among its investors.
As the global economic landscape grew more and more volatile, TD Bank noticed that many of its investors were seeking a more stable way of protecting their investments. Rather than watch investors withdraw money from their accounts to fund precious metal purchases from gold dealers, the bank decided to provide the service directly.
To make itself even more appealing to investors, TD Bank Precious Metals decided to make accessibility a priority, with the bank’s precious metals investment services being open to both TD Bank account holders and non-account holders.
The process will be much smoother and faster for existing TD Bank account holders, with preferential terms and rates a possibility.
A precious metals investment company needs to be more than just a source of bullion. It has to offer sound investment advice, which is an area where TD Bank already excels as a successful financial institution. TD Precious Metals already has in place advanced wealth management services that investors can benefit from when trying to meet their goals.
Another point of concern with many investment companies is the lack of ideal storage options for precious metals investors. However, TD Bank Precious Metals already has the vaults and security protocols in place to provide adequate storage options for its customers.
As part of a certified North American bank, TD Precious Metals also has a certain level of reliability and credibility that other precious metal dealers may find very difficult to attain. Even in the face of growing financial turmoil, most investors still retain a lot of trust in banking institutions, which is something that this company benefits from.
Other Recent reviews of places you can buy gold:
The Types of Precious Metals Available
The golden rule of investing for the future is portfolio diversification. If you are hoping to navigate the coming global recession, you will need to keep your accounts spread out as much as possible.
A good investment company offers you different types of precious metals in a wide range of forms, such as nuggets, coins, bars, rounds, and bullion. With TD Bank, you will be covered in terms of precious metals for investment. The bank offers the following to all its investors:
If you are taking your first steps into the world of precious metals investment, I suggest that gold be your starting point. It will offer you much greater reliability and value than other precious metals you are likely to find.
At TD Precious Metals, you can choose from a wide variety of gold bars and coins to invest in, such as:
- TD Canadian-Sourced Fine Gold Bar
- Coronation King Charles III Gold Coin (2023)
- 1 gram TD Diwali Gold Bar (2023)
- Gold Coronation Britannia King Charles Effigy Coin (2023)
- 5 gram Laughing Buddha Good Luck Gold Bar
- 2023 $200 1 oz. Klondike Gold Rush: Passage for Gold
- Gold Maple Leaf Coin (2023)
- Tudor Beasts The Yale of Beaufort Gold Coin (2023)
- Gold Britannia Coin (2023)
The silver bullion options at TD Bank are equally impressive. Buying silver coins and bars is a budget-friendly alternative if you find yourself a little short of funds. This is a type of precious metal that has a long list of industrial applications that guarantee it will continue being valuable for many years to come.
With so many redeeming qualities, silver is a great investment opportunity for you to consider. You can buy any of the following bullion products:
- TD Diwali Silver Round (2023)
- 1 Kilo Year of the Rabbit Silver Coin (2023)
- 2023 $50 Fine Silver Coin – 35th Anniversary of the SML
- Coronation King Charles III Silver Coin (2023)
- Ghana African Leopard (2022)
- Perth Mint Silver Rectangular Dragon Bullion Coin (2023)
- Silver Britannia Coin (2023)
- Silver Britannia King Charles Effigy Coin (2023)
- Silver Maple Leaf Coin (2023)
Sometimes, investing in rare and exotic precious metals is the way to go, especially if you already have a lot of silver and gold in your vaults. To further diversify your portfolio, you can invest in the following platinum products:
- Platinum Britannia King Charles Effigy Coin (2023)
- Platinum Maple Leaf Coin (2022)
- Platinum Britannia Coin (2022)
- Valcambi Platinum Bar
- 50 gram Platinum Valcambi CombiBars (50 x 1 g)
- 100-gram Valcambi Suisse Platinum Bar
- Gifts and Collectibles
As a big fan of precious metals collectibles, I was quite impressed with the wide range of options I saw at TD Bank. If you want to have something a little different in your storage vaults, consider the following high-value collectibles:
- 2023 1 oz. Silver King Charles Effigy Coin Royal Set
- Donald Duck Silver Coin (2023)
- Disney 101 – Dalmatians Family Silver Coin (2023)
- 2x 1 oz. Dynamic Duo Coin Set Precision Bass® Guitar and Bassman® Amp (2023)
- The Mandalorian – Grogu Silver Coin (2023)
- 2023 $5 Fine Silver Coin – His Majesty King Charles III’s Royal Cypher
- Transformers – Starscream Silver Coin (2023)
- The Faces of the Empire – Imperial Stormtrooper Silver Coin (2023)
Cost of Buying Precious Metals
When it comes to pricing, it is important that you understand that the prices of all these precious metals are not static. Gold, for example, is renowned for its ability to resist market fluctuations, but this is only when talking about long-term prices in a much broader sense.
In reality, you will find that the exact price of gold can change many times in a single day. This is true for TD Bank Precious Metals and all other precious metals dealers that you can do business with.
As such, when buying precious metals, always make sure you are aware of the spot price. Even a seemingly small difference can have huge implications when you are buying large quantities of precious metals.
Keeping track of the volatile precious metal markets can be tedious, but TD Bank Precious Metals makes the process a lot easier by providing charts on its platform that are regularly updated. You can use these charts to get a minute-by-minute update on the latest spot prices.
When you are sure you know the price of the metal you want to buy, it will be time to consider markups and additional fees for transactions and storage. Each precious metals dealer charges different fees, with some unreliable companies going as far as adding some hidden costs to the price total.
Considering that certain fees can be charged as a percentage of the total cost, it is important that you know exactly what you are being charged on top of the spot price. If not, you may end up buying your gold at a far more expensive cost than you intended.
This is the part where many investors are at risk of getting things wrong. There are many gold dealers out there that offer very competitive prices that may seem a lot more attractive than what TD Precious Metals is offering.
However, in my experience, you will be sacrificing the security and reliability offered by TD Bank just so you can save a few extra dollars. If that precious metals dealer turns out to be unreliable, you risk losing a lot more money than you would have saved.
Physical Purchase Limits
All the precious metals offered by TD Bank are available for purchase on the company’s online page. However, there are certain limits imposed on the amount you can spend online.
If you are an existing TD Bank account holder, you can spend as much as CAD 9,999.99 in any 24-hour period. Non-account holders can only spend CAD 2,999.99 during that same period.
The only way to bypass these purchase limits is to buy your precious metals in person from a TD Bank branch. However, if you are not in a hurry to buy everything all at once, online purchases are the more convenient way to invest in TD Precious Metals.
Pros and Cons of TD Precious Metals
After going through all there is to know about TD Bank Precious Metals, I realized that so much information can be quite overwhelming for someone trying to decide whether this is a good company to invest with or not.
As such, I compiled the following pros and cons to help you reach a quick decision. Find them below!
Pros of TD Precious Metals
- High-quality gold and silver bullion provider
- Wholesale prices on selected products
- A top global precious metals supplier in North America
- Free coin and product giveaways for investors
- Easy, quick, online investing subscription
Cons of TD Precious Metals
- No individual coin purchases
- Limits on online purchases
How to Open an Investing Account With TD Bank Precious Metals
Opening a precious metal account through TD Precious Metals is much easier if you already have an account with the bank because the website will take you through the easy process. All you will need are your banking details, and you will be ready to go.
If you do not already have a TD Bank account, and you do not wish to open one, the other option will be to create a cash account or a margin account. Again, this process is easy because all you will need to do is follow the instructions on the website.
However, before settling for a cash or margin account, consider the opportunities you will be missing out on, especially if you are planning to invest a huge sum of money long-term. TD Bank account holders have a lot more flexibility and perks to enjoy.
Shipping and Storage
Being a bank allows TD Precious Metals to offer customers the chance to buy their precious metals and secure them within the bank’s vaults without having to worry about high storage fees. If you opt for TD Secure Storage, you will also eliminate the need to pay for shipping, which is something most gold dealers cannot offer.
As a TD Bank customer, you are allowed to have up to 10 TD Secure Storage accounts at a time. This provides you with more than enough storage for your precious metal investments.
All the precious metals that are stored through TD Secure Storage will be fully insured according to the current market price of the metals. TD Bank offers top-tier security thanks to its highly secure vault system.
To store your precious metals in TD Bank storage vaults, you will be charged a minimum of CAD 9.95 plus the cost of each metal as follows:
Gold: CAD 1.25
Platinum: CAD 0.90
Silver: CAD 0.02
If you want to secure your financial future, investing with TD Bank Precious Metals is a great choice to make in 2023. With access to a wide range of high-quality precious metals, you can diversify your portfolio and never have to worry about inflation again.
TD Precious Metals has made a name for itself across North America as a reliable option to consider for all precious metal investors.
Frequently Asked Questions
Is TD Precious Metals a Safe Precious Metals Investment?
One of the few downsides of investing in precious metals is the rampant criminality that plagues the industry. However, if you choose the right investment company, you can avoid falling victim to scammers.
TD Precious Metals has the advantage of being a subsidiary of a reputable Canadian bank that has been around for many years. Therefore, its safety and legitimacy are without question.
Does TD Precious Metals Have a Buyback Policy?
Even though there is no buyback policy in place, TD Bank Precious Metals allows you to sell your product back to the company under certain conditions. These simple conditions include having your metals checked for quality and bearing the brunt of all transaction fees related to the sale. If you find that the metals you have bought are not to your liking, simply call TD Bank for customer support.
How Can Investors Start Investing in TD Precious Metals?
Investing in precious metals is very easy if you choose a reliable dealer, such as TD Precious Metals. All you will need to do is start by learning as much as you can about the industry before deciding the best method to diversify your portfolio.
Each investor has their own needs, but for most people, the following steps will be enough:
- Opening a TD Precious Metals account
- Choosing the precious metals
- Deciding on payment method
- Deciding on a storage method