Can you buy gold, silver, precious metal bullion/bars/coins, gold ETFs (GLD, SLV) and precious metals mutual funds at Fidelity?

Can I Invest in Gold and Silver at Fidelity or Ally Invest?

If you’re interested in buying (or shorting) silver or gold, Fidelity and Ally Invest offer several ways to do this. Pull up a chair. We’re going to show you how to get started.

Buying Gold at Fidelity

Fidelity customers can buy and sell bullion, bars, and coins in a regular brokerage account. Available choices include gold, silver, palladium, and platinum. For gold, we found Krugerrands from South Africa, the Australian Kangaroo coin (which is 99.99% pure), and the famous American Eagle coin.

Fidelity Buy Gold

It’s only possible to make a trade from 8:00 am to 3:00 pm, EST, during the week. Precious metals orders must be placed over the phone. There is a $2,500 minimum investment in a taxable account, and the subsequent minimum is $1,000. Trades must be placed in whole number of coins or whole ounces. Fractional ounces or coins cannot be traded.

Fidelity charges a quarterly storage fee. It is $3.75 or 0.125%, whichever is greater. There is also a percent-based fee on both the buy and sell sides. It ranges from 0.75% to 2.90%, depending on the amount of the transaction.

If you would prefer to bypass all the costs and impediments of trading physical gold and silver, Fidelity also offers ETFs and stocks that are tied one way or another to the precious metals market. GLD, the famous gold fund from SPDR, is available. And another gold fund from iShares (IAU) is available commission-free. Both funds hold physical gold, so the market price and NAV both track the price of gold. Gold mining stocks are available as well.

Buying Gold at Ally Invest

Ally Invest doesn’t offer physical precious metals like Fidelity. But it does offer securities that are based on the spot price of metals. The same ETFs mentioned for Fidelity customers are available at Ally Invest. Furthermore, the famous GLD is available with zero trading fees at Ally Invest.

Ally Invest also provides options trading on these ETFs. Buying a call option or selling a put would be a good way to capitalize on the rising price of gold. Alternatively, you could buy a put or sell a call on either GLD or IAU. Both strategies would earn a profit if the price of gold declines. Thus, trading securities rather than the physical metal itself is a good idea if you’re bearish on the prospects of gold. And of course, shorting gold ETFs is another way to gain from a drop in gold’s market price.

Trading gold mining stocks is a possibility, too. We found Barrick Gold Corp (ticker symbol GOLD) on Ally Invest’s website. As with all other stocks at Ally Invest, there are no commissions charged. The current dividend yield on the stock is 0.92%.


Open Ally Invest Account

Judgment and Recommendations

Neither Fidelity nor Ally Invest offers trading in futures. Thus, traders at both brokers miss out on futures contracts that are based on one precious metal or another. Brokerage houses that do offer trading in precious metals futures include Tastyworks, Interactive Brokers, and Schwab.

As for holding physical gold or silver, we think Fidelity’s commission schedule is rather pricey compared to the cost of owning low-cost precious metals funds, which typically charge less than 0.50% in annual expenses and can even be traded commission-free in some cases.

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