How to buy silver and gold on Webull. Beginner investing in gold bars, coins, stocks, ETFs, and precious metals mutual funds on Webull.

Trading Gold and Silver at Webull

With a seemingly endless stream of new asset classes being created especially in the digital space, there are many that feel gold and silver are an investment vehicle of the past. However, despite this growing sentiment, many savvy investors still maintain exposure to gold and silver.

In this article we will discuss the case for investing in gold and silver, avenues to gain exposure, and how you can use investment platforms such as Webull to get them into your portfolio.

Constant Demand for a Limited Resource

Silver and gold are highly sought after by a myriad of industries. Beyond their value as an economic instrument, they are an irreplaceable part of how much of the world works. The pace of mining is not matching the growth of demand. This is unlikely to change and hence value will continue to rise.

A Hedge Against Inflation & High Liquidity

Gold and silver carry inherent value that is not dependent on a foreign government, its currency or an underlying asset. In fact, the value of gold and silver has historically risen in direct response to rising inflation.

Additionally, it’s ability to be converted into cash is very high. For investors, the speed of converting such an asset into liquid capital is essential for their success.

Ways to Invest in Gold & Silver

There are a host of ways to gain exposure to gold and silver. Here are some of the most common.

As a Physical Asset

You can purchase gold and silver bullion in the form of bars and coins through local brokers or online. Holding the physical asset provides many benefits however it does create certain limitations when it comes to its storage, security, insurance, and ease of liquidity.

Buying Gold ETFs on Webull

Exchange-Traded Funds offer you the ability to hold an asset that tracks the value of gold or silver with the flexibility of a traditional stock. Shares trade on the NYSE and can be bought and sold throughout the course of a trading day much like a stock in a public company.

Gold and Silver ETF’s fall into two categories. First are funds that track the actual asset’s value.

An example would be SPDR Gold Trust (GLD). Started in 2004, GLD tracks the price of gold bullion in the over-the-counter (OTC) market. The value of a single share is equivalent to one-tenth of an ounce of gold.

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ETF iShares Silver Trust (SLV) tracks the price performance of its underlying holdings. Each share represents a fractional interest in the net assets held by SLV.

Both GLD and SLV benefit from the value of gold while giving you the flexibility of a standard stock or mutual fund.

Second, are ETF’s that are a combination of gold bullion holdings and shares of publicly traded companies related to the gold and silver industry. This presents a unique ability for you to benefit from the growth of the industry in addition to the gold or silver itself.

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Buying Gold Stocks on Webull

As mentioned earlier, owning stocks of publicly traded companies that operate in the mining, refinement, or production of gold and silver is a way to benefit from the industry of gold and silver beyond its inherent value.

One such company is Newmont Corporation (NEM). Based in Greenwood Village, Colorado, it is the largest gold mining company in the world. With mines located in multiple countries, it has been one of the most consistent extractors of precious metals in the industry.

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Futures & Options in the Commodities Market

For those looking to manage the amount of capital they are risking, experienced investors take advantage of options on gold and silver futures or ETF’s.

How to Invest in Gold and Silver Using Webull

Webull allows you to invest in gold and silver ETF’s such as GLD and SLV, companies like Newmont Corporation (NEM) and take out options contracts.

To open a Webull account, enter your email address or mobile number. You will be given a verification code and prompted to enter a secure password. Once logged into your account, Webull provides a page with information on additional insurance coverage for clients and other important information.

Once registration is complete, you can download Webull’s mobile or desktop computer app. For this article we will be using their browser-based interface.

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Researching Gold and Silver ETF’s, Related Stocks

Webull’s intuitive trading platform gives you access to robust tools to do your due diligence in one central location.

When you access the “stocks” tab, you will be able to see KPI’s, performance history, deep analysis, options and a multitude of charts on a single screen. Please note ETF’s can be found using the search bar just like any other stock available on the platform.

Executing Orders for ETF’s and Stocks on Webull

You can execute your trades in the “Trade” section of the platform. Enter your chosen symbol into the trading window and you are off to the races.

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Options Trading on Webull

Webull is one of the few platforms that charge 0% commission and 0% contract fees to trade options. As a result, Webull is a popular option with a lot of tech-savvy investors that utilize more complex trading strategies that would be cost prohibitive on other platforms.

Once you are approved to trade options, a tab will appear in the “Stocks” section of your interface. From there you can see the order book and begin trading options.

Webull’s powerful, easy-to-use interface paired with its zero commission and no minimum deposit makes it an appealing option for anyone looking to add gold or silver to their portfolio.

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Updated on 5/10/2022.


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