Question 1

Why should I invest in precious metals?

Accepted Answer

Precious metals like gold and silver are a proven hedge against inflation and crises because they retain their value over millennia and exist independently of the financial system. They complement a portfolio of stocks and bonds and add stability.

Physical precious metals provide an interesting opportunity to store value or wealth outside the conventional financial system, helping to mitigate various risks and inflation. For instance, in the worst-case scenario of the Euro collapsing, you would still have your gold and silver, which could be exchanged for the succeeding currency. Precious metals can be seen as a form of insurance to secure investments over many years. Who can predict how the world will look in 30 years and what currency we will have? In contrast, gold and silver have held high value for millennia. Precious metals tend to perform well, especially when traditional investment products like stocks, funds, or government bonds face challenges. Hence, including precious metals in a well-diversified portfolio is advisable. Another advantage of gold and silver is the high liquidity of these assets, indicating how quickly you could convert them back into cash. Selling real estate or other hard assets would require significantly more time and effort. Central banks also rely on more than just fiat currencies and hold substantial gold reserves. For example, the US central bank holds 8,133 tons of gold, ranking second is Germany with 3,352 tons of gold. Follow the strategy of central banks and start building your own small precious metal reserve.

Question 2

Why use an app instead of buying precious metals directly?

Accepted Answer

With the Spargold app you avoid having to source trusted dealers, run your own safe and arrange insurance — we authenticate, transport, store and insure your precious metals for you, and you can sell at market price any time.

Certainly, you can buy precious metals directly, and perhaps you also want to purchase some gold and silver coins or bars through our app and enjoy them. However, our app comes with several advantages. 
 1. Our precious metals are authenticated by experts and sourced only from reputable and well-known mints and dealers. 2. The precious metals are professionally stored and insured. 3. You can sell your precious metals at current market prices anytime. If you buy precious metals yourself, you need trustworthy sources, appropriate insurance, preferably a personal safe, and when you wish to sell again, you must take your precious metals to a dealer. This transport also involves risks or costs.

Question 3

What is the difference between Spargold and a Gold ETF?

Accepted Answer

With Spargold you own real, physical gold with full legal title — with a gold ETF or ETC you only hold a security that promises gold. If the issuer goes bankrupt your Spargold metals are protected because they are not part of the company's balance sheet.

A Gold ETF (Exchange Traded Fund) is a tradable financial product backed by gold. It requires a brokerage account for purchase, and various broker, custody, and management fees apply. The gold held in the ETF is usually stored not by the fund itself but often by a bank. However, pure gold ETFs are not allowed in Germany as they violate investment fund guidelines. In Germany, you can invest in "Exchange Traded Commodities" (ETCs), which are gold in the form of exchange-traded commodities. A Gold ETC is a bearer bond usually backed by physical gold reserves. So, you don't own gold; a company owes you gold. In case of the fund or storage company going bankrupt, there is a risk of loss. Spargold, on the other hand, is not a financial product in the traditional sense; we provide a platform for you to digitally buy physical precious metals that we manage for you. The stored precious metals are not part of our balance sheet and would remain in your possession even in the unlikely event of bankruptcy. To invest in physical precious metals with Spargold, you don't need a brokerage account; just use the Spargold app.

Question 4

Is Spargold safe?

Accepted Answer

Yes. Your precious metals are 100% allocated, fully insured and stored in "The Reserve" in Singapore — one of the world's most secure LBMA high-security vaults. They are not part of our balance sheet and remain your property even in the unlikely event of insolvency.

In short, yes, Spargold is very safe! We prioritize offering an extremely secure product, and in our product development, we have focused on security. To perfectly protect your deposits, we collaborate with a renowned and large partner that stores 800 tons of precious metals and is a member of the most important precious metal industry association LBMA. The precious metals stored by Spargold are held in "The Reserve," one of the largest and most modern high-security precious metal vaults globally, located in Singapore—one of the safest countries in the world. "The Reserve" is also situated in close proximity to Changi Airport (voted the best airport in the world 12 times), within a designated security zone where heavily armed police units can arrive within minutes. All stored precious metals are authenticated, regularly audited externally, and insured against any form of loss. The precious metals stored for you are not part of our balance sheet and would remain in your possession even in the unlikely event of bankruptcy. The stored metals are also not part of the balance sheet of our partner company handling storage. Spargold itself is a German GmbH, making us your direct partner in Germany. Regarding the IT security of our app and infrastructure, we adhere to high security standards and draw on years of experience in the IT sector. When you choose Spargold, you can be assured of using a solid and secure product.

Question 5

Which investment is better, gold or silver?

Accepted Answer

Gold is the classic store of value and inflation hedge, while silver is more affordable and more volatile thanks to industrial demand — most investors hold both. The right ratio depends on your investment goals, budget and risk tolerance.

Both precious metals, gold and silver, have unique characteristics and can be considered attractive investments depending on individual investment goals. Gold, as an investment, signifies stability and wealth preservation. Traditionally, gold is viewed as a safe haven, maintaining its value over long periods. Due to its scarcity and global recognition, gold is often seen as a long-term hedge against inflation. Gold is valued not only as an investment but also as a symbol of wealth and prestige. Silver, on the other hand, has broad industrial applications, especially in electronics and renewable energy. This demand can lead to price increases. Compared to gold, silver is typically more affordable, making it attractive to investors with a limited budget. Due to its more volatile nature, silver can offer higher returns during periods of economic expansion. Conclusion: Many investors prefer to diversify their portfolios and opt for a combination of gold and silver to benefit from the respective advantages of both metals. The choice between gold and silver depends on personal preferences, risk tolerance, and investment goals. A comprehensive analysis of one's own situation is crucial.

Question 6

What is the minimum amount to start a savings plan?

Accepted Answer

You can set up a precious-metals savings plan with Spargold from 5 € per month. There is no minimum term and no minimum sum — you pay in as little or as much as suits your budget.

Question 7

Can I pause or end the savings plan at any time?

Accepted Answer

Yes. You can pause your savings plan at any time in the app, change the rate, or end it permanently — with no notice periods and no penalty fees. Precious metals you have already purchased remain your property in any case.

Question 8

How does the cost-average effect work with the savings plan?

Accepted Answer

Because the savings plan invests a fixed amount at fixed intervals, you automatically buy more units when prices are low and fewer when they are high. Over time, this smooths out your average entry price and reduces the timing risk compared to a single large purchase.

Question 9

Which precious metals can I invest in via the savings plan?

Accepted Answer

You can save in gold, silver or platinum — either a single metal or a combination. You can adjust the ratio and the metals at any time, for example to diversify your portfolio.

Question 10

What happens to my money when the market is closed?

Accepted Answer

Spargold bundles savings contributions and automatically purchases the precious metals at standard market conditions on the next trading day. You can see the exact purchase price and the quantity acquired transparently in the app.

Question 11

Is the savings plan a real alternative to a gold ETF?

Accepted Answer

Unlike gold ETFs/ETCs, with the Spargold savings plan you acquire real physical precious metal with full ownership rights. The holdings are allocated and stored at “The Reserve” and are not part of the balance sheet of Spargold or the storage operator — even an insolvency would not jeopardise your holdings.

Question 12

What taxes apply on sale?

Accepted Answer

In Germany, profits from the sale of physical precious metals are exempt from income tax after a holding period of one year. Since our precious metals are stored in a duty-free warehouse, no VAT is incurred during storage either. This is not tax advice — please consult a tax advisor for your individual case.

Question 13

What fees does Spargold charge?

Accepted Answer

Spargold charges three fees: a purchase fee (gold 1%, silver and platinum 2% each), a sale fee of 2%, and an annual storage fee (gold and platinum 0.5% p.a. each, silver 1% p.a.). The purchase and sale fees are already included in the price you see in the app — there are no additional or hidden costs.

Question 14

Do I have to pay VAT?

Accepted Answer

No. Your precious metals are stored in a duty-free warehouse in Singapore, so no VAT applies to gold, silver or platinum. This applies as long as your precious metals stay in the vault; physical delivery is currently only possible in Singapore.

Question 15

Are profits from a sale tax-free?

Accepted Answer

In Germany, profits from the sale of physical precious metals are exempt from income tax after a holding period of one year. Please note that this is not tax advice — for your individual situation, please consult a tax advisor.

Question 16

What is already included in the price?

Accepted Answer

The buy and sell prices shown in the app already include the Spargold purchase or sale fee, the costs for authenticity verification, transport and insurance, as well as the spread and market premium. You therefore pay exactly the price displayed.

Question 17

What does the storage fee cover?

Accepted Answer

The annual storage fee covers high-security storage at “The Reserve” in Singapore, multiple audits per year, full insurance against loss, theft and damage, and inventory management of your 100% allocated precious metals.

Question 18

Is there a minimum investment?

Accepted Answer

Yes — you can pay into a savings plan from as little as 5 € per month, or make a one-time purchase from 5 €. There is no minimum term, and you can pause or end your savings plan at any time.

Question 19

Where are my precious metals stored?

Accepted Answer

Your precious metals are stored at “The Reserve” in Singapore — one of the largest and most modern high-security vaults in the world, operated by LBMA member Silver Bullion. The vault is located in a security zone in the immediate vicinity of Changi Airport and holds assets worth more than three billion US dollars.

Question 20

What does “allocated storage” mean?

Accepted Answer

Allocated storage means: a specific bar with a serial number is assigned to you by name — not merely a claim to a quantity. In contrast to unallocated storage, your holdings are not part of the balance sheet of Spargold or the storage operator, and remain your property even in the unlikely event of an insolvency.

Question 21

Are my precious metals insured?

Accepted Answer

Yes, all stored precious metals are fully insured against loss, theft, damage and force majeure. The insurance costs are already included in the annual storage fee (0.5% p.a. for gold and platinum, 1% p.a. for silver).

Question 22

Why is storage in Singapore and not in Germany?

Accepted Answer

Singapore is considered one of the politically and economically most stable locations worldwide, has strict property laws, and lies outside the EU banking system — which protects your precious metals from potential political or fiscal-policy interventions. You also benefit from the duty-free warehouse status: no VAT on silver and platinum.

Question 23

How are the holdings audited?

Accepted Answer

“The Reserve” is inspected several times a year by external, independent auditors. Authenticity, purity, weight and full allocation of every single bar are verified. Spargold documents the audit results so that you have full transparency about your holdings at any time.

Question 24

Can I have my precious metals delivered to my home?

Accepted Answer

Physical delivery is currently only possible in Singapore, where your precious metals are stored at “The Reserve”. Shipping to Germany would be extremely expensive – due to shipping insurance, logistics and possibly VAT on silver and platinum. You can, however, sell your precious metals in the app at any time and receive your money.

Question 25

Are the precious metals genuine and where do they come from?

Accepted Answer

All investment bars come from LBMA-certified refineries and mints and meet the “Good Delivery” standard for purity, weight and form. Every bar is checked for authenticity upon storage.

Frequently asked questions

General

Frequently asked questions about the precious-metals savings plan

Frequently asked questions about prices and fees

Frequently asked questions about precious-metals storage