Earnings on gold, where Revolut or exchange broker is more profitable
If you want to make money on gold, then the best option will be short -term trade in precious metal.
Unlike investing in gold bullion, the trading allows you to earn many times more, as it allows you to fix profit, and not wait years increase in price.
The essence of such a trading is cured in the fact that you make a purchase transactions, wait for a price increase and make a sale, after a price rollback is taking place, make a purchase again.
As a result, you can earn much more in gold than with long -term transactions, when you buy and sell in a few years.
We earn on gold online
Due to the fact that the difference between the purchase and sale of gold ingots today is simply huge and sometimes exceeds 10%, this option is absolutely not suitable for short -term transactions.
There are only options that do not provide for the physical purchase of precious metal, which are held online.
Until recently, the only option with which it was possible to conduct trading was brokers for gold trade :
These companies allow you to easily buy or sell such an asset as XAUUSD online at the best price. But not so long ago, an equally interesting alternative in the form of investment accounts in Revolut appeared.
Thanks to this possibility today, you can buy not only gold, but also metals as silver, platinum, palladium directly from your account in the Revolut bank.
But how suitable for short -term earnings on gold, when you need to often open and close transactions. For several months I tried to trade gold in Revolut and checked how profitable it is.
| Type of commission | Revolut | Exchange broker |
|---|---|---|
| The opening of the transaction | 0,49% | 0.005% (in the spread) |
| Closing the transaction | 0,49% | 0% |
| Spread | 1.5% when opening 1.5% when closing |
0.005% when opening |
| Swap for postponing positions | 0% | 0.01% per day or 0.3% per month |
Some moments in the trade in zealut were revealed only when the discovery and closing of transactions. It turned out that in addition to the usual commission, 0.49% also has the spread of the intermediary broker, it is about 1.5%.
The second unpleasant was that the spread and the commission is taken both when opening and when closing the transaction, while only once in exchange brokers.
As a result, the completed gold transaction in Revolut will cost you 0.49+0.49+1.5+1.5 = 3.98% or 120 dollars with a troilian ounce.
And the exchange broker has only 0.005%, but if you hold the position within a month, then taking into account the spread of 0.3+0.005 = 0.305% or 9.15 dollars .
That is, when trading through an exchange broker, a commission is 12 times less than in Revolut.
This is a lot or a little, you can judge for yourself, I bought 10 triple ounces of gold, while the amount of all commissions after the sale amounted to 1,200 US dollars. We can say that I overpaid $ 1,100 commissions , which amounted to about 25% of my profit.
In addition, it was not the work order of the stop Loss, which cost me another 75 dollars of lost profits.
Therefore, we can say that Revolut is suitable only if you invest in gold for several years, and absolutely does not suit transactions in shorter than this period. The convenience of trading right from your account is very expensive.