Comparison of Buying-Selling Paper Gold Prices Among Banks

As of writing, there are currently 5 banks that offer their account holders the opportunity to invest into Paper Gold. The 5 banks are:

• UOB Bank (UOB Gold Savings Account)
• CIMB (CIMB Gold Savings Account)
• Public Bank (Public Bank Gold Investment Account)
• Maybank (Maybank Gold Investment Account)
• Kuwait Finance House (KFH Gold Account-i) 

*click on link to find out more information about that gold savings/investment account

When deciding to purchase paper gold one of the key factor to consider is the "Difference between Selling and Buying Price offered by the bank".

Lower price difference between selling and buying price allows investors to benefit from the following:

• Earn higher returns.
• Quicker recouping of investment when gold price rises.

However, I would like to remind that this is just one of the key factor when considering which bank you would like to open your gold investment account with. Other factors such as convenience in buying and selling (e.g via online), availability of funds in that bank and having a single bank account to manage all your investment should be taken into consideration as well.

Comparison of Buying-Selling Paper Gold Prices Among Banks

Paper Gold Comparison - price RM per gram
	Selling*	Buying*	Difference	% Difference
UOB Bank	164.70	162.70	2.00	1.23%
CIMB	165.30	159.70	5.60	3.51%
Public Bank	166.47	159.93	6.54	4.09%
Maybank	165.94	158.99	6.95	4.37%
Kuwait Finance House	166.90	159.30	7.60	4.77%

*Buying and Selling Price as of 19th February 2013

Kuwait Finance House Gold Investment Account

Kuwait Finance House (KFH) is the first foreign Islamic bank in Malaysia that offers investors an opportunity to invest in paper gold. The Kuwait Finance House Gold Investment Account also know as KFH Gold Account-i allows investors to conveniently invest and trade in Gold according to the Shariah Concept of Bai' As-Sarf & Qardh. The account allows investors to track and plan their investments as all trades are recorded in the account statement.

Benefits:

• Enjoy peace of mind when you purchase gold without having to keep the physical gold.
• Withdraw the physical gold on the spot or have the Bank retain the gold under Qardh concept.
• Purchase/Sale can be arranged via debit/credit from your KFH Savings Account-i or KFH Current Account-i.
• Affordable initial deposit as low as 10gm (for individuals/joint) & 50gm (for non-individuals)
• Opportunity for capital gain if gold price appreciates.
• No charges imposed on safekeeping and withdrawal
• 24-hour Customer Contact Centre

Purchase of Gold:

Initial:

• Individuals / Joint: 10gm, in multiple of 1gm
• Non-Individuals: 50gm, in multiple of 1gm

Subsequent: 1gm, in multiple of 1gm

Fineness of Gold:

995.0

Denomination:

1, 5, 10, 20, 50 & 100 gm

Eligibility:

Individual / Joint Account

• Male & Female individual who have attained the age of 18 years old
• Malaysian citizen, permananet resident or non-resident

Non Individual Account

• Non Individual such as associations, societies, companies, or other business entities that KFH Malaysia finds suitable or acceptable

UOB Gold Savings Account

The UOB Gold Savings Account (GSA) is one of the two types of gold investment account offered by UOB. The other type of account available for investors is called UOB Premier Gold Account (PGA). The main difference between GSA and PGA is the minimum amount of gold you can purchase per transaction. Another key point to highlight for purchasing gold from UOB is the low price difference between buying and selling. This allows investors to make more gains when gold price appreciates.

Benefits:

Secure, hassle-free investment
• You can invest in gold without the inconvenience of storing and transferring the physical gold, or worry about the security of holding it.
• The account is reflected in your statement.

Low price spread
• The difference between buying and selling prices is low.

Conversion to physical gold
• You may convert the gold purchased under Premier Gold Account and Gold Savings Account to physical gold (subject to our approval). A nominal conversion fee will be charged for the conversion.

Instant liquidity
• You can cash in your investment any time during banking hours. 

Rates and Fees:

	Premier Gold Account	Gold Savings Account
Minimum Initial Investment	1kg	20 gm
Minimum Subsequent Investment / Withdrawal	In multiple of 1 kg	In multiple of 5 gm
Minimum Balance in the Account	1 kg	10 gm
Fees And Charges	An administrative fee of RM2.00 will be charged per month if the balance of the account falls below 1kg at month end.	An administrative fee of RM2.00 will be charged per month if the balance of the account falls below 10gm at month end.
Account Opening Requirement	Prior to opening a Gold Investment Account, the investor is required to maintain either a savings account or current account in RM to facilitate payment for purchases, collection of sales proceeds and debiting of fees and charges.

Contact to inquire about UOB Gold Savings Account
To obtain more information, please visit your nearest UOB Branch or Contact our 24-hour UOB Call Centre Service at:

Kuala Lumpur +6 03-26128 121
Penang +6 04-2401 121
Johor Bahru +6 07-2881 121
Kuching +6 082-287 121
Kota Kinabalu +6 088-477 121

Public Bank Gold Investment Account

Public Bank account holders are given the opportunity to invest in gold via Public Bank's Gold Investment Account. With the facility to buy and sell gold via public bank's e-banking account, investor can now perform all gold transactions with ease without the hassle of going to the bank. 

Now before you decide to start your very own Public Bank Gold Investment Account (Public Bank Gold Saving Account), here are some vital information about selling and buying gold from Public Bank:

What is a Public Bank Gold Investment Account?

• Gold Investment Account is an account which allows individual customers to purchase the purest available gold commodity in 99.99% fineness at daily prices for 1 gram in Ringgit Malaysia (RM).
• A passbook will be provided to the account holders and every purchase/sale order will be recorded in the passbook.

Features and Benefits

Eligibility	• Individuals (resident or non-resident) aged 18 years and above. • Personal or joint
Minimum Initial Purchase	10gms
Minimum Balance in the Account	2gms
Minimum Subsequent Purchase/ Sale	5 grams and must be in multiple of 1 gram
Gold Purchase	• Gold purchase will be based on the Bank's prevailing gold SELLING price quoted in RM per gram. • The mode of payment accepted for purchase of gold are : - cash - debiting of account - house cheque • No physical gold deposit is allowed.
Gold Sale/ Withdrawal	• Gold sale will be based on the Bank's prevailing gold BUYING price quoted in RM per gram. • Withdrawal options available are : - Cash - Crediting of account - Collection of physical gold withdrawal at selected branches
Account Opening Requirement	Customer is required to maintain either a savings account or current account prior to opening a GIA to facilitate the debiting of service fee, if any.
Service Fee	An annual fee of RM10 will be levied on the designated deposit account on the first day of the calendar year if the account balance is below 10gms as at year end.
Online Gold Trading via PBeBank.com	• Available from 9.30 a.m. to 4.45 p.m., Monday to Friday when the Bank is opened for business in the Federal Territory of Kuala Lumpur. • Gold purchases and sales are offered at a discounted price. • Registration of GIA for PBeBank.com online banking service is required. • Transaction Limit: Minimum 5 grams per transaction Maximum RM50,000 equivalent per GIA account per day for both gold purchases and sales.

Fees and Charges

No.	Type of Charges	Amount
1	Gold quantity balance of less than 10 grams as at 31 December each year The aforesaid service fee will be waived for new accounts opened for less than (1) month i.e. opened in the month of December.	RM10-00 per annum
2.	Replacement of lost Gold Investment Account passbook	RM10-00 plus stamp duty
3.	Stamp duty for Gold Investment Account Agreement	RM10-00
4.	Physical Gold Withdrawal - Denomination of gold bar available in 50g and 100g. Fee charged is on per piece basis.	Gold Collecting Branches 50g 100g Jalan Sultan Sulaiman RM220 RM240 Pulau Pinang/ Bagan Ajam RM250 RM270

Maybank2U Gold Investment Account

One of the main reason why many investors purchase gold from Maybank is because of its convenience. Being the largest bank in Malaysia, practically everyone owns a Maybank2U online e-banking account. What better way then to utilize your very own Maybank2U to purchase and sell gold at convenience of your own home?

Before you decide to start your very own Maybank2U Gold Investment Account, here are some vital information about selling and buying gold from Maybank:

Features and Benefits:

• Better Protection: Investments in Maybank Gold Investment Account are fully backed by physical gold deposited in Produits Artistiques Metaux Precieux (PAMP S.A).
• Convenience: Managing your account is easy. Buy or sell easily with your passbook at any Maybank branch in Malaysia or via Maybank2u.com
• Affordability: 1 gram is all you need to purchase, sell and maintain your investment.

Features	Description
Minimum Initial Purchase	1 gram
Minimum Subsequent Purchase/Sale	In multiples of 1 gram
Minimum Balance in the Account	1 gram
Gold Purchase Price	- Gold purchase will be based on the Bank's prevailing gold SELLING price quoted in RM per gram - The mode of payment accepted for purchase of gold are:    1) Cash    2) Debiting of current/savings account maintained with the   Bank    3) House cheque    4) Maybankard Debit & Credit Card (Visa & MasterCard only)
Gold Sale/Withdrawal	Gold sale will be based on the Bank's prevailing gold BUYING price quoted in RM per gram Withdrawal options available are:    1) Cash    2) Crediting of current/savings account maintained with the Bank
Mode of Operation	Passbook
Interest	No interest payout
Stamp Duty Fee on Agreement	RM10
Replacement of Lost / Spoilt Passbook	RM15 (inclusive of Stamp Duty for Letter of Indemnity)
Buy or sell gold via Maybank2u.com	Available from Monday to Friday (10am to 4.30pm) when the Bank is open for business in the Federal Territory of Kuala Lumpur

Who can apply?

• Individuals aged 18 years and above
• Joint account - maximum 4 persons

Gold Investment via Maybank2U

Enjoy the convenience of managing your Maybank Gold Investment Account (MGIA) online via Maybank2u.com. You can now buy and sell gold anywhere, anytime from the comfort of your home, office or while you're on the go.
Just follow these simple steps:

1. Log in to your Maybank2u account

2. Click "Investment" on the main menu tab

3. Click "Maybank Gold Investment Account"

4. Options available:

View my MGIA details
(View account details and transaction history)

Deposit Gold
(Make an online deposit/purchase of gold into your MGIA account)

Withdraw Gold
(Perform online gold withdrawal/sale from your MGIA account)

5. Online Trading Hours

Online gold trading is available between 10.00 am to 4.30 pm from Monday to Friday
(Subject to Federal Territory business days)

Summary:

Disclaimer: 

The returns on Maybank Gold Investment Account (MGIA) are subject to the gold price fluctuations. Customers are advised to read and understand the product before making any investment. This product is not insured by Perbadanan Insurans Deposit Malaysia (PIDM).

Important:

Do take some time to download and read the following before investing.

Download Product Disclosure HERE

Download Maybank Gold Investment Account FAQ HERE

CIMB Gold Savings Account

CIMB Gold Savings Account is one of the many available avenue for Malaysians to invest into Gold. An added option for investors thinking of opening a CIMB Gold Savings Account is the opportunity to withdraw actual physical gold from their account. 

Now here are some vital information that you might want to look into first before investing into a CIMB Gold Saving Account:

Features and Benefits:

Minimum Initial Deposit	5 grams
Minimum subsequent Purchase / Sale	5 grams and must be in multiples of 1 gram
Minimum Quantity for Physical Gold Withdrawal	100 grams and in multiples of 100 grams
Account Opening Requirement	Customer to open an affiliate conventional savings/current account (“designated affiliated account”) prior to opening a GIA to facilitate the purchase or sale of gold and other charges. The designated affiliate account is compulsory and customers without a CIMB Bank savings/current account would be required to open one.
Mode of Operation	Passbook
Gold Purchase Price	·  Gold purchase will be based on the Bank’s prevailing gold SELLING price quoted in RM per gram ·  The mode of payment accepted for purchase of gold are: - Debiting current/savings account maintained with CIMB Bank
Gold Sale/ Withdrawal	·  Gold sale will be based on the Bank’s prevailing gold BUYING price quoted in RM per gram ·  Withdrawal options available are: - Credit into the designated affiliate account - Physical gold collection by customer at CIMB Kuala Lumpur Main Branch, 11 Jalan Raja Laut, 50350 Kuala Lumpur.
Interest	No interest payout
Benefits	·  Customer will make a capital gain if there is an appreciation in gold price. ·  To earn potentially higher return from appreciation in gold price ·  Invest in gold without having to keep the gold physically ·  Good hedge against inflation ·  Affordable initial purchase and subsequent investment ·  Convenience of investing in gold as trading is carried out through a passbook.

Requirements:

Eligibility:
Individuals aged 18 years and above who are either residents or non-residents.
Joint account is allowed.
Minor of below 18 years old.

Requirements:
NRIC or passport.
MyKid or Birth Certificate for minor below 18 years old.

Fees & Charges:

Products/Items			Charges
1	Physical Gold Withdrawal (Collection of physical gold by customer at CIMB Kuala Lumpur Main Branch, 11 Jalan Raja Laut, 50350 Kuala Lumpur)		RM1 per gram of gold ordered (inclusive of insurance and transport charges)
2	Fee for failure of collection of physical gold ordered (in the event of failure to collect the physical gold ordered within thirty (30) business days from the date of the Bank’s notification letter)		RM1 per gram of gold ordered (inclusive of insurance and transport charges)
3	Annual Service Fee		RM5 in the event gold balance falls below 5 grams at year end
4	Replacement of Lost / Spoilt Passbook		RM20 (Inclusive of Stamp Duty on Letter of Indemnity)
5	Closing of GIA (within 6 months of its opening)		RM10

Important:
Do take some time to download and read the Product Disclosure before investing.

Download Product Disclosure HERE