76% of retail CFD accounts lose money.
Summary: Revolut provides a way for users to invest in gold, but it's worth noting that the platform is not specifically regulated for this type of asset. With a base transaction fee of 0.25% along with a typically wider spread, the service can be more expensive compared to other options. This may be a point of concern for cost-conscious investors.
After careful evaluation, eToro stands out as a recommended alternative. The platform is FCA-regulated and offers a lower fee solution for those interested in gold investment, as well as a wide array of over 3,000 other tradable assets. eToro distinguishes itself with zero fees on commodity ETFs and offers competitive spreads, making it a compelling choice for those looking to diversify their investment portfolios with gold.
Can I Buy Gold with Revolut?
Yes, Revolut does offer the option to purchase gold through its platform, expanding its services beyond merely being a digital banking solution. This feature allows users to diversify their portfolio by adding commodities like gold, silver, platinum and palladium.
However, it's essential to note two things. First, Revolut imposes a base fee of 0.25% on your gold transactions. Additionally, the spread can sometimes exceed 1.5%, making it a pricier option than other platforms for buying gold. Second, Revolut's commodities trading platform isn't regulated by the Financial Conduct Authority (FCA), which might concern those focused on security and compliance.
How to Buy Gold with Revolut
If you're keen on investing in gold and you have a Revolut account, you may be tempted to make the purchase directly through Revolut. Although possible, you might want to consider eToro as a more suitable alternative, especially if you're based in the UK or the EU. eToro is an FCA-regulated platform, has a user-friendly deposit process, low fees and offers a wide variety of Gold, Silver, and other commodity ETFs, along with over 3,000 other tradable assets.
Here's a simple step-by-step guide to help you:
- Navigate to the eToro website and create an account. You'll need to verify your identity as part of the registration process.
- Once logged in, locate the 'Deposit Funds' button on the lower left corner of your screen.
- Select your currency, like GBP or EUR, and choose your payment method, such as a Bank Transfer from your Revolut account.
- After successfully depositing your funds, you can use that balance to invest in gold or other assets of your choice.
Revolut Gold Fees
Investing in stocks with Revolut can get costly, especially with its varying fee structure based on your subscription level. Premium & Metal users face a 1.49% fee, while Standard & Plus members are charged a 3% fee. Revolut also has a monthly subscription fee of £12.99 or an annual charge of £120.
On the other hand, eToro is a more budget-friendly option. Not only does it charge zero commissions on popular Gold ETFs like the SPDR Gold ETF (GLD), but it also maintains tight spreads around 1%. For cost-conscious investors, eToro emerges as a more economical choice.
Is Revolut Good for Commodities?
Revolut may not be your best option for investing in commodities. The platform has high transaction fees and considerable spreads that can impact your returns. Plus, there's an obligatory subscription fee of £12.99 per month or £120 annually.
Furthermore, it's worth noting that Revolut is not regulated by the Financial Conduct Authority (FCA), which could add an extra layer of risk. Given these factors, you might want to explore other regulated and cost-effective platforms for your commodity investment needs.
In conclusion, while Revolut offers the convenience of buying gold directly through its platform, it may not be the most cost-effective or secure option for commodity investment. High transaction fees and lack of FCA regulation are significant drawbacks. On the other hand, eToro stands out as a more economical and secure alternative, with lower fees and FCA regulation. If you're serious about adding gold to your investment portfolio, considering all the fees and regulations, eToro may offer a more favorable pathway.