You don't need $4,000 to own gold: coins vs digital gold vs ETFs
Many people picture gold as a heavy coin from a dealer that costs thousands of dollars. Today you can own gold with almost any amount. Here's how the main options compare.
1. Physical coins and bars
You own the metal directly. The catches: you pay a premium over the gold price when you buy, you usually get less than the gold price when you sell, and you need somewhere safe to store it. A one-ounce coin also requires a large amount of money at once.
2. Digital gold in an app
Some Canadian brokers let you buy fractional gold from as little as $1. For example, Wealthsimple's digital gold charged 1% to buy and 1% to sell, with no storage fee, as of early November 2026. That's simple and flexible, but a 2% round trip adds up if you trade often.
3. Gold ETFs
A gold ETF holds physical gold in a vault and trades like a stock. You pay a small yearly fee instead of a premium. Yearly fees as of early November 2026:
| Fund | Yearly fee |
|---|---|
| IAUM (iShares Gold Trust Micro) | 0.09% |
| IAU (iShares Gold Trust) | 0.25% |
| GLD (SPDR Gold Shares) | 0.40% |
| CGL.C (Canadian-listed) | about 0.55% |
IAUM traded around US$40 a share, and brokers that offer fractional shares let you buy less than one.
Gold miners are a different bet
Miner ETFs like GDX (about 0.51% a year) own gold-mining companies, not gold. A simplified example: if gold sells for $4,000 an ounce and it costs a miner $3,000 to produce, the profit is $1,000. If gold rises 10% to $4,400, the profit jumps to $1,400, a 40% increase. The same leverage works in reverse when gold falls or costs rise. Miners can also have company-specific problems that gold itself doesn't.
Before you buy
- Gold pays no interest or dividends; your return comes only from price changes.
- Its price can fall for long periods.
- Most investors who hold gold keep it as a small slice of a diversified portfolio.
Watch the gold beginner's guide on YouTube.
Fees and prices change; check the fund's and broker's current details. Education only, not financial, tax or investment advice. Numbers are illustrative; check your own situation, or speak with a licensed professional.