Investing in Gold Royalties

Most people have heard about gold investments but one type of gold investment that many don’t know about is gold royalty. A royalty is an owner’s right to receive a given percentage of production from a gold mine. The question you are bound to have now is but how can someone become entitled to a gold royalty? Well it is simple. By financing the mining operations through provision of upfront costs, the royalty holder will get a share of the mine’s revenue. The performance of the royalty is directly related to the success of the gold mine; the better the mine performs, the higher the revenue will be and vice versa.

Getting Into Investing in Gold Royalties

Investing in gold royalties is not as complex a process as it is thought to be. If you want to invest in gold royalties and become a direct recipient of the gold mine’s revenue, you should start off by calling your stockbroker or accessing your online brokerage account. The simplest way of investing in gold royalties is to purchase stock of a gold royalty company such as Royal Gold.

The next step is to navigate to your trade account and add symbol “RGLD”. Then, add the number of shares that you want to buy and click market order. This is the simplest way of investing in gold royalties. After you have added the number of shares you want to buy, click on submit or continue. This will automatically calculate the total price of your order as well as the commission that you will have to pay. Once you have reviewed the details, the next step is to then place your order by clicking on trade.

Once your trade has been completed, you will receive a confirmation email. Your designated broker will send you the confirmation of your Royal Gold Stock either through electronic email or by post.

It is important to note that there are plenty of companies through which you can invest in gold royalties but Royal Gold is one of the biggest and best. However, if you are completely new to investing in gold royalties, you should conduct some research on your part on the internet and check your options. In order to decide the company you want to invest in, narrow down your options in terms of top five and rank them in order of rankings and their overall market worth.


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Kevin Lee is a former tech advisor who cut his teeth in Silicon Valley. He now spends his time sharing his passion for investing in diamonds and jewelry. You can reach Kevin for any comments by using this form.