Gold is not available to buy on Robinhood

Robinhood does not offer gold or other precious metals as a tradeable asset. The platform lets you buy stocks, exchange-traded funds (ETFs), options, and cryptocurrencies, but physical gold, gold bars, gold coins, and gold futures contracts are not among them.

If you want exposure to gold through Robinhood, your option is to buy a gold ETF — a fund that holds gold or tracks its price. This gives you a way to own a stake in gold without buying the metal itself, and you can trade it during market hours like any stock.

Key Takeaways

  • Robinhood does not let you buy physical gold, gold bars, or gold futures.
  • You can buy gold ETFs on Robinhood, which track the price of gold and trade like stocks.
  • Common gold ETFs on Robinhood include GLD (SPDR Gold Shares) and IAU (iShares Gold Trust).
  • Gold ETFs charge annual fees (typically 0.4% to 0.5% per year) that reduce your returns.
  • If you want to own physical gold, you will need to use a different broker or a precious metals dealer.

What gold ETFs are and how they work on Robinhood

A gold ETF is a fund that holds gold or tracks its price. When you buy shares of a gold ETF, you own a piece of that fund. The fund's value moves with the price of gold, so if gold goes up, your shares usually go up too. You trade gold ETF shares the same way you trade stocks on Robinhood — during market hours, with no commission.

The two most widely held gold ETFs are GLD (SPDR Gold Shares) and IAU (iShares Gold Trust). Both hold physical gold in vaults and let you buy fractional shares on Robinhood. GLD is larger and more heavily traded; IAU has a slightly lower annual fee. Either one gives you price exposure to gold without storing the metal yourself.

Gold ETFs are not the same as owning gold. You do not receive bars or coins. If the fund closes or the company fails, you have the same legal protection as any stock holder, but you do not own the underlying metal outright. For most people who want gold as an investment rather than a physical asset, an ETF is the simpler route.

How to buy a gold ETF on Robinhood

Open the Robinhood app or website and search for the ticker symbol of the ETF you want — GLD or IAU. Tap or click on the fund name to open its detail page. You will see the current price, a chart, and a button to trade.

Tap or click "Buy," enter the number of shares you want (or the dollar amount, if Robinhood lets you buy fractional shares), and review the order. Robinhood will show you the estimated cost and any applicable fees. Confirm the order, and the shares will settle in your account. Settlement usually takes one business day.

You can set up a recurring purchase if you want to buy gold ETF shares on a schedule — for example, $100 every month. This is called dollar-cost averaging and can reduce the impact of price swings over time.

Costs and fees for gold ETFs

Robinhood charges no commission to buy or sell gold ETF shares. However, the ETF itself charges an annual fee called an expense ratio. This fee is deducted from the fund's value each year and reduces your returns.

GLD charges about 0.4% per year. IAU charges about 0.25% per year. On a $1,000 investment in IAU, you would pay roughly $2.50 per year in fees. On a $10,000 investment, roughly $25 per year. These fees are automatic and built into the fund's price — you do not pay them separately.

Beyond the expense ratio, you may pay a bid-ask spread when you buy or sell. This is the small difference between the price you pay to buy and the price you receive to sell. For heavily traded ETFs like GLD, the spread is usually very small (a few cents per share). For less popular ETFs, the spread can be wider.

Alternatives if you want physical gold

If you want to own actual gold bars or coins, Robinhood is not the right tool. You will need to use a precious metals dealer, a bank that sells bullion, or an online retailer that specializes in gold. These sellers charge a markup over the spot price (the current market price of gold) and may charge shipping and insurance fees.

Some online brokers other than Robinhood do offer gold futures or gold mining stocks, which give you different kinds of exposure to gold. Futures are contracts to buy or sell gold at a future date and carry more risk and complexity than ETFs. Mining stocks are shares in companies that dig for gold, so their price depends on the company's performance as well as the gold price.

If you are considering physical gold for long-term storage, research storage costs, insurance, and the dealer's reputation before you buy. Physical gold has no annual fee like an ETF does, but it has upfront costs and ongoing storage expenses that can add up.

Tax treatment of gold ETF sales on Robinhood

When you sell a gold ETF at a profit, you owe capital gains tax. The amount depends on how long you held the shares. If you held them for less than one year, the gain is taxed as short-term capital gains at your ordinary income tax rate. If you held them for more than one year, it is taxed as long-term capital gains, which is usually lower.

Robinhood will send you a tax form (Form 1099-B) at the end of the year showing your sales and gains. Keep records of what you paid for the shares and when you bought them so you can calculate your gain accurately when you file your taxes.

Gold ETFs themselves do not pay dividends, so you will not receive income distributions. Your only tax event is when you sell.

Frequently Asked Questions

Can I buy gold coins or bars directly through Robinhood?

No. Robinhood only offers stocks, ETFs, options, and cryptocurrencies. To buy physical gold, you need a precious metals dealer, a bank bullion service, or an online gold retailer.

What is the difference between GLD and IAU?

Both track the price of gold and hold physical gold in vaults. GLD is larger and more heavily traded, so it may have a tighter bid-ask spread. IAU has a lower expense ratio (about 0.25% versus 0.4%). For most investors, either one works; IAU costs slightly less per year.

Do I own the actual gold if I buy a gold ETF?

No. You own shares of the fund, which owns the gold. The fund holds the metal in secure vaults. If you want to take physical possession of gold, you must buy it from a dealer or mint, not through an ETF.

Can I sell my gold ETF shares anytime?

Yes, during market hours (9:30 a.m. to 4 p.m. Eastern time on weekdays when the stock market is open). You can also place orders outside market hours, and they will execute when the market opens. Robinhood charges no commission to sell.

What happens to my gold ETF shares if Robinhood shuts down?

Your shares are held in your brokerage account and are protected by the Securities Investor Protection Corporation (SIPC) up to $500,000 per account. If Robinhood fails, SIPC would transfer your shares to another broker. The gold held by the ETF itself is separate and protected by the fund company.