Kuantile
Gram Gold vs Ounce Gold: The Real Difference for a TRY Investor
In Türkiye, "I bought gold" can describe two very different positions: ounce gold (the global dollar price) and gram gold (that price converted to lira and divided by 31.1035). Both look at the same metal, yet they play very different roles in a TRY-based portfolio.
Gram gold = ounce × USD/TRY ÷ 31.1035
Gram gold's lira price has two engines: the global ounce price and the exchange rate. In a month where the ounce is flat but the lira weakens 10%, gram gold rises about 10%. Gram gold is therefore not a pure gold bet but a half-gold, half-currency hybrid — which is exactly why Turkish savers love it: one position hedges both global risk and lira depreciation.
Different behaviour inside a portfolio
Kuantile lets you hold both as separate assets, and the correlation matrix shows the difference plainly. In TRY terms, gram gold's correlation with BIST turns negative on lira-shock days — the market falls while the currency, and hence gram gold, jumps. That is why the gram-gold bar tends to show green in the 2018 and 2021 stress scenarios. An ounce position held in a dollar account provides no such TRY shield.
Which is "better"?
- If preserving TRY purchasing power is your main concern, gram gold is the natural choice; it holds value unless the ounce and the lira fall together — a rare combination.
- If you want a global crisis hedge and your expenses are in foreign currency, the ounce is the cleaner bet.
- Holding both is legitimate — but their correlation is high; check the matrix and treat your total gold weight as one line.
How Kuantile prices gram gold
Since no single long-history gram-gold series exists, Kuantile derives it transparently: global ounce price (GC=F) × USD/TRY ÷ 31.1035. That yields not just a current price but a consistent full historical series feeding VaR and stress tests. Your jeweller's quote may differ by a few lira due to workmanship and spread; what matters for analysis is the series' dynamics, not the shop margin.
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