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The Mana Trader can be found in front of the Town Hall in the city, to the lefthand side. He enables you to exchange Gold for Mana, or Mana for Gold.
Hint: If you don't want to travel to the city first, you can get access to his offers by simply clicking the mana score in the top tool bar.
Overview of exchange rates
Level 1:
2.500 gold → 300 mana
250 mana → 3.000 gold
Level 10:
15.000 gold → 1.500 mana
1.500 mana → 15.000 gold
Level 30:
100.000 gold → 8.000 mana
10.000 mana → 80.000 gold
Are there other terms?
There is an additional small fee of Rubies, as the High Council of Mages taxes the Mana trade. Each exchange with the Mana Trader costs an additional 3 Rubies.
Also, there is a finite number of 10 trades you can make each day. You can see how many times you have already visited in the last 24 hours in the trade overview.