Investing in Gold Coins

Putting a few dollars into gold coins is what I would call a great idea, especially if you are going for long term financial stability. Until the establishment of the International Monetary Fund gold was the standard behind all major currencies, including the U.S dollar. During this time gold could exchanged or redeemed for face value in currency.

When someone is purchasing gold you want to try maximizing your buy’s so that you get better prices. For example if gold is selling for one thousand dollars an ounce, a one-tenth ounce bullion coin will be selling for about one hundred and twenty dollars. That means that you are paying over twenty percent spot on that coin. The more you pay the longer it takes to get your money out of it! I like to buy common date twenty dollar gold coins. These typically sell for only about five percent over spot, and you get the numismatic value as well as a bullion investment.  U.S. twenty dollar gold coins include Liberty’s and St. Gaudens. These coins range in date from the mid 1800’s to the early 1900’s. I also think that these coins are an especially great buy, because no one knows how many of them still exist. Many of them have been melted and destroyed over the years, so an accurate population number is hard to come up with.

If an old coin is not your thing, modern day bullion coins is just the ticket. These can range from U.S gold eagles, Kugerrands, Canadian maple leafs and many coins, coming from all parts of the world.

U.S gold eagles come in four different sizes, each representing a separate bullion weight along with a different face value.

$5.00   1/10 Ounce

$10.00  1/4  Ounce

$25.00  1/2  Ounce

$50.00    1   Ounce

What it really comes down to is not the coins that you own, but the ounces that you hold. Considering all of our worlds uncertainties I think that holding gold is not only a way to protect your assets, it is a way to hedge against inflation. You can go anywhere in the world and people will recognize and want to accept that shiny yellow metal. The rate that we are going I’m not sure if a piece of paper that we call currency will compare. In one year I watched gold go from $600-$1000, who knows what the future has in mind for gold. You can never own enough gold so start collecting today. Whether you buy 1/10 of an ounce or ten ounces a month, it is simply starting the habit of building a strong holding of gold bullion. I recommend that you do your own research and figure out how you would like to hold gold, also shop around and get different quotes so that you make sure that you are not being taken advantage of.

This article has reprint rights as long as the resource box is intact. The article was brought you by Robert Felt. If you would like more information about coin collecting and learning about how to profit collecting spare change visit http://thecoindude.com