Why do people buy gold coins anyway? These gold coins are not used in circulations. So why bother? There must be some good reasons why these people bother investing substantial amounts of cash into these coins.
When asked why they purchase these coins. Some said that if you take a good look on the value of gold through the years, the value has remained stable unlike any other metal commodity. Gold prices even appreciated even faster than inflation providing safety to the investment to depreciation effects of inflation. This meant that the value of the investment is sure to grow in the future.
Others said that they were purchasing a collector's item that may be sold more than its gold value in public auctions all of over the world. I personlly used to love collecting coins as a hobby. I had a consistent series of the McPuffin dollars and I had some coins from Newfoundland dating back pre-Confederation days.
Once one is decided in buying, one is advised to be prudent on where one buys gold coins to avoid purchasing counterfeit gold coins from unscrupulous individuals selling fake coins.
This is why it is important to approach accredited individuals and/or institutions dealing with gold coins. They may come from the Numismatic Guaranty Corporation or the Professional Coin Grading Service (PCGS).
Once one has identified and selected a dealer, the next question would be how much gold one can afford to buy. This is a very important question because unlike other investments, selling gold coins take some time to sell, even more so when auctioned. Thus, it is important to know how much to buy before one goes to the dealing table.
Certainly, there is also the risk of paying more than what the gold is worth today. This is the reason why choosing the right dealer is important. Good dealers will only add minimal mark up to the true market value of the commodity so that they can easily sell the commodity immediately and maintain a good long term relationship with the buyer or seller.
These dealers make a living out of the transactions. This is the reason why they have to maintain a reasonable mark up and relationship with the client.
It always pays to do some work on the research side of the dealers.
When asked why they purchase these coins. Some said that if you take a good look on the value of gold through the years, the value has remained stable unlike any other metal commodity. Gold prices even appreciated even faster than inflation providing safety to the investment to depreciation effects of inflation. This meant that the value of the investment is sure to grow in the future.
Others said that they were purchasing a collector's item that may be sold more than its gold value in public auctions all of over the world. I personlly used to love collecting coins as a hobby. I had a consistent series of the McPuffin dollars and I had some coins from Newfoundland dating back pre-Confederation days.
Once one is decided in buying, one is advised to be prudent on where one buys gold coins to avoid purchasing counterfeit gold coins from unscrupulous individuals selling fake coins.
This is why it is important to approach accredited individuals and/or institutions dealing with gold coins. They may come from the Numismatic Guaranty Corporation or the Professional Coin Grading Service (PCGS).
Once one has identified and selected a dealer, the next question would be how much gold one can afford to buy. This is a very important question because unlike other investments, selling gold coins take some time to sell, even more so when auctioned. Thus, it is important to know how much to buy before one goes to the dealing table.
Certainly, there is also the risk of paying more than what the gold is worth today. This is the reason why choosing the right dealer is important. Good dealers will only add minimal mark up to the true market value of the commodity so that they can easily sell the commodity immediately and maintain a good long term relationship with the buyer or seller.
These dealers make a living out of the transactions. This is the reason why they have to maintain a reasonable mark up and relationship with the client.
It always pays to do some work on the research side of the dealers.
