Once I decided to invest in gold I faced the next question, should I buy and sell ingots or coins? A bullion coin is a coin struck from precious metal and retained as an investment, rather than used in day-to-day commerce. Bullion coins are usually available in gold and silver, with the exception of the South African Krugerrand and Switzerland’s Vreneli which are gold only. The American Eagle series is minted in gold, silver and platinum, and the Canadian Maple Leaf series is struck in gold, silver, platinum and also palladium.
Bullion coins are also typically available in various weights. These are usually multiples or fractions of 1 troy ounce, with a very few bullion coins minted, in extremely limited quantities, in kilograms (approx 2.2 pounds) and even heavier as special commemoratives.
Gold and silver are often seen as hedges or safe havens against inflation, political upheaval, social unrest, currency-based issues and economic downturn. Silver coins have become popular with collectors due to their relative low price compared to gold, and unlike most gold and platinum issues which are valued based upon the markets, silver coins are more often valued as collectables, sometimes far higher than their actual bullion value. Investors may also buy gold, silver, platinum, etc. during times of economic expansion for investment capital appreciation or to avoid inflationary impacts experienced with other investments. Continue reading ‘Gold – To Buy and Sell Ingots Or Coins?’ »