Buying gold coins
Numismatics is an area of collection which interests more and more people and on occasions draws the attention of investors, who find gold a safe option to deposit their money in. The main advantages of investing in gold is that it is one of the few tangible assets that is traded on stock markets. For collectors, the value of coins is in their design, their peculiarity and symbolism.
There are coins that were specially designed for investment, and their distinctive characteristic is that their nominal value is considerably lower than their cash value, as they are made almost entirely from precious metals. The first coin issued on the market, consisting of a full ounce of pure gold, is the so-called Krugerrand, designed by South Africa in 1967.
When buying gold coins
Buying gold coins successfully can be a task requiring some experience, because fraud is always a possibility in deals where such considerable amounts of money is handled. So keeping in mind the following advice is very useful for those looking to make a purchase for investment.
- Find trusted dealers and if they are authorized ones even better.
- Coins have grades according to their purity and their status. It is very important when considering an offer to verify that the rating offered is official, ie it is issued by any of the existing control organizations. Ratings, if not standardized, can be somewhat subjective.
- You must check that the seller has a return policy that allows you to return it if the product fails to meet expectations. In the field of collection this requirement is not frowned upon, and a good salesman will know the importance of being satisfied with such an important purchase. Therefore, flexibility regarding returns must be one of the characteristics of a coin dealer.
The equation of gold coin buying
All that you should keep in mind when buying gold coins, especially if the idea is to buy them for collecting, is looking for coins that are rarely encountered, in the best condition, with the highest possible purity. If a buyer is able to buy a coin that meets these three characteristics (scarceness, good condition and purity) he/she should not doubt, the investment will be safe.
The idea is variable compensation: when the price of gold increases, the value of the coin will increase, but if gold loses value, the coin will still be valuable because it is a rare variety, and every collector values one in excellent conditions.