If you’re looking for a great way to survive a financial crisis, you’ve got to get your hands on a few gold coins! Gold has been valued throughout the ages and remains a popular investment asset today.
Buying gold coins is one of the best ways to get started with your gold investment journey.
But what are the best gold coins for investment? This guide will show you the best tips to find the right gold coins for your collection.
Here’s what you’ve got to do:
Find a Great Bullion Dealer
You should always buy and sell gold from an authorized bullion dealer. These dealers always sell pure gold and keep their products in mint condition.
This ensures that you’ll never get scammed or buy inferior products. You’ll also have a variety of gold coins and other gold products available at all times.
The best part is that you can often buy online and have the gold coins shipped to your location.
Choosing a Rare Coin
At the beginning of your investment journey, start by buying rare coins. For example, gold coins minted before 1933 are rare in the US.
This is because Americans were mandated to surrender their gold holdings that year. Most of the gold coins were melted down, but a few remain and are available from dealers.
Depending on their condition, you can buy these gold coins for a few hundred to a few thousand dollars.
Try to buy at least one Pre-1933 gold coin. This will continue to rise in value and can be sold later for a profit.
Coins for Storing Value
The next step is to start buying gold coins for storing value. These coins are intended for holding long-term. If you have heirs, you’ll want to pass these on to them.
It would be best to sell these gold coins only if it’s a major emergency. This is intended to preserve your wealth during inflationary periods.
The best option is to buy gold coins from your country.
Gold Buffaloes and Lady Liberty gold coins are a great option for the US. The Queen’s Beast or Britannia series is ideal for the UK.
The South African Krugerrand has also been a favorite among gold investors. It remains one of the most popular gold coins regardless of location.
Generally, many investors suggest you spend at least ten percent of your net worth on gold bullion.
Consider putting away ten percent of your monthly savings to buy these gold coins.
Types of Gold Coins
Now let’s look at the different types of gold coins for you to consider buying.
The first is legal tender gold coins. These gold coins can store value and be used as money.
These include the Gold Britannia and Sovereign, the Gold American Eagle, and the Gold Canadian Maple Leaf.
Sometimes, you won’t have to pay capital gains tax if you sell these gold coins.
Bullion coins include most gold coins that are issued by private mints. These don’t have a numismatic value on them. Numismatic coins have a numerical value minted on them.
For example, many of the Pre-1933 gold coins have a numismatic value. This is because they were once used as currency.
These coins are popular among collectors. While they’re less liquid, serious collectors are willing to pay several thousand for such coins.
Worth Its Weight in Gold
Most gold coins come in one-ounce denominations. This is the standard gold coin weight and you want to focus on buying these.
The price of gold varies, but it’s fluctuated around $2,000 per ounce for much of 2023. As a result, you can buy smaller weights that are less than one ounce for a lower price.
Once you reach that weight denomination, you can exchange these smaller denominations for a one-ounce gold coin.
To prepare for a financial crisis, you must try to buy gold each month.
If buying one ounce each month is difficult, buy smaller denominations as often as possible.
Rules for Buying Gold
The first step is to check gold coin purity.
The most popular option is to buy 98% to 99% purity. The remaining percentage will contain other metals to solidify the coin. The higher the purity, the more valuable your gold coin is.
While gold coins with less purity are still valuable, they’re less liquid. It’s best to avoid buying them altogether unless it’s a rare coin.
You should also only buy coins that are in mint condition. Once again, the only exception should be if you’re buying a rare coin.
Gold doesn’t rust or scratch easily. Nevertheless, make sure you also buy a capsule for each gold coin and keep them in there at all times.
It’s also best to keep a written record of your gold coins. As you collect more gold, it’s easy to lose track. You might not notice if you lose a few gold coins here and there.
Make sure you also get your gold coins insured. It helps to have multiple storage areas for your gold coins. Keep them in storage in your home and external vaults.
Follow these steps under the guidance of your financial advisor and you’ll amass a great collection.
These Are the Best Gold Coins for Investment
Now you know the best gold coins for investment and how to start your collection.
Once you’ve found your bullion dealer, you can start your collection. Focus on legal tender and bullion coins. Try to amass a few rare coins as well for profit.
Always aim to buy one-ounce gold coins. Your gold coins should have the highest gold purity possible. Follow our rules as you build your collection.
Soon, you’ll have enough gold to have the Midas touch! But be sure to check out our other investment tips on this blog.
