Investing in Gold CoinsPosted by: admin | Posted on: September 12, 2018
Buying gold coins or owning them has been in practice for centuries. A lot of people buy them as a hobby while others see them as an investment opportunity. Stock trading online and instant financial accounts have made money almost an intangible object. Most of our monetary transactions are made on electronic devices connecting to our bank accounts. We rarely get to see actual coins and notes anymore. So if you happen to lay your hands upon gold coins for sale it might actually be a good idea to buy it, if you have the finances.
Such online transactions and dependence on electronic devices have made the idea of buying something tangible and solid like gold coins all the more desirable. Investing in gold coins often prove to be a good investment. There are a number of advantages to be considered when buying gold coins for sale. Gold and a number of other precious metals have been a centuries old plan of investment.
- The price of gold has a tendency towards increasing rather than the opposite whereas other investments may not guarantee such increase of rates. This stabilizes your investment policy.
- It is a defensive wall against increasing or decreasing rates in the share markets and other financial fields.
- Payment of capital gains tax can be evaded unless you are selling them.
- Others might not find out about it unless you want them to.
- In times of crisis, such as currency devaluation, or other worst-case scenarios gold may come to the rescue and you can use it for daily transactions. So buying gold coins for sale can be a kind of safety net.
But there are also a number of downsides to this as well.
- Thievery or burglary is an issue, and stealing coins is really not a tough task if you are not careful.
- Stocks, bonds, these are investments in company growth. But gold is not. Getting interests and dividends from gold is usually not an option.
So, you might want to reconsider whether or not to buy gold coins for sale and if you can take care of the cons of it.
Method of buying gold coins
If you are considering buying gold coins on craigslist, make sure you choose a dealer of repute. Although it is advisable, that you don’t buy them on craigslist. If you have decided to buy them from individuals that you are not acquainted with, you must verify its authenticity. You want actual gold and not some other metal with gold plating.
If you are looking for gold coins in the U.S. you will have to make a choice between, one-tenth ounce, and one- quarter ounce, one and one-half ounce denominations. A “premium” has to be paid on top of the price per ounce. This is the way your dealer makes the profit. If you are looking for collector’s coins you will have to pay a higher price compared to bullion coins. But buying collector’s coins require a lot of information. Otherwise go for the bullion ones.
Additional ways of gold coin investment
You can buy gold coins for sale with your IRA or Individual Retirement Arrangement. Your gold will be kept in a vault, and they must be pure in order to qualify. There are other ways like buying gold certificates, and gold mining stock. This will help in gaining advantage against inflation by gold’s hedge without physically carrying gold coins and being worried about its safekeeping.