need help with gold can somebody help?
joebb21
Posts: 4,746 ✭✭✭✭✭
I see that gold coins tend to sell for alot more ($60-$200 over spot on the ounce) while bars tend to go really close to spot?
which is the better investment and why?
which is the better investment and why?
may the fonz be with you...always...
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I'd stay with coins
<< <i>what are good hallmarks? >>
Engelhard, Johnson Matthey, Pamp Suisse, Credit Suisse, Hereaus, Goldas, RCM, Perth Mint, Sunshine Mint just to name a few off the top of my head.
Bang for your buck, bars are better; however, coin premiums sometimes outpace teh bullion markets. A good example is over the last year, as gold declined from $1000-$800, US Pre 1933 $20 gold maintained value and even increased.
Krugerand's are an example of a coin that usually sells close to if not below spot.
My personal favorite is US Gold Eagles, and South African Gold Kruggerands as they are two highly recognized trusted coins taht sell for decent premiums over spot.
If looking for larger quantity, I really like the 100 gram PAMP bars as their premium is tiny, the brand is recognizable, and most people won't give you grief come time to sell. (especially if you keep the assay card)
Edited to add: That I HATE US gold buffalos as they tend to sell for obnoxious premiums, and don't get those same premiums back when you go to sell. As a general rule, premiums can and do shift drastically and radically, so it is a good idea to pay the smallest premium you can, but stay with a good product. Dont' pinch pennies, to save pounds, but don't throw your money away either.
I'll throw some in for what NOT to buy, from personal experience.
I made my first decent size gold purchase in 1991, sixty 1 oz Eagles. That was a good thing.
In early 2005 I allowed myself to be talked into pre 1933 gold numismatic coins,--- collector coins---.
For one coin, in early 2005, Grey sheet was $13,500; which was what I bought it for.
Today, Gray sheet is around $8,650. That is not a good thing.
One part of two lessons learned the hard way.
a few years ago, the discount on krugerrands was steep because of "politics" and anti south african world opinion. I don't think that extreme discount exists today.
just be aware of it.
I would steer away from "numismatic gold" unless I really knew the market and prices.
I would also steer away from privately minted gold bars just because I am paranoid about shaving, inaccurate weights, and potential trouble when you go to sell them. but if you are confident, and not paranoid like I am, go for them.
www.AlanBestBuys.com
www.VegasBestBuys.com
Wanted to add : I get so many people wanting to get the gold buffalo's for gold investing, I tell them that they are going to loose there premium when its time to sell, especially if they sell quickly.