Canada 1912-14 Gold Ten Dollars Pricing Discrepancies

Sullykerry52

I have been doing a bit of research on these low mintage pieces and am confused by the difference in auction prices. Most of these coins are graded MS 63 or MS 64 by the two big American TPGs (PCGS & NGC). At auction, there appears to be three levels of designation: Bank of Canada Hoard, Canadian Gold Reserve, and no explicit designation. I am aware that the Bank of Canada offered for sale two types of coins "prime hand pick" for CAD 1,200 and another category where you took what they gave you for CAD 1,000. Recent auctions that I follow though seem to place the emphasis on the coin's heritage: Canada's gold reserve, Bank of Canada Hoard or no designated patrimony. The same coin graded at MS 63 with the exact same agw appears to trade differently within a six month window. Gold prices are surely not that volatile. Any thoughts/education would be appreciated. Thank you in advance.

MacCrimmon

They're basically bullion coins with a 50% premium to melt (selling at a BIN average of about $860 now on eBay)

When the RCM offered them at $1200 CDN (~$1220 USD), gold futures closed the week at $1704/tr oz. Now it's $1132/ tr oz

I might consider paying 10% back of melt per PCGS MS63 ( ~ $720 per) if I thought gold had bottomed (but I'm not so sure it has).

Pokermandude

<< <i>I might consider paying 10% back of melt per PCGS MS63 ( ~ $720 per) if I thought gold had bottomed (but I'm not so sure it has). >>



10% back of melt on a certified MS63? I wouldn't hold my breath. Even in raw EF grades they have a small premium over melt.

Sullykerry52

The U.S. Indian Head $10 (KM# 130) is a close approximation of the Canadian 1912-14 with regards to AGW and gold content (0.900). Mintage of the U.S. coin from 1912-14 (ex 1913 S) parallels the Canadian coin. Would these American coins be considered bullion as well? The US $10 MS - 63 seems to command a strong premium over melt. Comparatively it would seem to me in consideration of mintage to mintage, agw to agw, and TPG vs. TPG grades the Canadian coin has a slight arbitrage advantage over its U.S. counterpart.

ahopewell55

<< <i>The U.S. Indian Head $10 (KM# 130) is a close approximation of the Canadian 1912-14 with regards to AGW and gold content (0.900). Mintage of the U.S. coin from 1912-14 (ex 1913 S) parallels the Canadian coin. Would these American coins be considered bullion as well? The US $10 MS - 63 seems to command a strong premium over melt. Comparatively it would seem to me in consideration of mintage to mintage, agw to agw, and TPG vs. TPG grades the Canadian coin has a slight arbitrage advantage over its U.S. counterpart. >>



Not really because there are many more collectors of American coins than Canadian. It's not about mintage, but about demand.

DoubleEagle59

<< <i>The U.S. Indian Head $10 (KM# 130) is a close approximation of the Canadian 1912-14 with regards to AGW and gold content (0.900). Mintage of the U.S. coin from 1912-14 (ex 1913 S) parallels the Canadian coin. Would these American coins be considered bullion as well? The US $10 MS - 63 seems to command a strong premium over melt. Comparatively it would seem to me in consideration of mintage to mintage, agw to agw, and TPG vs. TPG grades the Canadian coin has a slight arbitrage advantage over its U.S. counterpart. >>



Can't compare US to Canadian coins.

Canadian dealers will tell you these gold coins are still in demand, but basically they're bullion now (or slightly higher) in ms63 and lower. Even ms64 prices are no way close to what they used to be. Canadian trends (our price guide) prices haven't changed over the years, but that's another (deception) story.

I won't be buying these for any kind of premium.

YQQ

a $ 10 1914 NGC MS 63 sold last week at Kuenker for Euro 895 net direct sale at Kuenker.

Pokermandude

Raw AU+ 1912 $10 Gold on Ebay sold for $1k Cdn shipped. About a 45% premium over melt.

http://www.ebay.ca/itm/201386956940