Welcome To Gold Coin, North America’s Gold Coin Advisor
We as a nation are facing one of the largest losses of wealth in history. Like every paper currency since the beginning of time, the United States Dollar has reached the danger zone. In the past decade, hard-working Americans have lost trillions of dollars with banks, stocks, real estate and retirement accounts. What’s shocking is that in this same decade, gold coin prices increased over 600%. There is a reason why this is happening. Money is taking a step back to its roots, gold.
Gold coins have represented real money since the beginning of American history. When governments and banks wanted to overextend their power, they started printing paper currency which eventually became the United States Dollar we know today. As time passed, the United States prevailed as global superpower, and declared the US Dollar the World Reserve Currency. In the past decade, inflation, overprinting and overleveraging have degraded the once mighty US Dollar. Soon, only those protected with gold coins will be able to preserve wealth and profit in the face of a new global economy.
Why Invest In Gold Coins?
- Gold is real money that has endured the test of time and prevailed for over 5000 years.
- When paper currencies like the US Dollar lose value, gold coins tend to increase in value.
- The world’s wisest investment advisors recommend at least 10% of wealth protected in gold, no matter who the client is.
- Banks and financial institutions hold massive reserves of gold as their ultimate backup plan. Why shouldn’t you?
- Gold has increased in value over 7000% in the past century.
Types of Gold Coin Investments
As with any investment market, understanding the products in the gold market goes a long way to making a successful gold coin investment. There are only two types of investment-grade gold coins; modern bullion coins and certified rare coins. Modern bullion coins are preferred by short-term profit investors while certified rare coins are preferred by long-term wealth-preservation investors. Below are the most popular coins:
Modern Gold Bullion Coins (1986-Present)
- American Eagle
- Australian Kangaroo
- Austrian Philharmonic
- British Sovereign
- Canadian Maple Leaf
- Chinese Panda
- South African Krugerrand
- Swiss Franc
Certified Rare Gold Coins (Pre 1933)
- $20 Saint Gaudens
- $20 Lady Liberty
- $10 Indian Head
- $10 Lady Liberty
- $5 Indian Head
- $5 Lady Liberty
Gold Coin IRA & 401k
Retirement accounts alone have taken a massive multi-trillion dollar hit in the past decade, which is why many wise investors are bulletproofing their IRA’s and 401k’s with pure gold coins. The American favorite is the legendary Proof American Eagle. It is the masterpiece version of the American Eagle, and it can protect us from the forces that threaten our golden days of retirement.
How To Invest In Gold Coins
Gold coin investing should only be done directly with reputable gold dealers.
The gold coin advisors at Gold-Coin.com are the finest in the industry. For over 20 years, we have helped investors like you achieve the financial security you’ve always dreamed of.
Get all your questions answered today by calling 1-800-776-7253.
If you would like to learn more about gold coin investments: Read An Introduction to Gold Coin Investing
An Introduction to Gold Coin Investing
One cold, hard truth has been repeatedly driven home over the past several years: financial security cannot be taken for granted.
As the dollar weakens, prices rise. As vast unemployment persists, wages fall. Once the bulwark of family wealth, the private home has become our greatest liability. Retirement dreams built on the 401(k) have been shattered. And the safety net provided by Social Security and Medicare, for which we have paid our entire working lives, is in tatters.
The economic outlook for the foreseeable future remains grim. The problems we face today have been building up over decades and it will take decades to repair the damage already done. The financial wellbeing of our families need not be a casualty of the times, however. We have only to become proactive in protecting our wealth.
Gold coin investing is a great place to begin. To understand why, we must first understand the root causes of the problem.
What Went Wrong
Since the end of WWII our economy has undergone two profound fundamental changes, and they go hand in hand:
- Substitution of debt for savings
- Transition of our capital base from the manufacturing sector to the financial sector
From Savings Accounts to Credit Accounts
Americans once exercised great self-discipline and self-denial in protecting themselves against unforeseen interruptions in their income and in securing wealth for their retirement years. They diligently set aside a portion of their earnings in savings accounts, secure in the knowledge that the interest earned on the dollars they saved would preserve their purchasing power. Despite appearances, wealth was not created - but neither was it lost.
In the 1980s that started to change. New methods of calculating the CPI disguised the true rate of inflation while interest rates were held artificially low. Soon it became clear that the traditional savings account was eroding, rather than preserving wealth.
Wages, on the other hand, were keeping pace with the rising cost of living, and often exceeding it. There seemed to be no incentive to save for major purchases and people were easily lured into the debt trap. Likewise, they were tempted into investing their retirement on Wall Street by the illusion of wealth creation with seemingly little risk.
Unfortunately, the stock market itself was changing and redefining wealth in America.
From Hard Assets to Paper Assets
Traditionally stocks represented ownership of a piece of a corporation that produced tangible goods. In other words, they were investments in wealth creation. Chosen wisely, such investments held great promise and were protected by a sound capital base.
As Americans went even deeper into debt, however, the financial sector saw explosive growth. Profits soared without the burden of having to produce anything of enduring value, drawing big money away from investments in the manufacturing sector. While fortunes were being made overnight, real wealth was in decline.
In hindsight, it is obvious that we were building a house of cards and that the eventual outcome was inevitable. At the time, however, we were busy crafting a new strategy to cope with globalization. We had yet to learn that wealth and fiat money − even the world’s reserve currency - have little in common.
How Gold Coin Investing Can Help
Modern fiat currencies are merely instruments of debt with no underlying assets. As the number of notes issued steadily grows, the value of each must necessarily decline. What we refer to as rising prices is in fact the falling purchasing power of fiat money.
Gold coins, however, are real money backed by the consistent purchasing power of gold. As such, they serve two very important functions.
In a very real sense, gold coin investments are no different from what savings accounts used to be.
The wisdom of saving for a rainy day is even more relevant today. The concept is simple: build up a prudent reserve to provide for your needs in the event of an emergency. For such a purpose all that truly matters is that you have immediate access to your savings and that the funds will buy at least as much years down the road as they would have on the day you put them in.
Gold has demonstrated uncanny consistency in its purchasing power throughout the history of humankind. Nothing else comes close to gold’s proven ability to preserve wealth.
By the same reasoning, gold coins are not the investment of choice for growing wealth. They do, however, serve a vital function in any well diversified portfolio.
An important rule of investing is that greater potential returns come at the expense of greater risk. Few investors are willing to follow an all-or-nothing strategy, so they require means to mitigate the risk.
An investment in gold coins is similar in many ways to an insurance policy. The degree to which we insure our property, health, and lives depends on the cost, perceived risk, and our minimum needs in the event of the worst possible outcome.
Because there is minimal risk of losing value over the long term, the cost of gold coin investments boils down to the cost of opportunity lost − that which may have been gained from investments in other assets.
In promising economic times, prudent gold coin investing may mean no more than providing for our most basic needs should some highly unlikely event take place. Today we are at the other extreme.
Traditional investments now face the greatest risk since the Great Depression. To make matters worse, this time the dollar has no support from gold. Prudent investment in such uncertain and unstable times dictates a strong defensive strategy, one that focuses on protecting what we have instead of having more.
Making do has never sat well with Americans. Fortunately there is one gold coin investment that offers not only protection, but an opportunity for substantial growth as well.
Rare Gold Coin Investments
Rare gold coins are those with numismatic value, a premium determined by their rarity. In the United States such coins are deemed to be those minted before 1933, when FDR brought an end to the era of gold coinage.
The rarity premium is a simple matter of the supply of any given coin relative to the number of people desiring to possess it. Because the supply can never increase, an expanding market must drive up the premium.
Growing interest in rare gold coins as an investment asset, however, is driving demand up even faster. Thus rare gold coins offer not only the protection of gold, but an avenue for wealth creation as well.
The degree to which rarity influences the price is an important criterion for choosing the best rare gold coins for investment.
Which Rare Gold Coins Make the Best Investment?
Rare gold coins that make good investments combine three essential qualities:
- Modest premiums
- Excellent liquidity
While rarity presents opportunity for growth, it is important that coins not be so rare that the premium overrides the protection afforded by their gold content. Rarity also has a strong influence on liquidity.
Liquidity requires a ready market for both buying and selling. Ideally a rare gold coin should be relatively abundant and yet highly desirable to both collectors and investors alike.
Security is paramount in rare gold coin investment. The first line of defense is to buy only those coins authenticated and graded by a leading third-party service such as PCGS, whose coins consistently have the highest retail value.
In addition, exotic and foreign gold coins should be avoided because they are less familiar to investors and are prime targets for forgery.
Due to the short history of coinage in the United States, American rare gold coins possess the ideal balance of those qualities. These three examples top the list:
- $20 Saint-Gaudens Gold Double Eagle. One of the most beautiful gold coins ever struck, the Saint-Gaudens Gold Double Eagle tops the “must have” list of collectors and investors alike.
- $20 Liberty Head Gold Double Eagle. Featuring the classic design of James B. Longacre, the Liberty Double Eagle was first circulated in 1850 and remained in uninterrupted mintage for 84 years.
- $10 Indian Head Gold Eagle. This coin, the second designed by Augustus Saint-Gaudens, took a bold step from tradition by depicting Lady Liberty as a native American in full headdress. The coin’s exquisite beauty soon overcame initial skepticism and it set the standard for future “Indian head” designs.
The rarity of numismatic coins also serves to dampen the volatility in bullion prices and often produces positive returns even as gold prices fall. While that is very desirable for long-term investment, volatility creates opportunity for those who seek short-term profits.
For that purpose, modern gold bullion coins should be considered.
Modern Gold Bullion Coin Investment
Today every major nation produces gold bullion coins. With very few exceptions these coins are legal tender in the country of origin and the amount and purity of gold they contain is guaranteed by the government.
Although smaller fractional weights are common, the most prevalent and most popular with investors are those containing one ounce of pure gold. Most gold bullion coins are struck in unlimited mintage and therefore trade for very low premiums over the gold spot price.
The singular most important quality of bullion coins for speculative investment is instant liquidity. For that they must be universally recognized and have a consistent record of highly active trade.
Although numerous gold bullion coins are available, these three have led the field for decades:
- The American Gold Eagle. First minted in 1986 the Gold Eagle is struck from a durable 22-karat gold, copper, and silver alloy - the standard set for America’s circulating coinage of the 18th and 19th centuries. The Eagle is among the most beautiful modern bullion coins, featuring a rendition of Saint-Gaudens’ classic double eagle, and is now the world’s most heavily traded 22-karat gold bullion coin
- The Canadian Gold Maple Leaf. The Royal Canadian Mint is renowned for the purity of its coins. The 0.9999 fine Maple Leaf is the most popular 24-karat gold bullion coin in the world today.
- The South African Krugerrand. South Africa introduced the concept of modern gold bullion coins for investment with the mintage of the Krugerrand in 1967. This durable 22-karat gold/copper coin has enjoyed enormous success ever since, with a total mintage representing in excess of 1,500 tons of pure gold.
Every era has its perils and opportunities. Financial security comes from recognizing both and acting accordingly. There are times that call for aggressive risk taking, and there are times that demand shoring up defenses.
The uncertainty today is unprecedented. A new world order is emerging and the rules have yet to be written. Perils exist far beyond that which experience can reveal, so it is vital to prepare for the unknown.
History has repeatedly shown that gold is the best defense in changing times. Gold has preserved wealth through the rise and fall of empires and every calamity that has ever befallen man.
Gold coin investments not only protect us from the perils we face today, they avail us of the limitless opportunities that also lie within the unknown.