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Buy Gold Coins as Bullion
Gold Coins Gain Favor
By
Richard Goldstein
In today's world of global uncertainty, one thing remains
certain: gold coins. Gold bullion coins continue to outperform
traditional vehicles the same way gold coins and bars outperformed
everything under the sun during the 1970's. By holding
gold coins
in one's portfolio, you dramatically reduce the overall risk of your
portfolio. Just by having some gold coins as part of your strategy,
you also allow the price of gold, as it increases, to bring up the
value of your portfolio.
It is much easier to buy gold today than it was 30 years ago. Gold
bullion coins are easily bought and sold with the click of a mouse.
Not only is it easier to buy gold, but gold investments are
exploding onto the investment scene like never before. In fact, gold
coin sales by the U.S. mint in recent months have outpaced the gold
coin sales of the prosperous-for-gold 1970's. Despite this recent
fact, the gold price is just beginning its increase.
As gold coins become more scarce, quite naturally, investors covet
the yellow shiny metal at an ever increasing rate. The type of gold
coins sought after by investors who follow the price of gold are
American Gold Eagles, Canadian Gold Maple Leafs, South African Gold
Kruggerands, Australian Gold Kangaroos, Chinese Gold Pandas, and
Austrian Gold Philharmonics. These are the most popular gold coins
available to investors who want profit potential and protection. The
benefit to owning these gold bullion coins is four-fold.
1. You get immediate liquidity. This means you can sell your gold
bullion coins at or near the gold price at any time, anywhere in the
world.
2. You are in control. A strong gold investment is an investment in
certainty. Knowing you have gold coins in your possession that you
can rely on makes a world of difference to one's sense of financial
well-being.
3. There is tremendous profit potential with gold bullion coins,
more so than just about every other vehicle out there. It matters
not whether you hold American Eagles, Canadian Maple Leafs, South
African Kruugerands, or any other type of these gold bullion coins,
they will provide a well positioned investment portfolio an
increased probability of profitability.
4. Last but not least, gold bullion coins provide economic safety
and stability in a world increasingly plagued with uncertainty and
dangers.
Those are some of the "pros" of owning gold bullion coins. There is
more that a first-time purchaser of gold coins should be aware of;
the "other side of the coin," so to speak. If you own American
Eagles, Canadian maple leafs, South African Kruugerands, Austrian
Philharmonics, Chinese Pandas, or Australian Kangaroos, they are
subject to confiscation by the federal government. In 1933 Franklin
Roosevelt issued an executive order which required U.S. citizens to
turn in all gold bullion coins produced by the U.S. mint, as well as
any gold coins and bars produced by foreign governments. Our
country, in that period was in the peak of a crisis: the dollar was
in trouble, smart investors were getting out of stocks and bonds,
and unemployment was on the rise. This period was the great
depression. The consequence of not turning in your gold bullion
coins or gold bullion bars was a huge fine and jail. If you buy gold
bullion coins today, like the American Eagle, the U.S. mint prints a
$50 denomination on the back of the coin. Why? Because if the
government were to confiscate gold bullion coins like they did in
the 1930's, you would only receive the $50 denomination value,
despite the current price of gold in the market, whether that price
be $500, $1000, or even $2000. The chance of such Federal government
confiscation is universally deemed as unlikely.
Also gold bullion transactions are reportable to the IRS. We will
also cover in detail the type of gold transactions that are not
reportable, private gold, momentarily.
Also important to recognize is that as the price of gold fluctuates,
so does the value of gold bullion coins.
Nevertheless, despite these contingencies, asset managers all over
the country are recommending allocating at least some portion of an
investment portfolio to gold. Prices are on the rise, in what
analysts have termed a long-running bull market which is just in its
beginning stages
PRIVATE AND NON-CONFISCATEABLE GOLD COINS
Investors naturally gravitate to gold investment vehicles where they
can expect the greatest return with the smallest amount of risk. In
the physical gold market certified
gold coins
reign supreme.
Certified
gold
coins
are the gold coins minted by the US Mint befor the year 1933.
$20 Saint Gaudens, $20 Liberty, $10 Indian, $10 Liberty, $5 Indian,
$5 Liberty and $2.5 Liberty gold coins are all examples of the most
profitable gold coins an investor can acquire for several reasons.
1. Certified gold coins have a limited mintage. The government can
not go back and mint any more of these gold coins. You want to own
gold coins that continue to go up because of this fact year after
year regardless of what the gold price does. Because of their
limited availability these gold coins can surpass the gains seen by
gold bullion 2 to 5 times.
2. Certified gold coins are also one of the last legally private
assets the government allows you to acquire. World Financial and
goldcoinsgain.com are not required to ask for a social security
number when you buy gold coins or when you sell gold coins.
3. Non-confiscatable. Certified gold coins are exempt from
confiscation. Certified gold coins are exempt from confiscation if
the government decided to confiscate gold like they did in between
1933 and the early 1970s. You were in a world of hurt during those
almost 40 years of you were holding the wrong kind of gold coins. So
you can rest assured your certified gold will do what its supposed
to do under the most strenuous conditions — protect your money.
4. Immediate liquidity. World Financial is a major market maker in
certified gold coins and will assist in converting your gold coins
back into cash on a moments notice.
In addition to the advantages listed above, certified gold coins are
also more stable than
bullion
gold
coins.
The value of a certified coin is not solely determined by what the
spot price of gold does. In fact, certified gold provides more
stability than the stock market, bond market, or just leaving your
money in cash. So if you are tired of having to worry about the
current economic environment you may want to consider diversifying
out of riskier vehicles into an asset that has stood the test of
time.
Portability is also something you should keep in mind when selecting
which type of gold coins are right for you. To put things in
perspective, you could carry one million dollars worth of certified
gold coins in an attaché case. This should give you a sense of
comfort knowing that you have acquired an asset that is completely
portable and discreetly portable.
IRA AND 401's BACKED BY GOLD COINS
Gold Coins backing your IRA or 401k rollover makes the perfect
diversification asset in today's uncertain economic environment.
Gold coins can be added to your retirement strategy in just a few
easy steps.
Step 1. Determine what portion of your
retirement
account you would like to
convert over into gold coins.
Step 2. Print out the one page Gold Coin IRA Setup Form and fill out
to the best of your ability. Fax the form into our retirement
account department at (818) 506-6597.
Step 3. A Gold Coin Customer Service representative will contact you
in a very short amount of time to confirm and guarantee the
availability of your gold coins. We then work with your existing
custodian to get the appropriate funds transferred over into your
new self-directed IRA, backed by physical gold coins.
American eagle bullion gold coins are one of the most popular gold
coins allowed by the IRS for your precious metal IRA. American eagle
bullion gold coins come in 1 ounce, 1/2 ounce, 1/4 ounce, and 1/10
ounce denominations. These gold bullion coins are guaranteed by the
US Mint for purity, weight and size. The Gold American Eagle bears
the "W" mint mark reflecting the gold coin was struck at the US Mint
at West Point. The obverse of the American eagle bullion gold coin
features Augustus Saint-Gaudens' full-length figure of Liberty with
flowing hair, holding a torch in her hand and an olive branch in her
other hand. On the other side of the gold coin a male eagle carries
an olive branch as he flies above a nest containing a female eagle
and her eaglets. Each gold coin is encapsulated in plastic and comes
with a custom designated Certificate of Authenticity.
American Eagle Proof gold coins are also available. The proof gold
coins are more desired because each year they are produced by the US
Mint in a limited quantity. Each proof gold coin is struck several
times with a special die to create a more lustrous finish. Because
of the limited quantity, investors will typically prefer these gold
coins for their retirement accounts. Weather we are talking about
gold coins or widgets whenever there is a limited amount naturally
prices increase faster and become more valuable. The American Eagle
Proof gold coins are also exempt from confiscation. A lot of
investors like knowing they have the type of gold coins backing
their retirement account that are not subject to confiscation by the
Federal government.
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