The 5 Best Gold Coins to Buy
In this article, we bring you the list of the 5 Best Gold Coins to Buy that are some of the most sought after gold bullion coins. These are the best gold coins to buy when you are investing in gold due to the reputation, popularity and the price that you get for the amount of gold. It is needless to say that the reputation is extremely important because you would want to get gold coins made from actual gold of guaranteed purity. These coins have that reputation as they are minted by government mints which guarantee the purity as well as the weight of gold.
The reputation naturally feeds into the popularity. Popularity is important as the more these coins are owned by investors, the higher the chance of availability of stock when you want to purchase as well as available buyers when you want to sell it. This is one of the reason why the price of these gold coins are just a few percentage points above the spot gold price which is the next item to look at.
The price of gold coins are typically about 6% above the price of spot gold for the 1 Troy oz gold coins (he percentage will increase for smaller sized gold coins). There is minting costs which the mints would charge as a premium to their dealers. The US Mint charges a premium of 3% for the 1 Troy oz Gold Eagle coin. These dealers would then add a few more percentage to cover their cost of marketing and profit. This typically is about 3%. This is the reason why price of gold coins typically cost about 6% above the spot gold price.
Remember that reputation, popularity and price are important factors when you want to purchase gold coins. The other thing to highlight is that regardless of the purity (whether 22 karat or 24 karat), a 1 Troy ounce coin will have 1 Troy ounce of gold in it. If the purity is lesser, it just means that there is 1 Troy ounce of gold plus more of other metals in the coin compared to the higher purity coins. With that in mind, let us now proceed to take a look at some of the best gold coins to buy.
American Gold Eagle (Photo credit: Wikipedia)
An American Gold Eagle. (Photo credit: Wikipedia)
American Gold Eagle
The American Gold Eagle gold coins are one of the most sought after gold coins. These coins are produced by the US Mint and therefore, it comes with a high degree of reputation. It comes in a few sizes from the usual 1 Troy ounce to the 1/2, 1/4 and 1/10 Troy ounce sizes with a purity of 0.9167 (22 karat gold). The design is well detailed and that makes it a very beautiful coin to have.
American Buffalo (coin) (Photo credit: Wikipedia)
Reverse of the American Buffalo gold coins, struck beginning in 2006 (Photo credit: Wikipedia)
The American Buffalo gold coin is also produced by the US Mint. It comes in a single size of 1 Troy oz with a guaranteed purity of 0.9999 (24 karat gold). This is also another one of the best gold coins to buy. Notice that the weight and purity of the gold is printed on the coin itself. This is the normal practice for gold coins and it highlights the trust and guarantee of the mint on the purity and weight of gold.
Canadian Maple Leaf
The Canadian Maple Leaf is another gold coin which is of 0.9999 purity (24 karat gold). It is produced by the Royal Canadian Mint and it carries the maple leaf design, hence the name Canadian Maple Leaf. This coin comes in 1 Troy oz size as well as 1/2 oz, 1/4 oz, 1/10 oz and 1/20 oz sizes. This is also a very highly sought after gold coin and is sometimes out of stock. This is definitely one of the best gold coins to buy.
South African Krugerrand
1oz 1984 Krugerrand Transferred from en.wikipedia (Photo credit: Wikiped
South African Krugerrand is the first 1 Troy oz gold bullion coin that was produced in 1967 when the South African government wanted to market and sell gold that was being mined in South Africa. After witnessing the success of the Krugerrand, the rest of the bullion gold coins were produced by the respective governments. This gold coin is of 0.9167 purity (22 karat gold) same as the American Gold Eagle. The Krugerrand is not a very beautiful coin though. It is quite a simple design but it is popular since it was the first bullion gold coin that was produced and has its own ardent fans.
The Austrian Philharmonic gold coin is another coin that is popular among a lot of gold investors. It is also of 0.9999 purity (24 karat gold). It comes in 1 Troy oz, 1/2 Troy oz, 1/4 Troy oz and 1/10 Troy oz sizes. This gold coin’s design is based on the Philharmonic Orchestra and it carries a design based on musical instruments and the orchestra. It is not a particularly beautiful coin though. Since it is not as sought after as the Canadian Maple Leaf or the American Eagle, it is normally priced below those coins. If the Canadian Maple Leaf is selling at 6% premium to spot gold, the Austrian Philharmonic might be selling at 5% above spot. This is good for investment as you get higher amount of gold for the same price compared to the more popular coins. Still it has the reputation, trust and enough popularity. What it lacks in design and beauty is well compensated by price. This makes it as one of the best gold coins to buy.
The 5 Best Gold Coins to Buy
That is the list of the 5 Best Gold Coins to Buy for investment. As we have mentioned earlier, the premium for some of the coins will be higher than others although the gold content is same. This would depend on the availability of the stock as well as the demand. When buying gold coins, always check with the dealer for the price of each of the types of gold coins. That would help to save a few percentage but when it comes to gold investment small percentages can make a big difference in the overall investment.
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