You are probably thinking about what you should use gold coins in the economy that uses paper money to purchase daily commodities and live your life. So is it a hobby or investment opportunity?
During the days of online stock trading, which is instant as well as financial accounts that you can make from your home, sometimes money becomes only part of our imagination.
It is not something physical, especially after the popularity of credit cards and wired transactions; in most cases, we do not hold it in our hands. That is the main reason why gold is so appealing and satisfying because you will have something substantial in your hands.
Owning old gold coin or bar is much more appealing than having plenty of paper money in your pockets. Even though you will not be able to go to the convenience store and to buy something with gold coins, you will have them as the ability to stock your wealth securely.
We decided to present to you the advantages and disadvantages of buying gold coins as a form of stable and secure investment.
Pros of Buying Gold Coins
- Gold, as well as other precious metals, have always been the perfect form of investment due to their stock features that are stable and able to withstand financial changes that are happening in the world.
- It tends to rise as the other investments decline, which stabilizes the effect of your overall investment portfolio.
- You do not have to pay capital gain taxes until you say that you should sell it
- It is a perfect choice that will help you fight inflation
- No one will know that you own it, which means that you can keep it safe
- In case of massive currency devaluation, you can use silver and gold so that you can buy and sell. Even though it sounds crazy, it happened to some countries even in the 21st century.
Cons of Buying Gold Coins
- You have to store it in a safe place because thieves can rob you with ease
- Unlike bonds and stocks, when you decide to purchase gold that is not an investment that will drive the company growth. You will not be able to get interested or dividends with this particular share.
- You should wait for some period if you want to get profit out of it
Check this link: https://www.wikihow.com/Store-Gold-Coins-Properly to learn how to store gold coins properly.
Easiest Ways to Purchase and Keep Gold Coins
If you want to purchase gold coins, the idea is to get it from a financial institution or certified dealer to enjoy along the way. However, avoid buying it from prominent retail websites such as eBay, Craigslist and Amazon.
In case you wish to purchase it from individuals, the idea is to get them authenticated before you make up your mind. The idea is not to get false gold coins or ones that do not have clarity as you were told.
U.S. gold coins come in one, one half, one quarter and one-tenth of an ounce, and you have to pay a premium over a price per ounce so that you can purchase them because that way dealer will make a profit out of them.
In some cases, you may have to pay a higher premium in case you wish to buy gold coins that are less than one ounce. Generally, you should opt for bullion coins as well.
On the other hand, numismatic or collector’s coins id the different game, because you will pay them at high premiums and their prices depend on various factors.
You have to be knowledgeable so that you can invest in collector’s coins, which is why we recommend you to stay with bullion.
As soon as you purchase them, you will notice that you would like to run them through your hands because they are appealing and beautiful. However, avoid doing so, because the idea is to reduce the possibility of damaging them.
Do not think of hiding it in your house, unless you have a high-end safe, because thieves will know where to look and will be able to use a metal detector to find your stash.