16 February 2013

What Gold Coins and/or Bullion should I buy?

... the ultimate shopping guide to gold and silver

This gold (and silver) shopping guide introduces you into the world of physical gold. At the end you will have an understanding of the different gold products, how to differentiate them and how to buy best value for your money.

There are two main categories of buying gold: Collectors Gold and Investment Gold.

The two main categories of buying gold: Collectors Gold and Investment Gold. There is this category called semi-numismatics. You will find a link at the end of this article.

Buying Physical Gold

Collectors’ coins also called ‘numismatic’ coins are from the Middle Age, Roman Empire or specifically minted for numismatists. The coins are very old, rare and especially traded by collector’s. These coins usually have a high premium to the gold spot price. It’s basically like a rare stamp.

CelticGold does not offer these kind of coins. All products offered in our shop are in the second category: Investment gold and semi-numismatics.

Investment gold is produced in high numbers and therefore as close to the spot price as possible. The investor is interested to buy as close as possible to the spot price.

Investment gold has in itself two categories that describe the ‘make’ of the gold product: Coins or Bullion, bullion is also called bars.



Mints and Producers

These are the World’s most reputable producers of Gold Coins and Bars:

Gold Coins and Bars Producers

For a professional bullion dealer there are two ways to buy: direct from the mint or from one of the few largest distributors worldwide.

At CelticGold we have a lowest price philosophy and receive our products only from the largest banks and bullion dealerships in the European market. This actually allows us to offer lower rates than compared to receiving the goods directly.

A coin is always minted by a state owned mint, such as the US Mint for the Eagle gold coins or the Austrian Mint that produces the Vienna Philharmonics gold and silver coins. A coin is usually round and goes from 1 gram to 31,1 kilo.

A bar or bullion is produced by private corporations and banks. The biggest companies are Heraeus in Hanau, Germany, Degussa/Umicore in Hanau, Germany, The Perth Mint in Perth, Australia and UBS in Switzerland.

A bar is usually square in shape and goes from 1 gram to 1 kilo for the private investor.

Generally is a bar due to lower manufacturing costs closer to the gold spot price and therefore a bit cheaper than a coin.

Coin Specifications: Fineness, Face Value, Purity, Weight and Fractional sizes

The fineness or purity is with the most coins and bars 24 carat or 999/1000. You will sometimes find a fineness of 999.9/1000 which is a bit higher than 999/1000 but still 24 carat.

The weights shown in our shop reflect the actual weight of the pure gold content. For example the Krugerrand contains 31.10 gram (1 Ounce) of pure gold but weighs 33.93 gram. That gives the Krugerrand a fineness of 22 karat or 916/1000. You find all this information in the product description of the gold product.

Almost all coins (except the Krugerrand) have a face value minted on the coin. A coin with a face value is automatically legal tender. This amount which is minted on the coin is the legal tender worthiness of the coin. Obviously a Vienna Philharmonic coin trading at around 1,300 Euro which reflects the value of the gold content and a face value of 100 Euro can only be described as delusional. Delusional because the real value is much higher than legal tender value. Minting a face value to the coin was invented in the 1800's to generate more revenue for the government by accepting only the minted face value to pay for taxes.

By now you know that there is Collector’s gold and Investment gold. As a Gold Investor you go with investment gold. With Investment gold you can choose between coins or bullion, also called bars.

The worldwide most bought gold coins are: Krugerrand, Vienna Philharmonics, Maple Leaf, American Eagle and Australian Kangaroo. The coins are minted in different sizes mainly from 1/10oz up to 1oz as shown with the Canadian Maple Leaf gold coins here in this picture. 


Maple Leaf gold coins

Find here an overview with direct links to our sortiment of the world’s most circulated coins:

1oz Maple Leaf gold 1oz Krugerrand 1oz Philharmonics 1oz Austr. Kangaroo 30g Panda
1/2oz Maple Leaf 1/2oz Krugerrand 1/2oz Philharmonics 1/2oz Kangaroo 15g Panda
1/4oz Maple Leaf 1/4oz Krugerrand 1/4oz Philharmonics 1/4oz Kangaroo 8g Panda
1/10oz Maple Leaf 1/10oz Krugerrand 1/10oz Philharmonics 1/10oz Kangaroo 3g Panda
1/20oz Maple Leaf     1/20oz Kangaroo 1g Panda
    More gold coins and bars    
Swiss Vreneli 100 Euro German Perth Mint Gold Bullion 1oz American Eagle  Britannia
    Heraeus Gold Bullion
1/2oz American Eagle  Sovereign Gold
1/4oz American Eagle
      1/10oz American Eagle  


To receive more information on each of the products, click on the link of the product.

Five types of Gold Investors - Which group are you in?

I have 10,000 Euro, Pounds, Dollars to invest– What should I buy?

When you like to convert 10,000 in paper-currency in gold, we recommend an assortment of different coins and denominations. For example:

Ten 1/10oz gold coins, such as the Maple Leaf, Krugerrand, Philharmonics
Five 1oz gold coins, such as the Panda, Maple Leaf, Krugerrand, Philharmonics, American Eagle
100 1oz Silver coins, such as the Maple Leaf

This gives you a nice assortment of the most renowned coins and you have different denominations as well.

Gold Investor Starter mix:

The gold investor starter is curious about the shiny metal and buys whatever he or she sees and likes. A large variety of designs, years and motives are key. Celticgold offers over 1,000 different products.

The Private Trader

The private trader searches for best price ratios and likes to trade physical gold with the up and down movement of the market. Bullion is the best option here, starting from 100g and up. The trader also takes advantage of free storage options.

The Paper-Currency concerned buyer

The paper currency concerned buyer hedges against the devaluation of currency in the worldwide fiat-money system by buying gold and silver. The paper currency concerned buyer starts with a minimum assortment of:

100 of 1/10oz gold coins or 50g Combibars and
500 of 1oz silver coins

He or she then adds 1oz gold coins to the portfolio with adding 1 kilo bars after the first 100oz of gold are filled up with coins. This group of customers sees the need of owning silver and fractional gold coins to barter with if a crash of the banking systems occurs.

The Moving out-of-the-banking-system buyer

This type of buyer is mostly keen on silver but also has a focus on small gold coins. This buyer believes in a systemic crash of the banking system and hedges with the physical ownership of gold and silver against this scenario. 

He or she also spreads and stores outside of the home country in different places.

As a professional bullion dealer Celticgold specialises in helping to develop an individual solution for buying and delivery/storage.

Follow this link to learn more about Semi-Numismatics: Add performance into your portfolio by adding semi-numismatics

Buy Gold   Buy Silver

Author: celticgold.eu

Older Euro-Crisis: How it will all unfold. What are the next steps? Newer On the funny side of things: How to pay with precious metals – today!