Rare Coin Investing 101

Living in an economy that fluctuates is not a new trend. This has been going on for centuries, but one thing has always remained: the stability and security of gold investments. Of all the different forms of money, gold has continued to remain stable in the economy and proves to be an excellent investment, whether you’re diversifying your portfolio or just getting started. It is great security for more serious economic crisis and recommended among all individuals, not just seasoned investors.

While gold is looking to be one of the most popular precious metal investments, silver should also not be put on the sidelines. Silver’s value continues to increase, though it will never reach or become higher than that of gold. This is mostly due to a higher abundance of gold, and as you know, the rarer it is, the higher its value. This is why diamond is worth so much; it is incredibly rare. Silver has many uses, not just those for investment purposes. Like gold, it has also been used as currency for many years in America, but also has unique properties making it excellent for various manufacturing industries.

Investing in Gold Coins

If you are looking to expand your investment portfolio with gold, rare gold coins are one of the best ways to accomplish this. Coins can be invested in as bullion (to be melted down) or as the coins themselves. What you will find is that the value of the rare coins is much higher than the bullion, as it should be. But which one you choose depends entirely on you. If you are also a collector of coins, you might be more interested in their numismatic value. What makes gold coins or any precious metals unique is that you maintain physical ownership of them. Unlike stocks and bonds which are only on paper, you actually have a hold of these, similar to a hobbyist or investor. If you choose to invest in bullion as opposed to coins, remember that they come with a premium. You should have them delivered to you, and never stored for you and no waiting period should be expected after purchasing the bullion.

Choosing Between Silver and Gold

Investing in rare gold coins is often the focus of many investors because of the potentially high value of gold, but silver shouldn’t be overlooked. However, if you are on the fence, here are some points to consider. First of all, gold has always been rarer and higher in value, so there is the potential for great investment. It has also remained high for most of America’s history, only dipping below the comfort level on minimal occasions. While in the past, silver was deemed “the poor man’s gold,” it is currently increasing in popularity. This is due to its increase in value and the fact that supply and demand for silver is dwindling. So in the end, you are choosing based on your own preferences and of course there is nothing wrong with investing in both precious metal coins.

Selecting a Dealer

When you invest in gold or silver rare coins, you will be doing so by purchasing them from a dealer. Choosing the dealer is a very important step, because it determines how much you can profit. Some dealers don’t have a good reputation for offering fair prices, even knowing their coins aren’t worth as much as they claim. You should know as much as you can about the coins and the dealer before making a purchase. Always go through reputable dealers who have a good reputation in the rare coin industry.

Rare Coin Investing 101
5 (100%) 7 votes