Gold as an investment is more popular than other metals because it has higher returns in future and the risk factor is very less. But before you buy gold coins there are certain facts you should keep in mind.
What kind of gold should you buy?
The answer to this question varies with your goal. If your purpose is just to hedge financial uncertainty or capitalize on price movement, then these bullion coins will surely serve your purpose. But if your concern is with the possibility of capital controls and gold seized then you should rather involve historical pre-1933 gold coins in the mix. Both provides modest premium over their gold melt value. So track the gold price and enjoy your investment.
Next thing that comes to mind is what are the pros and cons of buy gold coins
Following are the pros of buying gold:
• Relatively easy to purchase and sell gold coins than other metals in the market.
• When you buy gold coins you have the opportunity to test the gold content of the coins.
• It is pretty much satisfying to own and purchase gold coins.
• There’s significant potential upside for gold coins.
• The risk factor is relatively less than other metals.
• The tax payable is not much.
Following are the cons of buying gold:
• Dealers charge fees and premium price for gold coins.
• It has large liquidation spread.
• Sometimes it is challenging to verify rare and old gold coins.
• The price appreciation potential of gold is not quite sure.
• The storage and insurance cost of gold coins and bullion can be a big problem and expensive.
Though gold is preferred worldwide as an investment but it only beats inflation. On the basis of real inflation adjusted returns it falls poorly when compared with real estate or shares. But still if you are a real investor you should have a certain percentage of investment in buy gold coins to hedge inflation. click here to get more information buy gold online.