| Gold coins in the current financial climate are in | | | | begun producing the $20 Double Eagle gold coin, |
| high demand and for good reason. Gold coins | | | | but then the ban of private ownership came into |
| have always been a popular way to hedge against | | | | force so they had to melt them and the ones |
| inflation and for a balanced portfolio risk. Though | | | | handed in all down, though some did manage to |
| coins made with gold have been produced ever | | | | get into the public domain, so as a collector coin it |
| since a coinage system began, the modern day | | | | is the ones dated prior to 1933 that are more of |
| gold coins are minted for collectors or to be used | | | | collectors item, though they still have some |
| as bullion coins. A bullion coin is bought for its | | | | investment attributes. |
| investment potential rather than its face value. | | | | Bullion coins |
| Why Gold? | | | | Modern day gold coins are bought for investment |
| Gold can be moved around the country quite | | | | purposes rather than their numismatic interest, |
| easily, and with such high value compared to its | | | | and are bought and sold depending on the current |
| weight makes it more convenient that other | | | | market value gold, this makes a choice of |
| commodities. Gold itself can be reduced in size | | | | investors as a way to have some gold in their |
| without losing its overall value and is more difficult | | | | portfolio as a hedge against the world economic |
| to counterfeit and above all, with the worlds | | | | ups and downs. South Africa began the modern |
| stock of gold being limited, the value of gold is | | | | trend when in 1967 it introduced the Kruggerrand, |
| fairly stable on the commodities exchanges. In | | | | which fortunately contained one troy ounce of |
| 1933 the United States banned the private | | | | gold, these were conveniently priced just above |
| ownership of gold coins over $100, anything | | | | the bullion prices of gold, though gold coins have a |
| above this amount that they owned had to be | | | | face value associated with the coin which is far |
| handed over to the Federal Reserve, in which | | | | less than its true value this is done to give the |
| they paid $20.67 per troy ounce. This ban | | | | coin some status in law and they are technically |
| remained in force until 1974 when a bill in the US | | | | legal tender, but as coinage can be easily moved |
| parliament allowed once again private ownership | | | | across the national borders. The gold bullion gold |
| of gold coins in excess of $100. The reason | | | | coins value is determined by its troy weight and |
| behind all this was down to the Worlds monetary | | | | the current price of gold on the commodities |
| system and the Gold standard. | | | | market. |
| Collector Coin | | | | Produces of Gold Bullion |
| The respective mints for each country produce | | | | Gold bullion coins are now minted by various |
| yearly a chart with how many coins are minted | | | | countries and are sold by the troy ounce or a |
| for each denomination, and with these figures at | | | | multiple of a troy ounce, like 1/20 oz., 1/10 oz., 1 |
| hand one can see the rarity of the various coins, | | | | 4 oz., 1/2 oz., 1 oz. Some of the countries |
| just one statistic to determine the value of a gold | | | | producing the gold coins are Australia, Austria, |
| coin, the condition is another important factor to | | | | Canada, Mexico, Poland South Africa, United |
| take into account. Hence why in 2002 the auction | | | | Kingdom and the United States. It has been |
| house, Sotherby's sold a 1933 $20 double eagle | | | | reported that the United Nations will be issuing |
| for £7.5 million, at the time the US treasury had | | | | gold bullion coins at some date in the future. |