Richard Goldstein asked:
In today’s world of global uncertainty, one thing remains certain: gold coins. Gold bullion coins continue to outperform traditional vehicles the same way gold coins and bars outperformed everything under the sun during the 1970’s. By holding gold coins in one’s portfolio, you dramatically reduce the overall risk of your portfolio. Just by having some gold coins as part of your strategy, you also allow the price of gold, as it increases, to bring up the value of your portfolio.
It is much easier to buy gold today than it was 30 years ago. Gold bullion coins are easily bought and sold with the click of a mouse. Not only is it easier to buy gold, but gold investments are exploding onto the investment scene like never before. In fact, gold coin sales by the U.S. mint in recent months have outpaced the gold coin sales of the prosperous-for-gold 1970’s. Despite this recent fact, the gold price is just beginning its increase.
As gold coins become more scarce, quite naturally, investors covet the yellow shiny metal at an ever increasing rate. The type of gold coins sought after by investors who follow the price of gold are American Gold Eagles, Canadian Gold Maple Leafs, South African Gold Kruggerands, Australian Gold Kangaroos, Chinese Gold Pandas, and Austrian Gold Philharmonics. These are the most popular gold coins available to investors who want profit potential and protection. The benefit to owning these gold bullion coins is four-fold.
1. You get immediate liquidity. This means you can sell your gold bullion coins at or near the gold price at any time, anywhere in the world.
2. You are in control. A strong gold investment is an investment in certainty. Knowing you have gold coins in your possession that you can rely on makes a world of difference to one’s sense of financial well-being.
3. There is tremendous profit potential with gold bullion coins, more so than just about every other vehicle out there. It matters not whether you hold American Eagles, Canadian Maple Leafs, South African Kruugerands, or any other type of these gold bullion coins, they will provide a well positioned investment portfolio an increased probability of profitability.
4. Last but not least, gold bullion coins provide economic safety and stability in a world increasingly plagued with uncertainty and dangers.
Those are some of the “pros” of owning gold bullion coins. There is more that a first-time purchaser of gold coins should be aware of; the “other side of the coin,” so to speak. If you own American Eagles, Canadian maple leafs, South African Kruugerands, Austrian Philharmonics, Chinese Pandas, or Australian Kangaroos, they are subject to confiscation by the federal government. In 1933 Franklin Roosevelt issued an executive order which required U.S. citizens to turn in all gold bullion coins produced by the U.S. mint, as well as any gold coins and bars produced by foreign governments. Our country, in that period was in the peak of a crisis: the dollar was in trouble, smart investors were getting out of stocks and bonds, and unemployment was on the rise. This period was the great depression. The consequence of not turning in your gold bullion coins or gold bullion bars was a huge fine and jail. If you buy gold bullion coins today, like the American Eagle, the U.S. mint prints a $50 denomination on the back of the coin. Why? Because if the government were to confiscate gold bullion coins like they did in the 1930’s, you would only receive the $50 denomination value, despite the current price of gold in the market, whether that price be $500, $1000, or even $2000. The chance of such Federal government confiscation is universally deemed as unlikely.
Also gold bullion transactions are reportable to the IRS. We will also cover in detail the type of gold transactions that are not reportable, private gold, momentarily.
Also important to recognize is that as the price of gold fluctuates, so does the value of gold bullion coins.
Nevertheless, despite these contingencies, asset managers all over the country are recommending allocating at least some portion of an investment portfolio to gold. Prices are on the rise, in what analysts have termed a long-running bull market which is just in its beginning stages
PRIVATE AND NON-CONFISCATEABLE GOLD COINS
Investors naturally gravitate to gold investment vehicles where they can expect the greatest return with the smallest amount of risk. In the physical gold market certified gold coins reign supreme. Certified gold coins are the gold coins minted by the US Mint befor the year 1933. $20 Saint Gaudens, $20 Liberty, $10 Indian, $10 Liberty, $5 Indian, $5 Liberty and $2.5 Liberty gold coins are all examples of the most profitable gold coins an investor can acquire for several reasons.
1. Certified gold coins have a limited mintage. The government can not go back and mint any more of these gold coins. You want to own gold coins that continue to go up because of this fact year after year regardless of what the gold price does. Because of their limited availability these gold coins can surpass the gains seen by gold bullion 2 to 5 times.
2. Certified gold coins are also one of the last legally private assets the government allows you to acquire. World Financial and goldcoinsgain.com are not required to ask for a social security number when you buy gold coins or when you sell gold coins.
3. Non-confiscatable. Certified gold coins are exempt from confiscation. Certified gold coins are exempt from confiscation if the government decided to confiscate gold like they did in between 1933 and the early 1970s. You were in a world of hurt during those almost 40 years of you were holding the wrong kind of gold coins. So you can rest assured your certified gold will do what its supposed to do under the most strenuous conditions — protect your money.
4. Immediate liquidity. World Financial is a major market maker in certified gold coins and will assist in converting your gold coins back into cash on a moments notice.
In addition to the advantages listed above, certified gold coins are also more stable than bullion gold coins. The value of a certified coin is not solely determined by what the spot price of gold does. In fact, certified gold provides more stability than the stock market, bond market, or just leaving your money in cash. So if you are tired of having to worry about the current economic environment you may want to consider diversifying out of riskier vehicles into an asset that has stood the test of time.
Portability is also something you should keep in mind when selecting which type of gold coins are right for you. To put things in perspective, you could carry one million dollars worth of certified gold coins in an attaché case. This should give you a sense of comfort knowing that you have acquired an asset that is completely portable and discreetly portable.
IRA AND 401’s BACKED BY GOLD COINS
Gold Coins backing your IRA or 401k rollover makes the perfect diversification asset in today’s uncertain economic environment. Gold coins can be added to your retirement strategy in just a few easy steps.
Step 1. Determine what portion of your retirement account you would like to convert over into gold coins.
Step 2. Print out the one page Gold Coin IRA Setup Form and fill out to the best of your ability. Fax the form into our retirement account department at (818) 506-6597.
Step 3. A Gold Coin Customer Service representative will contact you in a very short amount of time to confirm and guarantee the availability of your gold coins. We then work with your existing custodian to get the appropriate funds transferred over into your new self-directed IRA, backed by physical gold coins.
American eagle bullion gold coins are one of the most popular gold coins allowed by the IRS for your precious metal IRA. American eagle bullion gold coins come in 1 ounce, 1/2 ounce, 1/4 ounce, and 1/10 ounce denominations. These gold bullion coins are guaranteed by the US Mint for purity, weight and size. The Gold American Eagle bears the “W” mint mark reflecting the gold coin was struck at the US Mint at West Point. The obverse of the American eagle bullion gold coin features Augustus Saint-Gaudens’ full-length figure of Liberty with flowing hair, holding a torch in her hand and an olive branch in her other hand. On the other side of the gold coin a male eagle carries an olive branch as he flies above a nest containing a female eagle and her eaglets. Each gold coin is encapsulated in plastic and comes with a custom designated Certificate of Authenticity.
American Eagle Proof gold coins are also available. The proof gold coins are more desired because each year they are produced by the US Mint in a limited quantity. Each proof gold coin is struck several times with a special die to create a more lustrous finish. Because of the limited quantity, investors will typically prefer these gold coins for their retirement accounts. Weather we are talking about gold coins or widgets whenever there is a limited amount naturally prices increase faster and become more valuable. The American Eagle Proof gold coins are also exempt from confiscation. A lot of investors like knowing they have the type of gold coins backing their retirement account that are not subject to confiscation by the Federal government.
