Hello everyone! I'd like to pick up a little gold in 1/4 oz increments. I've got the 1oz ASE's complete and am thinking the AGE would be a good avenue. They seem to carry a pretty low premium. Would you agree or do you have alternatives to suggest? Would I be better off just buying bars? Thanks!
Every gold collection/series will have some coins that are simply a special edition, or a low mintage in which you have to pay a hefty premium, one can argue one series is the australian lunar series I. You really just have to look at the mintages, special editions/series specialties (if there are any) and pick what you like. Also try and look at the NGC/PCGS population reports, assuming you are buying slabs.
Hunt, I hadn't planned on buying slabs. Do you think it is necessary when dealing with 1/4 ouncers? I'm not even sure I'm working towards a complete set of anything, so maybe my title is incorrect? I'm looking to add gold and since I have the ASEs, the AGE just seemed natural. The Lunars seems to carry a pretty high premium, or at least in the silver version!
No, not necessarily. If you read up on the composition, weight to the gram, get to hold and feel some in person, anyone can tell a real from a fake (MOST of the time). The only series i can think of that is pretty "iffy" is the gold panda series, and that's just because it comes from a part of the world where counterfitting is common. Infact, you can find 1/4 oz's raw with very little premium. Stick those in a white ring air tite and it looks awesome with gold.
On average, I think you may also do well buying modern US $5 gold commems, which are made to the same standards as the classic US half eagle. These have nearly one-quarter ounce fine gold content and can be had at essentially melt.
Tom, Thanks for the suggestion. It's hard for me to articulate what I'm trying to accomplish, which is to build a modest stack, but do it with items with as little premium as possible. Don't get me wrong this isn't a "Where's the best deal" type thread. I'm merely looking for value (for lack of a better explanation). I think a good example is that I'd much rather buy raw BU than a proof or graded BU/proof. Along that line of thinking is what I am looking for in a new set to collect. Something that won't necessarily depend on collector interest for a big portion of its value. All that said, I've already broken my own rule and bout a 10 oz Englehard loaf ......so there must be a little bit of a collector in me!!
When you buy the smaller denom pieces there will be more cost in mfg so your premiums will rise. What Tom suggested is right along with common date circulated $5 liberty's you should be able to pick up around spot.
I think you get the most from older sovereigns. You can get 1880s Victorias at melt and still get a little history instead of something made in new york a few months ago.
It really depends on what you like and why you want to add gold to your collection. AGEs will always be considered bullion coins while gold coins for circulation will be considered more as numismatic value. If you want one thats considered both, maybe a common date gold coin made for circulation is the way to go. Sorry if that sounds vague since I'm not really a gold coin expert.
Thanks again for the replies. I looked into the modern commemoratives and found this site. http://moderncommemoratives.com/. They list them all. From what I can tell the first couple were silver only and gold began in '84. They are 90% (which I'm sure everyone already knew). Does anyone know of a site similar to http://www.silvercoinstoday.com/silver-calculators/us-silver-coin-calculator/ that will give the actual melt value of the 90% gold coins? I've searched and can't find what I'm looking for. If not, what is the formula? Thank you!!
I did a little comparrison (1/4 ounce) on APMEX with the spread. It is pretty telling of which pieces may lean more towards the collector side vs the value side. One question I have is are these stagnant or fluid? Meaning, does the spread vary day to day, week to week, etc like the prices or are the spreads pretty stable? All BU or AU type examples. Mixed years Difference between sell and buy price Mexican 10 peso- $26 Mexican Libertard- $26 Canadian Maple- $28 AGE- $32 Philharmonic- $32 Krugerrand- $34 Commemorative Gold Coins- $46 $5 Gold Eagle (pre 1933)- $106! I thought this was pretty informative.
The spread is dynamic and can change mightily. I don't know where you are getting your values from, but at current spot price of $1,587.20 per troy ounce gold, coupled with an APMEX sales price of $394.39 for a modern gold commem, it means that APMEX is getting approximately a $11 premium per gold commem. This is in stark contrast to your $46 listed.
The reason that the pre-1933 eagles are so much is their numismatic value, where as the modern eagles and other series you said are really just bullion.
Tom, By spread I meant the difference between what they are selling them for and what they are paying for them. Maybe I should have termed that differently.
Yeah, I get that. I've editied the above to mention what I have listed is the difference between buy and sell. They are proud of the pre '33, but not willing to pay much for them from what I can tell.
Most companies including APMEX won't pay as much as they sell. Thats business 101, but most companies charge you accordingly to the PM value at the time you order. Also most common coins when AU are worth PM value.
Proof sovereigns are now close to spot, huge history, can be bought in OGP from APMEX, close to 1/4 oz...what's not to like?
