Some Reasons to Own Numismatic Gold Coins

Numismatic gold coins have many benefits which attract buyers like bees to honey.
The first benefit is that numismatic coins of gold give their owners peace of mind and wealth security as they are considered hard assets. They have been proven time and time again in mankind’s history of economic fluctuations. Owners of numismatic gold coins do not see a decline of their wealth when adverse economic conditions come into play on the global economy scene. Paper investments quickly succumb to the adverse economic conditions with a correlating value decline as was seen in the Great Depression of the 1930s, again in the 1970s high inflation and the recent crisis of subprime loans.

The next benefit is that there is an amazing return on numismatic gold coins as the supply of such coins is limited due to President Roosevelt’s stop production order in 1933. Such rare coins were no longer produced or minted at the US Treasury, resulting in limited pieces. Moreover, with the factors of wear and loss, numismatic gold coins have seen an incredible increase in their demand. In simple economic terms, when supply decreases with an increased demand, the numismatic gold coin value increases.

The third benefit is that numismatic gold coins are able to shield you against any public scrutiny of your wealth. There is a form of protection on your personal financial standing which diverts prying eyes. Many people, not just Americans, wish to keep their financial condition private and numismatic gold achieves that objective easily as its trading generates no reports of buy or sell operations to anyone other than the broker. No social security number is required to transact numismatic gold which will provide any authority or individual with information of your acquired wealth.

The fourth benefit is that numismatic gold has protected its owners from gold confiscations of the past. From history, President Roosevelt passed a law in 1933 which required all gold bullion to be returned to the US government; owning gold was considered an outlaw act between 1933 and 1974. In 1963, President Kennedy made it illegal to own gold outside of America too.

However, gold ownership was allowed again in 1974 with the president reserving the right to outlaw the act at anytime. Hence, it was quite risky to buy gold during that period of time for it could be seized by the government at any time the president recalled the legalization of gold ownership.

In contrast, numismatic gold coins have been exempted from all laws and regulations of ownership; thus, it became clear that one way to protect wealth was to own numismatic gold.

Advantage of Owning Rare Gold Coins

United States rare gold coins offer advantages for their buyers that are hard for any other asset to match. To first understand the advantages of rare gold coins, you have to understand what makes gold have a rarity that is sought after by collectors.

Rare gold coins consist of minted gold by the United States from 1795 to 1933. It was in 1795 that the mint in Philadelphia first starting minting gold to be used as currency. This practice ended in 1933.

What makes gold coins rare are twofold? The first reason is that the Federal Government has confiscated gold on three separate occasions. The first recall of gold came in 1830s when the issue was that the gold content of each coin did not match is face value. During the Civil War many US gold coins were melted down as the price of gold had more value in overseas markets. The last confiscation came in 1933 when President Franklin Roosevelt made it illegal to own gold as a private citizen and that all gold be turned over to the Treasury Department. The second aspect of rarity is simply the age of the coins which has led to lost coins and coins that are not in a mint enough condition to be attractive to collectors.

Advantages of Owning Rare Gold Coins

Over the long term rare coins or numismatic gold coins have outperformed gold bullion coins do to their added demand by collectors, plus their inherent gold content.

Gold is the one asset that has a tract record that goes back over 5,000 years. When there was no US dollar or Euro there was gold to use as a means of trade for goods and services. Rare gold coins still offer the same value do to their gold content.

One key aspect to buying rare gold coins is they are considered a private position in gold. There is no paper trail making rare coins a more financially private matter. The Federal Government still reserves the right to confiscate gold in private hands again. The one caveat to this is rare gold coins which have made them exempt from government confiscation.

For added diversification, gold including rare gold coins prices move up or down typically different then paper investment and other assets. What typically makes the stock market go down in value increases the value of gold coins?

One interesting aspect to rare gold coins that no other form of currency can state is that the exact rare coin you purchase was the exact same coin owned by the people living over a hundred years ago. Rare coins are a true piece of American history that were owned by the pioneers that made our county great.

ITM Trading offers expert advise on buying gold coins plus Liberty gold coins.