What is the Gold Krugerrand Price Today?
Written by admin on December 27, 2008 – 10:20 pm -The South African gold Krugerrand coin was the first gold coin that contains exactly one ounce of pure gold, which makes it the best known of modern bullion coins. As a matter of fact, gold Krugerrand coin has always been one of the most available and best-priced coins of its type in the market. There are thousands of gold Krugerrands bought and sold at the gold dealers stores or online everyday, making Krugerrand one of the most popular Gold Coins among investors and collectors. So what is the Krugerrand Price today?
First minted in 1967 by the South African government, the gold Krugerrand coin is the first coin to be valued at the current market value of 1 troy oz. gold. In other words, the krugerrand coin didn’t have monetary value imprinted on it. Its value is based upon the market value of one-ounce 22 carat gold it contains. Once the gold price fluctuates in the market, the price or value of Krugerrand changes correspondingly. For instance, the 1oz krugerrand price would be around $700 when the market value of gold is $700. If at the time, the gold price jumps up to $900, the 1oz Krugerrand price would increase to $900 accordingly.
Besides the “spot price” indicated above, you have to add premium for the Gold Coin when estimating the gold coins prices. Gold Krugerrands, like Mexican 50 Peso gold coins, usually carry small premiums from 5% to 10% depending on the coin sizes and purchase quantity. Usually 1 oz Krugerrand coins carry the smallest premium, while the smaller fractional sizes coins (1/2 oz, 1/4 oz and 1/10 oz) carry higher premiums.
Because of the recent world economy in turmoil, more and more smart people turn to gold investment as a way to protect their personal wealth instead of buying stocks. The current market trend shows that the Krugerrand Price might continue increasing, making it a safe investment especially for small investors.
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Buy Krugerrand Gold Coins as Safe Investment
Written by admin on December 5, 2008 – 5:35 am -We live in uncertain times. The more prudent investors have recently been turning to one of the safer forms of investment - gold, and gold coins in particular. Gold prices hit $1000 on ounce earlier this year as investors plied their savings into stocks of the precious metal. According to the World Gold Council total investment in gold rose by 163% in the first quarter alone.
One of the most popular ways to invest in gold is to buy gold coins such as Krugerrands or Sovereigns. Items such as Krugerrand coins, which individually are 1oz of pure gold, are easily available from such diverse places as on-line auction site EBay.. Many industry commentators are openly suggesting that investors buy stocks of gold coins as safe, long term investments.
When comparing your options for buy gold coins there are several factors to consider depending on which coin you are buying. The main factor is to compare the percentage over the standard market gold price for each type of coin.
Gold Sovereigns
Experts believe that Sovereigns are often worth paying the slight extra premium for. Their small size and historic significance make them very attractive to most investors.. Sovereigns are better known that some other types of gold coins, Krugerrand coins for example, and have the added advantage of being exempt from Capital Gains Tax if you live in the UK. It is suggested that if you can buy sovereigns within 2% of the price of Krugerrands coins that this makes them a better long term buy.
Krugerrand coins are the best known of all the modern gold bullion coins. These one ounce solid gold coins are more easily available in greater quantities and can generally be bought at lower prices than any other. In comparison to sovereigns, Krugerrand coins do not look as nice, nor are they of such historical significance, but as a solid investment they are still extremely popular. What they lack in looks, however, they make up for in high production quality and they are a cost effective way for small investors to buy gold.
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