Advantages of Rare Gold Coins
US Rare gold coins offer many advantages for their owners—a combination of advantages that almost no other asset can match. Before we explain the advantages of owning rare gold coins, we first need to define just what a rare gold coin is.
For the most part, US rare gold coins are gold coins that were originally minted in the United States between 1795 and 1933. 1795 was the year in which the Philadelphia Mint began minting gold coins and 1933 was the last year in which the US Mint struck coins for circulation as legal tender in the United States.
These coins are rare for two reasons. The first reason is that at on at least three occasions the Treasury recalled gold coinage. One recall was in the 1830s to correct the gold content of coins to match their face value. The second time was during the Civil War when many coins were melted down for international trade. The last time was in 1933 when President Franklin Delano Roosevelt ordered all gold coins in private hands to be handed over to the Treasury Department and Congress passed a law making it illegal for private citizens to own gold. The second reason that rare gold coins are rare is because many coins have been lost in circulation or worn to the point that they are not attractive to serious collectors.
Advantages of Rare Gold Coins
Owning rare gold coins is a good idea because they offer some key advantages:
• Excellent Long-Term Performance
Rare gold coins have a long track record of producing outstanding performance. In fact, due to their scarcity and added demand from collectors, rare gold coins have a history of outperforming gold bullion.
• Security, Safety and Peace of Mind
Rare gold coins offer all the benefits of gold due to their gold content. 5,000 years ago there was no stock market. There were no bonds. There was no paper currency. But there was gold. Gold is the only asset with a track record that goes back 50 centuries. Gold has withstood the test of time, standing solid in good times and bad, always enduring and always being universally accepted.
Rare gold coins help you maintain your financial privacy because there is no paper trail associated with the purchase of rare gold coins. Once you buy them and take possession of them, it’s nobody else’s business that you own them.
• Protection Against Government Restrictions on Private Gold Ownership
The federal government has the authority to confiscate gold bullion in private hands, but in the past the law that authorizes this has specifically exempted rare coins from its provisions. Because of that, rare gold coins are the most secure way to own gold.
• Diversification Benefits
Rare gold coins tend to move independently of other investment markets. This is because they react to economic and geopolitical events in a way that paper investments do not. This makes rare gold an outstanding diversification vehicle for Americans who already own stocks, bonds, real estate and cash equivalents.
• Aesthetic appeal and historical significance
There is one final advantage of owning rare gold coins that no other asset can possibly match. Each rare gold coin is a true piece of American history, a literal time capsule representing the period in which it was minted. Many collectors over the years have marveled over the stories that these coins could tell if only they could talk. These were the same coins that were in the pockets of pioneers and settlers in the American West. In addition to this fascinating history, many rare gold coins are true masterpieces—works of art designed and created by some of America’s foremost artists and craftsmen.