When buying gold bullion remember coins are a great form of gold to own. Their purity is guaranteed by the government that issued them, so they are very liquid. No assay is required to sell gold coins. And, regardless of which country issued the coins, they are in a sense international in value.
Not all gold coins are equal. Even if they contain 1 ounce of gold, the gold is never completely pure. Gold is too soft of a metal to be coined in a completely pure state. So some minor impurity must always be present. This is determined by the karat number, with 24-kt being the purest gold, while lower numbers contain more impurities. Many countries, but not all, issue 24-kt gold. But the coins differ is color. This is because the impurity is not always the same, it is dependent on the source of the gold. And copper is chemically so close to gold it is particularly difficult to refine out. So, with gold coins from mines around the world, there is a slight difference in value. This is caused by both the quantity minted and the particular content of coins from a region.
A quick ranking of coin prices at the time of writing is American Eagle, Gold Buffalo, Canadian Maple Leaf, Austrian Philharmonic, and South African Kruggerand. Australia mints numerous quality gold coins which are not listed because they also have high numismatic value, and they include the lunal, nugget, and kangaroo series.
For the investor with limited resources, many countries mint smaller coins that are fractions of an ounce. Common fractions are 1/25, 1/20, 1/10, 1/4, and 1/2. Canada has a 1/15 ounce version of the Maple Leaf, but it is rather rare. If you buy from an Online auction site be careful. Auctions for 1/25-ounce coins often go higher than those tor 1/20-ounce coins. The higher the denominator in a fraction, the smaller the number, but if just a few people do not understand this they may, and usually do, bid the smaller coin up due to the higher denominator. Be careful. The smaller coins rightfully have a higher premium over spot gold prices due to minting cost, a the 1/25-ounce coin is certainly worth less than a 1/20-ounce coin.
Because the minting cost can become a larger percentage of the cost with smaller coins, it is probably better to buy a one-ounce coin rather than several smaller coins that collectively are one ounce.
Another thing to remember is gold is weighed in troy ounces, which are heavier than conventional ounces. When checking weight, use a scale that weighs in troy ounces.
We have a link to the Perth Mint of Australia if you wish to look for quality collectible coins in gold, and other fine dealers in gold bullion if you are basically interested in gold for the intrinsic value of the metal itself.
If gold is too pricy for your current needs, consider silver.
This article is being made available from Black Spaniel Gallery at http://blackspanielgallery.comby the author. Links to major English speaking mints are available at Black Spaniel Gallery.
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