U.S. Trade Dollars were never intended to be the same as silver dollars for domestic circulation, even though they have the same one dollar face value. The two coins were produced to serve very different purposes.

Trade Dollars were designed and minted essentially as bullion coins for trade in the orient.

American Trade Dollars, as well as all post 1836 Silver Dollars were specified to be 90% silver and 10% copper, but the Trade unit weighs slightly more. The Trade Dollar weighs in at 420 grains, while the U.S. silver dollar weighs 412.5 grains.

American circulating Silver Dollars were just too light to interest Chinese businessmen, so a silver coin was developed with increased weight to compete with the slightly heavier Mexican and Spanish 8 Reales, or the British Crown.

Trade Dollars weren't intended to circulate in the U.S., although a few did. Americans strangely enough shunned them for domestic trade. This coin was created to be used for trade in the Orient, especially with businesses at the ports in Canton and in Hong Kong.

In the 19th century, the Chinese used silver as their primary medium of exchange. Before the U.S. Trade Dollar came into existence, Americans trading with the Chinese often resorted to Spanish or Mexican silver 8 Reales coins. The U.S. wanted a coin to compete directly with these coins.

The Chinese merchants would test the foreign silver coins and stamp their insignia on the coin. These stamps are now known as chop marks. You can find these chop marks on any of the coins used in trade with the orient.

During the 1860s, U.S. citizens with silver mining interests sought ways to market more silver. They persuaded Congress and other U.S. government officials that Trade Dollars should be minted for foreign use.

It was costly for U.S. businesses to exchange U.S. silver dollars for Spanish or Mexican 8 Reales coins before doing business with the Chinese. It made sense for U.S. businesses to get silver coins minted in the U.S., rather than use foreign silver coins for trade with China.

The Coinage Act of 1873 made Trade Dollars legal tender. Barber designs were used for this now rare American coin. Production stopped in 1878, except for a few proof coins.

France, Britain and Japan also developed their own dollar to the same standards as the other foreign countries for use in trade with the Orient. The newly opened oriental market was very lucrative for western merchants.

Nearly 36 million Trade Dollars were produced from 1873 to 1878, with the vast majority after 1875. It was more efficient for the San Francisco and Carson City Mints to use silver mined in the western U.S. for these coins. Therefore the majority of Trade Dollars came from San Francisco. They minted more than Philadelphia and Carson City combined.

As far as collecting goes, the chopped coins are generally considered problem coins and not worth as much as their unchopped counterparts. Uncirculated versions are relatively scarce, but are really beautiful specimens of U.S. silver coinage and one of Barber's better designs.

Article Source: http://EzineArticles.com/8651791

If you are buying gold bullion for the first time, you should not be worried. This is because the following article will give you the tips that you need to consider for you to successfully buy the right product.

Understand the bullion that you want to buy

There are two main forms of gold bullion: gold coins and gold bars. A gold coin is a government-issued legal tender. Common coins are: Gold American Eagles, Gold South African Krugerrands, Gold Chinese Pandas, Australian Kangaroos and many others.

The legal tender of value of these coins represents just a minute fraction of the metallic value.

Gold bars on the other hand are non-government issued and they are sold solely for their metallic content. They come in different brands where the most common brands are: Pamp Suisse, Credit Suisse, and Perth Mint.

Both gold bars and coins come in different prices which are usually determined by the purity of the metal.

When making the purchase, it's recommended that you go for the most popular bullion. One of the most popular forms of gold bullion is the one-ounce gold coin which is very easy to buy and sell.

Look out for the weight and purity of the bullion

Precious metals are usually measured in troy ounces and they come in different purity levels. You should note that the purer the metal, the more expensive it is. While the purest gold is expensive, it's very valuable and its demand is high; therefore, you will have a very easy time selling it.

Be wary of where you buy from

Due to the demand of the metal, there are many online dealers: both fake and legitimate. To avoid being ripped off, you should be very wary of the dealer that you buy from.

Before you make your purchase, you should consider the dealer's better business bureau rating. If the dealer has a good rating you should buy from him; however, if the dealer has a poor rating, you should take to your heels.

Once you have identified a good dealer, you should ask for discounts and deals especially if you are planning of making large purchases.

Conclusion

These are the tips that you should consider for you to buy the right metal. If you are buying the metal online, the first thing that you should do once you receive it is to take it to the nearest coin shop.

Here the professionals will test it to confirm that it's real gold. They will also give it their "stamp of approval" which will give you peace of mind since you will know that the product you have is sellable.

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The rare coin market like any other healthy market has its ups and downs. Pre WWII coins have been around long enough to have an established market. The modern issue coins can and often have a flash-in-pan type following.

Rarity value in coins is in context to their market demand. If everyone in America became interested in silver coins, there wouldn't be enough of any one coin to go around. For example, the 1921 Morgan was produced in huge numbers. Close to 87 million, in fact. That's only around one 1921 silver dollar for every household.

Many modern collector coin issues are minted in relatively low numbers, but does that make them good investments? I consider many modern "rare" coins to be like jewelry. They have their intrinsic value in their precious metal content, but when you sell the coin, you might not get back the premium you paid for it.

The most risky modern "rare" coins I think are the ones hyped up in promotional material or catalogs. They often have a story about their conception or design.

Low mintage numbers may be given to indicate rarity, but more often than not, a conditional rarity is created because of numbers receiving a certain grade by a third party grading company.

PCGS and NGC seem to be willing participants in grading modern common coins to give them a conditional rarity and legitimacy for the seller. The seller then asks four to ten times their worth to see if the market will buy the hype.

If you buy coins like these at the advertised prices, you might have to wait for a long time to sell them at a profit. Chances are you won't have the promotional resources to package the coin so you educate/convince someone to buy your coin at a really inflated price.

Modern commemorative silver or gold coins are risky to buy at inflated prices. The commemorative market tends to forget the original reason for the coin being special, and often won't pay for that specialness in the future.

Modern silver and gold coins don't have the track record of the old established collector coins, which makes them somewhat risky as an investment. There are modern rare coins that appreciate in value fairly quickly, but I consider ten years to be a minimum track record for an investment coin.

However, if you have your hand on the pulse of future trends and can predict them with some accuracy, be contrarian. Buy the trend-maker coin and profit from it. Otherwise, simply buy the modern rare coin because you love it, and not concern yourself with future performance, because you don't plan to sell it.

I prefer American Eagle silver and gold coins directly from the mint. They have an established track record. The baseball coins may be a flash-in-the-pan coin. The promotional material of course says they'll sell for multiples of their issue price. They might... Then they might not. I won't take the chance.

Few modern commemoratives have become modern rarities. The 2001 Buffalo silver dollar, I think is one exception. It sold out quickly and now sells for multiples of its original mint price. The 2011 25th anniversary silver eagle set looks like another hit for those lucky enough to have gotten their order in early on the day of sale.

When there's frenzy over a newly released coin, and they actually do get multiples of their original issue price, you need to be on either side of the frenzy, not in the middle of it. Either be the first one to buy some ahead of the crowd, or patiently wait out the frenzy to see where the dust settles.

To discover more about coins: collecting issues, money management, investing in the rare and bullion coin market, and much more, I invite you to visit http://www.heritagecoingallery.com for videos and free tips on buying coins at the best prices.

Article Source: http://EzineArticles.com/8663528

"The desire for gold is the most universal and deeply rooted commercial instinct of the human race." - Gerald M. Loeb.

Besides commercial value, traditionally we (Indians) like to buy and hold the investments in Gold. In this post, let us try to understand the historical investment returns from gold and is it the safest or risk free investment among all the financial assets we have?

Gold prices and returns in rupee terms in the last 30 years:

The average returns from 1985 to 2001 are roughly 6% on a compounding basis. If we calculate the inflation adjusted returns then the real rate of return would be far less or at least equal to inflation. From 1997 to 2001 the prices were almost stagnant.

The average returns from 2001 to 2008 is roughly is roughly 10% (CAGR). In 2001, the September 11 attacks caused global stock markets to drop sharply. The attacks themselves caused approximately $40 billion in insurance losses, making it one of the largest insured events ever.

In 2008, we have seen bear phase in financial markets due to bankruptcy of major Financial Banks in USA and Europe. The average returns from 2008 to till date is roughly 18%. Amazing returns indeed, the demand for gold has increased during this duration because investors or economies preferred to stock gold over other financial products.

So, can we safely assume that Gold prices will rise forever or continuously? May be or may not be. Gold prices increased when people lost trust in paper currency, this has been proved in the past. At the same time, when dust settles down, investors prefer other Financial products over Gold.

"As fewer and fewer people have confidence in paper (currency) as a store of value, the price of gold will continue to rise." - Jerome F. Smith

In 2013-2014 the performance of Gold is not great. From the Rs.31, 000 levels per 10gms, prices fell to Rs25, 000. The price fall was still restricted if we compare to international Gold prices. Domestic gold prices are still at elevated levels mainly due to the rupee depreciation and the import duty.

Volatility in price movement:

Two decades back Gold prices used to rise steadily and the volatility in price movement used to be minimal. Now, the price movement is influenced by many factors like but not limited to Foreign Exchange rates, Demand for Dollars, Crude oil prices, Country specific economic factors, Equity markets performance etc. Gold is now both a commodity and currency accepted across nations, financial institutions, stockists, investors etc.

To sum it up, Gold may not be the safest bet anymore especially if you are expecting quick short-term gains. But if your time horizon is more than 5 years or so then returns may beat inflation. In fact, the periods of extreme volatility could be used to bring the average cost down.In my view, Gold should be part of your portfolio, but not more than 10%. It is advisable to buy gold in a staggered manner rather than investing lump-sum. Gold ETFs are the best mode of investment.

Now that there is a fear of brewing crisis in Middle East. Are we going to witness another bear phase? (Let's hope not).

Please participate in the below poll and give your opinion:

Article Source: http://EzineArticles.com/8654375

I've counted 13 scales proposed for defining rarity in coins. Only a few are well accepted and none are as universally accepted as the Sheldon scale for grading coins. Perhaps the most common rarity scale is also an adaptation of Sheldon's scale.

Some rarity scales are merely descriptive of their actual rarity, while others base their judgment on numbers. I think using numbers is a much more accurate than only attempting to describe them verbally.

Sheldon's rarity scale has both a verbal description and numerical description associated with it, similar to his state-of-preservation grading scale. This is really helpful in understanding rarity.

I haven't found a consensus regarding any of the rarity scales, so I've chosen this version of Sheldon's Rarity Scale, because it uses quantities and descriptions that seem reasonable to me. That leaves both the numbers and descriptions open to debate.

Sheldon Rarity Scale

R1: Over 2000 estimated: Very Common, readily available

R2: 601-2000 estimated: Common, not too difficult to find

R3: 201-600 estimated: Less Common, available at most shows, but in limited quantity

R4: 76-200 estimated: Scarce, somewhat difficult to find, only a few likely at larger shows

R5: 31-75 estimated: Very Scarce, may or may not find at larger shows or auctions

R6: 13-30 estimated: Rare, unlikely to be more than 5 for sale anywhere in a year

R7: 4-12 estimated: Very Rare, almost never seen, only one may be offered for sale in a year

R8: 2-3 estimated: Prohibitively Rare, one may be offered for sale once every 5 to 10 years

R9: 1 estimated: Unique, or nearly so

As you can see, this scale refers to count estimations. It's impossible to know an exact number. At any time, another coin could surface or disappear and change the figure.

Another useful scale was developed by Q. David Bowers. He calls it the Universal Rarity Scale or URS for short. I think this scale goes beyond simply stating rarity, to measuring the commonness of a coin. This can also be useful.

Universal Rarity Scale

Rarity

Number of known coins

URS 0:

None known

URS 1:

1

URS 2:

2

URS 3:

3 or 4

URS 4:

5 to 8

URS 5:

9 to 16

URS 6:

17 to 32

URS 7:

33 to 64

URS 8:

65 to 125

URS 9:

126 to 250

URS 10:

251 to 500

URS 11:

501 to 1,000

URS 12:

1,001 to 2,000

URS 13:

2,001 to 4,000

URS 14:

4,001 to 8,000

URS 15:

8,001 to 16,000

URS 16:

16,001 to 32,000

URS 17:

32,001 to 65,000

URS 18:

65,001 to 125,000

URS 19:

125,001 to 250,000

URS 20:

250,001 to 500,000

C. Scholten developed a scale for rarity in 1953 that I think is less useful than the two above. The Scholten scale depicts the following degrees of rarity, but I can't find any definition for the descriptions he uses.

Scholten Rarity Scale

Rarity

Number of known coins

C

Common

N

Normal

S

Scarce

R

Rare

RR

Very Rare

RRR

Extremely Rare

RRRR

Of the utmost rarity

So the next time you're discussing "rare coins", with another coin expert ask if it's "R7 or R8 rare" or are we talking R9? If he doesn't know what you're talking about, he probably doesn't know what he's talking about either. Most rare coin experts are familiar with Sheldon's Rarity Scale.

Article Source: http://EzineArticles.com/8674379

A mint state/uncirculated coin will NEVER need cleaning. Don't even consider cleaning it for any reason. Circulated coins don't have the value of their uncirculated counterparts and can sometimes be improved with a light touch up.

A well circulated coin needs to look well circulated, so leave it alone. That leaves the AU grade range of silver coins most vulnerable to being improved by cleaning. If you must clean the coin, do it properly!

Otherwise take it to a dealer and ask for their advice. The dealer will probably tell you to leave it alone, since improper cleaning will substantially decrease its value and sale ability. The more expensive the coin, the more disastrous improper cleaning will be for its value.

Remember, you cannot unclean an improperly cleaned coin.

Any coin whose surface doesn't look quite right will be labeled "cleaned" by coin graders. Their surfaces will look flat, have small scratches or hairlines in it, or some other sign of tampering. Among the most common reasons for a coin to receive a Details Grading is unskilled and improper cleaning.

Improperly cleaned is a generic term used by coin graders to describe unskilled cleaning when the exact nature of the action is uncertain. Improper is the operative word here. Improper cleaning is applying an abrasive such as a scouring pad, Scotch Brite pad, cleanser, polishing compound, etc. to the coin's surface.

The term "improperly cleaned" used by the grading services suggests there are proper ways to clean a coin. Light, nondestructive cleaning, particularly when found on older coins, may still permit numeric grading of the rare American coin.

There are a couple of nondestructive methods of cleaning silver coins. I'll gently wipe business strike circulated coins with rubbing alcohol and cotton pad to remove surface grime and finger prints. This makes the coin look more presentable without removing toning or doing surface damage.

Washing the coin in dish detergent also constitutes proper cleaning. Let the coin soak in dish detergent mixed 50/50 with water for ten minutes, then swish it around in the detergent water before holding it under the running rinse water, and finally blotting it dry with a terrycloth towel.

For very specific kinds of problems, there is a professional coin dipping solution called EZ-est, which removes surface contaminants quickly without apparently damaging the surfaces. This to me is a great product for enhancing the eye appeal of a coin without changing mint luster or any important characteristics.

I rarely dip silver coins. Dipping solutions only work for a limited number of very specific situations. It is not a panacea for problem coins.

I only dip a coin after carefully considering whether the coin will be substantially improved by its use. For example, if the coin has tarnished to a dark brown or black I'll consider dipping it briefly. I don't want to completely remove the toning, just enough so the features can be seen again.

I use a small sieve with the coin always visible. I'll swish the coin just under the solution surface, so I can constantly monitor the coin surface change. Then I remove the coin just before it's where I would like it. I immediately dunk the sieve into a container of water to stop the chemical action.

Only a few seconds in the solution will do what I need it for. I have noticed a glitter floating in my container of coin dip and realize the glitter is microscopic pieces of coin removed by the solution. Repeated dipping or leaving the coin in too long will constitute improper cleaning of the rare American coin.

The directions on the container say coin surface damage may result, if the coin remains in the solution for longer than 15 seconds. I strongly recommend adhering to that time limit. If the problem isn't solved in that timeframe, it probably won't be solved by the dipping solution anyway.

Learn what coin surfaces should look like in their natural state. It will help you appreciate what you have and not be tempted to alter it. If the coin has problems to begin with, DON'T BUY IT!

Article Source: http://EzineArticles.com/8686113

Since beginning of time, wealth has been known to earn someone respect and a high place in the society and therefore it's no wonder that being wealthy is the ultimate goal of many.

People can get wealth from inheritance but most people have to work hard for it. Generation of wealth is different for each person as some people seem lucky and make money quickly while others have to toil for a very long time.

One way of creating wealth that the world has embraced today is investing especially in things whose value are likely to never depreciate e.g. real estate, gemstones, golden eagle coins and stamps amongst other things.

Here are the reasons as why to why I love gold coins and stamps:

1. The golden eagle coins are among the most popular form of investment in the world as they are guaranteed by the American government and they can be traded freely. The coins have a face value of $50 and their design is very specific to allow consistency and prevent conflicts.

Golden eagle coins have 22 karats of gold that must come from America only as stipulated in the law. Gold is 91.67% while the rest of the percentage is of copper and silver alloy. This is done to ensure the coins are hard wearing. The stamps usually have a lower value than the coins as they are very thin although the same percentage of metals is observed. There are also replicas of the stamps but their value is way lower of course

2. The value of the golden eagle coins and stamps is determined by many factors which include their weight. The coins come in dominations of 1/10, 1/4, 1/2 and 1 oz. market changes also affect the price of golden eagle coins and stamps and this is why investors should be watchful of market fluctuations to avoid losses. Economic policies formulated by the government also shake up the price of the gold so a wise investor is one who knows of the different ways of protecting their investment.

3. Liquidity is one of the most important aspects of a good investment and golden eagle coins and stamps offer this. The coins are accepted in major investment markets all over the globe and monitoring the value on all parts of the world has been made easier by the many websites which trade in them and offer by the hour updates of prices. The prices are also published in newspapers daily.

4. Golden eagle coins and stamps helps in diversifying one's investment portfolio and are also a good way of protecting one's wealth from economic policies that are reactionary which are usually created by the government in a bid to transfer wealth from individual to itself. The effects are usually short lived but they affect other kinds of investments more than gold.

That said research is mandatory when you chose to invest in golden eagle coins and stamps as gives you the history of prices (remember history and trends are cyclic) and also helps you compare the different prices before trading. This enables you to safeguard your investment against market changes like inflation, deflation and government policies.

Article Source: http://EzineArticles.com/8685714

Ready to sell your old treasures? You have unwanted jewelry and gold buyers have cash. They will offer you top dollar for your old jewelry. Sometimes these businesses will buy more than just your jewelry. If you have collectibles, you may be able to sell them at the same time. Here are some tips to keep in mind when selling your golden treasures.

Know what your items are worth. Check the current market price before you get an estimate so that you have an idea of what your golden treasures are worth. The price of metal fluctuates every day. Keep in mind that prices are the highest they've been in years, so now is a good time to sell.

Some companies offer a mail-in service for the jewelry and watches people want to sell. If you mail your unwanted jewelry, you risk losing it completely and you might not get a fair price. Local buyers offer higher prices than their mail-in program competitors. According to Consumer Reports, cash-for-gold companies paid between 11 and 29 percent of the market price for gold.

A gold party is similar to a Tupperware party in that a small group of people gathers at the host's house to sell their jewelry to a buyer. You can socialize with your friends and enjoy a few glasses of wine at the party, but don't expect top dollar. If you sell your golden treasures at a party, it will not be valued fairly. Additionally, the party's host will probably get a 10 percent commission.

Find a reputable purchaser in your area. Check out the company website. Is there a physical address? Ask to see their credentials. After you find a local dealer, bring your golden treasures in to get an offer. Watch the buyer weigh your jewelry and don't hesitate to ask questions.

Bring your driver's license or another federal or state-issued identification. All buyers are required by law to ask sellers for identification in case the police show up with questions about the sale of stolen property.

Take your collectibles, brooches, pins, coins, bars, bullion, jewelry, golden teeth, and crowns to a local buyer and ask them to estimate their value. Gold buyers are looking for anything that has gold in it. They are in business to give free estimates. Expect to get at least 50 percent of the value of your golden treasures. Of course, if your jewelry is extravagant and beautiful, they may be willing to offer more than the melt value.

Now it's time to trade your unwanted jewelry for some cold, hard cash. Visit reputable gold buyers for appraisals. Those golden treasures gathering dust in your jewelry box are worth a lot more money now than they were a few months ago.

Article Source: http://EzineArticles.com/8692176

With the current economic climate being so difficult to navigate, it is not surprising that so many people are looking for alternative investment opportunities. However, the problem is that so many investment options are too heavily based in paper currency, which means that they will always be subject to inflation and instability.

Stock Exchange
The stock exchange is one of the most difficult fields to invest and to trade stocks consistently profitable you need a few years of experience. Even professional analysts have trouble with correct expectations, and if you are new to the investment process in general, I can only tell you that I have never been a huge fan of them.

However, in such difficult times, it would make sense that investments should be made in assets that remain relatively untouched by the economic climate. Like Gold, as it is one of the best hedges against inflation and financial risk available. The Swiss Gold bar, in particular, can be a good investment to make for investors who are just beginning to navigate potential investment opportunity.

Swiss Gold Bar
When you buy the Swiss Gold bar, you get exactly what you pay for, which means you will only have to worry about transaction fees when you invest directly into physical bullion. You will have all of the assets to own under your name, with a storage certificate that you can rely on whenever you want to make the withdrawal. An immediate advantage that comes with the chance to buy Swiss Gold bar is the fact that you will have complete and total ownership of it. You will never have to worry about partial ownerships, and you can check on your investment at any time.

To begin with, gold bars are divided into two main types, which are cast and minted. Cast varieties are produced by a manufacturer after liquid gold is poured into the appropriate mould and then polished until it can be purchased in its ready form. The minted variety is made by cutting gold blanks from large sheets of solid gold. There are two primary types of Swiss Gold bars that can be purchased as well.

The Credit Suisse is one of them, and they are a popular type to purchase because they can be easily carried and stored for travel. They are fully backed by the Suisse bank in Switzerland, which gives them immediate value anywhere in the world. The second type of gold bar is known as the Gold Dream PAMP, which are accepted by traders and dealers all over the world. These bars are excellent beginning purchases because they are all sealed and accredited, while being easy to transport and keep with you for all travelling purposes. They can be an excellent way to begin investing in gold, as even the smallest starting amount holds powerful value.

Reminder
But do not forget, before purchasing any gold investments, it is important to understand what gold bars are and how they work. Becoming familiar with their potential will ensure that you make the most of your investments without feeling stressed or inclined to sell or buy in any direction. And buy them always from official dealers. Yes, you can also buy them on eBay, but then all the risks are for you.

I am as always, bullish on Gold because it has proven its worth during the last 3000 years, in which great empires, kingdoms and great brands came and went but Gold and its value is still with us today.

Article Source: http://EzineArticles.com/8615625

If you are reading this article then it means that you are probably interested in investing in gold. In my previous article on investing in gold I reminded my readers to buy the from the official dealers. In this article I will explain how to buy gold, gold bars and gold coins from the Australian Perth Mint, which is not only a seller of gold but in the first place the producer, the source.

Perth Mint
Back in 1899, Britain's Royal Mint supplied sovereigns and half sovereigns to the British Empire. Over time, branches were established throughout the empire and the renowned Perth Mint Australia was one of those branches. Utilizing and refining gold from the mines of Western Australia, the mint has produced gold in the form of everything from fine jewelry and commemorative items that celebrate the rich history and culture of Australia to bullion coins and bars of the highest purity.

More than 70 years later, in 1970, the Western Australian government became involved in the proceedings of the mint and the bullion coin program began in 1987 with the beginning of the Gold Corporation Act. As the demand for quality bullion products grew, a new refinery was constructed to answer that demand. To this day, the finest coins and bars are the most known products of the mint.

Today
Today, in addition to providing a boost for the local economy, The Gold Corporation is dedicated to providing service, security and a superior product to individuals like you and me, who would like to buy gold as an investment for their future. As part of the tourist industry, the mint provides employment opportunities and a rich legacy, illustrating the fascinating past of the country. In addition, the minted products are recognized as legal tender around the world, and the facilities provide top notch security for those who wish to store their investments in safety.

You can purchase bullion coins and bars that range in weight from 1.5 gr to 31 gr with a pledge of purity backed by the Commonwealth Government of Australia. What's more, collectors like you can benefit from coins that have been minted in limited quantities with a value acknowledged around the world, creating a wise, safe, and attractive investment. The Perth Mint issues a tremendous range of sizes, weights, and designs of gold coins and gold bars. You can easily invest in either option, but many investors gravitate toward the coins. As they are recognized as legal tender, they are not subject to the taxation that often accompanies the bars.

Quality of Gold
The purity of gold is often expressed in carats, but when discussing bullion, it is expressed in percent. The price of gold is related to its purity. After being subjected to a series of processes, the gold produced by the mint is deemed 99.9%, and even 99.99%, pure. This gold is of the highest quality.

Although the prices of precious metals are in a constant state of flux, the mint makes every effort to provide a current and accurate account of the value of their products. For example, the latest figures indicate that the price of gold ranges from over $100.00 for a 1/20 ounce coin to almost $71,000.00 for a 50 ounce bar. Of course, other prices are available for larger weights.

After you have researched the price of gold, gold bars, and gold coins, you can make your purchase. For an individual who provides certified identification, you can buy gold in person, via the telephone, or online.

Article Source: http://EzineArticles.com/8615628

Many will consider investing in gold, but may shy away, due to a misunderstanding of its value. If you are thinking about buying gold shares, you should start by researching prices and by gaining an understanding of the gold standard. It is important to know the advantages and disadvantages of gold backed monetary systems, and how this metal affects the economy.

Gold Standard VS Money
Before the 1930s, the U.S. monetary system was backed by gold. During this time, the metal was valued as the fixed weight (in ounces). This meant that paper notes could be redeemed for equal value in gold. Today, the monetary system is no longer backed by the precious metal. It is backed by faith. What this means is that money is only as valuable as those who believe in it.

One of the benefits of a gold standard, is that it helps maintain the value of money in a more stable manner. Without the backing of gold, too much or too little money can be printed, which can lead to inflation or deflation. However, it is not likely the monetary system will return to the gold standard any time soon.

Though the monetary system is not backed by gold, its value has remained steady. The price of gold today is very close the price of 30 years ago. This is an indicator that the precious metal may be a good investment, in terms of being relatively safe. Many experts encourage investing in gold, as it seems to be a relatively sound investment.

Determinants of the Price of Gold
Though stocks have company performance to help investors make investment decisions, gold has none. Would be investors must rely solely on economic conditions and global supply and demand. The demand for gold is difficult to predict, making it a somewhat difficult investment.

However, for those who want to diversify or want something for long term investment, gold may be a suitable choice. Gold prices have fluctuated significantly over the past few decades. At one time the price of gold was about $2,000 an ounce. It then dropped to $300 an ounce. Currently, the price for an ounce is at around $1,300. While economic conditions determine the price of gold to an extent, it can also have a protective effect.

Benefits of Purchasing Gold
Buying gold can be a way of protecting against financial crises. It can protect against losses of a savings portfolio. You can protect buying power, if inflation continues to rise. You can also protect yourself against the effects of a major bank collapse like in 2008. Some experts believe it is far better to own gold than paper money, in the event of another financial crisis.

While some controversy surrounds the benefit of owning gold, it is worthwhile to investigate. As with any investment, it pays to speak to an official gold dealer and do some background research. Some comparative charts can help you determine if gold is a good investment to meet YOUR future needs. It is also noteworthy to pay attention to supply. It is expected that demand will soon surpass supply. I think that now is a good time to invest in precious metals like gold, before the supply runs out or becomes difficult to attain. Now you can buy gold relatively cheaper than two years ago. The risk of waiting longer is that you will be buying the top before the next correction.

Conclusion
There are many considerations in determining whether or not investing in gold is a smart move. Decide for yourself, by speaking with experts, doing some research, and determining if owning gold can help your particular financial situation. And when you're serious about gold purchase, an official gold dealer may help, by providing some detailed information on gold and its performance in markets over the past several decades.

I am as always Bullish on Gold.

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The need of the hour is for smart investments and when it comes to choosing the right vehicle, investing in gold will always top the list. One of the common choices is to own it in coin form. This is ideal for small investors and they can start out with buying smaller coins like the 1/10 oz American Eagle. Its small size is what lends it liquidity and even a modest investor can put some away without stressing his finances too much.

Gold coins are an excellent hedge against inflation and much better than ETF's, equities, certificates or futures. The yellow metal always holds its value regardless of the economic landscape that exists around it and it never gets shaken by the volatility of the stock market. The important thing to remember while investing in gold coins is to buy them from official coin dealers. That is a sure-shot way of being assured that you are acquiring the real thing.

The Cloak of Safety
Gold is definitely a safe haven especially in the current market where many investors are worried about that fiat currencies might eventually collapse. But gold will continue to be a wealth asset that they can bank on, come what may. But 1oz gold coins are not divisible, which means that you might have to make much smaller buys and fractional coins are a better option. Most of the dominant gold bullion coins such as the Gold Maple Leafs, Philharmonics, Gold Eagles and the Krugerrands, are available in the smaller denominations of 1/2oz, 1/4oz and 1/10oz as well as 1/20oz.

Types of Gold Coins
When you invest in these fractional gold coins, your wealth also gets divided into much smaller denominations. In the event of a crisis situation, these smaller coins can be liquidated to meet your requirements. The United States Mint has been producing bullion coins made of gold, silver & platinum since 1986 and the precious metal content is guaranteed. There are 2 types of gold coins in production:

• Proof Bullion Coins - These are minted especially for collectors and typically, the Mint will sell these directly, in a protective display-case.

• Uncirculated Bullion Coins - These are minted largely for investment purposes and then sold-off to a few chosen authorized buyers. This sale takes place on the basis of the spot price/ current market price of gold, plus the small premium that the Mint charges.

A Word of Advice
Gold coins are minted by many countries. However, their quality might not be on par with that which the U.S. Mint produces and they are not guaranteed by the American government either. The coins that you should be cold-shouldering altogether are the ones that are sold by companies that tend to advertise on TV. These companies use very clever marketing tactics and attract beginning investors into buying gold coins on an impulse. When your money is at stake, make the right choice and play it safe. Invest in completely guaranteed U.S. Mint gold coins.

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Gold investments can be in various forms and with the economic landscape that currently exists around us; one of the safest instruments of investment is vaulted gold. This is essentially gold bullion that is professionally stored for you in different high-security vaults. When you invest in gold, you are choosing one of the safest and most lucrative methods of investment.

Some might be wondering how investing in gold bullion in the form of gold bars is different from investing in gold coins. The commissions on investing in the latter can be much higher than when you invest in gold bars which makes this a more viable option. Anyone who is investing in gold bars should know that it is has very high liquidity and can be converted into cash very easily in times of need.

How You Gain

It's true that gold does not provide any yield, but it is a hedge against inflation and shake-ups in the stock market, which are very known to us since 2008. When you buy gold from a legitimate gold company, you know that you will be:

- Able to acquire it very easily via an online account
- Paying the right price of gold bars
- Assured that the gold is stored safely in very high-security vaults in Frankfurt, Zurich and Amsterdam
- Assured of a 100% buyback guarantee
- Opt for the gold to be delivered to you
- Investing in gold bars (either whole or a fraction), which adds to its affordability
- Able to reserve your gold bars in volumes that are convenient to you
- The owner of gold bars that are vetted by an LBMA-accredited gold bullion market refiner

Breaking Tradition - Increasing Accessibility

Traditionally, only very wealthy investors would be offered vaulted gold bullion by their respective private banks. But now this high-grade investment has come within the reach of individuals who want to make more modest investments. In effect, the buyback guarantee that the company provides you, is peace of mind for you.

It is an indication of the fact that your investment is safe and that you can liquidate and get the right price for the precious metal, without any hassles. Storage, transportation, insurance and safety- everything is handled by the company and when you have this kind of investment convenience and assurance presented to you, why then should you look further? Get the most of your capital and invest it in gold bars from Amsterdam based GoldRepublic.

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Today the most adventurous investors are donning a cloak of prudency and are being very careful with their investments. That is what economic depression does to the psyche. It takes the edge off any kind of risk-taking behaviour, when it comes to sinking funds. The volatility of the stock market is what makes investors think twice before investing in stocks and bonds and most other forms of traditional investing are also on shaky ground in times of an economic downturn.

With this in view, gold becomes one asset that does not seem to lose its glitter, regardless of what the economic climate around it is. Of course, the price of gold does ebb and tide, but the yellow metal has "store of value" and is an ideal hedge against inflation. There are different reasons for this and the demand and supply aspect is definitely in play here.

The Solid Investment
Today, a larger number of investors are veering towards investing in gold and it is not just individual investors that are attracted to it. Institutional investors have for very long sunk their funds into the solidity of gold and governments of countries across the world are also keener to add to their gold stash.

But gold is a naturally-occurring element in nature and mother earth has a limited supply of it. The deposits of majority of the more accessible gold mines have been depleted and other plays that have rich deposits are either in very remote areas or in regions where there is a lot of political unrest. This makes mining a very risky prospect and all these factors result in a drop in the supply of gold.

High Value Asset
In short, this ups the value of gold. The price of gold will only increase over a period of time and as long as an investor has holding power, it will always be a lucrative investment. What adds some more glitter to this fact is that gold investments do not face any risk of government interference as it is entirely commoditized.

But an investor in physical gold should also keep in mind that gold does not provide any yield but is a long term and very high-value investment that should ideally be used as a diversification tool for an investment portfolio. With no counter-party risk, the glitter of gold never diminishes. It is important that while investing in gold, individuals buy it from a legitimate gold company like GoldRepublic that also has very strong buyback power.

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