Gold coins or gold bars?

What to choose gold coins or gold bars?

Gold coins are on average 1% more expensive than gold bars. However, the purchase price of gold coins is higher than that of gold bars.

When purchasing gold coins, it should be remembered that their execution is more complicated, therefore the price of gold coins is always on average about 1-2% higher than gold bars of the same weight.

Therefore, the most sensible solution is to keep the right proportions. In the past, investment gold purchases used to favour the proportions of 30% of gold coins and 70% of gold bars, so that there were 7 ounce-unit gold bars for 3 gold coins.

However, due to the fact that it is much more difficult to counterfeit coins recently, it is recommended that the vast majority of coins are golden broth coins and it is easier to test their authenticity later on to sell them at a higher price.

Where to store gold?

It is certainly important to avoid solutions from gold distribution companies, which also offer storage of bullion. If a company storing gold went bankrupt, the stored gold enters the company’s bankruptcy estate, which for the customer is tantamount to a loss of gold.

In addition, these companies often provide themselves with contractual clauses to trade in stored gold.  It is a fact that the contracts shall undertake that, within a period of several days from
once the investor has made a request to collect stored gold, they have issued the previously deposited quantity of gold.

It is negative, however, that they reserve the right to issue other gold bars and gold coins (of a different weight and other manufacturer) than we actually entrusted them with. Most often it is secondary market gold with an authenticity risk.

The best way to store gold is in the treasuries of banks, whose majority shareholder is the State Treasury. The probability that such a bank will suddenly collapse is very small.

Moreover, the contents of bank boxes are not included in the bankruptcy assets.   Although a bank failure would have limited access to a banking box for a certain period of time, access to a bank box is resumed once the insolvency process has been initiated.

When installing your own safe deposit box at home, you need to buy it from a manufacturer specializing in the production of high quality safes.   For thieves, safes bought in construction stores are toys made of cardboard, which disassemble in no time at all.

Investing in gold and silver coins: