How,Invest,Gold,Coins,Avoiding finance, share, loan How to Invest in Gold Coins Avoiding the Mistakes of the N
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The Dow is hitting pre-crash highs, companies are reporting positive earnings, and the financial media is saying that we are looking at what could be the beginning of a new bull market. Sounds great, doesn’t it? What could possibly go wrong? Well, according to some experts, there is overwhelming evidence that the next stock market crash could strike any day now and its scale could be historic. That sounds dire. What is needed is some kind of wealth insurance but what would that be? Gold. And it’s not just the stock market: If you’re concerned with sovereign risk, such as the collapse of the U.S. dollar, runaway inflations, or another disruption of the world’s financial system, gold is also your go-to. Experts agree that diversification is your best portfolio protection. But gold is more than a hedge against financial instability, gold has also experienced impressive growth. While it’s true that gold has taken a price break in 2013, in the previous 12 years gold prices rose steadily. No other commodity, in the history in the U.S., has ever gone up for 12 consecutive years. Gold’s price is already showing signs of another boom in 2014. Is It Worth Investing in Gold Coins? Many experts suggest that most people should probably allocate around 5%-15% of their portfolios to gold, so the simple answer is definitely “yes.” Modern bullion coins allow investors to own investment-grade gold legal tender coins at a small premium to the spot price of gold as quoted on the markets. The value of bullion coins and bars is determined almost solely by the price of gold, and thus follows the bullion price. What Is Bullion? To clear up some common misunderstandings about what bullion is, there is a common perception that the rectangular bits of gold (“bars”) are the most cost effective, and perhaps the only available, form of gold bullion. There is also the perception that round bits of gold (“coins”) are not really gold bullion and that these “coins” are in limited supply, expensive, and are only traded as collectors’ items: All of this is incorrect. Because gold coins come in smaller values, they are easier to buy and sell. Coins can also have an additional numismatic value beyond the spot price of their gold or other precious metal content. This is not just true for collectors’ coins but for investment grade coins as well. What Are Investment Grade Coins? Investment grade coins have outperformed stocks and bonds over the last 25 years, with investors realizing more than a 300% return on investment in the last decade. The best gold coins for investment are government-minted bullion coins with low premiums and high liquidity. Not to be confused with “collector’s coins,” investment grade coins are of the highest grade and rarity and are purchased primarily as an investment. On the other hand, a gold bar is of a scale that is much more difficult and time-consuming to liquidate. Coins are simply more convenient and tradable in their sizes and value. What Coins Are Your Best Investment? As a general investment rule, staying with North American coins is most recommended. The Canadian Maple Leaf and the American Eagle gold bullion coins are the easiest to buy and sell, and of these, the American Gold Eagle is the model. It is the most recognized gold bullion investment all over the world and it has its gold content and purity backed by the U.S. government. They are also considered legal U.S. tender and are acceptable for precious metal IRAs. American Eagle coins are issued in four denominations: 1-ounce, one-half ounce, one-quarter ounce and one-tenth ounce. But the fractional coins carry higher premiums above spot prices than the 1-ounce versions. A general rule is that it's best to stick with 1-ounce coins. How Do I Transfer an IRA and Rollover a 401(k) into a Gold IRA? The definition of an IRA roll-over account is when you roll-over the funds and assets of one IRA account to another. You might be asking, why do people need to do this, can they not just set up one central IRA? The problem is most Americans shift jobs. In fact, the typical American has at least nine different jobs in his or her lifetime. The concept of an IRA account was essentially created to allow investors easily roll-over funds and assets from one IRA account to another. The reason for this is that most Americans shift jobs – the typical American has at least nine different jobs in his or her lifetime. This is the same with 401(k)s. Retirement plans, most commonly, involve a conventional IRA or 401(k) with a bank or brokerage firm that specializes in bank deposits, stocks, mutual funds, annuities and other assets. Investors, in most cases, have little or no input in the investments being made. With a self-directed plan the investor is empowered to make his or her own investment decisions and is able to expand on their available investment options. Among those options is precious metals like gold. What You Need to Know About Investing in Gold Coins Gold coins are easy to buy and simple to sell but you will need the right information to get you started. A comprehensive new mini-course entitled “The Essential Guide to Successful Gold and Silver Investing” and it’s available as a FREE download. In the course you will learn about the process of converting an IRA or rolling over a 401(k) into gold coins, how do buy gold or silver in an IRA, what are the pros and cons of investing in gold coins and other gold coin investment tips. Learn how to invest like an expert and make the decisions that could save you thousands of dollars.
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