uncirculated coins and proof<\/a> sets in one tenth ounce, quarter-ounce, half-ounce and ounce denominations. Each Eagle coin is 91.67% gold (22 karats). The rest of the coin is 5.33% copper and 3% silver.<\/p>\n\n\n\nGovernment Backed<\/h4>\n\n\n\n
The weight, content and purity<\/strong> are backed by the US government<\/strong>. This is partly why this coin has been so popular for so long. Each coin also has a legal tender value<\/strong> as well. The one tenth ounce coin is worth $5, and the one ounce coin is worth $50 in legal tender.<\/p>\n\n\n\nLady Liberty is featured<\/strong> on the face, holding her torch high in her right hand and an olive branch in her left hand. Stars grace the outer edge of the coin, and the date is stamped by her left knee. On the reverse is a family of eagles with the male furling his wings in preparation to land in the nest of his mate and their hatchlings.<\/p>\n\n\n\nThis coin is scheduled for a redesign in 2021<\/strong>. One of the new features will make it harder to counterfeit, which makes it a more secure investment.<\/p>\n\n\n\n2. South African Gold Krugerrand<\/strong><\/h3>\n\n\n\nThe Krugerrand was introduced in 1967 and commemorates Paul Kruger, the first President of South Africa, who served from 1883 through 1900, and the Rand Refinery (Kruger + Rand = Krugerrand<\/strong>,) which mints the coin. It is available in one tenth ounce, quarter-ounce, half-ounce and one-ounce coins.<\/p>\n\n\n\nIn terms of content, the Krugerrand is 91.67% gold<\/strong> and 8.33% copper. It is also available in a silver edition.<\/p>\n\n\n\nWhat\u2019s On The Coin?<\/h4>\n\n\n\n
Krugerrands are copper tinted<\/strong>,and the face has President Kruger in profile, facing left. His signature beard is prominent. The reverse has a springbok, South Africa\u2019s national animal, in mid leap, and the date the coin was minted.<\/p>\n\n\n\nWhile these coins are common, because of South African apartheid laws<\/strong>, US collectors were not allowed to import them into the USA in the 70s and 80s. Before the embargo, the Krugerrand was popular in the US because while US citizens were prohibited from owning gold in bullion, they were permitted to own foreign coins and bullion.<\/p>\n\n\n\nAt its height, pre-embargo, the Krugerrand made up 90% of the global gold coin business<\/strong>. Its popularity remains high, even today.<\/p>\n\n\n\n3. Austrian Philharmonic Gold Coin<\/strong><\/h3>\n\n\n\nThis coin was minted in part to fill the hole left in the global coin market<\/strong> by the sanctions placed on South Africa\u2019s apartheid. Each coin is 99.99% gold and they are available in one tenth ounce, quarter-ounce, half-ounce and one ounce weights.<\/p>\n\n\n\nRecently, a one twenty fifth ounce coin was minted<\/strong> and there are two other massive weights \u2013 the 20-ounce gold coin and a 1,000-ounce gold coin named \u201cBig Phil.\u201d<\/p>\n\n\n\nBig Phil<\/h4>\n\n\n\n
Big Phill was designed and producedto memorialize the 15th<\/sup> anniversary of the Vienna Philharmonic coin. The coin contained about 69 pounds of pure gold and possessed an<\/strong> estimated<\/strong> value of over $110,000<\/strong>. Only 15 of these coins were minted.<\/p>\n\n\n\nThe coin itself is breathtaking. It features Vienna\u2019s Musikverein\u2019s Golden Hall\u2019s world famous pipe organ<\/strong>. Vienna\u2019s Mozart Orchestra plays on the Musikverein stage, and the Golden Hall is the permanent seat of the amazing Vienna Philharmonic. On the reverse side, a selection of instruments<\/strong> is featured, including the bassoon, Vienna horn, harp, and four violins surrounding a cello.<\/p>\n\n\n\nThe Gold Philharmonic is one of the only coins that shows a face value in euros<\/strong> and across Europe it is not subject to VAT. The coin also comes in platinum and silver, and although the silver is subject to a tax discount, it is still taxed.<\/p>\n\n\n\n4. Chinese Panda Gold Coin<\/strong><\/h3>\n\n\n\nThe Panda Gold Coin came after the American Eagle and Canadian Maple Leaf. It is China\u2019s first gold coin<\/strong>. The face features the Giant Panda, which is China\u2019s national animal. That design changes annually.<\/p>\n\n\n\nOn the reverse side, the Temple of Heaven<\/strong>, a national cultural and religious landmark, is featured. Emperors visited the Temple annually to pray for blessings, national health, and a good harvest.<\/p>\n\n\n\nThe Panda comes in five different weights<\/strong> and as a set. The weights are one gram, three grams, eight grams, fifteen grams and thirty grams. It made the switch from ounces to grams in 2016. The coin is .999 pure gold.<\/p>\n\n\n\n5. Australian Gold Kangaroo Coin<\/strong><\/h3>\n\n\n\nThe original design of this coin<\/strong> had a gold nugget<\/strong> on its reverse face and was known as such. It was originally minted in 1987. In 1989, the Perth Mint altered the reverse face, ditching the gold nugget and adding a kangaroo. This prompted the name change to the Australian Gold Kangaroo coin.<\/p>\n\n\n\nThe front face has a profile of Queen Elizabeth II<\/strong>. She is looking to the right of the coin and is wearing a crown. The profile is that of the Queen as a young lady.<\/p>\n\n\n\nYou can purchase the Gold Kangaroo Coin<\/strong> in five different sizes: One kilo (about 2.2 lbs), one troy ounce, half troy ounce and a quarter troy ounce. Additionally, the coin can be purchased in the high relief version as well as a proof.<\/p>\n\n\n\nAdvantages Of Buying Fractional Gold Coins<\/strong><\/h2>\n\n\n\nThere are several reasons buying fractional gold coins can make more sense<\/strong> than buying larger amounts of gold<\/strong> in higher denominations or in bullion.<\/p>\n\n\n\nThe simplest reason is that many people cannot afford a huge capital outlay<\/strong> to sink into one coin. Others don\u2019t want to do so because they want more diversity in their coin collections. For most, though, it is a combination of both. They want to save money but also want more coins to round out their collection.<\/p>\n\n\n\nSimple Math<\/h3>\n\n\n\n
As we\u2019re writing this, a standard one-ounce<\/strong> US Gold Eagle $50 gold coin<\/strong> is selling for between $1,800 and $2,200<\/strong>. Conversely, a standard quarter-ounce US Gold Eagle gold coin is selling at a range of $250 up to about $550.<\/p>\n\n\n\nFor someone looking to add more coins to their collection<\/strong> or looking to diversify, 4 coins for roughly the price of one large coin is an easy choice.<\/p>\n\n\n\nAt the same time, if someone is on a budget<\/strong>, a major outlay of a couple of thousand dollars might not be feasible. A purchase of two or three coins, however, might be more affordable<\/strong>. They get to add some pretty cool coins to their collection, increase their gold ownership and avoid breaking the bank too.<\/p>\n\n\n\nDifferent Denominations<\/h3>\n\n\n\n
For collectors, offloading one large coin<\/strong> worth thousands is a lot harder than offloading two or three lower denominations. The reality is that collectors that want higher denomination coins tend to fall into certain categories:<\/p>\n\n\n\n- Money is not an issue no matter the value of the coin in question<\/li>
- The focus off their collection is more valuable coins<\/li>
- Their collection is oriented towards presentation, where one awesome coin is more aesthetically gripping than several minor coins<\/li>
- All of the above<\/li><\/ul>\n\n\n\n
For the average collector, however, lower denominations are in their budget because they are affordable and they can expand a collection easily<\/strong>.<\/p>\n\n\n\nThey Sell Well<\/h3>\n\n\n\n
Fractional gold coins also make sense as it is easier to sell them on multiple markets<\/strong>. Gold coins are an uncomplicated way to maximize the liquidity of an investment portfolio, expand a coin collection, or hedge investments against economic troubles or a devalued dollar.<\/p>\n\n\n\nLarge gold coins can play that role, but they are harder to liquidate<\/strong> if that becomes necessary. Fractional gold coins are in smaller denominations, so easier to liquidate because of simple economics.<\/p>\n\n\n\nThere are simply more people who can afford smaller denomination<\/strong> coins<\/strong> than there are people who can shell out thousands for one item. That means if a person owns fractional gold coins of multiple denominations, their chances of selling something are much increased over trying to sell one very expensive item.<\/p>\n\n\n\nBuilding A Collection<\/h3>\n\n\n\n
The same principle holds true with coin collectors. Your average numismatist wants to maximize their investment<\/strong> in terms of pieces in a collection. Having one or two really expensive coins is great, but having 8 or 9 less expensive \u2013 but still valuable \u2013 items is better. A coin collector can build their collection in parts with smaller denominations.<\/p>\n\n\n\nThis all means that if you are trying to sell fractional gold coins you have a better chance of selling them<\/strong> versus someone who only is offering one or two very expensive coins.<\/p>\n\n\n\nDisadvantages Of Buying Fractional Gold Coins<\/strong><\/h2>\n\n\n\nTotal Price Per Unit<\/h3>\n\n\n\n
The price per unit <\/strong>of smaller denomination gold coins is almost always more than the cost per unit of a larger coin. For example, a one-quarter ounce American Gold Eagle gold coin costs on an average of about $500. A one-ounce American Gold Eagle gold coin on the other hand costs about $1,800.<\/p>\n\n\n\nIf saving money versus spending a lot for one investment is the goal, you would spend about $200 more for 4 quarter-ounce coins<\/strong>, versus one purchase of a one-ounce gold coin.<\/p>\n\n\n\nTaxes<\/h3>\n\n\n\n
There are federal taxes that apply<\/strong> to selling and buying gold coins<\/strong>. There are federal tax implications regarding capital gains and net income, based on how long you owned the coins. The IRS considers collectible coins to be an \u201casset,\u201d which is taxable based on a specific formula.<\/p>\n\n\n\nIt is advisable that you familiarize yourself on how US taxes<\/strong> could affect your purchase, sale and holding of gold coins. That is all pretty straight-forward. Where it gets tricky<\/strong> is with state taxes<\/strong>.<\/p>\n\n\n\nSome states have imposed an additional state tax<\/strong> on bullion purchases under $1,000. Most amateur coin collectors get caught out here because they are not dropping $1,000 on coins, but rather buying one or two fractional coins that together cost less than $1,000.<\/p>\n\n\n\nYou can avoid that by purchasing multiple coins<\/strong> to get your total to more than $1,000. That, however, defeats the purpose of avoiding spending as much fiat currency as possible on a gold coin! So, consider whether it is more cost-effective for you to spend less or more than $1,000, only (of course) if you can afford it.<\/p>\n\n\n\nPremium Scales<\/h3>\n\n\n\n
Every dealer puts a premium cost on their gold coin<\/strong> prices. This is in addition to the market price of gold and is factored in as part of the demand and availability portion of the total costs of a coin. Premiums are typically higher on smaller denominations than on purchases of one-ounce gold coins.<\/p>\n\n\n\nWhy? The set answer is that it costs more to manage<\/strong> many than it does to manage a few<\/strong>. Additionally, presentation space is used up by smaller, less expensive coins that could be used for more expensive one-ounce coins. Dealers also need to make a profit. All that leads to a slightly higher premium charge for fractional gold coins versus full one-ounce gold coins.<\/p>\n\n\n\nWho Should Buy Fractional Gold Coins?<\/strong><\/h2>\n\n\n\nEveryone Should Buy What They Can Afford<\/h3>\n\n\n\n
Not everyone can shell out thousands of dollars on gold coins. Because of that, though, purchases of fractional gold coins can allow someone to build a coin collection<\/strong>, diversify their investments, or purchase a form of liquidity to prepare for economic troubles etc.<\/p>\n\n\n\nSome<\/strong> coin buyers can afford to pay thousands<\/strong>, but that doesn\u2019t mean buying smaller denominations is a bad idea. Mixing it up by buying some large and some small denominations of gold coins ensures that the buyer will have a gold coin for whatever reason they need or want it.<\/p>\n\n\n\nNo one, however, should<\/strong> spend more than they can afford<\/strong> to buy gold coins<\/strong>, no matter the denomination. Even if you are thinking about purchasing gold coins as a hedge against tough times, you should only invest what you can afford.<\/p>\n\n\n\nSmaller Collectors<\/h3>\n\n\n\n
For smaller collectors<\/strong> and those who only collect as a side hobby, smaller denominations make sense, even if money is not an issue. Buying fractional gold coins <\/strong>lets the amateur collector get their hands on many different coins, which makes a collection more interesting.<\/p>\n\n\n\nThey can also sell those coins more easily if they want to upgrade or even buy other gold coins. Also, if they ever have to part with a portion of their collection, they can do so without losing the entire collection<\/strong>.<\/p>\n\n\n\nInvestors<\/h3>\n\n\n\n
For investors, fractional gold coins provide<\/strong> an easy way to build liquidity<\/strong> without tying one\u2019s hands financially. If the need arises, smaller denomination coins are easier to sell and can usually be priced proportionately higher than larger one-ounce coins.<\/p>\n\n\n\nAdditionally, if you are just starting out building a precious metals portfolio<\/strong>, fractional coins are a way to do so without having to lay down thousands of dollars. You can make smaller purchases and build your assets over time as opposed to over-spending or having to save for months before you can invest at all.<\/p>\n\n\n\nDoomsday Preparation<\/h3>\n\n\n\n
Some people buy gold as a hedge against bad economic times. Their thinking is that when things go south, they will at least have some purchasing power in the form of a precious metal. If that is your motivation, smaller denomination coins make the most sense<\/strong>.<\/p>\n\n\n\nWhen Money Is Not The Issue<\/h3>\n\n\n\n
For some, the money, investment and hedge arguments do not matter because money is not really a problem. Buying in smaller denominations<\/strong> for them, though, still makes sense.<\/p>\n\n\n\nSmaller denomination gold coins are never a detriment<\/strong> to any investment, collection or doomsday preparation strategy. Apart from costing slightly more money, which in this case is not an issue, it doesn\u2019t hurt to have a few if for no other reason than they are as cool as the one-ounce coins, but you can get more of them!<\/p>\n\n\n\nFinal Thoughts<\/strong><\/h2>\n\n\n\nThe 5 best fractional gold coins on the market are the American Eagle, Canadian Maple Leaf, South African Krugerrand, Austrian Philharmonic, Chinese Gold Panda and the Australian Gold Kangaroo Coin. All of these are good investments<\/strong> and buying them won\u2019t break the bank. These coins also bring significant value to any coin collection<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":213,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"default","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[4],"tags":[],"_links":{"self":[{"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/posts\/212"}],"collection":[{"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/comments?post=212"}],"version-history":[{"count":3,"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/posts\/212\/revisions"}],"predecessor-version":[{"id":216,"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/posts\/212\/revisions\/216"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/media\/213"}],"wp:attachment":[{"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/media?parent=212"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/categories?post=212"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/goodcollector.com\/wp-json\/wp\/v2\/tags?post=212"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}