Gold Bullion Investing

Most novice precious metals investors are immediately drawn to gold bullion’s relative affordability compared to rare coins, but they soon discover that another benefit to gold bullion investing is bullion’s versatility. Since bullion has no numismatic value, which generally tends to appreciate over time, bullion prices normally adhere to the current gold spot price, which is the cost of one Troy ounce of pure gold. Traditional investors believe in physical gold bullion investing, because it provides financial independence from banks and/or brokers, and because bullion could prove to be a lifesaver in the event of a banking, or personal crisis. Bullion bars are the most basic type of gold bullion investing, since they’re less costly than bullion coins, due to their simplicity. They have traditionally been used as potential short-term profit vehicles, but they are also acceptable contributions for gold-backed IRA’s, which provide long-term financial security.

Since 1997, precious metal IRA’s have been available to American household investors, as Congress issued the “Tax Payer Relief Act”, which allowed citizens to use government approved contributions for precious metal-backed IRA’s. 24-Karat bullion bars, with reputable names like Engelhard, Credit Suisse, and PAMP Suisse, and Johnson Matthey, are all acceptable contributions. Modern bullion, 22-Karat American Eagle coins are also acceptable, but are the only government approved 22-Karat coins, so Krugerrand investors may want to consider a Gold Eagle conversion. 24-Karat coins like American Buffalos, Chinese Pandas, Canadian Maple Leafs, Australian Koalas, Kangaroos, and Lunar coins, as well as Austrian Philharmonics, are all U.S. government approved for IRA storage. Investors can avoid paying inflated retail prices for their bullion bars and coins, by contacting one of our friendly specialists, who offer institutional discounts to household investors like you.

Danny Burns

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