Comparing Bullion Coins With Numismatic Coins: A Quick Overview!
If you are interested in buying gold and silver coins, you have two basic options. The obvious choice is to go for bullion coins, which is the best way to invest in physical gold and silver, and the second alternative is numismatic coins, which refer to rare and unique coins. In this post, we are discussing more on both, and other tips before you select or look for coin shop near me.
Knowing the differences
Let’s start by saying that numismatic coins are not same as bullion coins. Bullion coins, example being Canadian Maple Leaf coin and American Eagle coin, have the same value. We are talking of the intrinsic value here, which is the market price of the concerned metal. However, if you go for a coin that’s rare or is not available easily, it also holds a numismatic value, which is way higher than the spot price or intrinsic value of the metal. To be more precise, numismatic coins are rare, and therefore, these are valued beyond the base price. Some of the numismatic coins may belong to a specific historical era, while others might have been minted in a different way or may have special marks.
About investing in bullion and numismatic coins
It is important to understand that it is hard to lose money with bullion coins, because physical gold and silver are always in demand. If you have purchased at a certain price, you can be assured of getting that price or a tad more, based on the current spot price of the metal on the day of selling. However, investing in numismatic coins is a matter of calculation. Note that numismatic coins do have intrinsic value too, but if you have purchased the coin at an appreciated price, you may not get the same price in the future. While numismatic coins offer better returns, the risk is also considerably higher.
Finding a dealer
There are all kinds of dealers who deal in both bullion and numismatic coins, and you want to be sure that you are working with a licensed dealer and not a shady pawn shop. Most of the licensed dealers will consider numismatic and intrinsic value of a coin, and you can be assured of the equipment and methods used for evaluation.
Also, most of the known dealers will offer free appreciation, which is a huge advantage of sorts, especially if you want to wait before selling a numismatic coin.