Thursday, December 18, 2014

Why Coins are Better Investments than Bars or Rounds

A coin is a form of currency that is issued by a government. It had a face value. A round looks like a coin but has no government-issued face value. A bar is typically rectangular in shape and has no government-issued face value. Bullion collects may purchase coins, bars and/or rounds as a means of investing in physical precious metals. An American Silver Eagle for example contains one Troy ounce of .999 fine silver but only has a face value of one dollar. The value in an American Silver Eagle is obviously its precious metals content (one Troy ounce silver) and not its face value. Rounds and bars are purchased solely for their precious metals content. There are however some bars and rounds that are sought after by collectors and fetch an added premium over spot. Coins are my favorite way to invest in precious metals because many coins possess a premium over spot that often appreciates over time. There are an abundance of bullion coins that also appeal to numismatic coin collectors. For this reason, I personally prefer bullion coins over generic bullion bars or bullion rounds. I do however invest in both =) I hope that you enjoy this video and please feel free to share this video with others. Also, please feel free to check out all of my coin and bullion videos