Mistake 1 – Unrealistic Short-Term Expectations

Probably the most common gold buying mistakes that we see from new investors center around their expectations for their investments.  Gold is a long term investment, not a short-term gainer.  Sure, your investment today might gain $50 tomorrow as gold jumps for some reason, but most gains are slow and even over time.  At the very least, gold will always gain at inflation’s pace, even if the economy is otherwise perfect.  At best, it can skyrocket in a relatively short amount of time.  Those jumps, however, are rarely overnight and take time.

Mistake 2 – Overpaying Premiums

Gold’s spot price is not the same as what you’ll pay to purchase bullion.  Most people who purchase physical gold buy coins – usually from a well-known mint.   The premium you pay will depend upon the mint as well as the handler (seller’s) markup.  If you’re investing as part of a financial portfolio and not as a collector, then don’t overpay the premium just to get a “good mint.”  Standard “rounds” like the American Eagle and Canadian Leaf are lower-cost and just as accepted amongst gold investors as the Credit Suisse.

Mistake 3 – Discounting Ownership of Physical Commodity

Many investors only invest in one kind of gold, often ETFs or futures.  That is only one type of gold and is not guaranteed against market crashes.  Physical gold (whether stored by yourself or someone else) is one of the best ways to solidify a portfolio.

Mistake 4 – Numismatics as Your Only Choice

Numismatic coins are nice and can be nostalgic for many investors, but they are not the same as .999 fine rounds.  Most of their value is in their collectability – something that fluctuates wildly and is more market-dependent than simple gold value.  IF collectors can’t afford to keep collecting, the market dries up.   New finds in the same series or type of coin may also drive down values unexpectedly.

Mistake 5 – Nuggets and Jewelry

The largest problem with owning pure gold nuggets or gold jewelry is that its value is a matter of opinion.  They can be a great part of an investment portfolio, but by themselves they are some of the least portable options for gold investing.  The value of jewelry is dependent on what someone is willing to pay for it and whether it can be tested for its actual gold content.  Nuggets are similar, though not as difficult.

Avoiding these five mistakes and keeping a diverse, rounded, and thoughtful portfolio of gold to fit with the rest of your investment goals is the key to maximizing both the returns you can expect over time and the security of your finances.

Gold is an inflationary bulwark.  An ounce of gold could purchase a good suit of clothes in 1700 and can still do the same today.  Currencies fluctuate, gold doesn’t.  With that in mind, the best gold coins to purchase right now will depend on your investment plans.  For most, just having the anchorage against an inflating or sinking currency is all they need.

For this, any trusted mint’s 2010 best coins, such as the US Mint’s eagles or buffalo coins or the Canadian maple leaf from the Royal Mint in Canada are good choices.  Any certified bullion from any reputable mint is a good choice.  A mix of coins is even better.

If you are a collector as much (or more than) an investor, then you’ll want good provenance with your old coins.  Where were they minted, when, how many, and what is their worth (value) and why.  Those are what you’ll need to know if you’re collecting.

Well-made jewelry is another way to get into gold investing.  Quite often, jewelry not only retains it value, but that value can increase with time – especially if the maker is well-known or the piece is a one of a kind.  Be aware that the jewelry market often falls with the economy, however, but it can also be a great time to get in on some lower-priced bargains.

However you do it, now is probably the best time to get into gold investing for the future.

The first step in gold bar buying is the ascertainment and evaluation of the money one can spend on this purchase. In case of minimal money for investment, people can buy small bars. These bars come in the shape of 10 grams gold biscuits and can be easily purchased from any gold retailer or from dozens of websites offering gold items for sale.

People that want to buy gold bars but are afraid of the best ways of doing so should follow certain rules. They first need to identify the place that offers the best gold bars. It can either be a website or an ordinary retailer outlet but its reputation should be good. Websites provide better places for gold buying as people do not have to visit any place and can do all of their shopping over the internet. They can find the best websites by reading gold industry magazines or visiting websites that offer customer opinion and other details.

This information will come in handy in identifying the best gold websites. They should purchase gold bars from websites that offer secure home delivery service and other perks. It will make the whole process simple and time efficient.

Dan cited the conditions in the 1980s when the United States was going through another recession and gold prices were going up. People were selling silver and other precious items besides gold and its prices shot to $850 while silver was around $54. He states that gold and silver are the real money and people should buy them in a manner that ensures a secure and better future for the coming generations.

The best ways to sell gold and silver are also mentioned in the article. The article does raise some good points despite the fact that it was written in 2006. It encourages people to purchase gold at the lowest possible price and then save it for the future. Gold prices have seen a massive raise since 2006 and have almost created new records. Those people that had bought gold in 2006 would benefit if they sell their items during this time. Gold prices are expected to go even higher given the worsening situation of the financial markets. A major investment during this time would be good for people that want major returns after a couple of years.

Later in 2006, the first US 24-carat gold coin was minted as a remake of the popular Indian Head Nickel of 1913. These were commonly known as Buffalo Nickels and the new gold bullion coins of the same design featured an American Indian Chief profile on the front and a bull buffalo on the reverse.

The new 24-carat gold coins at 1 Troy ounce were immediately popular and were official currency, marked at $50, although the gold value was much higher, of course. Each coin includes an official certificate of authenticity fro the U.s. Mint, and all were struck at the West Point mint.

Especially prized amongst collectors are the proof coins from this series, which the Mint ceased producing earlier this year due to a lack of gold availability.

Today, amongst collectors, the coins vary in value according to both the daily market price of gold and the rarity of the particular year’s minting. 2006 coins are the most sought after in that latter regard as that year saw only limited production, mostly of proofs.

For the American coin collector, the US 24-carat gold coin Buffalo is definitely the top collector’s piece for gold and Mint value. While other coins may have higher per-coin values and be harder to find, only this coin has the purity of gold and popularity that 24-carat gold coins can bring.

The front of the coin features the Third Republic or Lady of France bust surrounded by “Republique Francaise.” The Third Republic was France’s government after Napoleon’s defeat in 1870.

The back side of the 20 Franc Rooster is where the coin gets its name. A proud, strutting, fully-plumed rooster centers the coin, standing on the “20 Fcs” denomination. Surrounding the rooster are the French motto of “Liberte Egalite Fraternite.”

The most prized collector coins from the 20 Franc Rooster series are the first series, minted from 1898 to 1914. The rarest are from that first year and the last year, which was at the start of the Great War. Many of those went back to the French government, as part of the war effort, and were subsequently re-struck in 1921. New minting began again in 1951 until 1960.

These coins sell today for about $400 per coin and most on the market are brilliant, uncirculated coins, as any used on the street were likely melted in the 1970s during gold’s first peak.

These are great little coins and beautiful to see. Definitely, Rooster gold coins should be on every gold collector’s list of “must acquires.”

There are three basic reasons to purchase gold: as a steady base for an investment portfolio or retirement plan, as a bank or home “stash” for bad times, or as a collector of beautiful and aesthetic coins.  In all three cases, buying gold has some specific needs and there are better ways to buy gold than you might be using now.

In our look today, we are specifically dealing with gold as a collector’s or bullion owner’s “hands-on” gold. The best ways to buy gold in this situation are important, since for these folks, gold has both immediate and future value and the lower the cost of acquisition, the better.

Most often, you’ll likely be buying gold at a coin shop or dealer. Find a reputable one and check prices online or in the morning paper before you go in so you know the current spot price (the price paid for pure gold bullion on the market).

These prices change during the day, but don’t often fluctuate by much. Most good coin shops will have a computer monitor or television with a live feed of current bullion prices based on New York figures.

Now just watch the markup prices. Right now, American Gold Eagles are at a premium because the mint has not had enough gold to keep up with demand this year. The U.S. Mint is required to produce enough Eagles to meet demand, but must also source all of its gold from American mines, which have had a production dip this year, so the Mint cannot keep up.

For this reason, the Mexican Peso pieces or the Canadian Maple Leaf are a better bet. Their markup will be about half the Eagle’s, so this is one of the new best ways to buy gold.

The other is to go with silver instead. If you’re not necessarily collecting gold for gold’s sake, silver is a great option right now. There is a lot of it on the market and the price is rising steadily.

Hopefully these tips help some when you’re shopping for ways to buy gold this winter.

With a beautiful rendering of the great organ centering the Golden Concert Hall in Vienna and marked across the top as Republik Osterreich (Republic of Austria), the front of the coin is breathtaking.  On the reverse is a rendering of the instruments of the orchestra (cello, violins, Vienna horn, bassoon, and harp) over which the words “Weiner Philharmoniker.”  The Philharmonic Gold coin is definitely beautiful.

The coins come in full ounce, half ounce, quarter ounce, and tenth ounce sizes and contain 99.99% pure gold with no alloys.  These coins are minted yearly at the Austrian Mint AG, which is part of the Austrian National Bank in its historic Mint building, erected in 1837.

Coins minted before 2002 have full denominations minted into their faces, but since that date, only the full ounce coin retains that Austrian Philharmonic gold denomination.

One of the most recognizable and sought-after coins for both collectors and bullion buyers, the Philharmonic Gold is a great coin.  As bullion, it carries great weight for European holders because its weight, purity, etc. are all guaranteed by the Austrian National Bank.  In the U.S., we primarily collect this coin for beauty rather than bullion, as our American Eagles and Canadian Maple Leaves are generally lower-cost alternatives.

Definitely one of the world’s greatest modern coins, the Austrian Philharmonic Gold coins.

The Double Eagle gold coin was minted primarily to make it easier to compile all of the gold coming out of California during the Gold Rush for dissemination around the country.  Many were melted and re-minted into smaller units or cut into squares (quarters).

Today, the US Double Eagle is one of the most sought-after and recognizable of the gold coins minted.  Valued as a collector’s item, they are also considered “safe” because when gold was recalled in the 1930’s, collector coins (any coin at that point minted before 1913) was exempted.  It’s considered that if the same thing were to happen today, the government would give the same exemption to older, collectible coins.

The U.S. Gold Double Eagle $20 coin represents something else too.  It’s proof that George Washington’s statement that an ounce of gold would always be worth the same amount, “one fine suit of clothes” was true.  In the day when these coins were minted, $20 would get you a very nice suit, double pants, vest, hat, and gloves.  Today, the $1,000+ price of an ounce of gold will still do the same.

The US Double Eagle is history and is definitely what gold coin collection is all about.

Relatively new to the market, American Buffalo investing has hit the mainstream and did so quickly.  These gold coin investing rounds didn’t come on the market until 2006, as 24k coins, when Congress authorized their minting.  The uniquely American design made it almost instantly popular.

While it could be considered somewhat numismatic, enough of these are being minted that American Buffalo gold coin investing is not really collecting, as such.  American Buffalo investing is definitely becoming a great way to get into gold coin investing.

Although minted as “$50″ coins (in the full ounce), these are obviously worth much more than that.  Their current price is just a little above the current spot price for gold, showing that they are an investment.  I’d say a great American Buffalo gold coin investing option.

Whatever your reason for investing, these coins could have some numismatic value in the future, given the uncertainty of their minting longevity.  If the Mint were to stop producing them tomorrow, American Buffalo investing would immediately turn to collectibles.

With that in mind, I would suggest not treating them as you would other rounds and protecting their sheen and unmarred surface.  While they are currently gold coin investing options, they could easily become collection investing instead and you’ll want to keep your options open if that happens.

American Buffalo gold coin investing is a great way to get into gold coin investing, for sure.