Through the ages, the gold price has shown a remarkable ability to remain steady, even in turbulent economic times. For this reason, serious investors often purchase significant amounts of gold to provide security to their portfolios. Even when other types of investments suffer, gold continues to increase in price.
Another benefit of investing in gold Krugerrands is that they are an extremely liquid form of investment. Valued at the price of the precious metal that they contain, gold Krugerrands are easy to valuate. Standard Krugerrands contain one troy ounce of gold, which is 91.67 percent pure. A metal alloy is added in order to reduce the chances of the coins getting scuffed or damaged. Due to the success of one-troy ounce gold Krugerrands, smaller coins were minted in subsequent years, including half-ounce, quarter-ounce and one tenth-ounce coins. It is therefore very easy to determine the value of a Krugerrand simply by noting the coins size and checking the current gold price.
Krugerrands are available in two different types: bullion and proof. Bullion Krugerrands are minted in large numbers every year and are easily available to the general public. Proof Krugerrands, on the other hand, are struck from purer gold than bullion coins and are only minted in limited numbers, making them valuable additions to any investment portfolio.