Gold is one of the most timeless, not to mention popular, metals available today. Versatile and aesthetically pleasing, gold pieces are available in a range of purities and used in various industries. This precious metal makes for a handy investment inlet either for purely financial purposes or as a collector’s item, in the form of gold bullion bars and coins. Contact The Scoin Shop to find out about our gold bullion sales and purchase facilities.
The Scoin Shop specialises in gold bullion coins
The Krugerrand is an internationally recognised symbol of high-quality gold bullion. First minted in 1967, as a method of marketing the large amounts of this metal being mined in the South African gold deposits, these South African coins proved so popular that they came to dominate the gold market within 20 years. They were created primarily for trade outside of South Africa, however, during Apartheid several efforts were made to regulate their trade, including a congressional trade ban within the US from 1985 to 1994. Today, as a result of their reasonable prices, Krugerrands see some of the most saturated market activity of any bullion coin in circulation, being snapped up by collectors, investors and even foreign governments.
In terms of design, each 22 carat Krugerrand gold bullion coin features a depiction of the 1880s South African president Paul Kruger on the obverse side and the South African national animal, the springbok, on the reverse. The coin itself is minted from a 91.67% pure gold and copper alloy, and is available in 1, ½, ¼, and 1/10 ounce coins. The South African mint has put more than 54 million Krugerrands into global circulation.
Part of the attraction behind investing in these particular coins is that Krugerrands have no denomination. Their design doesn’t include any face value – they are, instead, imprinted with the date of issue and the amount, as well as purity of the gold. These coins are priced according to the daily gold price’s relationship to each item’s specific percentage of the precious metal, with an added sales premium.
This premium is a factor to keep in mind when considering a purchase: fractal (less than one ounce in weight) Krugerrand coins generally carry a heavier premium, inversely proportionate to their size. The 1/10 ounce coin thus carries the highest proportionate premium of all the coins, while the 1 ounce carries the least. This is important when considering buying multiple coins, as two half ounce coins might not be a better investment than a one ounce piece.
Gold bullion is considered one of the safest possible investments
As one of the most enduring and widely traded pieces of gold bullion in global history, the Krugerrand has proven itself to be fairly timeless in terms of popularity. The gold industry has remained unaffected by market fluctuations for many years, and gold bullion items are at the forefront of the industry due to their accessibility. Enquire about The Scoin Shop’s two-way Krugerrand market today.