Where to Buy Gold Coins

Physical gold has always been in high demand among investors. It has long been seen as the most effective store of value, a hedge against inflation, and a safe haven in turbulent economic times.

However, not all gold products have the same value. The quality of physical gold is vital to getting full value from an investment. For this reason, investors need to know where to buy gold coins and bars.

Respected gold dealers like Sprott Money give buyers the quality and provenance they need to be sure that they are getting their money's worth for each purchase.

Here is a closer look at how to buy gold in Canada to ensure the coins and bars have the necessary purity and documentation.

Why Physical Gold Is a Good Investment

Gold is a cornerstone of many investors' portfolios. While there are multiple ways to invest in gold, such as through exchange-traded funds or futures, physical gold remains popular. Why do investors still want tangible assets in this era of digital investing? Actual gold brings more advantages than gold-related securities. Here are four of the most important positive attributes physical gold provides:

• Gold has held its value for thousands of years. It will always be an effective store of value. This is due to its history and also to its scarcity. There are limited gold supplies, which helps to keep the prices high.
• Physical gold has a global market. It is valued worldwide, and it's possible to find buyers in virtually every corner of the globe.
• Gold is a tangible asset. Though investors have to store it, they don't have to worry about cybersecurity, changes to government currency policies, or exchange rates affecting their investment's value.
• Gold is a hedge against inflation. Historically, when inflation increases, the price of gold holds steady or rises. It doesn't suffer the same devaluation as paper money during inflation.

Finally, physical gold doesn't have counterparty risk. This means it isn't tied to a company, stock exchange, or even a government. No CEO or official is going to make a decision or mistake that affects the price of gold in the long term.

These qualities inspire many investors to go online and search for keywords like "where to buy gold coins near me." However, there are some very important details to consider before they can enjoy the benefits of owning physical gold.

Why Gold Coins?

Physical gold comes in different forms. The two main varieties are gold bars and gold coins. Coins are the preferred option for many investors. Here's why:

• Because they are smaller and easier to handle and store, coins are more liquid than bars. In other words, they're easier to buy and sell.
• Gold coins are easier to purchase on a limited budget compared to kilogram bars, which cost tens of thousands of dollars. Ounce and 1/10-ounce coins are much more affordable.
• It's easy to find where to buy gold coins. Government mints provide coins that are also legal tender in their country. These mints also offer documentation for coins to prove their authenticity. This makes resale easier.
• Coins have higher premiums than bars. This means they may cost more than the spot price of gold, but owners can also collect the premium when selling the coins. If demand for certain collectible coins increases, then the premium can also increase.

Finally, it's easier to adjust a portfolio with coins than with bars. Since coins are smaller, investors can sell a few coins while retaining the rest of the coin collection and rebalance their portfolio more accurately.

Understanding the Premium Cost of Precious Metals

When learning how to buy gold coins in Canada and elsewhere, it's important to understand the premium costs. The premium includes the cost to design, mint, and sell the coin. It can vary depending on the demand for the coin and its collectibility.

These costs and values are included in the price of the coin. So, the equation is: gold spot price + premium = total cost of the coin.

For example, a 1-ounce gold coin will cost more than the spot price for an ounce of gold.

Premiums are not necessarily a bad thing. A high premium could mean that a coin is highly collectible and worth much more than its weight because collectors want to own it.

Mints often release a limited number of a collectible coin to create scarcity. If such coins are desired by collectors, the premium could increase over time.

How to Find High-Quality Gold Coins

The biggest factor in finding where to buy gold coins is the quality. The factors for finding gold coins might not be as straightforward as many people think.

Here are the factors to consider:

• Purity: investment-grade gold should be 99.99% pure (sometimes written as .9999).
• Source: The most valuable coins come from respected and reputable mints. These sources include the U.S. Mint, the Royal Canadian Mint, the Perth Mint, and the Royal Mint in England.
• Accurate weight: Dealers should always offer accurate weight (in Troy ounces instead of regular ounces).
• Condition: Make sure the seller properly packages the coin and sells coins that aren't damaged or blemished.

Sellers should readily provide documentation and all the necessary information about each coin. Such transparency is important for investors and ensures they can resell the coins easily in the future.

Why Buy from Sprott Money

If you are ready to add gold coins to your investment portfolio, choose a proven and trustworthy source. Sprott Money offers 99.99% gold coins with certificates of authenticity from the world's best mints. Browse both coins and bars with different designs, including the 1-ounce Gold Maple Leaf and 1/10-ounce Gold Maple Leaf from the Royal Canadian Mint.

Visit Sprott Money to find high-quality coins to add to your investment portfolio. Ready to secure your wealth with trusted offshore storage? Learn more and explore storage options today with Sprott Money.