Wednesday, November 30, 2011
As an example, in 2009 the famous Quartermaster collection of Australian gold coins went to auction selling for a massive $10.2 million dollars. This collection, put together in the late 80s and 90s, generated the owner a significant return on his original investment. This collection was made up of the finest and rarest quality pieces available at that time. Rare and collectable gold coins fetch much more than the value of gold contained within the coins of course.
It was not long ago that an extremely rare and highly-prized Islamic gold coin, possibly struck to coincide with the Caliph leading the Hajj pilgrimage to Mecca was sold for a record price. The Umayyad dinar, dated 105h (723AD) struck from gold mined on land owned by the Caliph fetched £3.7 million (approx. AUD $5, 716,000) in a sale at London auctioneers Morton & Eden on April 5, making it the second most expensive coin ever auctioned. The coin had been expected to realise £300,000- £400,000, but four bidders sent the price spiralling and was bought by the British trade on behalf of a private European collector. The most expensive coin ever sold at auction is the 1933 Double Eagle sold by Sotheby’s in July 2002 for the equivalent of approx. AUD $7,186,000.
Coming back to earth, usually the goal of most investors is to accumulate sufficient assets that may be used in retirement or for some other objective.
Rare gold coins have a very low to negative correlation to stocks and bonds and investors can reduce their total portfolio risk by holding a portion of their wealth in rare coins since they are tangible assets.
In addition rare gold coins are one of the few remaining assets that can be accumulated privately with no title deeds or certificates allowing the complete confidentiality of your investment. They can be readily moved anywhere and easily and discreetly stored anywhere of the owner’s choosing. This means you are not limited to where or when you can move and store your investment.
Over the past 20 years a selected portfolio of rare coins and banknotes has averaged a 13.9% pa compounded which is a respectable capital growth figure in anyone’s terms.
Investment into rare coins and banknote should be seriously considered for the astute investor but as with all forms of investment they do carry risks. A qualified coin and banknote specialist should be used to guide any new person on the correct way of investing in this lucrative and enjoyable past time and it is strongly recommended that any prospective investor into rare coins and banknotes should consult a qualified and accredited coin and banknote specialist and a financial advisor.
Review of the rare Coin Company
Here is a review of one of the established rare gold coin specialists.
The Rare Gold Coin Company is an Australian company dealing in Rare Gold and other coins and banknotes.
It was founded by Robert and Barbara Jackman in Albany, Western Australia in 1982, eventually trading as Jackman's Stamps and Coins.
Now with more than 26 years of knowledge and experience, they are firmly established as one of Australia's leading numismatic organisations, employing more than 30 full time staff with offices and showrooms located in Albany, Perth, Sydney and Melbourne but trade world wide.
Although they do a lot of trading and dealing in rare bank notes it is the gold and other rare coins that provoke much interest with their clients. Many clients will buy, sell back and repurchase rare coins on a regular basis.
As well as rare coins the Rare Coin Company supply sets of solid gold coins struck by the Perth Mint. The 2011 Lunar Gold Coin Series II Year of Rabbit Three Coin Gold Proof Set being a prime example.
Examples of other currently available gold coins include:
2011 Australian Koala Series 1/10oz Gold Proof Coin
2011 Australian Koala Series 1/25oz Gold Proof Coin
2010 Dreaming Series 10g Gold Dolphin Coin
2006 New Zealand Gold Rushes Silver Gilded Coin
2011 Treasures of Australia Pearls 1oz Gold Locket Proof Coin
A 1862 Victoria Young Head Sydney Mint Sovereign is currently on offer at $2,750.00 and is graded as good Very Fine (gVF).
A Certificate of Guarantee for all investment items is provided for all items sold and the Rare Coin Company state, "we are prepared to stand by the quality and rarity of the items we recommend to you."
This certificate of Guarantee assures the Authenticity and Grading of your numismatic investment and provides a 30 day full right of return.
The Rare Coin Company has a Future Resale Policy
When liquidating your numismatic portfolio, they guarantee to either:
Consign your portfolio for sale via our numismatic consultants, showrooms, and catalogue and online via our website.
Direct repurchase of your rare coin/s and/or banknote/s (stock levels permitting).
Consign your portfolio for sale via auction.
If you choose to liquidate an investment item within the first 12 months of purchase, your item/s will be subject to consignment and no more than the initial sum of the investment will be respectfully paid.
The Rare Coin Company utilises recognised industry grading guidelines, which form part of the constitution by-laws of the Australasian Numismatic Dealers Association Inc. (ANDA). The Rare Coin Company is a founding and current member of ANDA.
They are an authorised distributor for the Perth Mint.
Some of the benefits of investing in rare gold and other coins include:
Suitability for personal investors and self managed super funds.
Over the past 43 years, a selected portfolio of rare coins and banknotes has averaged returns of 13-15% pa, making them a highly competitive alternative in comparison to many other forms of investment.
No entry or exit fees.
No minimum purchase required.
Non-taxable while held.
Your investment is easily portable and can be moved and stored anywhere in Australia or overseas.
Strong demand within Australia and internationally makes it easier to liquidate well-chosen rarities.
You can liquidate a portion of your portfolio as necessary without penalty.
Your Investment is discreet and confidential as there are no deeds or certificates which have to be lodged with authorities.
A Storage Facility is available with The Rare Coin Company by arrangement.
Complementary annual revaluations for portfolios valued over $5,000.
As well as the usual available gold coins and gold coin sets the rare Coin Company also deals in some of the most expensive coins available.
An example (pictured) being the 1858 Victoria Young Head Sydney Mint Half Sovereign
But prices on site (rarecoin.com.au) range from 25 dollars up to the aforementioned 110,000 for coins (and even higher for notes, reaching the stratospheric quarter million dollars for a 1949 George VI Coombs/Watt Ten Shilling Star Note Consecutive Pair Unc) there are prices and coins for anyone who wants to invest in rare gold coins.
One can buy online by simply adding to the cart your selection.
Postage Costs are $7.50 to anywhere in Australia. $20.00 to International customers. They accept payment by credit card (Visa and MasterCard only), Direct Debit (Australian Bank Account holders only), Telegraphic Transfer and Personal Cheque.
All orders are delivered by registered post (where possible) and you should allow up to 14 working days from receipt of payment for delivery of your order.
They provide an optional secure storage service for investment items valued at $1,000 or more.
All investment items valued at less than $40,000, that are not stored with us, will be delivered by registered post (where possible) and you should allow up to 14 working days from receipt of payment for your order to arrive.
Investment items valued at $40,000 or above, that are not stored with us, must be collected from one of our offices or showrooms.
Please note GST is a 10% tax applicable to Australian customers. International customers will have the GST removed from their order before checkout.
Storage of items with the Rare Coin Company is priced at 220 Australian dollars per annum.