The gold Krugerrand

What coin to buy?

When deciding what coins to buy, it is important to consider a number of factors. If the gold content, i.e. the carat, of the coin is the most important factor then gold Krugerrands represent the best value for money. Krugerrands have the same 22 carat gold content as the American Gold Eagle and the Canadian Maple Leaf but troy ounce Krugerrands have the lowest premium above the intrinsic value of the gold coin. This is mainly due to its simple design. It was conceived as a lump of gold with a face stamped on it when it was first struck back in 1967 and it has stayed fairly true to its original design. If you decide against the gold Krugerrand then check the gold coin prices on the internet to see which other bullion coins are within your budget.
 

Other coins

For those who would like to buy more aesthetically pleasing coins then the British Britannia coin or the American Gold Eagle would be better options. The British gold Sovereign is also a very popular coin for collectors and can be bought in a variety of weights and designs. Rare coins are also very attractive investments, like old gold Sovereigns minted in the 19th century as their actual value will be far greater than their intrinsic value based on their historical significance. You will, of course, have to pay more for them but you will be more likely to make a profit on them if you ever consider selling them. In general, for first time buyers the South African gold Krugerrands present the safest investment given the initial outlay and the low premium as well as the potential profits to be made from selling it at a later date.